Iran’s state-affiliated Mehr News Agency emphasized that the US and its allies would be responsible for what it describes as the “reconstruction fund”.
Iran has consistently urged Israel and the US, who initiated the conflict by attacking Tehran on February 28, to compensate for the damages inflicted by the war. Iran has referred to this as a compensation fund.
If dispensed, the funds would likely focus on repairing damaged infrastructure, bolstering industries, and revitalizing Iran’s economy, although the sources of funding, governance models, and timeline remain ambiguous.
Reuters also reported that the US and its allies would be coordinating a wider economic development strategy for Iran, with finer details to be ironed out during a 60-day negotiation window following the signing of the memorandum of understanding. However, it does not specifically refer to a dedicated $300 billion fund.
In a separate development, Iran claims the draft 14-point memorandum includes a provision for the release of $24 billion in frozen Iranian assets during the 60-day negotiation phase, with $12 billion set to be accessible before talks commence. The document specifies that “half of this amount must be made accessible to Iran before the start of the negotiations.”
US President Donald Trump announced on Sunday that the agreement with Iran was finalized and that commercial vessels would be able to navigate freely through the Strait of Hormuz, a crucial oil shipping channel through which approximately 20% of the world’s crude oil is transported. This deal is slated to be signed on Friday, June 19, in Geneva, Switzerland.
Just two days prior to finalizing the agreement, Iranian Foreign Minister Abbas Araghchi commented that the most favorable agreement is one that satisfies both parties to some degree, although it may not result in a perfect “50-50 split”.
“There is no agreement or deal in which one side is 100% successful while the other gains nothing. This is a basic principle of diplomacy. When you select the path of negotiation and dialogue, the satisfaction of both parties is of vital importance.”
Also Read: US-Iran War Live Updates: G7 leaders to discuss lasting reopening of Strait of Hormuz, says Macron
(Edited by : Tenzin Norzom)
