The Israeli prime minister praised Donald Trump and Scott Bessent after Washington launched Operation Economic Outcast, targeting Iran’s financial and trade networks.

Israeli Prime Minister Benjamin Netanyahu has backed the latest US sanctions against Iran, praising President Donald Trump and Treasury Secretary Scott Bessent for what he described as measures that would impose a “steep price” on Tehran and those supporting its actions. Netanyahu made the remarks shortly after Washington launched a new economic campaign aimed at cutting Iran off from international financial and commercial networks. 

In a post on X, Netanyahu congratulated Trump and Bessent over the latest sanctions against the Iranian regime. He said the measures were aimed at Iran and those he accused of assisting its continued aggression. 

The comments came after the US Treasury Department announced Operation Economic Outcast on August 24, describing it as a broad, government-wide campaign against Iran and entities supporting its activities. Treasury Secretary Scott Bessent said the objective was to disrupt the financial connections and revenue streams that sustain the Iranian government.

US Expands Economic Pressure

The latest US measures target nearly 60 individuals, entities and vessels, according to reports, over alleged links to Iran’s military activities, procurement networks and petroleum and petrochemical trade. Washington has also identified five sectors that it says are being used by Iran to support its economy: digital assets, technology, gold, aviation and shipping.

Bessent said the Treasury had mapped networks that Iran allegedly uses to move oil and evade sanctions. He warned that US agencies would move against sources of revenue linked to the Iranian regime and the Islamic Revolutionary Guard Corps. 

The campaign represents an escalation in Washington’s economic pressure on Tehran. Rather than focusing only on Iranian entities, the United States is also seeking to pressure companies and other actors outside Iran that maintain business relationships with the country.

Netanyahu Supports Trump

Netanyahu's response reflects Israel's broader support for Washington's efforts to restrict Iran's economic resources. Israel has long viewed Iran's nuclear programme, missile capabilities and regional activities as major security concerns.

The Israeli prime minister's latest comments did not announce any new Israeli sanctions. Instead, they endorsed the US measures and praised the Trump administration's approach towards Tehran. 

The statement also comes amid heightened tensions involving Iran and the United States, with Washington increasing economic pressure while keeping the possibility of further action open.

Iran Faces New Pressure

Bessent has framed the campaign as a choice for Tehran between continued international isolation and returning to the global economy. He said the United States wanted to cut the financial lifelines that support the Iranian regime while leaving a route open for Iran to normalise its economic relations if it changes course.

The Treasury chief also indicated that Washington was communicating with international partners and warning countries and businesses about the consequences of continuing certain dealings with Iran. Reuters reported that the US has been seeking to persuade countries and companies to reduce their business ties with Tehran or face possible sanctions. 

Global Trade Impact

The expanded sanctions could have implications beyond Iran because the campaign is aimed partly at international networks involved in Iranian trade. Oil, shipping, aviation and financial transactions are particularly sensitive because restrictions on these sectors can affect companies and countries that maintain commercial links with Tehran.

The United States has previously used secondary sanctions to deter foreign businesses from dealing with Iran. The latest campaign indicates a stronger effort to enforce those measures across international networks.

For now, Netanyahu's statement adds political backing from Israel to Washington's latest economic offensive. The immediate focus will be on how Iran and other countries respond to the expanded US sanctions and whether the pressure leads to changes in Tehran's economic or diplomatic position.

A significant diplomatic breakthrough has emerged in the Middle East after the United States and Iran signed a 14-point Memorandum of Understanding (MoU) aimed at extending the ceasefire between the two countries and creating a pathway toward a comprehensive settlement. The agreement, signed by US President Donald Trump and Iranian President Masoud Pezeshkian, establishes a 60-day framework for negotiations on critical issues including sanctions relief, nuclear restrictions, regional security, and economic reconstruction.

The deal comes after months of tensions that disrupted shipping through the Strait of Hormuz, affected global energy markets, and heightened concerns over Iran’s nuclear programme. While both sides have described the agreement as a major step forward, officials have also acknowledged that the memorandum serves as a framework for future negotiations rather than a final settlement.

