BURGENSTOCK, Switzerland (FN) — U.S. Vice President JD Vance said Monday that Washington would ensure any Iranian funds released under a potential Middle East peace deal would not be used to finance terrorism, as talks with Tehran entered a new phase in Switzerland.
“If we ever unfreeze Iranian assets, we can ensure that, Iranian money goes to help the people of Iran and not to fund terrorism,” Vance told reporters at the Burgenstock resort, where the first round of negotiations concluded.
The discussions are part of a two-month process set out in a memorandum of understanding signed last week, aimed at ending the war launched by the United States and Israel on Feb. 28. Among the elements of the preliminary agreement is a U.S. commitment to eventually lift sanctions and make frozen Iranian assets available.
Iran has faced sweeping sanctions and asset freezes since the 1979 Islamic revolution that toppled the U.S. backed Shah. While no official figure exists, estimates place the value of frozen assets between S100 billion and S123 billion.
Vance said the arrangement would involve oversight by both Washington and mediators Qatar and Pakistan, ensuring funds are directed toward humanitarian and economic needs. He credited former White House adviser Jared Kushner and Qatari officials with devising “a very interesting solution” to prevent misuse.
“Basically, we achieved a classic Trump deal, where if Iranian assets are ever unfrozen, they’re going to go to make American farmers richer and to feed the Iranian people,” Vance said.
Iranian officials have not publicly confirmed details of the financial oversight mechanism. Critics in Israel have already voiced concern over the preliminary deal, warning that Tehran could exploit any easing of sanctions to strengthen its regional allies, including Hezbollah in Lebanon.
International analysts say the talks could mark a turning point in U.S. Iran relations, but caution that decades of mistrust and unresolved disputes over Iran’s nuclear program remain major obstacles. The return of inspectors from the International Atomic Energy Agency, agreed in principle, is seen as a key test of Tehran’s willingness to comply.
The outcome of the negotiations will have global implications, affecting Middle East stability, energy markets, and the future of U.S. foreign policy in the region.
