US plans to sanction another bank to keep economic pressure on Iran

The US Treasury Department plans to sanction another bank this week as part of its intensified campaign to economically isolate Iran amid stalled truce talks. Treasury Secretary Scott Bessent stated that this action is intended to pressure Tehran to comply with Washington's demands. This follows recent sanctions imposed on a UAE-based bank for alleged dealings with the Iranian government. Bessent indicated that further actions, including potentially cutting off institutions entirely from the dollar-based financial system, are forthcoming. The US has also recently sanctioned nearly 60 individuals and entities accused of supporting Iran's oil revenue generation, weapons procurement, and cyber-operations.

Treasury Secretary Scott Bessent announced that the Trump administration plans to sanction another bank this week to curb transactions with Iran. Speaking ahead of G20 meetings in Asheville, North Carolina, Bessent stated the U.S. is pushing countries to sever financial ties with Iran or face retaliation. The administration recently proposed cutting off the Emirati branches of Egypt's Banque Misr from the U.S. financial system, signaling a reluctance to penalize major trading partners like China and India. Bessent indicated that "all options are on the table" regarding potential sanctions on Beijing for its continued purchases from Iran.

The Trump administration is targeting the UAE branches of Egypt's Banque Misr, accusing it of facilitating financial ties to Iran. The Treasury Department proposed a new rule to sever these branches' access to the U.S. financial system, marking a step in the U.S. campaign to isolate Iran economically. This action follows Treasury Secretary Scott Bessent's announcement of a broader effort to pressure countries doing business with Iran to cease financial dealings or face U.S. retaliation. The administration aims to provide countries an opportunity to disengage from Iran before imposing broader sanctions, seeking to avoid disrupting the global financial system. The proposed rule is open for a 30-day public comment period. Additionally, the Treasury Department sanctioned an Iranian bank manager and a Hong Kong firm for alleged fund laundering for Iran.