Iran unable to pay troops, fund proxies under Operation Economic Outcast, Bessent says

US Treasury Secretary Scott Bessent stated in a CNBC interview that Iran is unable to pay its troops or fund proxies due to Operation Economic Outcast, a sanctions regime announced on August 24. The article also notes that Hezbollah has received tens of millions of dollars from Iran to rearm, according to Lebanese security sources, which partially contradicts Bessent's assertion.

US Treasury Secretary Scott Bessent said in a Thursday CNBC interview that the Iranian regime is unable to pay its troops due to Operation Economic Outcast, a sanctions regime announced August 24. "It makes them unattentive to what's happening, and then the Ayatollah is isolated. But the rubber is meeting the road; they're not able to pay their troops," Bessent said. He added that Iran cannot get dollars to replenish funds, and that funding for proxies such as the Houthis, Hamas, and Hezbollah is also being cut. The operation aims to cut Tehran's funding for war, missile construction, cyberattacks, and the Islamic Revolutionary Guard Corps. However, the article also reports that Hezbollah has spent three months preparing for a possible resumption of hostilities with Israel after receiving tens of millions of dollars from Iran, according to Lebanese security sources, alongside around $200 million previously received. The Jerusalem Post previously reported that the operation is falling short without greater international coordination, citing experts from the Washington Institute for Near East Policy.