The ongoing understandings between Washington and Tehran have revealed what observers describe as a complex political and economic paradox. The organisation expected to benefit most from any future financial opening is the Islamic Revolutionary Guard Corps, the military force that the United States itself designates as a terrorist organisation.
For years, the Revolutionary Guard has built a sprawling commercial empire under sanctions, extending across the oil, construction, shipping, telecommunications and port sectors, according to an analysis by Reuters.
Now, as Tehran and Washington prepare for talks on a post-war agreement that could unlock billions of dollars for Iran and reopen its economy to global investment, the elite military force is positioning itself to become one of the largest beneficiaries.
According to the Reuters report by Parisa Hafezi and Angus McDowall, four senior Iranian sources said the Revolutionary Guard is uniquely positioned to secure a substantial share of any financial gains resulting from sanctions relief, renewed oil exports and foreign investment.
At the same time, its central role represents one of the major obstacles to reaching an agreement. Given how deeply embedded the Revolutionary Guard is in Iran’s economy, its designation as a terrorist organisation could significantly complicate efforts to free the country from sanctions.
The Revolutionary Guard’s Vast Commercial Empire
Iranian sources told Reuters that even if a broader agreement fails to materialise and sanctions remain in place, the Revolutionary Guard would still benefit from temporary waivers allowing oil exports and would continue tightening its grip on the economy through decades of experience circumventing restrictions.
The organisation flourished under the leadership of Iran’s founding Supreme Leader Ayatollah Ruhollah Khomeini and expanded further under his successor, Ali Khamenei, evolving from a military force into a dominant political and economic actor.
Its influence extends far beyond regional operations and suppressing opposition movements.
Over the years, it has established control over strategic sectors including telecommunications, energy and infrastructure through large engineering and industrial subsidiaries.
Following the war launched by Israel and the United States against Iran, the Revolutionary Guard reportedly strengthened its domestic influence by playing a central role in managing the transition of power and installing Mojtaba Khamenei as Iran’s new Supreme Leader.
This political transformation coincided with the Guard’s support for the agreement to end the war, a position observers believe is intended to preserve the political system and secure the financial resources required for the next phase.
The Main Beneficiary of a Temporary Agreement
One senior Iranian source described the Revolutionary Guard as the true winner of the war.
According to the source, after ensuring the survival of Iran’s political system, the organisation is now in the strongest position to benefit from any easing of sanctions, having already managed most of Iran’s efforts to bypass economic restrictions over the past several decades.
Sources said the Revolutionary Guard already possesses the infrastructure and logistical networks needed to operate immediately once restrictions are eased, giving it a competitive advantage over any other economic entity in the country.
The temporary agreement announced recently includes exemptions allowing Iran to sell limited quantities of oil.
A broader agreement, however, could pave the way for Tehran to access a massive reconstruction fund estimated at around 300 billion dollars.
At the centre of this economic network stands Khatam al Anbiya, the Revolutionary Guard’s engineering conglomerate, which oversees hundreds of subsidiary companies responsible for major energy and infrastructure projects.
Its subsidiaries have also expanded into the automotive industry, tourism and logistics, making them difficult to avoid for any company seeking to invest in Iran’s economy after sanctions relief.
Foreign Investors Face an Unavoidable Partnership
Under Iranian investment law, foreign companies are required to enter partnerships with local entities.
As a result, the Revolutionary Guard could become the gateway through which international investors gain access to Iran’s most profitable sectors.
Given the scale of the Guard’s influence throughout the economy, Western companies may find themselves forced to engage with entities linked to it, exposing them to significant legal risks under American and European laws that continue to classify the organisation as a prohibited entity.
Jeremy Paner, a former sanctions investigator at the United States Treasury Department, said:
“The Islamic Revolutionary Guard Corps is the entity that controls all the strings of the oil sector, so you cannot ignore the legal consequences of dealing with them.”
Paner added that even if the temporary agreement with Washington permits Iranian oil exports, American companies still face legal risks because of the Revolutionary Guard’s presence behind much of the industry.
The United States Justice Against Sponsors of Terrorism Act, passed in 2016, allows victims of terrorist attacks to sue American companies accused of assisting groups designated as terrorist organisations, including the Revolutionary Guard.
Sanctions Helped Build Its Economic Power
Senior Iranian sources said that even if broader negotiations collapse and sanctions remain in force, the Revolutionary Guard will continue benefiting from temporary exemptions for oil exports while maintaining its dominance through its expertise in evading restrictions.
Its economic rise accelerated after sanctions were imposed on Iran’s nuclear programme in the early 2000s.
Over the years, it developed networks of intermediaries, front companies and shipping operations designed to facilitate oil exports and international trade despite sanctions.
However, maintaining this model became increasingly difficult after United States President Donald Trump withdrew from the 2015 nuclear agreement in 2018 and launched his “maximum pressure” campaign.
The United States subsequently expanded sanctions further throughout Trump’s presidency, creating new challenges even for the extensive commercial networks developed by the Revolutionary Guard.
