“Iran’s economy was already under strain before the U.S. and Israel launched their war on the Islamic Republic, grappling with negative growth, soaring inflation and a currency crisis. Those problems were compounded by strikes on the nation’s civilian and industrial infrastructure and the U.S. naval blockade of Iranian ports,” Bloomberg reports.
“Even so, Iran has endured six months of conflict without its economy collapsing. As the war drags on, the Trump administration is seeking to crank up the economic pressure to force Iran to capitulate and release its chokehold on the Strait of Hormuz. It has threatened economic punishment against any country that continues to do business with Iran.”
“Whether this strategy will succeed is an open question. Iran has a high tolerance for pain thanks to decades of experience withstanding multiple layers of international sanctions, and countries with ties to Tehran have so far shrugged off U.S. warnings.”
