Iran’s Economic Situation under US Sanctions

The history of anti-Iranian sanctions goes back to the late 1970s. Since then economic sanctions have been repeatedly imposed on Iran by various countries and international organizations. The most serious restrictions were introduced by the United States after the Islamic revolution. In 2010 the European Union, as well as Canada, Australia, South Korea and Japan imposed sanctions on Iran. The UN Security Council has adopted several anti-Iranian resolutions, particularly in 2006 and 2010. As a result the country has gained a unique experience of survival under strong foreign pressure.

The Iranian government was trying to introduce reforms in order to cut down dependence on foreign resources and to eliminate structural problems of the economy, i.e. its excessive dependence on oil and gas revenues. The article addresses the economic consequences of the sanctions and the Iranian model of resistance, the ‘Economy of Resistance’, which is mainly based on self-reliance. It was seen not only as a means to help liberate Iran from the foreign sanctions, but also to propel its own domestic capacities. This experience to a certain extent may turn useful for other countries suffering from the double global crisis – the oil prices meltdown and the spread of the COVID-19.