The United States is preparing new Iran sanctions targeting banks as Washington expands its financial pressure campaign against Tehran. Treasury Secretary Scott Bessent said another bank could face sanctions this week.
Bessent said the Trump administration plans to introduce new secondary sanctions regularly, initially focusing on financial institutions. Washington wants banks to stop handling Iranian funds and supporting transactions linked to Tehran.
The Treasury secretary warned that institutions could eventually lose access to the dollar-based international financial system if they continue dealing with Iran. He said financial institutions must choose between maintaining ties with Washington or continuing business with Tehran.
The latest campaign, known as Operation Economic Outcast, aims to restrict Iran’s access to international financial networks and revenue. Bessent plans to raise the issue during meetings with G20 finance ministers and central bank officials.
The financial pressure comes as military tensions between the US and Iran have also increased. US forces struck Iranian rocket launchers on Larak Island in the Strait of Hormuz on Sunday, ending a period of relative calm. Iran condemned the attack and threatened retaliation.
China is expected to become a major test for the new Iran sanctions strategy because it remains Iran’s largest trading partner and a major buyer of its oil. Bessent said Washington could consider sanctions against entities involved in Iranian oil purchases.
The US Treasury has already proposed restricting the UAE branches of Banque Misr from accessing the American financial system over alleged links to Iran. Washington is also monitoring Iranian oil shipments and preparing further measures. The expanding Iran sanctions campaign could increase pressure on Tehran and countries that continue trading with it.
