The United States imposes new sanctions on Iran .. Will it achieve its goals?

With the approaching end of the arms embargo on Iran on October 18, as well as the approaching US presidential elections on November 3, US Secretary of State Mike Pompeo announced at dawn on Sunday that the United Nations sanctions on Iran had entered into force again.

According to experts, the re-imposition of sanctions has no legal purpose. After the United States violated the nuclear agreement and Security Council Resolution 2231, the United States has no right to resort to the dispute settlement mechanism and return to the original state.

After the US withdrawal on May 8, 2018 and the imposition of economic sanctions on Iran, which targeted its economic components such as oil, petrochemicals and the Iranian Central Bank, the Iranian economy suffered greatly, which led to the deterioration of the currency and a continuous rise in the prices of goods, and the price of the US dollar against the Iranian riyal rose from 115 Two thousand in September last year to 275 thousand this month.

Iranian oil sales have also reached their lowest levels, as Muhammad Baqer Nobakht, Vice President of the Republic, said this month that “we cannot sell oil even a single drop.” Previous sanctions have affected the Iranian economy, which relies heavily on oil exports while it is facing a shortage Large budget, so Iranian analysts believe that the new sanctions will not be very effective, and there is no other way to impose sanctions again on the country.

Previous US sanctions negatively affected the Iranian economy, which relies heavily on oil exports (Reuters)

 The impact of US sanctions

"We have to analyze the new sanctions within the electoral environment in the United States of America, especially since Trump uses all available means to gain votes in favor of him," said Dr. Muhammad Khosh Jahra, a former representative in the Iranian parliament and professor of economics at the University of Tehran, in his speech to Al-Jazeera Net. It affects without the support of its European allies, along with Russia and China. "

Khosh Jahra believes that before directing the fingers to external sanctions and linking them to the issue of the rise in the price of the dollar against the Iranian riyal, the wrong financial decisions in the country must be closely examined. Demand it.

He added that the government owns 95% of foreign currencies, so if it is able to sell its exclusive goods or even foreign currencies at a high price, it may reap great profits by addressing its budget deficit, but in the end it will face inflation that cannot be contained, because the country itself is one of the largest consumers in the country (institutions Government and its employees).

The Iranian street is looking at the extent to which the continuous rise in the prices of consumer goods such as food, cars and real estate will stop, as well as high inflation (26% according to the Iranian Statistics Center and 60% according to unofficial statistics), which increased the percentage of families living below the poverty line, which need what Not less than 100 million riyals for an increase, while a worker gets paid less than 30 million riyals a month, according to Hadi Aboy, Secretary-General of the Workers Union in Iran.

The Iranians are looking for the limit at which the continuous rise in consumer prices will stop (Al-Jazeera)

Constant negotiation

On the other hand, university professor and economist Bahman Arman believes that "Iran and America are obliged to negotiate continuously until the end of these long-term tensions, which are considered a major cause of the economic pressures facing the country."

Arman continued his speech to Al-Jazeera Net, "knowing that the United States owns 24% of the global economy’s output, in addition to financial and legal tools, enabling it to force the rest of the countries to follow them despite their attempt to show America's opposite performance, but on the ground European countries do not dare to violate the United States." This is because there is a high level of trade and economic exchanges and political and security relations that bring them together. "

The new US sanctions on Iran may hit their target if two basic conditions are met: First, for the United States to impose its point of view on the countries ’table to stand by it, and secondly for the Iranian government to stand idly by with regard to these sanctions without any attempt to change its financial policies and reform its economy from within.

While Iran looks to the post-election stage of the US and its implications and implications for the US performance in foreign engagement, especially in the event that Joe Biden, the strongest candidate and rival for Donald Trump, wins, Iran should turn a blind eye to both American parties because they agree to proceed with one strategy, but they differ in Only tactic.