Iran Sanctions Kenneth Katzman Specialist in Middle Eastern Affairs

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Iran Sanctions International sanctions on Iran’s key energy and financial sectors harmed Iran’s economy and arguably contributed to Iran’s acceptance of restrictions on expanding its nuclear program in exchange for modest sanctions relief. The interim nuclear “standstill” agreement (Joint Plan of Action, JPA) has been in effect since January 20, 2014, and extended twice (now until July 6, 2015) to allow time to translate it into a comprehensive nuclear agreement. The economic pressure of sanctions included the following: • Iran’s crude oil exports are about 1.1 million barrels per day (mbd) at the end of 2013—far below the 2.5 million barrels per day Iran exported during 2011. • Iran’s economy shrank by about 5% in 2013 as Iran’s private sector reduced operations and many of its loans became delinquent, and has rebounded only modestly since the JPA sanctions relief went into effect.

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