Middle East & North Africa

Although U.S. President Donald Trump has hurt the Iranian economy, the unexpected depth of the rial’s decline owes less to U.S. policy than to poor decision-making in Tehran and structural weaknesses in Iran’s economy. A proper understanding of the factors that deepened the crisis suggests that the country’s acute hardships may ease or disappear as Iran adjusts to the new situation. Iran’s foreign exchange market needs to be understood on its own terms in order to avoid the common mistake of equating the fall of the rial in the free market with economic collapse, rising poverty, and increasing protests that can weaken the regime.

In its attempts to deter North Korea from developing the capability to credibly threaten the continental United States with a nuclear weapon, Washington now finds itself in a crueler version of the strategic dilemma Israel faced in 2011 amid what it saw—or at least presented—as a closing operational window of opportunity to deal with Iran’s nuclear program. In his piece for Iran Matters, Daniel Sobelman argues that the basic structure of the crisis between the United States and North Korea is analogous to the challenge Israel faced when trying to dissuade or stop Iran from developing nuclear weapons.

A key foreign affairs issue for the Trump administration will be its policy on Iran, as was the case also for the Obama administration. But we have no idea what approach it will take, an uncertainty amplified by the fact that Trump has no experience whatsoever in foreign policy, and no idea whose input he will accept in shaping it. It’s not as if we have no information about his attitude – during the election campaign, Trump made his intention on Iran very clear – but, as with other topics, it is unclear how he will act when once he is forced to translate his intentions into action and realizes that reality is far more complicated than he imagined.

The Iran nuclear deal was officially implemented on Saturday, as Iran successfully fulfilled its initial key nuclear commitments and the international community relieved major sanctions, including unfreezing about $100 billion of Iranian money. Implementation Day was met with applause from deal supporters in the U.S. and Iran, while critics have raised questions about whether Iran will adhere to its requirements and how it will flex its newfound economic power. Also in recent days, the U.S. and Iran agreed to a prisoner swap that led to the freedom of Washington Post reporter Jason Rezaian and others, and negotiated the release of American sailors detained in Iran. What does the arrival of Implementation Day mean for Iran’s nuclear program and nuclear nonproliferation, and how does it bode for the future of U.S.-Iran relations? We asked Belfer Center experts to weigh in on these and related questions.

Standing before the United States Congress early in March 2015, in the face of a looming deadline in the Iran and P5+1 talks over the Iranian nuclear program, Israeli Prime Minister Benjamin Netanyahu portrayed the negotiations in stark terms. Drawing a direct parallel between biblical plots to persecute Jews in pre-Islamic Persia and modern Iran’s nuclear program, Netanyahu framed Iran as nothing less than an existential threat to Israel. Anything short of a practical dismantling of Iranian nuclear infrastructure would be unacceptable. Largely perceived as an attempt to undermine President Barack Obama’s efforts to reach a negotiated settlement with Iran, Netanyahu’s actions thus proved quite contentious inside the United States.

Olli Heinonen, Senior Fellow at the Belfer Center for Science and International Affairs, writes that despite the general lack of cooperation from Iran, the IAEA has produced a successful comprehensive report detailing Iran's nuclear activities. However he notes that Iran's noncompliance has hampered the final determinations, and so further investigation and intelligence operations should be conducted to determine the extent of Iranian nuclear activity.

The International Atomic Energy Agency released its “final assessment” yesterday of the possible military dimensions of Iran’s nuclear program.