US, Qatar plan partial release of frozen Iran funds

The United States and Qatar are reportedly working on a mechanism to release a portion of Iran’s frozen financial assets, primarily

The United States and Qatar are reportedly working on a mechanism to release a portion of Iran’s frozen financial assets, primarily for humanitarian use.

According to reports, an initial tranche of around $6 billion could be made available to Iranian authorities. The funds are currently held in Qatar and are believed to be derived from Iranian oil revenues blocked under international sanctions.

The proposed arrangement would allow Iran to use the released funds strictly for essential imports such as food and medicine. Officials say the system is designed to ensure controlled and monitored spending.

Sources familiar with the matter say the plan is linked to recent diplomatic understandings between Washington and Tehran aimed at reducing tensions after months of conflict.

Under the proposed framework, the United States would maintain oversight of transactions to track how the money is used. This is intended to ensure compliance with agreed conditions while preventing misuse of the funds.

Analysts suggest the move could serve as an initial step toward broader access to nearly $100 billion in Iranian assets frozen globally. However, further releases would depend on progress in nuclear negotiations and adherence to the terms of the ongoing agreement.

Experts say even limited access to blocked funds could provide Iran with short-term economic relief, particularly in stabilizing its currency and addressing domestic shortages.

Despite diplomatic progress, political tensions remain high. Public statements from both Washington and Tehran continue to reflect deep mistrust, highlighting the fragile nature of the emerging arrangement.

Earlier, US Special Envoy Steve Witkoff and Iranian Foreign Minister Abbas Araghchi are expected to travel to Switzerland for fresh negotiations aimed at advancing a broader agreement between Washington and Tehran following the recent ceasefire in Lebanon.

According to media reports, the talks are intended to build on the 14-point memorandum of understanding signed earlier this week, which established a 60-day framework for resolving disputes related to Iran’s nuclear programme and wider regional security concerns.