Iran's Vice President: US Sanctions Have Had a 'Very Significant' Impact

Iran's First Vice President acknowledged on Tuesday that US sanctions have had a 'very significant' impact so far, stating that the country's situation is 'difficult and critical,' but 'not a dead end.' According to ISNA news agency, Eshaq Jahangiri said in a speech on Tuesday, September 10, that 'the meaning of a critical situation is not that all factors are threats. The situation is difficult, but it is not a dead end.' He added, 'Sanctions have had a very significant impact, and the US has declared that it has launched an economic war against us. In addition, they have created a media and political war to influence the public opinion of our nation.' Jahangiri's remarks come as some officials of the Islamic Republic have previously denied the impact of US sanctions. President Hassan Rouhani, in response to questions from parliament members on September 27, had said, 'Do not say from the podiums that we are in a crisis. We are at a stage of damage; sometimes we are on the edge of damage, but not in a crisis.' Close aides to the Supreme Leader of the Islamic Republic attribute Iran's economic problems not to US sanctions but to the 'weak' performance of the government and what they describe as 'exploitation by opportunistic individuals.' Reports about the potential US exit from the JCPOA have increased the dollar price, and according to the Associated Press, since the US withdrawal from the JCPOA on May 8, the value of Iran's national currency has decreased by more than 140%. The increase in the dollar price has affected other economic indicators in Iran, and according to the Central Bank, the monthly inflation rate for August was 5.5%, a figure not seen in the past 20 years. Additionally, the Research Center of the Iranian Parliament predicted that the economic growth rate this year would decrease to between -0.5% and -2.8%, down from a positive 3.7% last year. In recent weeks, there have also been reports about some people hoarding goods. The return of US sanctions began on August 6, and the US has announced that in the next phase of sanctions, which will start on November 4, it will target Iran's oil industry. Some analysts believe that oil sales sanctions and banking sanctions will be the most significant sanctions against Iran, a point that some officials of the Islamic Republic have also acknowledged. On Tuesday, Jahangiri also stated that the actions of all agencies and branches should be such that in these circumstances, there is 'minimum pressure' on the people. He added, 'We must honestly share our weaknesses and shortcomings with the people and correct them... Unmotivated and apathetic managers, and those who are inclined to complain or seek political exploitation of the situation for their own benefit, are not suitable for this critical period.' The First Vice President emphasized that the government needs managers who 'will spend their capabilities and dignity for the country.' In recent months, President Hassan Rouhani's government has repeatedly tried to control the market by introducing new currency policies, but none of these policies have been successful so far. In contrast, US President Donald Trump, emphasizing that Iran's economic situation is rapidly deteriorating, predicted that Iranian officials would soon enter into negotiations with the US government. Iranian officials have denied the possibility of negotiations with the US, but at the same time, Hassan Rouhani claimed on Saturday, September 7, without going into details, that US officials 'send messages every day in various ways' requesting negotiations with Iranian officials.