Money entangled in America-Iran Peace Deal, Washington-Tehran’s claims differ on Rs 24 billion

After nearly three months of fighting, the US and Iran have agreed to a framework peace deal. However, despite this progress, the release of Iran’s frozen assets remains a stuck issue between the two countries. Iran’s Mehr news agency reported that Washington will release $12 billion of Tehran’s frozen assets before talks can begin. Citing a 14-point “memorandum of understanding” between the US and Iran, the agency said the remaining frozen assets, amounting to about $24 billion, would be released during a 60-day negotiation period. Moments before the peace deal was announced, a senior Iranian official also told Reuters that under the draft terms of the agreement, the US would agree to release $24 billion of Iran’s frozen assets.

Additionally, three officials in the region told The Associated Press that the agreement is expected to include a phased lifting of sanctions on Iran and the release of Iran’s frozen assets. The amount was not mentioned clearly because details of the US-Iran deal have not yet been made public. However, Axios, citing US officials with knowledge of the matter, reported that Iran’s claim is false and that Washington has not agreed to release $12 billion of frozen assets. “This is simply not true,” the official told Axios. This is a ‘pay for work’ agreement and no frozen funds will be released unless the Iranians fulfill their promises.

The Trump administration has already said that Iran’s funds will be released only if under the Tehran deal. Will fulfill some conditions. From this it seems that America will stick to its demand for Iran to end its nuclear and uranium enrichment program. Iran’s Deputy Foreign Minister Kazem Gharibabadi also said Tehran’s commitments under the peace deal would come into effect from Friday. He said the next phase of talks would focus on lifting sanctions on Iran that have damaged its economy for years.