A memorandum of understanding between the US and Iran, expected to be formally signed in Switzerland on Friday, could pave the way for a $300 billion investment fund for Iran as part of a broader settlement to end the war that triggered a global energy crisis.

US Vice President JD Vance told CBS News that financial incentives would be tied to Iran’s compliance with the deal. He denied that the US would pay Iran, but said economic opportunities could arise if Iran meets its obligations.

President Donald Trump dismissed reports of a $300 million US payout as “Fake News” on Truth Social. Vance also refuted the $24 billion figure for unfrozen assets, saying it does not appear in any texts discussed with Iran.

Under the deal, Iran is to surrender its enriched uranium stockpile, allow regular inspections, and refrain from nuclear weapons production. The existing ceasefire is extended for 60 days, during which further negotiations will take place.

Iranian Foreign Minister Abbas Araghchi said the memorandum would bring economic benefits but stressed Tehran would not rely solely on them. He cited a history of broken promises and said talks on sanctions relief and the nuclear program would occur within 60 days.

Analysts suggest the investment fund concept is designed to avoid the optics of releasing frozen assets, but it creates a “dignity problem” for Iran, as the money is conditional and supervised.

Source: www.aljazeera.com