Leila’s Brothers, a movie banned by the Islamic Republic, has nevertheless been viewed by millions of Iranians. Available on websites that show pirated films, the story resonates deeply with an Iranian public struggling to cope with record inflation and other economic hardships.
The movie stars Taraneh Alidousti, who was jailed for three weeks for removing her mandatory headscarf in solidarity with the “Woman, Life, Freedom” protests that erupted after the death in police custody of Mahsa Amini in September 2022. But even more than the actress, it’s the film’s subject that most rankles the Iranian regime.
The script centers around a capital asset of 40 golden coins, known as “Bahar e Azadi” or “Spring of Freedom.” Each coin weighs 8.14 grams (the equivalent of 0.29 ounces) and is of 0.90 purity. The Central Bank of Iran (CBI) oversees the minting and distribution of the coins, which are used in marriage contracts to measure the “bride price” a groom owes to his new wife. The coins are also standard gifts at weddings, birthdays, and graduation ceremonies — not to mention bribes to corrupt officials and bureaucrats, who eagerly accept them for services rendered.
The CBI sets the price for a standard gold coin just as it regulates the official value of the American dollar, European euro, Swiss franc, and British pound. Iranians often convert their savings into the coins or hard currencies to try to safeguard their value. At present, a newly designed coin, called an Imami, costs 298,010,000 Iranian Rials (IRR), or about $580 U.S. dollars. A year ago, the same coin could have been bought for 117,180,000 IRR, the equivalent of $391.
The officially reported inflation rate for the past 12 months in Iran is 46.5 percent, but many Iranians believe that is an under-estimate. Official prices of some necessities have more than doubled: For example, the Ministry of Agriculture has increased the price of chicken from 204,000 IRR per kilogram in 2021 to 630,000 IRR per kilogram, marking an annual increase of 76 percent. Paying more than twice as much for many necessities, Iranians often convert cash into gold to try to keep up with the rial’s devaluation.
The difficult choice is when to convert the gold back into cash, since a volatile economy like Iran’s often experiences sudden changes in prices and exchange rates. The latest plunge began after the death of Mahsa Amini at the hands of the so-called morality police. Not trusting the rial and even beginning to doubt the survival of the Islamic Republic, Iranians increasingly began converting their assets into hard currencies and gold. But exchange rates and gold prices change rapidly, making it difficult for Iranians to know when to cash out.
Leila’s Brothers expertly portrays the uncertainty and volatility of Iran’s economy. After some family struggles, the brothers decide to buy 40 gold coins with cash they receive from canceling a real estate contract. The year is 2018, when the Trump administration announced it was leaving the Iran nuclear deal, the Joint Comprehensive Plan of Action or JCPOA, known as Barjam in Farsi. The gold market in Tehran expected that the US decision would reduce Iran’s oil exports and hard currency reserves. The market also knew that the Islamic government had pumped rials into the economy, increasing the money supply. Thus, higher inflation was expected, and many Iranians were turning their savings into gold. The movie shows the brothers going from shop to shop, trying to get a good deal for the purchase of 40 coins. The high prices and the discrepancies among the prices astonish and horrify them, ultimately frustrating their efforts.
One shopkeeper tells them, “Trump has left Barjam. He might come back, and the prices might go down.” The brothers want the 40 gold coins, but their cash is losing value rapidly. Soon, they cannot afford even 20 coins. Their hesitation has cost them dearly. They are unaware of economic vulnerabilities and the growing liquidity in the markets as government officials print money to cover budget deficits and Iran’s foreign policy interventions.
There is no happy ending for the brothers in the film — or, indeed, for ordinary Iranians in real life.
Iran’s economy has not grown in the last decade and the outlook remains poor. As corruption spreads and the Islamic Republic becomes increasingly isolated from the West, prosperity is a lost dream for millions of Iranians. Some, like Manouchehr, Leila’s scheming brother, choose to leave the country because they would be arrested if they stayed. However, not everyone can go. In the film, Alireza, Leila’s youngest brother, chooses the path of protest to demand what he regards as rightfully his. One wonders how many other Iranians will join him as gold coins and a decent life become increasingly unattainable dreams.
Ali Dadpay is an associate professor of finance at the University of Dallas.
