American financial restrictions are heavily curbing Tehran's ability to trade on global markets, leaving the nation with zero barrels of oil currently at sea. U.S. Treasury Secretary Scott Bessent noted on CNBC that internal estimates project Iran's economy will shrink by up to 25 percent between March 2025 and March 2026. Furthermore, preventing the regime from obtaining U.S. dollars has disrupted financial pipelines to aligned militant groups across the Middle East.
Key points
Disruption of Iranian dollar access has cut off funding to regional proxies including Ham…: Disruption of Iranian dollar access has cut off funding to regional proxies including Hamas, Hezbollah, and the Houthis.
American economic measures have achieved an unprecedented total halt of Iranian crude oil…: American economic measures have achieved an unprecedented total halt of Iranian crude oil shipments at sea.
Severe macroeconomic contraction is expected to strain Iran's domestic stability over the…: Severe macroeconomic contraction is expected to strain Iran's domestic stability over the upcoming annual cycle.
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Treasury Secretary says US economic sanctions on Iran 'very successful'
28 October 2026 23:52 GMT
US Treasury Secretary Scott Bessent said on Wednesday that US efforts to isolate Iran’s economy have been “very successful”.
“For the first time since Iran started producing oil, they have no barrels of oil on the water”, he said in an interview with CNBC, claiming that internal estimates show Iran’s economy contracting by as much as 25 percent from March 2025 to March 2026.
He added that, because Iran is no longer able to obtain dollars due to US sanctions, “their proxies - whether it’s the Houthis, Hamas or Hezbollah - their funding is being cut off”.
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