The Trump administration escalated its economic campaign against Iran on Monday, with Treasury Secretary Scott Bessent demanding that every Bank Melli branch abroad be "shuttered and dark" as part of Operation Economic Outcast. Iran's largest state-owned bank, which operates nearly 3,100 domestic branches and maintains an international footprint across the Middle East, Europe, and Asia, has faced sanctions since 2007 over allegations it funds Tehran's nuclear and missile programs.

Despite waves of penalties, branches in Dubai and London's Kensington neighborhood remained open Tuesday, though a reporter was turned away in London. Countries like Iraq revoked the bank's license in 2024, while the U.K. and EU imposed restrictions rendering branches largely unable to move money. U.S. officials accuse Bank Melli of using front companies in the U.A.E. and Singapore to funnel tens of billions of dollars annually through a shadow banking network financing Iran's military and proxies.

Former Treasury official Matthew Levitt noted the bank's reach has shrunk but persists through subsidiaries and selective enforcement. The U.A.E., historically a key financing hub with $28 billion in bilateral trade last year, recently halted all trade and financial transactions with Iran amid escalating regional conflict. Iran's finance minister, Ali Madanizadeh, predicted many nations would resist U.S. demands.