Nuclear Issues

When it comes to U.S.-Iran relations, Iran’s nuclear program, and all of its implications, think tanks like the Belfer Center are at times of vital importance in assisting policymakers in conducting thorough investigations of key issues, Sahar Nowrouzzadeh says.

In 2006, in the midst of a fierce war between Israel and the Lebanese militant group Hezbollah, former U.S. Secretary of State Condoleezza Rice famously stated that the world was witnessing the “birth pangs of a new Middle East.” She was right—but not in the sense she had hoped. Instead of disempowering Hezbollah and its sponsor, Iran, the war only augmented the strength and prestige of what is known as the “axis of resistance,” a power bloc that includes Iran, Iraq, Syria, Hezbollah, and Hamas in Palestine.

Aaron Arnold, Associate with the Project on Managing the Atom at the Belfer Center, writes in The Hill that while Iran will soon be getting sanctions relief as the nuclear accord with the P5+1 is enacted, it has not yet taken steps to update its banking system and bring it up to international money laundering and counter-terror financing. He also suggests that in order to balance the competing political and financial concerns at play with sanctions, the international community led by the United States should make clear conditions for both exclusion and rejoining of the international financial system.

Henry Rome reviews the latest version of the Iran oversight legislation drafted by Sen. Ben Cardin (D, Maryland). Since publishing a “discussion draft” last month, Cardin removed language related to Iranian production of highly enriched uranium (HEU) but retained sections permitting new terrorism sanctions and increasing defense assistance to Israel.

Aaron Arnold, Associate with the Project on Managing the Atom at the Belfer Center, and Nikos Passas, Professor of Criminal Justice at Northeastern University, argue in The Conversation that Iran's reintegration into the global financial system may in fact make it easier, not more difficult, to monitor Iranian financial activities for illicit transactions. They point to the fact that banks can monitor transactions for entities designated as involved in terrorist or weapons of mass destruction activities by the U.S. Treasury. They also suggest that Iran may adopt stricter money laundering standards in order to increase economic integration. While challenges remain, they suggest that building a public-private partnership between banks and regulators will ensure that Iran will be caught in any illicit financial actions after the nuclear deal.

"While a threat to U.S. interests, the Islamic State of Iraq and al-Sham (ISIS) presents us with a unique opportunity to 'reset' the Middle East equation—to actively transform regional relations, to abate the cold war between Iran and Saudi Arabia and to forge a new working relationship with Iran," writes Payam Mohseni. "As the United States moves to escalate its war against ISIS and forge a coalition against the terrorist group, it is important that Iran be included in the process. After all, U.S. and Iranian interests have increasingly converged in the Middle East with the emergence of a common enemy, and no power in the region is better suited to taking on ISIS than Iran and its affiliated Shi’a militias in Iraq."