Enough foreign currency despite US sanctions: Iran

Iran has sufficient foreign currency reserves despite US sanctions, Central Bank Governor Abdolnaser Hemmati says, after US Treasury Secretary Scott Bessent said Tehran was lashing out because it was losing the economic war.

The central bank is ready to inject up to $2 billion into the foreign exchange market to calm recent volatility, Hemmati says, according to the semi-official Tasnim news agency.

“I am telling the president of the United States: Iran has [foreign] currency and it has enough,” he adds.

His comments appear aimed at reassuring markets after Iranian officials, including President Masoud Pezeshkian, pointed to growing difficulties for an economy facing US sanctions and a naval blockade.

Hemmati says the central bank is continuing to collect foreign currency receivables and has domestic reserves as well as other resources, though he adds that details of those cannot be disclosed.

According to AFP News Agency, Iran’s President Masoud Pezeshkian says that Tehran would “immediately” reciprocate if the United States returns to a June deal aimed at ending their war.

“I state explicitly that if the United States returns to its commitments under the aforementioned memorandum of understanding, the Islamic Republic of Iran will immediately take reciprocal action,” Pezeshkian says at a Shanghai Cooperation Organisation summit in Kyrgyzstan, according to the website of the Iranian presidency.

Trump’s warning to Iran:

U.S. President Donald Trump threatened on Aug. 31 to hit Iran “hard” after the two foes traded fire for the first time in weeks, as his Treasury secretary vowed to keep up a pressure campaign aimed at hobbling Tehran’s economy, France media said.

The exchange raised fears of a return to major hostilities, with the U.S. president vowing to respond.

“We’re going to hit them hard,” Trump said, according to a Fox News reporter who spoke to him briefly. “There will be a response.”

U.S. Central Command said its Aug. 30 strike was a “limited, precise action” carried out after Islamic Revolutionary Guard Corps forces were observed preparing rockets carrying sea mines for deployment in the strait.

Washington said the operation targeted two launchers that posed an imminent threat to commercial shipping.

Iranian state media said two people were killed and several others wounded in the attack.

The Revolutionary Guards said they retaliated with ballistic missiles against technical and maintenance facilities and fighter aircraft positions at the King Hussein and Al-Azraq air bases in Jordan. Tehran claimed the strikes caused heavy damage.

Jordan’s military said its air defenses intercepted and destroyed eight missiles before they posed a threat to people or property. A U.S. official said no American base was hit and there were no casualties.

Iranian President Masoud Pezeshkian, meanwhile, said Tehran did not seek war but would respond firmly to any attack. He said continued conflict served neither Iran nor the wider region.

Earlier on Aug. 31, Trump had called Iran “a Failed Nation”, saying on social media that its military was decimated, its finances were crumbling “and their leadership is in total disarray”.