
After the recent 10-day exercise in the Strait of Hormuz, Iran has announce fresh military exercises in the region – it wants to impress upon the global community that if sanctions are imposed on Iran, it would precipitate matters and Iran would retaliate by closing the passage.
US and countries in Europe are worried about the nuclear ambitions and plans of Iran and want to impose sanctions so that Iran is not able to sell its oil and generate revenue for its nuclear projects. Iran exports nearly 2.5 million barrels of oil every day to generate revenue to feed its population of 74 million.
Already, the effects are being felt on the streets of Iran where price of daily necessities are skyrocketing and people are running to banks to convert the Rials into dollars.
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