A semi-official Iranian outlet reported that Tehran is demanding that Washington agree to release $24 billion in frozen funds as part of an agreement to end the war.
According to an official speaking with Tasnim, Iran is requesting that half of the funds, $12 billion, be released as soon as an agreement to end the war is signed. Multiple outlets report that Washington and Tehran are closing in on signing a memorandum of understanding.
The MOU would bring hostilities in the Middle East, including Lebanon, to a close. Additionally, Washington would lift its blockade of Iranian ports, and Tehran would allow commercial ships to transit the Strait of Hormuz. Iranian officials say that Tehran will continue to charge vessels maintenance fees for entering or exiting the Persian Gulf.
The MOU would leave significant issues, such as Iran’s nuclear program, to be resolved during a 60-day negotiating period that would begin after the document was signed.
Releasing $24 billion in frozen Iranian funds would be a major political loss for President Donald Trump. Trump has spent a decade attacking former President Barack Obama for signing the 2015 Iran Nuclear Deal. Part of that agreement included Washington and Tehran reaching a settlement on the 1979 military contract that the US had failed to fulfill. The settlement included the US paying Iran $1.3 billion.
Additionally, the agreement would be a major setback for Israeli Prime Minister Benjamin Netanyahu. Before the war against Iran, Tel Aviv had a truce with Hezbollah that allowed Israel to occupy and attack Lebanon without Hezbollah retaliation.
In response to the US and Israeli surprise attack on Iran, Hezbollah broke its truce with Israel. Tehran is now demanding that any end to the conflict include Israel ending its war against Lebanon.
