Scott Basset, the U.S. Secretary of the Treasury, announced that Washington's economic pressures against the Islamic Republic have significantly increased and this government is facing serious challenges in securing its necessary financial resources. According to him, these pressures have profound impacts on the military activities and financial support of the Islamic Republic for its allied groups in the region.
Financial Problems of the Islamic Republic and Concerns of the Revolutionary Guards
The U.S. Secretary of the Treasury stated in an interview with CNBC that the operation known as "Economic Isolation" has significantly restricted the Islamic Republic's access to financial resources. He noted that the Iranian Revolutionary Guards are even struggling to pay their personnel's salaries, and officials of this organization have expressed their concerns in both public and private circles about the possibility of the country's economic collapse.
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Impact of Restrictions on the Islamic Republic's Allied Groups
Basset also added that the restriction of the Islamic Republic's access to dollars and foreign currency resources has reduced Tehran's ability to finance its allied groups, including the Houthis in Yemen, Hamas, and Hezbollah in Lebanon. He emphasized that Washington will not allow the Islamic Republic to continue financing activities that it considers terrorist.
Mr. Basset, referring to internal estimates from the U.S. government, stated that Iran's economy could shrink by up to 25% between March 2026 and March 2027. He described the "Economic Isolation" operation as the most severe action to isolate a country's economy in history and emphasized the importance of this strategy.
Objective of the "Economic Isolation" Operation
The Donald Trump administration launched the "Economic Isolation" operation on August 24. The goal of this operation is to cut off money transfer routes, prevent circumvention of sanctions, and limit the Islamic Republic's oil revenues. These measures have not only impacted Iran's economy but have also had social and political repercussions for the country.
In this context, many analysts believe that economic pressures could lead to significant changes in the domestic and foreign policies of the Islamic Republic. In particular, it is observed that the consequences of these pressures have led to social and economic dissatisfaction among the people.
Ultimately, the United States, by continuing and intensifying these sanctions and economic pressures, seeks to create fundamental changes in the behavior of the Islamic Republic and also reduce this country's influence in the region. In this regard, future developments in Iran and the impacts of these pressures on its society and economy will be closely monitored.
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