Scott Bessent’s Iran Strategy Puts Banque Misr’s UAE Branches in Focus

Scott Bessent’s Iran strategy moved into a new phase after the U.S. Treasury proposed restricting the Emirati branches of Banque Misr from accessing the American financial system. The measure, reported by the Associated Press on August 28, targets the bank’s UAE operations and is not the same as a blanket sanction on Banque Misr’s branches inside Egypt.

The proposed rule followed Bessent’s announcement of a campaign intended to pressure countries and institutions that continue doing business with Iran. AP reported that the administration accused the bank of helping provide an economic lifeline to Tehran. The Egyptian central bank said the measure was limited to dollar transfers involving the UAE branches and did not extend to other Egyptian banks or to Banque Misr’s domestic operations.

Treasury’s own August 24 statement called the wider campaign Operation Economic Outcast. The department said it was mapping networks connected to oil smuggling and sanctions evasion and described the campaign as an effort to isolate Iran financially. Those statements set out the U.S. government’s stated policy position; they do not by themselves establish the outcome of the proposed rule or the response of every affected institution.

AP reported that the proposed rule includes a 30-day public-comment period before it can take effect. That process leaves room for comments, changes or other legal and diplomatic steps. The report also said Treasury announced separate sanctions against the manager of the Dubai branch of Iran’s Bank Melli and a Hong Kong-based firm that U.S. officials accused of helping launder funds for Iran.

The issue has international implications because the administration is attempting to limit Iran’s access to the dollar system while avoiding an immediate penalty on a major trading partner’s entire banking network. Bessent was expected to discuss the campaign with finance ministers at Group of 20 meetings. For readers following the keyword, the confirmed development is a proposed UAE-branch restriction and a broader Treasury pressure campaign, not a completed cutoff of all Banque Misr services.