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Iran vows to counter U.S. sanctions as Washington steps up economic pressure

Iranian parliament speaker Mohammed Baqer Qalibaf condemns new U.S. sanctions as ‘unjust’ and calls for regional economic cooperation to bypass dollar reliance. Measures take effect Monday.

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Sophie Laurent · FX & Rates Desk · 22 Aug 2026 · 04:23 · 1 min read
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Iran vows to counter U.S. sanctions as Washington steps up economic pressure

DUBAI, Aug 21 (Reuters) — Iran’s top negotiator warned on Friday that Tehran must overcome what he described as unjust U.S. sanctions, as Washington prepares to impose what it calls the toughest measures ever targeting the Islamic Republic.

Iranian parliament speaker Mohammed Baqer Qalibaf, one of the country’s most influential political figures, told Iraqi and Iranian business representatives in Baghdad that economic development and national security are intertwined. He accused the United States and Israel of pursuing economic and ‘cognitive’ warfare against Iran after failing to achieve military dominance in the region.

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Qalibaf’s remarks followed an announcement by U.S. Treasury Secretary Scott Bessent on Thursday that Washington would roll out sweeping new sanctions targeting Iran. Bessent suggested the measures could reduce the need for further major military operations, though he did not specify the scope or timing beyond stating that details would be released on Monday.

The Iranian official called for stronger economic ties between Baghdad and Tehran, proposing that the two countries conduct bilateral trade in their national currencies to reduce dependence on the U.S. dollar. He framed the sanctions as an attempt by Western powers to exploit Muslim countries’ natural resources, urging regional partners to develop strategies to counter the restrictions.

The new sanctions are set to take effect at the start of next week, escalating economic pressure on Iran amid ongoing geopolitical tensions in the Middle East.

This article was produced with AI assistance and edited by a Finance Review Daily journalist.
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Written by
Sophie Laurent
FX & Rates Desk

Sophie covers currency markets and central bank policy across Europe, with a focus on how rate decisions ripple through FX pairs. She has been tracking the ECB's policy path since the start of the current easing cycle.

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