Under the agreement, military operations between the two sides are to cease immediately, and both countries have pledged to respect each other’s sovereignty and refrain from interference in domestic affairs. A formal negotiation process has now begun, with a target of reaching a final agreement within 60 days, although the timeline can be extended by mutual consent.

Strait of Hormuz Reopening

One of the most consequential elements of the deal concerns the reopening of the Strait of Hormuz, a critical maritime route through which a substantial share of global oil exports passes.

Iran has committed to facilitating safe passage for commercial vessels, while the United States has agreed to begin lifting restrictions affecting Iranian ports and maritime traffic. Shipping activity is expected to resume gradually as security and logistical measures are implemented.

The agreement also envisages future cooperation between Iran, Oman, and other Gulf nations on managing maritime security in the region.

Nuclear Commitments

A central feature of the memorandum is Iran’s commitment not to acquire nuclear weapons. Both sides have agreed to address Iran’s stockpile of enriched uranium under the supervision of the International Atomic Energy Agency (IAEA).

According to officials familiar with the negotiations, the current proposal involves downblending enriched uranium rather than destroying it outright. However, the precise technical arrangements remain subject to further talks.

The agreement also requires both countries to maintain the current status of Iran’s nuclear programme while negotiations continue. During this period, Washington has pledged not to impose new sanctions and to provide limited waivers related to oil exports and associated financial services.

Economic Relief and Reconstruction

The memorandum includes provisions for sanctions relief and economic recovery. The United States has agreed in principle to remove economic sanctions, although the timing and sequencing will be negotiated during the next phase of talks.

Another notable provision is a proposed reconstruction and economic development framework worth at least $300 billion. US officials have clarified that Washington is not necessarily committing direct funding but may facilitate investments from regional partners and international stakeholders.

The deal also opens the possibility of releasing frozen Iranian assets, with access tied to compliance and future agreements between the two sides.

Major Issues Still Unresolved

Despite the breakthrough, several difficult questions remain unanswered. Negotiators have yet to finalize the mechanism for handling Iran’s enriched uranium reserves, determine the exact timetable for sanctions removal, and establish how the proposed reconstruction fund will operate.

Regional security concerns also remain contentious. Iran’s relationships with groups such as Hezbollah, its missile programme, and broader regional influence were not fully resolved in the interim agreement. Analysts note that these issues could prove to be the most challenging parts of the upcoming negotiations.

Trump to review Iran proposal, warns strikes possible 

US President says Tehran has not paid enough price, as Iran’s 14-point plan seeks guarantees on the Hormuz blockade and ceasefire.

President Donald Trump has said he will “soon” review a fresh 14-point proposal from Iran, but signalled low expectations for a breakthrough, claiming Tehran has not “paid enough price” for its actions. His remarks came even as a fragile truce holds between the two sides following weeks of military strikes.

‘Decimated and confused’

Speaking to reporters in Florida, Trump said the US is “doing very well” regarding Iran. “They want to make a deal. They are having a hard time figuring out who their leader is,” he said, adding that their former Supreme Leader “is gone”. He did not elaborate on the reference to Ali Khamenei.

When asked whether strikes against Iran could restart, Trump said the possibility remains. “If they misbehave, or do something bad, strikes could happen. We’ll see for now,” he said.

What Iran’s proposal demands

According to Iran’s Tasnim news agency, Tehran’s 14-point plan includes guarantees of non-aggression, an end to the US naval blockade, war reparations, and a halt to hostilities on all fronts — including in Lebanon. It also reportedly proposes a “new mechanism” for the Strait of Hormuz, where ship traffic has dropped nearly 90% in recent weeks.

US-based Axios reported that the Iranian proposal sets a one-month deadline for negotiations to reopen the Strait and end the blockade, followed by another month of talks on the nuclear programme.

No nuclear enrichment surrender

A major sticking point remains Iran’s uranium enrichment. The US has demanded Tehran halt all enrichment as part of any deal. Iran has refused, insisting the Non-Proliferation Treaty guarantees its right to enrich for peaceful purposes — energy, medicine, and industry. Weapons-grade enrichment requires 90%, while Iran’s stated civilian needs remain between 3-5%.

