Jacobson and Levitt argue US needs allies to enforce Iran sanctions
Two Washington Institute fellows detail how $300 million in congressional funds could help partners track Iranian money flows.
By Larissa Shah ·

Michael Jacobson and Matthew Levitt, senior fellows at the Washington Institute for Near East Policy, published an assessment this week arguing that the United States cannot fully isolate the Iranian economy without deeper cooperation from international partners. Their report critiques the current execution of Operation Economic Outcast, a campaign aimed at cutting off the financial support sustaining the Iranian regime.
Jacobson and Levitt stated that Washington has relied too heavily on limited diplomatic efforts. They pointed to recent joint statements as evidence of the need for a wider international approach. On October 12, the United States and 29 other governments accused Iran of plotting to destroy US air assets at RAF Fairford in the United Kingdom. This followed a statement one week earlier, where the US and eight Western Hemisphere nations condemned Iranian activities. In June, the State Department and more than 20 other countries accused Iran of orchestrating attacks in Europe, North America, and Australia.
The fellows noted that some governments were initially hesitant to condemn Iranian plots on their own soil. They feared retaliation from Tehran and worried about the safety of their citizens detained in Iranian prisons. With American support, these governments eventually issued the condemnations.
Washington’s influence has helped Central and South American nations designate or sanction the Islamic Revolutionary Guard Corps, Hezbollah, and Hamas in recent years. The authors argued that these designations provide governments with new tools to counter the groups. However, they warned that sanctions remain symbolic without the material capabilities to enforce them. Governments need the skills and knowledge to dismantle complex Iranian financial schemes to turn designations into meaningful action.
The report suggests the Trump administration use existing foreign assistance funding to build these capabilities. Congress has allocated nearly $300 million to the State Department for the current fiscal year to strengthen partners’ counterterrorism efforts. While the department has committed part of this money to addressing cartels and gangs in Central America, the fellows argued that similar support could target Iran’s malign activities.
Specific applications for this funding include training Syrian border security forces to intercept Iranian and Hezbollah smuggling operations, such as bulk cash transfers. The funds could also help Yemeni Coast Guard officials disrupt Houthi weapons networks and improve Iraqi financial institutions’ ability to identify illicit Iranian financing. Additional initiatives could strengthen authorities in West Africa and South America as they work to uncover and prosecute Hezbollah’s financial networks.





