Iran’s Economy Minister Declares Full Readiness for New U.S. Sanctions

Iran’s Economy Minister Medenizade announced that a two‑year economic plan is now fully operational to counter the United States’ latest sanctions.

A Strategic Framework Against Sanctions

In a televised interview, the minister emphasized that the “final phase of a long‑standing preparation” has been activated in response to the new U.S. sanction package. The framework includes a multi‑layered resilience mechanism to protect financial channels from being cut off.

Core Pillars of the Two‑Year Plan

■Macro‑policy measures: Inflation, currency pressure and scarcity mitigation through monetary subsidies and exchange‑rate protection reserves.

■Sectoral support: Emergency repair funds aimed at restoring steel and petrochemical facilities to operational status within 3‑6 months.

■Alternative logistics: Targeting a 15% increase in exports via land and air routes to offset the maritime blockade.

■Financial flexibility: Rerouting international cash flows through multi‑currency pools and domestic banking networks.

Sectoral Impact and Reconstruction

Medenizade noted that despite the hits to steel and petrochemical plants, short‑term production losses are expected to stay within 5‑8%. The reconstruction timeline is projected at 12‑18 months.

Market Implications

■FX markets: Rial could depreciate by 12%, but reserve‑backed interventions are expected to contain the slide.

■Bond market: New Iranian sovereign bonds may attract foreign investors with elevated yields.

■Oil exports: Alternative corridors aim to sustain 1.2 million barrels per day shipments.

Expert Commentary (Dr. Aslıhan Demir): Iran’s long‑term planning seeks to blunt the immediate shock of sanctions, yet the risk of inflation breaching 30% could force a tighter monetary stance. A potential 20% drop in oil revenues would widen the fiscal gap by roughly $10 billion, straining external financing. In such a scenario, regional investors’ risk appetite would wane, and liquidity pressures on Iranian assets could intensify. The ultimate success hinges on how swiftly and efficiently alternative logistics can be scaled.