US Treasury Secretary Admits Economic Siege Against Iran
United States Treasury Secretary Scott Bessent has made a remarkable admission regarding Washington's economic strategy toward Iran, acknowledging the deliberate creation of a dollar shortage that precipitated widespread civil unrest and significant loss of life.
Deliberate Economic Warfare
During a recent panel discussion, Secretary Bessent openly detailed the American administration's calculated approach to destabilising Iran's economy. "We created an artificial dollar shortage by drying up foreign currency liquidity in Iran," Bessent stated, describing what he termed a "financial siege" against the Islamic Republic.
The Treasury Secretary explained that this strategy was designed to drive inflation to uncontrollable levels, ultimately forcing Iranian citizens into the streets to pressure their government. The admission represents an unprecedented acknowledgment of economic warfare tactics by a senior American official.
Economic Crisis Triggers Unrest
The consequences of this economic pressure campaign became evident on December 28, 2025, when traders at Tehran's historic Grand Bazaar closed their establishments as the Iranian rial collapsed against foreign currencies. The bazaar, traditionally the economic heart of Iran, became the epicentre of protests that would spread nationwide.
The complete blockade of banking channels transformed the US dollar into a black market commodity within Iran. Essential goods including food and medicine experienced price increases of 300 percent within a single month, effectively eliminating the purchasing power of ordinary Iranians.
Widespread Civil Disorder
What began as economic protests in Tehran rapidly expanded to major Iranian cities including Mashhad, Tabriz, and Isfahan. The Iranian government responded by restricting internet access on January 8 as demonstrations intensified in the capital.
According to official figures released by the Iranian Foundation for Martyrs and Veterans on January 21, 3,117 individuals lost their lives during the unrest, including both security personnel and civilians. The foundation's statement, based on Forensic Medicine Institution data, indicated that 2,427 deaths resulted from actions by what authorities termed "armed terrorist groups," while details regarding 690 additional fatalities were not disclosed.
International Implications
This admission of deliberate economic destabilisation raises significant questions about the conduct of international relations and the use of financial instruments as weapons of statecraft. The acknowledgment that American policy directly contributed to civilian casualties represents a concerning precedent in modern diplomacy.
Virginia-based monitoring organisation HRANA continues to document casualties and detentions from the Iranian protests, suggesting the official figures may not represent the complete scope of the crisis.
The Treasury Secretary's candid remarks illuminate the extent to which economic sanctions and financial pressure can be weaponised to achieve political objectives, regardless of humanitarian consequences for civilian populations.