EU Imposes New Sanctions on Iran

Last Updated: 16, October 2012

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The European Union has decided to impose new sanctions against Iran in a bid to persuade Tehran to abandon its nuclear programme and avert a potential armed conflict.

At a meeting in Luxembourg yesterday, EU foreign ministers reiterated their “serious and deepening concerns” over Iran’s nuclear ambitions and pledged their commitment to “work for a diplomatic solution”.

The European Union has decided to impose new sanctions against Iran in a bid to persuade Tehran to abandon its nuclear programme and avert a potential armed conflict.

The new measures, which complement US restrictions and are meant to close loopholes in existing European sanctions, come after global talks on Iranian atomic activities yielded little progress in recent months and the Israeli government warned of a growing threat of a nuclear-armed Iran.

The Iranian government, however, says its atomic program is for civilian purposes.

The EU officials said in a statement:

[quote] They [the sanctions] are meant to persuade Iran to engage constructively by negotiating seriously and addressing the concerns of the international community. The sanctions are not aimed at the Iranian people. [/quote]

The new economic sanctions, which range from a ban on Iranian gas exports to a complete freeze on transactions between European and Iranian banks “unless explicitly pre-authorised” under strict conditions, are likely to affect an already strained Iranian economy.

Earlier this month, riots broke out after sanctions, coupled with rising inflation, caused the Iranian rial to plunge to new lows against the US dollar. The rial has lost almost 80 percent of its value since the start of the year and is currently the lowest valued currency (per unit dollar) in the world.

At the same time, Iran’s oil income is estimated to have fallen by at least 45 percent since the US and EU led sanctions came into full effect.

UK Foreign Secretary William Hague said in a statement:

[quote] The EU’s message today is clear: Iran should not underestimate our resolve. [/quote]

“We will continue to do all we can to increase the peaceful pressure on Iran to change course and to return to talks ready to reach a negotiated solution by addressing the world’s concerns,” he added.

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