The cabinet of President Masoud Pezeshkian approved the bill to slash four zeros from the national currency.
The decision was made with the majority vote of the cabinet members at a Sunday session.
The bill underwent thorough discussion and examination before receiving approval, the president’s official website reported.
A week ago, the Iranian Parliament’s Economic Commission accepted a proposal to slash four zeros from the national currency to simplify financial transactions.
Rial will remain as the official currency of Iran, with each new rial equal to 10,000 current rials and divided into 100 qerans.