The U.S. Treasury Department announced sanctions targeting Banque Misr’s UAE branch for its ties to Iran, aiming to block its access to U.S. financial institutions and restrict dollar transfers.

In addition, sanctions target the Dubai-based manager of Iran’s Bank Melli and a Hong Kong-based firm accused of facilitating Iran fund laundering, expanding the pressure on Iran-linked financial networks.

The measures describe Banque Misr as providing continued support to the Iranian regime, framed as part of a broader effort to economically isolate Iran.

The action is issued as a Notice of Proposed Rulemaking (NPRM) and will be open for public comment before any final rule is issued.

Treasury Secretary Scott Bessent presented the measures during a news conference at the Treasury Department to provide context and underscore U.S. resolve.

Reporting on the event comes from AP correspondents Fatima Hussein and Farnoush Amiri, with coverage published on August 24, 2026.

U.S. officials said they will urge other major economies, including China, to reduce dealings with Tehran, signaling potential friction with Beijing over Iran-related policy moves.

The administration frames the sanctions as accountability for Iran’s supporters while seeking to minimize disruption to the global financial system.

The broader context includes U.S.-Iran tensions and Iran’s retaliatory actions, such as disruptions to Hormuz traffic that affect global energy markets.

Iran’s crude oil exports remain a key revenue source, with China as a major customer, and the U.S. has signaled it could sanction Chinese institutions that facilitate Iranian transactions.

Banque Misr says it is reviewing the NPRM and will coordinate with the Treasury for further information and ongoing cooperation.

Banque Misr reiterates its compliance with regulatory frameworks and cooperation with authorities in response to the actions.