Roundup of Today’s International News 02/01/12

MILITARY EXERCISE IN THE STRAIT OF HORMUZ

Iran says fires long-range missile in Gulf drill
Iran said on Monday it had successfully test fired a long-range missile during its naval exercise in the Gulf, flexing its military muscle to show it could hit Israel and U.S. bases in the region if attacked. […] „We have test fired a long-range shore-to-sea missile called Qader (capable), which managed to successfully destroy predetermined targets in the Gulf,“ deputy Navy Commander Mahmoud Mousavi told the official news agency IRNA.

Iran tests the West’s patience with show of might in missile launch
Iran says it has successfully test-fired a medium-range missile close to the strategic Straits of Hormuz, a move that will test Western patience in the stand-off over its nuclear programme. The surface-to-air missile was fired in international waters during a 10-day military exercise and is designed to elude radar detection and thwart jammers, Iran’s state TV said on Sunday, adding that the weapon had been developed by Iranian scientists.

Iran rattles sabre over vital straits
Iran could make good on its threat and temporarily shut down or disrupt oil shipping through the strategic Strait of Hormuz, but it would trigger a devastating US military reaction and leave Tehran utterly isolated on the world stage, experts say. While Iran is invoking a possible closure of the vital strait as it faces the prospect of punitive sanctions, analysts say Tehran may be more inclined to take smaller-scale action short of mining the channel.

Eye on Iran: Obama Signs New Iran Sanctions into Law

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AFP: „US President Barack Obama Saturday signed into law tough new sanctions targeting Iran’s central bank and financial sector, in a move that could intensify a brewing Gulf showdown. The measures, meant to punish Iran for its nuclear program, were contained in a mammoth $662 billion defense bill, which Obama signed despite having reservations that it ties his hands on setting foreign policy. The sanctions are meant to hit Iran’s crucial oil sector and require foreign firms to make a choice between doing business with Tehran’s financial sector and central bank or the mighty US economy and financial sector. Foreign central banks which deal with the Iranian central bank on oil transactions could also face restrictions, sparking fears of damage to US ties with key nations such as Russia and China which trade with Iran.“ http://t.uani.com/voaTyD 

VOA:Iran’s Currency Slumps on Sanctions Fears

Photo: Reuters

Handout photo showing the front of the new Iranian 100,000 Rials bank note (2010 file photo).

Reports from Iran say the nation’s currency has slumped to a record low against the U.S. dollar, two days after U.S. President Barack Obama signed into law new sanctions that could affect Iran’s central bank and financial system.

Traders said Monday the exchange rate dipped to around 17,000 rials to the dollar, which is about a 10 percent slide from Thursday’s exchange rate.

The Latest from Iran (2 January): The Currency is Falling

Cartoon: Nikahang Kowsar0955 GMT: Bank Fraud Watch. MP Ahmad Tavakoli has used the $2.6 billion bank fraud to challenge the Central Bank and the Ahmadinejad Government. He claimed that Aria Bank, at the centre of the embezzlement, failed to get a permit for operations on 15 occasions but succeeded on the 16th with the help of Bank personnel.

2010 GMT: Political Prisoner Watch. Fatemeh Alvandi, the mother of detained journalist Mehdi Mahmoudian, arrested earlier today (see 1440 GMT), has been released.

Alvandi, detained for an interview about her son, has been ordered not to speak to the media.

Iran Feature: Stumbling and Stalemate over Sanctions (Mills)b

Nikahang Kowsar on the Supreme Leader, President Obama, and US-led Sanctions

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On Saturday, President Obama signed a Defense Authorization bill which includes the possibility of increased sanctions against Tehran, notably against foreign companies who maintain links with Iran’s Central Bank. At the end of January, the European Union will again consider the cut-off of oil imports from Iran.

Writing for Foreign Policy on 23 December, Robin Mills reviewed the situation and argued that this is a „stalemate“ marked by politics, rhetoric, and no small measure of ineptitude:

The next one pls.

 

 

 

 

 

 

 

 

 

 

 

 

 

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