Aug. 28 (UPI) — Treasury Secretary Scott Bessent announced Friday that the United States is working to cut off bank branches in the United Arab Emirates from the U.S. financial system, part of his campaign to target financial systems that enable Iran.

The Department of the Treasury said it is proposing a rule that will ban U.S. banks from facilitating transactions involving the UAE-based branches of Banque Misr, one of Egypt’s largest banks.

“Iran’s enablers cannot continue to enjoy access to the U.S. dollar and the global financial system,” Bessent said in a statement. “Banque Misr UAE decided to find out the hard way, and today, we are taking the first step in holding it accountable for its continued, egregious support of the Iranian regime.”

Bessent on Monday announced a new pressure campaign called Operation Economic Outcast to force countries to sever ties with Iran.

The department accused Manque Misr’s operations in the UAE of being “a significant conduit for Iranian shadow banking.” It said the bank allows Iranian entities access to U.S. dollars, circumventing U.S. sanctions.

Treasury said it had found 103 potential front companies that moved $1.8 billion through Banque Misr UAE accounts from January 2024 to June 2026.

Bessent is invoking powers under the Patriot Act that allow the treasury secretary to take action against foreign banks that are a “primary money-laundering concern” to the U.S.

It also said the Treasury will sanction the general manager of the Dubai branch of Bank Melli and a Hong Kong-based company it alleges is laundering money for Iran.

Earlier this month the UAE said it was suspending all trade with Iran.