U.S. tightens grip on Iran's financial system
(Reuters) - The United States on Monday sought to tighten the financial screws on Iran by imposing sanctions on the country's third-largest bank for allegedly helping Tehran develop its nuclear program.
Now any foreign firm that deals with Iranian state-owned Bank Tejarat and its affiliate, Belarus-based Trade Capital Bank, will no longer be able to access the U.S. financial system.
The sanctions "will deepen Iran's financial isolation, make its access to hard currency even more tenuous, and further impair Iran's ability to finance its illicit nuclear program," Treasury Undersecretary David Cohen said in a statement.
The United States and Europe are pressuring Iran to talk to the international community about its nuclear activities, which the West says are aimed at developing a weapons program but which Tehran says are peaceful.
Read more: http://www.reuters.com/article/2012/01/23/us-nuclear-iran-usa-bank-idUSTRE80M1S820120123
Don't these sanctions only cause more tension and hostility with other countries?
What happened to extending a hand to Iran?