The US has announced a 60-day reprieve from sanctions on Iran, potentially worth billions of dollars. This move is part of a 14-point memorandum of understanding signed by the US and Iran, which aims to abolish all types of sanctions within 60 days.

Complexity of Sanctions

The sanctions regime against Iran is complex, spanning over four decades and involving US law, international measures, and private-sector risk concerns. The US, the European Union, and the United Nations have imposed sanctions and trade embargoes on Iran since the late 1970s due to its nuclear program, human rights violations, and support for militant groups.

The new license issued by the US Treasury allows the production, delivery, and sale of crude oil and petrochemical and petroleum products of Iranian origin through August 21. However, removing the remaining sanctions will be difficult, requiring executive action, congressional approval, and coordination with the UN and other countries.

Congressional Skepticism

Congress has passed several sanctions laws, and presidents have issued executive orders on Iran’s nuclear program and support for terrorist organizations. Delisting thousands of entities designated for sanctions will take at least a year, according to a former US sanctions official.

Companies, wary of decades of restrictions, may steer clear of working with Iran due to legal and reputational risks. The Iranian government’s links with countries like China, North Korea, and Russia also pose sanctions-evasion risks.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.