‘Operation Economic Outcast’ launched to isolate Iran economically, says Scott Bessent

US Treasury Secretary Scott Bessent on Monday announced a new campaign aimed at cutting off Iran’s financial networks, oil revenues and other sources of economic support, warning governments, banks and businesses around the world that dealing with Tehran could put their access to the US financial system at risk.

Bessent described the initiative, dubbed “Operation Economic Outcast,” as an unprecedented campaign targeting Iran and entities that support it. He said the move was ordered by President Donald Trump.

Drawing a parallel with the Allied D-Day offensive during World War II, Bessent said the US was beginning a broad economic campaign against Iran’s international financial connections.

The Treasury secretary said Washington’s goal was to disrupt the economic channels that sustain the Iranian government and isolate Tehran from the global financial system.

According to Bessent, US authorities have identified networks, intermediaries and financial mechanisms allegedly used by Iran to move oil, circumvent sanctions and support the Islamic Revolutionary Guard Corps.

The administration has also begun approaching foreign governments and pressing them to shut down activities that Washington has identified as supporting Iran. Bessent said Trump had been speaking directly with world leaders and issuing specific demands.

“Every country has a defined timeline to shut down activities we have identified,” he said, warning that the US would take unilateral action through Treasury authorities if governments failed to comply.

Bessent did not name the countries involved or disclose the deadlines but indicated that Washington expected swift action.

The Treasury secretary also warned financial institutions involved in helping Iran move or launder money that they could lose access to the US dollar-based financial system.

As part of the initial measures, the Treasury expanded the scope of secondary sanctions to cover five Iranian economic sectors: digital assets, technology, gold, aviation and shipping.

The Office of Foreign Assets Control separately sanctioned nearly 60 individuals, entities and vessels accused of facilitating Iranian oil-revenue networks, procurement of nuclear and missile technology and cyber activities.

The sanctions also targeted four Indian companies — Portease Partners LLP, PP Softtech Private Limited, Prakrutees Infra Impex India Private Limited and Sadashiva Overseas Limited. Three Indian nationals — Prashant Garg, Harish Ramchandra Rangi and Indrismiya Asharafmiya Shekh — were also designated.

The Treasury further suspended several general licences that had allowed certain remittance transactions involving Iran as well as Iranian participation in US sporting, cultural and academic exchanges.

It also issued guidance warning companies about sanctions risks associated with Iranian demands relating to shipping through the Strait of Hormuz.

Bessent said the US would not exempt countries, companies or financial institutions from the campaign if they continued to support Iran’s economic activities.

He warned that banks and shipping firms involved in converting Iranian oil revenues into funds could also face action.

The Treasury secretary indicated that the measures would continue to expand, saying additional sanctions were expected, including action against a financial institution by the end of the week.

“This is a sustained campaign to collapse every last option for Iran,” Bessent said, warning that continued economic engagement with Tehran could expose those involved to the full force of US sanctions.