Iranian Regime Funnels Money Offshore as Iranians Face Hardship

25/04/2026

WASHINGTON, April 25: U.S. Treasury Secretary Scott Bessent has accused leaders of Iran’s Islamic Revolutionary Guard Corps (IRGC) of funneling money into offshore accounts while ordinary Iranians struggle to secure basic goods amid deepening economic hardship.

In a post on X, Bessent cited a report by The New York Times describing how Iranians are increasingly resorting to cross-border trade to meet daily needs. “I am amazed that the IRGC has forced the invention of a completely new type of oil trading – in cooking oil,” he wrote.

The report highlighted scenes at the Kapikoy Border Crossing, where Iranians have been purchasing olive, sunflower, and corn oil in Turkey to resell inside Iran or use domestically, as prices for essential goods continue to surge.

According to the newspaper, demand for cooking oil has risen sharply in recent days, turning a basic household staple into a small-scale trade commodity amid soaring inflation, layoffs, war-related disruptions, and ongoing internet shutdowns in Iran. The crossing has also become one of the few remaining links between Iranians and the outside world, as air travel has been heavily disrupted and access to online services remains restricted.

Economic pressure on households has intensified since Tehran removed subsidies on some essential imports earlier this year, driving up prices. While the government introduced monthly cash payments of around 10 million rials (approximately $7), economists cited in the report said the support is unlikely to significantly ease the burden.

Bessent added that under President Donald Trump, the United States remains committed to supporting “the freedom and dignity of the Iranian people” after decades of what he described as corruption and mismanagement.