Economy

EU Joins US Financial Pressure Campaign Against Iran

Bessent welcomed the EU’s participation, saying Washington “appreciate[s] their strong and early stance” and that the US is working with its allies to prevent Iran from using the global financial system to finance its nuclear ambitions, weapons programs, and regional proxy groups.

World Scott Bessent Operation Economic Outcast European Union

ERBIL (Kurdistan24) – U.S. Treasury Secretary Scott Bessent said Friday that the European Union has officially joined the United States’ Operation Economic Outcast, a sweeping financial pressure campaign aimed at cutting Iran off from the global economy.

In a statement posted on X, Bessent welcomed the EU’s participation, saying Washington “appreciate[s] their strong and early stance” and that the United States is working with its allies to prevent Iran from using the global financial system to finance its nuclear ambitions, weapons programs, and regional proxy groups.

“The world is sending a clear message to the Iranian regime: We will not stop until every remaining financial lifeline has been severed,” Bessent said. 

The EU confirmed its support for additional economic pressure on Iran in a statement issued in the context of the G20 Finance Ministers and Central Bank Governors meetings held on August 31 and September 1 in Asheville, United States.

The EU said it has consistently called on Iran to curb its nuclear and ballistic missile programs, end destabilizing activities in the region and Europe, stop military support for Russia’s war in Ukraine, and cease violence and repression against its own population.

The bloc stressed that continued diplomatic efforts are necessary to reach a peace settlement, restore regional stability, and ensure full freedom of navigation and safe transit through the Strait of Hormuz.

The EU said it has already adopted extensive sanctions to prevent Iran from exploiting the global economy and financial system to sustain what it described as hostile actions and undermine international security.

It added that it remains ready to take further measures when necessary to safeguard its security and interests, including freedom of navigation through the Strait of Hormuz.

“The EU welcomes efforts at ensuring that Iran ceases its destabilising activities and engages in peace negotiations with good faith, also through additional economic pressure, including through the US led Operation Economic Outcast,” the statement said.

The EU also said it would continue working closely with the United States, G7 members, and other international partners to maintain pressure on Iran while contributing to de-escalation and regional stability.

Operation Economic Outcast, also referred to as Economic D-Day, was announced by Bessent on August 24. The campaign seeks to intensify financial pressure on Iran and the Islamic Revolutionary Guard Corps (IRGC) by targeting the country’s access to international financial networks and sources of revenue.

The campaign focuses on severing financial channels used by Iran to smuggle oil, circumvent previous sanctions, and finance regional activities. It also threatens foreign companies, banks, and governments with secondary sanctions if they continue doing business with Tehran.

Washington has also sought to give international partners a defined timeline to end trade and financial ties with Iran, increasing pressure on countries and institutions that maintain economic relations with Tehran.
 
 

 

 

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