By Staff Writer
Last month, US President Donald Trump announced that the United States is exiting the nuclear deal. His decision came after months of speculation and the Europeans were practically begging him to keep the deal intact. However, Trump refused to bow down to the Europeans and announced his decision, justifying it with a huge list of examples of Iran’s belligerence.
Trump is ramping up sanctions against the Iranian regime. This will put pressure on Iran, but it must not be forgotten that the Iranian regime is used to sanctions. It has had a lot of experience living with them and getting round them. Indeed, Iranian officials seem confident that the sanctions will be nothing more than a slight pain in the neck.
This is an opportunity that the United States must seize. It must take Iran by surprise and issue sanctions that will not only start off tough but will also get tougher with time.
Oil export income is expected to dramatically plummet. In 2012, sanctions caused Iran’s income to drop from $118 billion to $63 billion. A few years later, its income dropped from $55 billion to $27 billion. However, this is not the worst it has been. In 2001, its export income was down to below $20 billion.
It is expected that next year’s income will be around $80 billion – so not too bad compared to previous years. It is certainly manageable for the regime.
One weakness that Iran cannot control is the caution of international companies that are currently withdrawing from or pulling the plug on transactions with Iran. The uncertainty of the economic sanctions and the United States’ tough stance on Iran are putting fear into the enterprises that decide Iran is not worth the risk. And quite rightly so. As the Trump administration has questioned, who wants to be associated with a murderous and torturous regime?
The National Council of Resistance of Iran (NCRI) has warned the international community that doing business with Iran entails a high risk that any funds would be used to finance the regime’s belligerence across the region.
At the end of the month, on 30th June, the NCRI, the main opposition to the Iranian regime, will be holding its annual gathering in Paris. Every year, dozens of dignitaries, politicians, human rights activists and lawmakers gather to discuss the progress made and to plan for future action that will enable Iran to finally be free and democratic.
It is certain that the NCRI and the distinguished speakers will recommend that all individuals and entities dealing with Iran pull out. It is imperative for human rights to be respected before business is carried out.
Iran’s banking system is another weakness that must be exploited. Rouhani, despite his promises, has been unable to make a difference in the system that is rife with corruption. It has destroyed any trust the people had in banks and now international banks are being tougher on who they deal with. US sanctions need to move further down this route.
