InvestorQ : I just read that Trump has imposed sanctions on the Iran Central Bank. What do these sanctions mean?
Mary Joseph made post

I just read that Trump has imposed sanctions on the Iran Central Bank. What do these sanctions mean?

Answer
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sara Kunju answered.
12 months ago


The US has already imposed stringent sanctions on Iran’s sale of oil and no country is allowed to buy oil from Iran without attracting sanctions from the US. This has been in place for nearly 6 months now. With the latest drone attacks on Saudi oil facilities being blamed on Iran, the US has gone ahead and also placed the Iranian Central bank under sanctions. This has some interesting implications.

Firstly, this will squeeze any trade that Iran is still having with countries in Europe and put Iran in a tighter spot. Secondly, this will put limits on any support that the Iran central bank is able to provide to the Iranian Revolutionary Guards, which is the elite force of Iran and has been accused by the US of most recent attacks. Thirdly, this also limits the ability of Iran to import any humanitarian goods for the needs of common people in Iran. This will also mean that any Iranian money parked in foreign banks will also automatically come under sanctions. Of course it remains to be seen how Iran responds to these sanctions.