Amid Economic Volatility in Iran, a Decent Life is an Increasingly Unattainable Dream
By Ali Dadpay
Middle East & North Africa
Leila’s Brothers, a movie banned by the Islamic Republic, has nevertheless been viewed by millions of Iranians. Available on websites that show pirated films, the story resonates deeply with an Iranian public struggling to cope with record inflation and other economic hardships.
The movie stars Taraneh Alidousti, who was jailed for three weeks for removing her mandatory headscarf in solidarity with the “Woman, Life, Freedom” protests that erupted after the death in police custody of Mahsa Amini in September 2022. But even more than the actress, it’s the film’s subject that most rankles the Iranian regime.
The script centers around a capital asset of 40 golden coins, known as “Bahar e Azadi” or “Spring of Freedom.” Each coin weighs 8.14 grams (the equivalent of 0.29 ounces) and is of 0.90 purity. The Central Bank of Iran (CBI) oversees the minting and distribution of the coins, which are used in marriage contracts to measure the “bride price” a groom owes to his new wife. The coins are also standard gifts at weddings, birthdays, and graduation ceremonies — not to mention bribes to corrupt officials and bureaucrats, who eagerly accept them for services rendered.
The CBI sets the price for a standard gold coin just as it regulates the official value of the American dollar, European euro, Swiss franc, and British pound. Iranians often convert their savings into the coins or hard currencies to try to safeguard their value. At present, a newly designed coin, called an Imami, costs 298,010,000 Iranian Rials (IRR), or about $580 U.S. dollars. A year ago, the same coin could have been bought for 117,180,000 IRR, the equivalent of $391.
The officially reported inflation rate for the past 12 months in Iran is 46.5 percent, but many Iranians believe that is an under-estimate. Official prices of some necessities have more than doubled: For example, the Ministry of Agriculture has increased the price of chicken from 204,000 IRR per kilogram in 2021 to 630,000 IRR per kilogram, marking an annual increase of 76 percent. Paying more than twice as much for many necessities, Iranians often convert cash into gold to try to keep up with the rial’s devaluation.
The difficult choice is when to convert the gold back into cash, since a volatile economy like Iran’s often experiences sudden changes in prices and exchange rates. The latest plunge began after the death of Mahsa Amini at the hands of the so-called morality police. Not trusting the rial and even beginning to doubt the survival of the Islamic Republic, Iranians increasingly began converting their assets into hard currencies and gold. But exchange rates and gold prices change rapidly, making it difficult for Iranians to know when to cash out.
Leila’s Brothers expertly portrays the uncertainty and volatility of Iran’s economy. After some family struggles, the brothers decide to buy 40 gold coins with cash they receive from canceling a real estate contract. The year is 2018, when the Trump administration announced it was leaving the Iran nuclear deal, the Joint Comprehensive Plan of Action or JCPOA, known as Barjam in Farsi. The gold market in Tehran expected that the US decision would reduce Iran’s oil exports and hard currency reserves. The market also knew that the Islamic government had pumped rials into the economy, increasing the money supply. Thus, higher inflation was expected, and many Iranians were turning their savings into gold. The movie shows the brothers going from shop to shop, trying to get a good deal for the purchase of 40 coins. The high prices and the discrepancies among the prices astonish and horrify them, ultimately frustrating their efforts.
One shopkeeper tells them, “Trump has left Barjam. He might come back, and the prices might go down.” The brothers want the 40 gold coins, but their cash is losing value rapidly. Soon, they cannot afford even 20 coins. Their hesitation has cost them dearly. They are unaware of economic vulnerabilities and the growing liquidity in the markets as government officials print money to cover budget deficits and Iran’s foreign policy interventions.
There is no happy ending for the brothers in the film — or, indeed, for ordinary Iranians in real life.
Iran’s economy has not grown in the last decade and the outlook remains poor. As corruption spreads and the Islamic Republic becomes increasingly isolated from the West, prosperity is a lost dream for millions of Iranians. Some, like Manouchehr, Leila’s scheming brother, choose to leave the country because they would be arrested if they stayed. However, not everyone can go. In the film, Alireza, Leila’s youngest brother, chooses the path of protest to demand what he regards as rightfully his. One wonders how many other Iranians will join him as gold coins and a decent life become increasingly unattainable dreams.
Ali Dadpay is an associate professor of finance at the University of Dallas.
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