U.S. Treasury Secretary Scott Bessent said Friday that overly sharp rate increases would be inappropriate as an energy supply shock he attributed to Iran continues to wind down.
Bessent described core inflation as manageable. He said the United States would maintain pressure on Iran and would not hesitate to impose sanctions on Iranian banks.
Treasury has taken action against foreign financial institutions over alleged Iran-related activity. It designated Türkiye-based Golden Global Bank on Sept. 4 and Russia’s VTB Bank on Sept. 14. The department said foreign institutions handling Iran-linked transactions risk restrictions on access to the U.S. financial system. EconoTimes previously covered these steps alongside U.S. measures targeting Iranian airlines and foreign banks.
Bessent and other officials have said pressure has weakened Iran’s economy, currency and living standards. The New York Times reported that U.S. intelligence indicates Iran’s hard-line leadership remains determined to stay in power despite the economic costs. Bessent said the energy shock was nearing its end and blamed Iran for causing it.
