Sanctions-weary Iranians fear toughest US squeeze on economy

Iranian architecture student Taneen was a mixture of despair and resignation on Tuesday after the United States announced its toughest sanctions on the Iranian economy in a bid to end the Middle East war.

"We have always been under sanctions since I was born. Our table is getting smaller and smaller," said the 23-year-old.

As she shopped around Tajrish square in the capital Tehran, Taneen's experience attested to the helplessness of Iranians living under Western sanctions since the 1979 Islamic revolution who fear expanded US attempts to hurt their pockets.

"This pressure is on the whole family, from food and clothing to school expenses," she said.

"It has become so much that my father says that we have to go buy food (now) because it is going to be expensive."

She said the cost of materials needed for her studies had tripled and worried that US pressure would only grow as the Middle East war looks set to grind on past the six-month mark.

"We just have to enjoy the little things we have. What else can we do?" the student said. "One of my thoughts is to leave Iran altogether."

As public anxiety rises over potential price hikes and supply shortages since Washington's announcement, customers in the Iranian capital have crowded bazaars and queues have filled petrol stations.

Kia Farahani, a 45-year-old English-language instructor, said he had been forced to "give up on many purchases" as food prices jumped in recent months.

"I think that this war will be more economic and will cause people to feel a lot of pressure and now maybe there will be protests again," he said, referring to anti-government rallies that peaked in January.

- 'Very tough' -

Iranian officials have dismissed the US threats as "failed policies", insisting they would not force the Islamic republic to change course.

But it remains unclear how Tehran plans to circumvent the new measures, which threaten to cut foreign companies and financial institutions out of the US financial system if they deal with Iran.

Iran has weathered sanctions for decades, and officials have presented a defiant front.

Some Iranians nonetheless demanded action.

Real estate agent Mehdi Yazdian, 55, called on the government to "control prices" as Iranians felt the pinch.

"These sanctions have been in place for 47 years," he said.

While panic was spreading among exasperated locals, the American pressure and economic squeeze was all too familiar for some.

"We have always been under sanctions since the revolution, very tough sanctions. This one is nothing new," said a 74-year-old housewife who declined to give her name.

The woman pointed to vegetables bought at a local bazaar where she said prices were rising almost daily, but she remained unbowed.

"We will not give in to pressure," she said.