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U.S. President George W. Bush (CTK)
PRAGUE, March 14, 2006 -- U.S. President George W. Bush has extended by another year the economic sanctions that bar U.S. firms and citizens from purchasing oil or making other business deals with Iran.
In a message to Congress explaining the continuation of the bilateral sanctions, Bush said the actions and policies of the Iranian government pose a continuing threat to the U.S. economy, foreign policy goals and national security.
Reuters quotes a U.S. Treasury Department spokeswoman as saying the U.S. sanctions prohibit most import and export trade between the United States and Iran -- including deals involving Iranian crude oil.The sanctions were first imposed in March 1995 by U.S. President Bill Clinton's administration.
Economic sanctions could further undermine Iran's already shaky economy (Fars)
MOVING TOWARD SANCTIONS: If the United Nations Security Council imposes sanctions on Iran, domestic support for Iranian President Mahmud Ahmadinejad will wane, according to ALEX VATANKA, Eurasia editor for Jane's Information Group.
Vatanka told a February 24 RFE/RL briefing that "economic sanctions will hurt the average Iranian" and, consequently, many "will blame the ruling clerics" for making life difficult and "impairing the country's long term development."
Vatanka said sanctions would be a serious challenge to the Iranian government. If harsh economic sanctions were imposed, Iran's poorest population will be hurt the hardest -- and might react "as they did in the 1970s and protest in the streets." Sanctions on travel, Vatanka said, would hurt a many Iranians because "Iran is a nation of small traders" who depend on the ability to travel to earn an income. According to Vatanka, unemployment in Iran is estimated at 30 percent, "so small trading is essential to survival." Although current U.S. sanctions "haven't worked," he said, "Iranians fear an oil embargo." He stressed that "oil revenues are a major part of the economy, so it is critical to look at this sector."
Should negotiations with the European Union and the UN fail, Vatanka believes that Iran would follow a "North Korea model," since Ahmadinejad's base of support among the "Islamist militias" has been "urging withdrawal from the NPT [Nuclear Non-Proliferation Treaty]." The Iranian government's "tactic" so far, Vatanka said, is governed by the belief that "by shouting the loudest, you'll get concessions [from the West]."
Listen to the complete panel discussion (about 60 minutes):
THE COMPLETE STORY: RFE/RL's coverage of the controversy surrounding Iran's nuclear program.
CHRONOLOGY An annotated timeline of Iran's nuclear program.