WASHINGTON: Iran’s monthly revenues from oil sales have dropped 58 percent since just before the United States imposed harsher sanctions on the country in 2011 because of Tehran’s disputed nuclear program, a senior US official said.
The Opec member’s monthly crude oil revenues averaged an estimated $3.4bn in the first half of this year, down from $6.3bn in the year ago period, and $8bn from the first half of 2011, said the source, who did not want to be named due to the sensitive nature of policy on sanctions.
Washington warned in late 2011 Iran’s oil consumer countries that their banks would face being cut off from the US financial system unless they significantly reduced purchases of Iranian oil. The EU has also cracked down on Iranian crude exports.
The Obama administration has worked with the consumer countries to find alternative oil suppliers. It has also granted waivers on the sanctions passed in late 2011 every 180 days to all 20 countries, including China, India and South Korea, in return for their significantly reducing purchases of Iran’s petroleum.
Western countries believe Iran is enriching uranium to levels that could be used in a nuclear weapon. Tehran insists the program is for generating power and for medical devices.
Washington increased pressure on Iran’s leaders in February with sanctions that aim to freeze up Tehran’s oil earnings in accounts in countries that buy the Islamic Republic’s crude.
The senior US official said an assessment of the sanctions based on customs data from oil consuming countries showed $1.5bn in Tehran’s oil revenues are piling up in the accounts, money that Iran has difficulty accessing.
“A significant portion of the Iranian government’s revenue is accumulating and will continue to sit unused in overseas accounts with no prospect of being transferred to fund future Iranian imports,” except humanitarian trade, said the US official, who refused to be named due to the sensitive nature of policy on sanctions.
Reuters
