WASHINGTON — The Obama administration has given in to legislation that would apply sanctions on Iran's Central Bank.

State Department spokeswoman Victoria Nuland says officials are looking at how to implement the sanctions so they hurt Iran without causing undue economic pain for America's international allies.

For weeks the administration opposed the defense bill amendment, despite its unanimous Senate support.

The administration had warned of higher oil prices and problems for several U.S. allies in Europe and Asia importing petroleum from Iran. That's because the bill could compel punishment of foreign banks that continue to conduct oil transactions with Iran.

Several changes were added to the bill to give the administration greater flexibility.

And Nuland declined to repeat any of the administration's previous objections on Thursday.