US-Iran Agreement Envisions $300 Billion Investment Fund for Tehran

The framework agreement being finalized between the United States and Iran proposes the creation of a $300 billion private investment fund aimed at boosting Iran's economy. The fund emerged as a compromise after Iran initially demanded $400 billion in compensation for military damages, a request Washington rejected.

According to sources cited by Reuters, the fund is a private investment mechanism, not a reconstruction or reparations program, and will not involve government funds or grants. Companies from the US, Gulf states, Asia, South America, and Africa have expressed interest in investing in Iran, with over half of the pledged amount already secured. The promised investments cover sectors such as energy, logistics, and transport.

The fund will only become operational once Washington and Tehran conclude a final agreement. A memorandum of understanding is set to be signed on June 19, committing both sides to 60 days of negotiations to reach a final deal. On June 15, US President Donald Trump announced a peace agreement with Iran. The MoU requires Iran to unblock the Strait of Hormuz for all commercial vessels and the US to lift the naval blockade of Iranian ports. Trump said details of the document could be made public within days, possibly before cameras.