Financial Squeeze: Can Hezbollah Endure Without Iranian Funding Amid Regional Upheaval?

When the US announced it was imposing new sanctions on Iran late last month, Treasury Secretary Scott Bessent stated that the objective was to sever every economic lifeline until Tehran stands completely alone. This heavy financial burden will inevitably impact Iran-backed groups across the region.

For Hezbollah in Lebanon, these latest sanctions deliver another severe blow following its recent war with Israel, the fall of the Assad regime in Syria, and the broader fallout from the US-Iran conflict. Prior to the war, Iranian financial backing for Hezbollah totaled approximately $700 million annually, based on figures from the US State Department.

Currently, Washington has officially designated Hezbollah as a terrorist group under Iranian control as part of its ongoing economic-pressure campaign. However, the resulting consequences are likely to be deeply felt by southern Lebanese communities that traditionally rely on the organization for their daily livelihoods and essential reconstruction support following the ruinous conflict.

In this episode of Beyond the Headlines, host Nada AlTaher investigates whether Hezbollah can possibly survive the loss of its Iranian financing and examines what this financial crisis means for Lebanon as a whole. She speaks in-depth with Randa Slim, director of the Middle East programme at the Stimson Centre.