US sanctions pressure Iran as Hormuz tensions persist; Iran president admits country facing 'many problems'

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Iranian Parliament Speaker and chief negotiator Mohammad Bagher Ghalibaf sarcastically derided the economic and foreign policy strategies of the US, asserting that Iran will bypass these "unjust sanctions" by deepening economic ties with neighbouring countries and moving toward bilateral trade using national currencies rather than the US dollar. He also announced that Tehran has already received "numerous messages" from neighbouring countries regarding a new, independent regional security order that bypasses US influence entirely.

Iran is also trying to link security with trade. Ghalibaf's latest statement specifically mentioned economic cooperation alongside security arrangements.

Tehran wants neighbouring states to have an economic stake in keeping regional trade, energy flows and transportation networks functioning, of which the proposed regional approach to the Strait of Hormuz is the foremost example.

Oman has proposed a regional management system involving Iran and other parties, with voluntary fees for navigation and safety services, modeled partly on arrangements around the Strait of Malacca, Reuters reported.

The Iranian rial plunged to a new open-market low, with the US dollar surpassing 2 million rials on the open market as the country braces for additional American sanctions and diplomatic efforts with Washington remain stalled.

It started the week at about 1.865 million to the dollar, a staggering collapse from roughly 70-75 rials per dollar in the mid-1970s, before the Islamic Republic.

US pressure and mounting traffic through the Strait of Hormuz have added to economic strains, fueling public anger over soaring prices for food, medicine and other essentials.

The decline reflects demand for foreign currency and growing anxiety over further U.S. economic pressure, including uncertainty surrounding Iranian oil exports, access to foreign-exchange reserves and financial transactions, Reuters reported.

Iran's Ports and Maritime Organisation (PGSA) has warned vessels violating its protocols for the Strait of Hormuz that they could face restrictions on future passages, including fines, detention or confiscation. In a post on X on Monday, PGSA stated: "Vessels violating Iranian protocols for the Strait of Hormuz shall face restrictions on future passages, including fines, detention, or confiscation."

Bahrain’s Crown Prince and Prime Minister, Prince Salman bin Hamad Al Khalifa, met Pakistan’s National Security Adviser and Inter-Services Intelligence (ISI) Director General Lieutenant-General Muhammad Asim Malik at Riffa Palace on Sunday, the Bahrain News Agency (BNA) reported.

Prince Salman highlighted the longstanding bilateral ties between Bahrain and Pakistan and the importance of strengthening coordination across various fields, BNA said.

The meeting covered ways to expand cooperation, as well as regional and international developments and issues of mutual interest.

Prince Salman also highlighted Pakistan’s role, alongside its allies, in supporting regional security and stability.

Lieutenant-General Malik expressed his appreciation for the Crown Prince’s efforts to further strengthen Bahraini-Pakistani relations and wished Bahrain continued progress and prosperity.

US Central Command (CENTCOM) said on Sunday that American forces had redirected 70 commercial vessels, disabled three and boarded two as of August 23.

CENTCOM said the actions were taken to ensure compliance.

The US Embassy in Oman said Ambassador Iscrehima held a discussion with Sheikh Khalifa bin Ali Al Harthi, Undersecretary of Oman’s Ministry of Foreign Affairs for Political Affairs.

According to a post by the embassy on X, the talks focused on strengthening cooperation between the United States and Oman and joint efforts to promote regional stability.

Iran said on Sunday it had discovered more than 200 billion cubic metres of natural gas, months into the Middle East war that has hit the country's energy infrastructure and production.

"New gas reserves were discovered in the south of Fars province," Petroleum Minister Mohsen Paknejad told state television, adding that over 160 billion cubic metres could be extracted from the field.

He described it as sweet natural gas, which has very little of the toxic gas hydrogen sulphide, resulting in lower operating and development costs.

According to Bloomberg, any new production from the site would likely be years away.

Iran's energy sector has taken a hit since joint US-Israeli strikes on the Islamic republic launched the Middle East war in late February.

The countries have struck Iran's energy infrastructure such as gas production facilities or oil depots, as well as transport routes.

