Lagatar24 Desk
Washington: The United States and Iran are on the verge of signing a memorandum of understanding to extend their fragile ceasefire by 60 days and launch formal nuclear negotiations, with the proposed deal also including a staggering $300 billion reconstruction fund for Iran and a clause to end the war in Lebanon.
MoU Not Yet Finalised, Says Vance
US Vice President JD Vance, who has played a central role in the negotiations, told reporters that the framework still awaits President Donald Trump’s approval, saying it is hard to say exactly when or if the president will sign the MoU. Iran’s Tasnim news agency also confirmed the text has not been finalised, adding that any deal would be complete only when announced by Tehran.
What the Deal Includes
The proposed agreement covers several major issues. On the Strait of Hormuz, Iran would remove all mines within 30 days and the US would lift its naval blockade if commercial traffic resumes, ensuring unrestricted shipping through the vital waterway. On the nuclear front, both sides would commit to negotiating the fate of Iran’s enriched uranium stockpile — reportedly around 970 pounds — along with a regulatory framework for future enrichment, and Iran would pledge not to pursue nuclear weapons.
Sanctions Relief and Frozen Assets on the Table
As part of the negotiations, the US has agreed to discuss sanctions relief and the release of Iran’s frozen assets, estimated at around $24 billion held in banks abroad, with Iran seeking access to up to $20 billion of those funds. A mechanism to help Iran receive goods and humanitarian aid is also being discussed.
$300 Billion Reconstruction Fund Surprises Observers
Perhaps the most unexpected element of the deal is a proposed $300 billion international investment fund for Iran, to be facilitated by the United States in the event of a final agreement. Iranian officials have also proposed allowing American oil and energy companies to enter Iran for investments and joint venture deals as part of the broader framework.
Lebanon War Ceasefire Also Part of the Deal
The agreement is also expected to include a clause addressing the ongoing conflict between Israel and Hezbollah in Lebanon — a matter on which Trump and Israeli Prime Minister Benjamin Netanyahu have reportedly had at least one tense exchange, as Israel has continued to intensify its military offensive against the Iran-backed group.
Key Gaps Still Remain
Despite the progress, significant ambiguities persist. Talks have largely taken place through Pakistani and Qatari mediators, and it remains unclear whether both sides are working from the same version of the agreement. The US understands the deal as a 60-day halt to hostilities, while Iran has described it as a declaration of the end of war on all fronts for the duration of negotiations. Similarly, both sides have differing interpretations on the timeline for lifting the US naval blockade in the Strait of Hormuz.