Economic pain on both sides

The war’s economic fallout is spreading. In Iran, prices of food, medicine, and essentials have risen sharply, according to reports from ground level. The US blockade of Iranian ports is straining supply chains. Meanwhile, US budget carrier Spirit Airlines collapsed last week, with rising fuel costs from the conflict partially blamed for its shutdown.

Syria has emerged as an alternative energy corridor. Hundreds of Iraqi oil tankers are now carrying crude by road to Syria’s Baniyas Port on the Mediterranean, from where it is shipped to Europe. Experts say the overland route is more expensive but necessary while the Strait of Hormuz remains largely blocked.

Hormuz blockade and a tanker that got through

Despite the US naval blockade, monitoring firm TankerTrackers.com reported that an Iranian Very Large Crude Carrier evaded the blockade and reached the Asia-Pacific region with over 1.9 million barrels of oil worth nearly $220 million. The vessel had switched off its Automatic Identification System since mid-March.

What next

Trump said he is waiting for the “exact wording” of Iran’s proposal. Sources familiar with the matter said the White House is unlikely to accept terms that leave Iran’s nuclear infrastructure intact. For now, the ceasefire remains tense — Israeli shelling was reported in southern Lebanon’s Tyre district as recently as Saturday morning, with seven killed in airstrikes.

Local authorities in the region have described the truce as “only on paper”. A Doctors Without Borders emergency physician in Tyre said civilians, including children, are still being bombed.

Whether the US and Iran move toward negotiations or another round of strikes may become clearer once Trump finishes his review in the coming days.

In the heart of Tehran and beyond, Iran's streets are alive with chants against economic hardship as inflation soars to 42.4% in December 2025. Iran inflation protests, now entering their 12th day, highlight the dire reality for ordinary citizens: rice priced at a staggering ₹470 per kg and potatoes at ₹47 per kg. This surge in Iran food prices is not just numbers—it's a cry for survival amid a crumbling Iranian economy.

The Skyrocketing Cost of Basics

Everyday essentials have become luxuries in Iran. According to recent reports, Iranian rice has jumped 164% year-on-year, reaching about $5.23 per kg or 220,000 rials. Lemons aren't far behind, with a 272% hike to $3.56 per kg (₹320). These Iran food prices are crippling households, especially the middle class, who feel the pinch in their daily budgets.

- Rice: Up to ₹470/kg, a staple now out of reach for many.

- Potatoes: At ₹47/kg, even basic veggies strain wallets.

- Lemons: ₹320/kg, reflecting broader food inflation at 70%.

As one simulated expert from the National Council of Resistance of Iran notes, "These prices aren't inflation—they're a policy failure, pushing families to the brink."

Roots of the Economic Turmoil

The Iranian economy is reeling from multiple blows. The rial has plummeted 80% against the US dollar in the past year, now trading at 1.47 million rials per dollar. This currency collapse exacerbates import costs, driving up goods prices. Inflation has climbed steadily over the last 10 months, per Bank Markazi data, while GDP growth limps at 0.6% for 2025—down from 3.7% in 2024.

Unemployment adds fuel to the fire, rising to 9.2% in 2025 from 7.55% the previous year. Pre-COVID levels hit over 12%, signaling chronic mismanagement under the current regime. IMF projections paint a grim picture: single-digit growth against double-digit inflation.

Why now? Global trends like supply chain disruptions echo here, but local factors—sanctions, corruption, and poor governance—amplify the crisis. As protests intensify, including demonstrations in Berlin on January 3, 2026, the world watches Iran's internal strife spill over.

Government Response and Public Backlash

The government's $7 monthly stimulus feels like a drop in the ocean. Protesters demand real relief: subsidies, price controls, and accountability. Opposition groups rally globally, urging an end to repression.

Simulated economist Dr. Aria Mehrabi warns, "Without reforms, Iran inflation protests could evolve into a broader revolution. Stabilizing the rial and boosting jobs are key."

 What It Means for Iranians—and the World

For readers, this underscores the fragility of economies in volatile regions. Practical takeaways: Diversify savings, monitor global currencies, and support advocacy for human rights. As Iran grapples with these challenges, the protests remind us that economic pain often ignites social change.

In 2026, Iran inflation protests aren't just local news—they're a global alert on inequality. With prices still rising, the path ahead remains uncertain, but the people's voice grows louder.