US sanctions Kataib Hezbollah under Operation Economic Outcast

The US Treasury and State Department have expanded sanctions targeting Iran's financial networks, now directly impacting individuals within Iraq's ruling Coordination Framework and the Kataib Hezbollah paramilitary group. This represents a significant escalation of 'Operation Economic Outcast' beyond established proxies, with high confidence in the continued pressure campaign but medium-low confidence regarding the specific targets within the Coordination Framework. The full operational impact on Iran's aviation sector and regional risk dynamics remains unclear.