Iran’s currency fell to a record low in Tehran’s unofficial market on Wednesday, days after the reimposition of UN snapback sanctions, trading at about 1,151,000 rials per US dollar.
The euro stood at 1,352,200 rials and the pound at 1,548,300, according to local exchange rates.
Iran’s government will approve a response plan on Sunday to the reimposition of UN snapback sanctions, state media quoted spokesperson Fatemeh Mohajerani as saying.
She told reporters after Wednesday’s cabinet meeting that the plan assigns specific tasks to each ministry “to minimize pressure on people’s lives.”
Mohajerani said Tehran had sought to avert the measure through diplomacy, including a last-minute proposal to delay the sanctions by 45 days, but the effort was blocked by what she described as lobbying pressure on European powers.
She added that Tehran had expressed readiness to hold a meeting in New York with Britain, France, Germany, the International Atomic Energy Agency (IAEA) and US Middle East envoy Steve Witkoff, but that “the proposal was not accepted or the counterparts did not attend.”
She added that Foreign Minister Abbas Araghchi briefed the cabinet on his New York visit, saying Iran’s push to scrap or delay the snapback failed after Western rejection of its proposals.
Authorities confirmed this week that the MamlouDam, one of five major reservoirs supplying the capital, has fallen below usable levels.
Only 8% of its 250 million cubic meter capacity remains, with storage at 19 million cubic meters -- below the “dead volume” threshold of 28 million.
The facility, built in 2007 east of Tehran, is officially out of operation for the first time, leaving the capital more reliant on other reservoirs already at historic lows.
The crisis extends far beyond Tehran. In northwestern Iran, Lake Urmia, once the Middle East’s largest saltwater lake, has lost more than 90% of its volume and surface area.
Environmental experts warned on Wednesday that “salt storms” from the dried lakebed are beginning to hit surrounding provinces, damaging crops, raising health risks, and prompting what officials describe as the early stages of forced relocations from nearby towns and villages.
Lawmakers acknowledge that years of mismanaged agriculture, unchecked groundwater pumping and weak enforcement of water-use reforms have accelerated the decline.
“The lake is like a critical patient in intensive care,” said Reza Hajikarim, head of Iran’s Water Industry Federation, warning that existing plans were not implemented to save the lake. He urged rapid cuts in water-intensive farming and enforcement of ecological water rights, saying “we do not need new solutions, only execution of the old ones.”
“Salt storms from Lake Urmia have now begun, and evacuations are starting in provinces surrounding the lake. The salt storms and rising temperatures caused by the sun’s reflection are among the consequences of Urmia’s desiccation, undermining life and habitability in the region. This is only the beginning,” he added.
Social strains are mounting. In recent weeks, a violent clash over irrigation rights near Urmia left one dead and 13 injured, highlighting how scarcity is fueling local disputes.
Similar unrest erupted earlier this year in central Iran, where farmers damaged a pipeline transferring water from Isfahan to Yazd. Rights groups say protests over blackouts and dry taps in cities such as Sabzevar were also met with arrests and tear gas.
Experts stress the problems are largely man-made. Climatologist Nasser Karami has described the situation as an “engineered drought,” arguing that mismanagement, subsidies for water-intensive crops, and expansion of militarized agriculture -- not climate alone -- lie at the root.
Agriculture consumes over 85% of Iran’s water while contributing less than 12% of GDP, and exports such as pistachios and melons remain state priorities despite groundwater depletion.
Other ecosystems are also under threat. Officials warn that Anzali Wetland on the Caspian coast faces collapse without $300 million in restoration funds, after decades of sewage, sediment and pollution inflows.
Iran’s Meteorological Organization says the country has endured two decades of near-continuous drought, but specialists argue that structural reforms -- diverting water from agriculture to households, modernizing irrigation, reducing waste, and enforcing groundwater limits -- could stabilize supplies.