US Moves to Sanction UAE Branches of Egyptian Bank Over Iran Ties
The US Treasury Department is preparing to bar the United Arab Emirates branches of Egypt's Banque Misr from the US financial system over allegations of supporting Iran's economic activities.
As part of its policy to sever economic ties with Iran, the US administration has proposed a new regulation that will restrict the access of Banque Misr's UAE branches—Egypt's second-largest bank—to the American financial system.
Step Targeting Banque Misr's UAE Branches
The new rule proposed on Friday by the US Treasury Department aims to completely cut off the United Arab Emirates branches of Banque Misr, Egypt's second-largest bank, from the US financial system.
New Campaign in Iran's Economic Isolation
This move is implemented as part of a new campaign announced this week by Treasury Secretary Scott Bessent, which calls on countries still trading with Iran to sever their financial ties or face US sanctions.
Assessments by Egyptian Authorities
The Egyptian Ministry of Foreign Affairs and the Central Bank confirmed they were aware of the new regulation. It was stated that the measures taken only cover the bank's branches in the UAE and dollar transfers, and will not affect operations within Egypt or other international branches.
Additional Findings and Sanction Decisions
The US Treasury Department announced that the rule regarding Banque Misr will be subject to a 30-day public comment period before taking effect. Additionally, new sanctions were announced against the manager of the Dubai branch of Iran's Bank Melli and a Hong Kong-based company allegedly involved in money laundering.