Iran’s economy is edging towards collapse due to international sanctions over its controversial nuclear program, Israeli Finance Minister Yuval Steinitz said on Sunday.
Israel regards the prospect of its arch enemy developing nuclear weapons as a threat to its existence, and Prime Minister Benjamin Netanyahu has said that, although sanctions are taking their toll, they are not yet forcing Iran to abandon work that could soon lead to a nuclear warhead.
However, Israeli officials appear increasingly ready to acknowledge the effect of recent American and European sanctions designed to restrict Iran’s lifeline oil exports. (…)
An Israeli Foreign Ministry document leaked last week said sanctions had caused more damage to Iran’s economy than at first thought and ordinary Iranians were suffering under soaring inflation, although this did not appear to be changing policy.
On Saturday, the Iranian currency slumped to an historic low of about 28,400 rials to the dollar, a fall of about 57 percent since June 2011, meaning a sharp rise in the price of imports.