Middle East & North Africa

Not only would sanctioning SWIFT be a major escalation in U.S. sanctions policy, but an entirely reckless decision. Realistically, enforcing sanctions against SWIFT would have significant consequences for both the U.S. and global financial system—upending decades of international norms.

Nuclear weapons remain the most powerful weapons on the planet and how President Donald Trump’s team manages nuclear issues is critical to our security. These are hard challenges; none were perfectly addressed under President Obama’s leadership. But we made them a priority from day one. Whether or not the new team puts them at the top of the to-do list, here are five issues that will demand their attention before too long.

Congress extended the Iran Sanctions Act earlier this month, prompting Iranian President Hassan Rouhani to order retaliatory steps.  Tehran protested to the EU,  claiming the extension is a violation of last summer’s nuclear deal – the Joint Comprehensive Plan of Action, or JCPOA – and requesting a meeting of the joint committee  established to settle disputes over the deal’s implementation. Based on Rouhani’s same directive, Iran has also ordered its scientists to develop a plan to design and manufacture a nuclear-propulsion system and fuel for marine transportation.

Before trashing the Iran deal — the agreement inked last fall, which limits Iran’s nuclear program in exchange for sanctions relief — the incoming Trump administration should consider how a policy of soft economic engagement with Tehran could provide Washington with strategic leverage and increased bargaining power in a post-Iran deal world.

Throughout his campaign, now President-elect Trump attacked the Iran deal, claiming that “it will go down in history as one of the worst deals ever negotiated.” The future of the deal now seems to be far less certain, as Trump fills key positions with outspoken critics of the agreement. Congressman Mike Pompeo (R-KS), Trump’s recent pick for CIA director, is well-known for his hardline stance on the deal, recently noting that it should be “rolled back.”

In June, the Financial Action Task Force, which is an inter-governmental body responsible for setting global anti-money laundering standards, issued its quarterly public statement on high-risk and non-cooperative jurisdictions. Somewhat surprisingly, FATF suspended its call for member states to employ countermeasures against Iran for a period of twelve months. Since 2008, FATF has called for states to apply enhanced due diligence and counter-measures against Iran in order to “protect the international financial system from the on-going and substantial money laundering and terrorist financing risks” emanating from Iran.

"On December 2, 2015, the IAEA issued its assessment on past and present outstanding issues related to Iran’s nuclear program and its Possible Military Dimensions (PMD). Buried in a footnote is a crucial detail: the presence of man-made uranium particles at the Parchin military complex. Last week, The Wall Street Journal’s Jay Solomon reported U.S. officials saying those particles likely relate to previous nuclear weapons activities, thereby raising even more questions. For example, where is the nuclear material used for those nuclear weapons activities, and what is the source of the particles found at Parchin? The question of whether Iran still has undeclared nuclear material is therefore critical..."

In this op-ed for The Diplomat, MTA Associate Aaron Arnold argues that the key to ensuring long-run stability of the nuclear agreement will be reintegrating Iran’s banks in the global system.