Iranian Foreign Minister Seyed Abbas Araghchi on Sunday dismissed renewed US threats of economic sanctions as a "recurring scenario," stating that Washington has no choice but to speak respectfully to the Iranian nation.

According to state broadcaster IRIB, speaking on the sidelines of a ceremony, Araghchi said that Washington's resort to economic pressure demonstrates desperation following failed measures.

"America has no choice but to speak respectfully to the Iranian people," Araghchi declared in comments broadcast by IRIB.

Rebuffing claims of new American economic manoeuvres, Araghchi described Washington's approach as a familiar routine that Tehran is fully prepared to counter.

"The economic operation that Trump claims is a recurring scenario and the same old bullying in American politics. In a sense, it is a recurring movie that we have watched many times and we know how to deal with it," IRIB cited him as saying.

Araghchi emphasised that Washington's return to economic pressure tactics highlights its inability to counter Iran's national resilience:

"The fact that they have returned to the same old plans after the military operations and the fact that we are doing this and that shows that they are desperate. They cannot think of any solution against the great nation of Iran and they are constantly putting repetitive plans into action," he said.

Pakistan's powerful army chief Asim Munir will travel to Tehran on Monday, Iran's foreign ministry said, as Islamabad tries to mediate a resolution to the Middle East war.

Ministry spokesman Esmaeil Baqaei said in a statement Sunday that Munir would lead a delegation to the Iranian capital "as part of efforts to strengthen Iran-Pakistan bilateral cooperation".

The visit was also part of "Pakistan's ongoing efforts to help consolidate peace and security in the region", the statement said.

Pakistan has played a key role in efforts to halt war between Iran and the United States, brokering a memorandum of understanding in June, but peace negotiations currently appear stalled.

Earlier this month Pakistan signed a joint defence agreement with Saudi Arabia and Turkey, a move some analysts said was aimed at countering Iranian influence.

The United States would abandon its blockade of Iran within months after concluding that it had failed to achieve its goals, said a member of parliament’s national security and foreign policy committee on Sunday.

“The United States cannot maintain the blockade for long. After a few months, when they realise it has no effect, they will abandon it,” Ahmad Bakhshayesh Ardestani said.

He said Iran’s economy was unlikely to collapse but acknowledged that the blockade could cause economic losses and push up dollar and gold prices.

The lawmaker also argued that authorities should wait until the war ended before addressing corruption.

“Some degree of corruption is natural,” he said. “We must be patient until the war ends before fighting corruption and address it after the war.”

Iranian police seized 997 Starlink devices and related equipment and arrested 163 people in connection with them during the four months through July, an official said on Sunday.

Economic Security Police Chief Hossein Rahimi said authorities also impounded 15 vehicles carrying the equipment, much of which had entered Iran across western and northwestern borders through Azerbaijan and Iraq’s Kurdistan Region.

Iranian President Masoud Pezeshkian acknowledged on Sunday that his country's citizens face "many problems", after the United States launched a new wave of sanctions seeking to further isolate its economy. "I understand we have many problems in society right now. We are trying to prevent these as much as we can," Pezeshkian said in a speech broadcast on state television. 

His comments came after the United States vowed last week to bring about the "collapse" of the Iranian regime through a newly announced sanctions campaign, nearly six months after the start of their war. In his response, Pezeshkian said that, thanks to US President Donald Trump, Iran was "in a full-scale economic, military and security war". 

Iran on Sunday executed a man accused of carrying a chainsaw during January anti-government protests who was charged with acting as an agent of Israel and the United States.

The judiciary said Majid Adineh had been convicted of "operational action in favour of hostile groups" in nationwide rallies that broke out late last year.

He is one of a string of people put to death over the protests, which were sparked by economic hardships in Iran.

Adineh was accused of "deliberate arson, gathering and collusion with the intention of committing crimes against the country's internal security", the judiciary's Mizan Online website said in a report Sunday.

"Based on numerous documents and evidence in the case and the defendant's statements, the Karaj Revolutionary Court sentenced him to death and confiscation of all his property."

An appeal by Adineh was unsuccessful and the Supreme Court upheld the verdict, with his execution carried out Sunday morning, Mizan said.

