US plans new bank sanctions to increase pressure on Iran

By Aurax Radio | August 31, 2026 | 2 min read

The Trump administration plans to sanction another bank this week as Washington expands its campaign to restrict Iran's access to the international financial system. Treasury Secretary Scott Bessent said the measures are intended to disrupt financial networks supporting Iran as the United States combines economic pressure with renewed military action in the region.

Exterior of a bank building representing international financial activity and sanctions enforcement.

The United States is seeking to restrict financial institutions that facilitate transactions involving Iran.

Bessent disclosed the planned sanctions Sunday in an interview with The Associated Press ahead of meetings of Group of 20 finance ministers in Asheville, North Carolina. He did not identify the bank that will be targeted, but said the administration intends to continue imposing financial penalties on institutions involved in transactions with Iran. The move follows recent Treasury actions against entities accused of facilitating Iranian trade and financial activity, including restrictions affecting the United Arab Emirates branches of Egypt's Banque Misr.

The latest measures are part of a broader effort by Washington to isolate Iran economically after years of U.S. sanctions and amid a conflict that has disrupted trade and energy markets. Bessent is expected to use the G20 meetings to seek greater cooperation from international partners, including countries that maintain significant commercial relationships with Iran. China, Turkey and the United Arab Emirates are among Iran's major trading partners, creating potential complications for Washington as it seeks to enforce secondary sanctions against foreign institutions that continue dealing with Tehran.

The campaign also comes as U.S.-Iran military tensions have risen again following a monthlong lull in direct fighting. U.S. forces recently struck Iranian rocket launchers on Larak Island in the Strait of Hormuz, while Iran subsequently launched missiles toward U.S. military positions in Jordan and claimed attacks against U.S. facilities elsewhere in the region. The renewed confrontation has heightened concerns over shipping through the Strait of Hormuz, a major route for global energy supplies, adding an economic dimension to Washington's efforts to pressure Tehran.

Sources: Associated Press, Al Jazeera, CNBC and PBS NewsHour.

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