Trump Moves to Redirect Frozen Iranian Assets for Gulf Rebuilding
The Treasury Department is preparing to invoke "all available authorities" to make Iranian assets accessible for reconstruction efforts tied to conflict-related damage, CBS reported Saturday, drawing on a source with direct knowledge of Treasury Secretary Scott Bessent's thinking. Bloomberg separately reported that Bessent has directed Treasury officials to evaluate conditions facing U.S. allies across the Persian Gulf and compile detailed damage estimates stemming from the onset of hostilities. The department is also weighing whether frozen Iranian funds could be applied to "past damage" attributed to Iranian-backed proxy groups, according to the outlet.
The initiative lands against a backdrop of stalled indirect negotiations between Washington and Tehran. The central sticking point remains Iran's insistence on regaining access to its frozen overseas holdings. Mohsen Rezaei, a military adviser to Supreme Leader Ayatollah Mojtaba Khamenei, made the terms explicit on Friday, stating that any agreement is contingent on the release of $24 billion in Iranian assets.
"This is our own money, not America's money," Rezaei told media, framing the demand as a direct measure of trust in U.S. President Donald Trump.
Iranian Deputy Foreign Minister Kazem Gharibabadi went further in spelling out Tehran's timeline, telling Mehr News Agency that Iran is demanding at least $12 billion be released immediately upon the signing of a memorandum of understanding with the U.S., with the remaining balance to follow within "not more than one or two months."
The conflict, which ignited on February 28 following a U.S. and Israeli assault on Iran, has seen both sides largely avoid directly targeting oil and gas infrastructure — though that restraint has not held entirely. In mid-March, Israel struck the world's largest natural gas field at South Pars, disabling approximately 12% of Iran's gas output. Tehran subsequently declared energy facilities in Gulf Arab states hosting U.S. forces to be "direct and legitimate targets," and infrastructure in Saudi Arabia, the UAE, Kuwait, and Bahrain all sustained damage in the ensuing exchange of strikes before a Pakistani-brokered ceasefire came into force in April.
Washington reportedly offered to unblock a portion of Iranian assets as an inducement to bring Tehran to the negotiating table in Islamabad, even as it publicly characterized the demand as unacceptable. The issue carries particular political sensitivity for Trump, who has repeatedly lambasted his predecessor Barack Obama for allegedly transferring billions of dollars to Iran in "pallets of cash" as part of the 2015 nuclear agreement — a deal Trump unilaterally abandoned during his first term in office.
Legal Disclaimer:
MENAFN provides the
information “as is” without warranty of any kind. We do not accept
any responsibility or liability for the accuracy, content, images,
videos, licenses, completeness, legality, or reliability of the information
contained in this article. If you have any complaints or copyright
issues related to this article, kindly contact the provider above.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
