A proposed $300bn investment fund for Iran has been included in the framework of a US-Iran agreement aimed at ending the war, according to a source familiar with the arrangement cited by Reuters.
The fund is intended to give both Tehran and Washington an economic incentive to move from the memorandum of understanding towards a final settlement. It has not yet been formally announced and, according to the source, would not involve government money, grants or direct compensation payments.
The mechanism would instead operate as a private investment vehicle, with companies based in the United States, Gulf Arab states, Asia, South America and Africa said to have committed funding. More than half of the planned amount has already been pledged, the source said.
The investments would focus on sectors including energy, logistics, manufacturing and transport. Key details, including who would manage the fund and how the money would be distributed, have not yet been finalised.
A senior Iranian source told Reuters that Tehran had initially sought $400bn in war reparations from the United States, but Washington made clear it would not provide such payments. The idea of a privately backed Reconstruction and Development Fund was then developed as an alternative.
According to the Iranian source, countries in the region could contribute through loans, credit lines or direct financing for the repair of infrastructure damaged during the war, including industrial sites, refineries and airports.
Iran has attracted little foreign direct investment for decades because of US and international sanctions, despite its large energy reserves, industrial base and population of more than 92 million. The country holds some of the world’s largest proven oil and gas reserves, as well as potential in sectors ranging from petrochemicals and mining to tourism and agriculture.
The fund would not be created or activated until a final agreement is reached. Once the US-Iran memorandum of understanding is signed, a 60-day negotiation period is expected to follow.
During that period, fund managers would work with Iranian officials and prospective investors to identify and structure projects, the source said.
Iran and Pakistan, which reportedly helped mediate the memorandum, have not commented on the details. A White House spokesperson referred Reuters to remarks by US Vice President JD Vance, who said on Monday that Iran could gain access to a $300bn Gulf-backed reconstruction fund if it reached an agreement with Washington.
Source: AMNA
