Sanctions Escalate Over Iranian Destabilization
The Regulations Amending the Special Economic Measures (Iran) Regulations (SOR/2026-22), under the Special Economic Measures Act, introduce targeted sanctions in response to Iran’s ongoing destabilizing conduct and transnational repression. Acting on the recommendation of the Minister of Foreign Affairs, the Governor in Council determined that the actions of the Islamic Republic of Iran constitute a grave breach of international peace and security, resulting in or likely to result in a serious international crisis. The amendments form part of Canada’s broader sanctions architecture aimed at countering Iran’s malign regional and global activities.
Iran continues to project influence across the Middle East through both direct state action and support for aligned non-state militias and armed groups commonly described as the “Axis of Resistance.” This network includes organizations such as Hamas, Hezbollah, and the Houthis, all of which Canada has either listed as terrorist entities or sanctioned. Iran provides financial assistance, weapons, technological support, training, and political backing to these actors, contributing to regional instability. Concurrently, the Iranian regime represses dissent domestically through surveillance, arbitrary detention, threats, and violence targeting critics and human rights defenders.
Beyond its borders, Iran engages in “transnational repression,” deploying state bodies such as the Islamic Revolutionary Guard Corps and the Ministry of Intelligence and Security to orchestrate operations against perceived opponents abroad. These efforts often rely on proxy agents and transnational organized crime networks to intimidate, harass, surveil, or in some cases attempt to assassinate Iranian dissidents and critics living overseas. Tactics include digital surveillance, disinformation campaigns, threats against family members, and the manipulation of diplomatic or legal channels. Western intelligence agencies have reported a rise in such activities, including a foiled 2024 assassination attempt in Canada targeting former Justice Minister Irwin Cotler.
The international community has responded with coordinated condemnation and countermeasures. G7 leaders and interior ministers have issued joint statements denouncing transnational repression and launched initiatives such as a Digital Transnational Repression Detection Academy under the G7 Rapid Response Mechanism to strengthen collective detection and response capabilities.
Canada first enacted the Special Economic Measures (Iran) Regulations in 2010. Following significant amendments in October 2022 to address gross and systematic human rights violations, Canada has implemented 20 rounds of sanctions, listing a total of 210 individuals and 254 entities. Further amendments in March 2025 broadened the listing criteria to encompass current or former senior government officials beyond senior IRGC officials and included individuals and entities contributing to Iran’s military support for Russia’s war against Ukraine.
Canada (22/2026) February 25, 2026
Disclaimer: Insights are for informational purposes only and does not reflect RRI’s official position or constitute legal opinion.
