Bessent Warns Iran Economy Could Collapse Under Intensified Sanctions

Treasury Secretary Scott Bessent warned that Iran's economy could collapse within weeks or months due to the intensified US sanctions campaign. The 'economic D-Day' campaign, launched on August 24th, aims to sever Iran's financial, oil, shipping, and trade links.

The Treasury expects new secondary sanctions every week, starting with banks, in an effort to force Tehran to change course rather than trigger economic implosion. Bessent emphasized that the Trump administration wants to bring about a regime change, not just collapse the economy.

Bessent noted that Iran is already under severe pressure, with foreign trade falling 35% and annual inflation reaching 66%. The Treasury also proposed cutting Banque Misr's UAE branches off from US correspondent banking after processing suspected billions of dollars for Tehran over 2.5 years.