Report: Oil Embargo Is Killing Iran’s Economy
(NEW YORK) — The White House is right in its contention that sanctions against Iran to convince Tehran to give up its nuclear program is at least hurting the country economically, an analysis by Bloomberg shows.
Since international sanctions that ban the purchase and transport of Iranian oil started one month ago, Iran has lost an estimated $133 million in oil sales per day.
Overall, its oil exports have fallen more than 50 percent to 1.2 million barrels a day. Should the boycott last an entire year, Iran stands to lose $48 billion or about 10 percent of its entire economy.
More advantageous for the White House, especially because it’s an election year, is that the oil embargo is not affecting gasoline prices at home.
That’s in a large part due to increased shipments by the Saudis, more domestic output and a slowdown in the global economy.
Copyright 2012 ABC News Radio