US Plans Cut Banque Misr UAE from US Banks

The Trump administration’s Treasury Department is moving to cut off UAE-based branches of Banque Misr, Egypt’s second-largest bank, from US financial systems, as part of a broader pressure campaign to isolate Iran economically. FinCEN has proposed a rule barring Banque Misr UAE from opening or maintaining US correspondent banking relationships after the bank processed about $1.8 billion for over 100 entities potentially linked to Iranian shadow banking networks from 2024 to 2026. The action follows public warnings that Iran’s enablers cannot access the US dollar or the global financial system, and is framed as aiming to choke Tehran’s financial lifelines. Simultaneously, the Treasury is imposing sanctions on Bank Melli’s Dubai branch general manager and on Kameng Trading Limited, signaling a coordinated effort against Iran-related financial networks. The measures include a 30-day public comment period and reflect a cautious approach to targeting key conduits while avoiding broader destabilization of the global economy. Treasury officials say the actions target a critical infrastructure for Iran’s access to dollars, currency exchanges, and sanction evasion, as part of the administration’s goal of economic deterrence against Tehran."