Iran says frozen assets must be released before any US peace deal
Iranian officials say talks cannot proceed unless Washington unlocks at least half the frozen funds when an MoU is announced and the rest within 60 days.
- Iran has made the release of US$24 billion in frozen assets a non-negotiable precondition for any peace deal with the United States.
- Tehran demands that at least half of the funds (US$12 billion) be transferred immediately upon the announcement of an agreement, with the remainder released within 60 days.
- This insistence on upfront payment is driven by Iran's distrust of US promises, citing the US's unilateral withdrawal from the 2018 JCPOA nuclear deal.
- The dispute over the frozen assets is described as the main obstacle preventing progress on a 14-point draft peace memorandum.
Iran has sent a firm message to the United States that “there will be no peace deal” unless Washington agrees to unlock Iranian assets worth US$24 billion, or nearly THB800 billion, frozen by the US under sanctions over the past several years, according to a report by the British newspaper The Telegraph.
Mohammad Bagher Ghalibaf, Iran’s chief negotiator, and Abbas Araghchi, Iran’s foreign minister, set out the condition during talks with Qatari officials in Doha, saying Tehran would not proceed with any agreement until the US immediately transfers at least “half” the amount, or about US$12 billion, or nearly THB400 billion, when a memorandum of understanding (MoU) is announced, with the remainder to be released within 60 days.
“Our demand is the release of the frozen assets, not in the future, but now,” an Iranian official close to the talks said, adding that “there will be no negotiations if Iran’s money is still not unlocked.”
The funds are mostly “Iranian revenue” from oil and gas exports held in foreign banks, with a total value of more than US$100 billion (about THB3 trillion) spread across several countries, including South Korea, Qatar, Iraq, Japan, Germany, Turkey and Bahrain.
However, unfreezing the funds would not be straightforward, as the US may have to grant Iran temporary “sanctions waivers, " coordinate with the governments of various countries and create a control mechanism to prevent the money from being used to support Iran’s nuclear programme or its proxy forces in the Middle East.
A source in the Persian Gulf told The Telegraph that discussions are now taking place on a “complex mechanism” to prevent the vast sum from flowing directly into the Iranian government.
But the proposal is becoming a “political bomb” for President Trump, after many conservative allies viewed releasing funds to Iran before a deal is signed as “rewarding” a government they say has just brought the world close to a new economic crisis by closing the Strait of Hormuz.
“This is a deal he should not take,” a source close to Trump said, while some senior figures in the MAGA movement have begun voicing dissatisfaction with Trump’s approach, saying sarcastically, “The Art of the Deal is a good book. Trump may need to read it again.”
The dispute over “frozen funds” has become the main obstacle in negotiations to end the Iran–US war, which has dragged on for months after more than 40 days of continuous clashes.
An Iranian source said a 14-point draft memorandum of understanding, mediated by Qatar and Pakistan, would be unable to move forward unless an agreement on the frozen assets is reached.
On the other side, Tehran does “not trust” a verbal promise from Trump without money as security, because of its experience in 2018, when the US tore up the JCPOA by withdrawing from the nuclear deal “unilaterally” and reinstating sanctions on Iran, even though Iran was complying with the terms at the time.
That unilateral withdrawal was regarded as a “go-it-alone” decision by the US, with European allies Britain, France and Germany trying to oppose it and urging Trump to change course, without success.
Even the International Atomic Energy Agency (IAEA) confirmed at the time that Iran was still complying with the agreement.
Iran has therefore insisted that, this time, “promises” are no longer enough and it must see “actual money transfers” before signing anything.
The uncertainty has also had an immediate impact on global markets, with oil prices rebounding to US$100 a barrel as investors feared the Strait of Hormuz may not reopen safely.
At the same time, “China” has begun to be watched as a “guarantor” of a future agreement, after Pakistan and Qatar tried to draw Beijing into a role to build confidence for Iran, which sees the US as “unreliable”.
Telegraph
Independent
