Guest Post by Joe Hoft
Since the U.S.-Iran hostage crisis of 1979 to 1981 Iran’s economy was seriously stunted by a combination of tough economic sanctions from the U.S., Europe and the United Nations. The sanctions literally froze hundreds of billions of dollars’ worth of Iranian assets and oil revenues. The sanctions on Iran have had a material impact.
Before the sanctions the US imported around $3.3 billion from Iran in current USD. By lifting the sanctions on Iran, the world’s number one sponsor of terrorism will reap incredible benefits worth hundreds of billions of dollars. And through Obama’s nuclear deal, Iran will also be able to sell their oil on the international market to the detriment of US companies.
Iran’s GDP decreased and stalled in the mid 1980’s through the early 2000’s per data from the World Bank noted below – (chart by Joe Hoft)
Then in the early 2000’s Iran’s GDP increased as its exports increased. The countries Iran exports to the most are China, Japan and Turkey. China’s increasing demand for oil and other natural resources was beneficial to Iran because China was not afraid to deal with rogue nations like Iran.
The recent decline in the world and China’s economy has led to the decline in Iran’s exports and GDP.
By lifting sanctions with Iran, Obama provides Iran relief at the time when it needs it the most.
The nuclear deal will give Iran nearly $150 billion – not counting new trade deals – which is over one-fourth of their annual GDP.
The real question is: Why is the US is negotiating with Iran in the first place? Iran is responsible for more than 1,000 US soldier deaths since 911. Iran reportedly gave Taliban fighters $1,000 rewards for every US soldier they killed in Afghanistan. US officials in Iraq knew that Iran was behind the deaths of soldiers there. But it didn’t matter. Obama is now giving this murderous nation massive economic relief.
If the Iran deal wasn’t so horrible it would be laughable.
Lurch and Uncle Fester – The buffoons leading Obama’s charge to lift economic sanctions with Iran – Secretary of State John Kerry and Energy Secretary Ernest Moniz with Iranian counterparts.
Today the Iranian president is in Europe signing new deals worth billions of dollars to the Iranian regime. At the same time the mullahs continue to threaten the US, Middle East and Israel. Their behavior has not changed. Obama’s deal with Iran will likely go down as one of the greatest foreign policy errors in global history. We will soon find out.