Egyptian Foreign Minister Badr Abdelatty and his Iranian counterpart Seyed Abbas Araghchi held a phone call to discuss the latest regional developments and ongoing diplomatic efforts to de-escalate tensions.

The two ministers discussed efforts to create conditions for a return to diplomacy, including the implementation of a memorandum of understanding (MoU) signed between the United States and Iran on June 18, according to a statement from the Egyptian Foreign Ministry on Saturday (local time).

Iran's weaponry and defence equipment production has doubled over the past 12 months, a senior official has said.

In an interview with state-run IRIB TV on Friday evening (local time), Iranian Defence Ministry spokesman Reza Talaei-Nik said that since the beginning of the war in late February, the country's production of certain strategic military products and equipment had increased more than threefold.

Iran's Supreme National Security Council Secretary Mohsen Rezaei has accused US President Donald Trump of undermining global nuclear security, alleging that Washington's military aggression against Tehran has driven other nations to seek atomic weapons.

Iran's Tasnim news agency quoted Rezaei as saying that countries had seen membership in the International Atomic Energy Agency (IAEA) and the Nuclear Non-Proliferation Treaty (NPT) as ineffective in preventing US attacks.

"Trump's recklessness, with his attacks on Iran, has increased the desire of people around the world to acquire nuclear weapons, especially when they saw that membership in the International Atomic Energy Agency and the [Nuclear Non-Proliferation Treaty] NPT was ineffective in preventing attacks from the United States," Rezaei said.

Tensions between Washington and Tehran escalated further on Sunday after US President Donald Trump again shared an image that depicts the strategically vital Strait of Hormuz as "NEW US Territory", even as Iran reiterated that the crucial maritime corridor will remain closed unless the United States alters its stance.

The latest post on Truth Social follows Trump's earlier sharing of the identical graphic on August 18, after he previously floated the prospect of claiming jurisdiction over the waterway.

Deadly airstrikes in Gaza on Wednesday cast more doubt on whether new US efforts can advance a tenuous ceasefire in the Palestinian territory.

Just two days after US negotiators reportedly asked Israel to draw down attacks in the Gaza Strip, at least 10 people were killed Wednesday in two strikes, according to local hospitals and the Palestinian Red Crescent. Israeli troops also crossed the ceasefire line in southern Gaza and detained a Hamas police colonel at dawn Wednesday, two witnesses and a Hamas official said.

Iran's Secretary of the Supreme National Security Council (SNSC), Mohsen Rezaei, on Saturday (local time) said the Strait of Hormuz remains closed and will not reopen until the United States fulfils its commitments and changes its behaviour amid escalating tensions between Tehran and Washington.

In an interview with IRIB, Rezaei said, "The Strait of Hormuz is closed, despite American claims, and will not open until America corrects its behaviour."

Iran on Saturday warned countries against participating in the United States' "economic war" against the Islamic republic, saying they would be considered enemies.

Washington has pushed its allies to jump aboard Donald Trump's new campaign to isolate the Iranian economy, as the US President's unpopular war drags toward the six-month mark.

"We declare to all countries... do not join the economic war waged by the United States," said Mohsen Rezai, the head of Iran's supreme national security council, on state television.

"Any country participating in the imposition of economic restrictions against us is considered an enemy," he added.

If the countries concerned refused to "distance themselves" from the United States, Iran would "harm" their interests, he added.

Day 170: US-Iran tensions: Trump calls Hormuz ‘American territory’, warns Iran on nuclear weapons

Day 169: Oman, Iran discuss resuming talks on Strait of Hormuz

Day 168: US-Iran conflict: Trump says Iran situation is ‘so good

Day 167: Trump says no talks planned; UAE detects Iranian missiles

Day 166: Israel strikes Lebanon; Oman holds Hormuz talks

Day 165: US-Iran tensions rise over Trump’s Hormuz claim

Day 164: Iran demands faster US exit from Middle East

Day 163: 2 ADNOC vessels attacked in Hormuz; no injuries

Day 162: Trump says US has ‘total control’ of Strait of Hormuz

Day 161: Tehran: Hormuz stays shut as US-Iran diplomacy push continues

Day 160: Tehran reshuffles military