US, Iran finalize deal to release $12B in frozen assets

Iran's chief negotiator Mohammad Bagher Ghalibaf announced Monday that the United States and Iran have finalized an agreement to release $12 billion in frozen Iranian assets in two tranches of $6 billion each, following the conclusion of the first round of talks at Switzerland's Bürgenstock resort.tbsnews+2

The announcement came as the US Treasury Department issued a 60-day waiver on sanctions covering Iranian crude oil, petrochemicals, and petroleum products, valid until August 21, contingent on Tehran permitting the return of international nuclear inspectors.aljazeera+1

A Deal Takes Shape — With Caveats

The Swiss talks, mediated by Pakistan and Qatar, produced what mediators called a "roadmap towards finalizing an agreement within 60 days." The negotiations also led to the creation of working groups covering nuclear issues, sanctions, and monitoring and dispute resolution, along with a high-level committee to provide political oversight.dw+1

Vice President JD Vance, who participated in the talks after initially postponing his trip, called Sunday "a very, very good day" and said the US had achieved "substantial progress." He also revealed a proposal, developed with Qatari officials, under which unfrozen Iranian funds would be used to purchase American agricultural products such as soybeans, wheat, and corn under US and Qatari oversight.nytimes+2

"If Iranian assets are ever unfrozen, they're going to go to make American farmers richer and to feed the Iranian people," Vance said.scmp

Tehran Pushes Back

Iran swiftly rejected the condition. Central Bank of Iran Governor Abdolnaser Hemmati told Iran's Tasnim News Agency that Iran is "not obligated to purchase" US farm goods, clarifying that the agreement allows the first $6 billion to be allocated for "essential goods and medicines."aljazeera

The dispute underscores the competing narratives that have surrounded the broader US-Iran memorandum of understanding since it was signed last week by President Donald Trump and Iranian leaders. Throughout the process, Vance has insisted that Iran "won't get anything unless they change their behavior," while Iranian officials have consistently portrayed the asset release as an unconditional entitlement.abcnews

The technical discussions at Bürgenstock have concluded their initial phase, with talks set to continue under the oversight of a high-level committee that includes Ghalibaf, Iranian Foreign Minister Abbas Araghchi, and Vance. Whether the two sides can bridge their competing interpretations of the deal's financial terms will likely determine whether the 60-day window produces a final accord.aljazeera