The Iranian economy was teetering before the war, and is on the verge of imploding. Even if the war stops now, the blockade is lifted, and trade resumes.
That is the unsurprising news that the central bank of Iran has delivered to Iranian President Masoud Pezeshkian, whom I am certain already knew the broad strokes before getting the news. That’s why he desperately wants to end the war, which every liberal in the West insists that Iran is winning.
Iran’s central bank has warned President Masoud Pezeshkian that rebuilding the country’s war-damaged economy could take more than a decade, sources familiar with internal deliberations told Iran International.https://t.co/HiN3sw2zrW pic.twitter.com/9mjTD8vaF3
— Iran International English (@IranIntl_En) April 13, 2026
The Iranian regime was already dealing with many crises before Operations Epic Fury and Roaring Lion began destroying billions of dollars of Iran’s infrastructure. Its capital is almost out of water, its population is, shall we say, restless, and the IRGC was sucking down every available dollar to conduct its proxy wars against Israel, America, and the West.
Professor Robert Pape: “Iran is emerging as a new global center of power…this will end up being worse than Vietnam” pic.twitter.com/16WZiAV3v8
— Saagar Enjeti (@esaagar) April 1, 2026
Now, everywhere Pezeshkian looks, there is rubble, and the balance sheet from his oil revenues shows a figure approaching zero income and large outflows.
Iran’s central bank has warned President Masoud Pezeshkian that rebuilding the country’s war-damaged economy could take more than a decade, sources familiar with internal deliberations told Iran International.
In a stark assessment delivered to the president in recent days, senior economic officials said the damage inflicted during the 40-day war with the United States and Israel—combined with Iran’s already fragile economic situation—could take up to 12 years to repair.
Several major airports were damaged during the conflict, while strikes also targeted oil facilities, refineries and petrochemical installations that are central to Iran’s export revenues and industrial supply chains.
Officials involved in the discussions warned that the destruction of production capacity could trigger a sharp surge in inflation in the coming months. According to the assessment presented to the president, inflation could reach as high as 180% if shortages of industrial inputs persist.
The same projections estimate that unemployment could rise by around two million people as factories, service providers and small businesses struggle to resume operations.
According to sources familiar with the discussions, central bank governor Abdolnaser Hemmati has been urging Pezeshkian to take urgent steps to stabilize the economy, including restoring full internet access and pursuing an agreement with the United States.
Yep. Iran is now a superpower, outlasting the mighty United States. Everybody says so.
🚨IRAN BLOCKADE: @billhemmer goes in-depth into how American forces are cutting off trade to Iranian ports — and what happens when a ship gets intercepted by the U.S. Navy. pic.twitter.com/SbzKb6w6CO
— America’s Newsroom (@AmericaNewsroom) April 14, 2026
Suddenly, the Iranians are talking about meeting with American negotiators again. It’s hard to understand why, given that, we have been assured that they hold the high cards and are now a superpower.
🚨 BIG DEVELOPMENT: President Trump is SURGING military transport planes and refuelers to the Middle East daily
The clock is ticking for Iran…America is reloading! 🔥
“A second round of talks between the United States and Iran could happen as early as this week.”
“A few… pic.twitter.com/jnjd8STABy
— Eric Daugherty (@EricLDaugh) April 14, 2026
BIG DEVELOPMENT: President Trump is SURGING military transport planes and refuelers to the Middle East daily
The clock is ticking for Iran…America is reloading! 🔥
“A second round of talks between the United States and Iran could happen as early as this week.”
“A few vessels have turned back after the blockade went into effect.”
“Amid talk of diplomacy there is an ongoing U.S. military buildup across the region with more transport planes and refuelers arriving here each day.”
@TreyYingst
It is a mark of how economically and politically illiterate the media elite is that they can look you in the eye and tell you that Iran is winning the war. Their military is in tatters, their economy failing, their most important ally—China—is getting squeezed by losing access to Venezuelan oil and a massive slowdown of oil from the Middle East, and their new friends in Europe are exposed as 90 lb weaklings.
Spain has removed its ambassador from Israel and reopened its embassy in Tehran. It could be that the Iranians take some comfort in that, but if so, it is empty. Spain, in return for making kissy faces with an Iranian regime whose economy is in tatters, is going to pay a very high price.
China wants this war over and is pressuring Iran to make concessions. The civilian government wants the war over and is pressuring the IRGC to make concessions. Pakistan, which is hosting the talks, has moved troops and aircraft to Saudi Arabia, in preparation of defending the Saudis against renewed attacks from Iran.
And Lebanon is considering allying with Israel to disarm Hezbollah.
Needless to say, Iran is not becoming a superpower.
As I wrote yesterday, when looking at the current situation, look to the economies of Iran and Europe. While everyone is focused on the economic consequences of the war in the United States, which complicates things for Trump, nobody is looking at where the war is really hurting: Iran first, China second, and Europe third.
The Strait of Hormuz is blockaded.
Europe’s plan?Ursula von der Leyen: “The cheapest energy is the one you don’t use.” Stay home, don’t drive, don’t use electricity.
The EU has no plan and no military to change do anything. So they are stuck with “monitoring the situation” pic.twitter.com/crP6O0t0Ku
— Wall Street Mav (@WallStreetMav) April 13, 2026
The US has the upper hand. It always had the upper hand. Europe is angry and throwing a fit, but Europe relies on the US’s goodwill to get the oil flowing again. After all, the continent has permanently shut down a large proportion of its oil production.
The government of Iran knows that its economy is held hostage by the United States, and that Barack Obama is not in charge anymore. They have to deal with Trump.
So, soon enough, they will make a deal with Trump.
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