Following intensive negotiations between the parties, through the tireless mediation of Pakistan, and with the support of Türkiye, Qatar, and Saudi Arabia, the US and Iran have reached an agreement. If signed and fully implemented, this would be a major turning point, marking the official end of the conflict between the US, Israel, and Iran.
The current document is only a memorandum of understanding (MoU), providing a framework for the next 60 days of negotiations between the US and Iran. According to some leaked information, in the soon-to-be-signed draft 14-point MoU between Iran and the US, Iran reaffirms its commitment to the Nuclear Non-Proliferation Treaty (NPT) and to not develop nuclear weapons; however, Iran’s missile program has been excluded from the negotiations.
To reach consensus on contentious issues, the US will release 50% of Iran’s total frozen assets, worth 24 billion USD, before the start of negotiations, with the remaining assets to be released during the 60-day negotiation period. Sanctions on Iranian oil and the US maritime blockade will also be lifted. Furthermore, Washington has pledged not to interfere in Iran's internal affairs and to respect its sovereignty.
UN Secretary-General Antonio Guterres hopes that the parties will capitalise on this new momentum and redouble their efforts toward a final solution to the conflict.
British Prime Minister Keir Starmer emphasised that the most important issue now is ensuring the restoration of maritime activity in the Strait of Hormuz, and, if necessary, the UK and France will establish a multilateral mission to participate in ensuring security in Hormuz, including assisting with demining.
Meanwhile, French President Emmanuel Macron said that at the Group of Seven (G7) summit in France, G7 leaders would discuss the permanent reopening of the Strait of Hormuz, as well as reaching an agreement on Iran’s nuclear and missile activities.
The US-Iran agreement provided impetus to efforts to resolve Iran’s nuclear issue, with several European countries such as the UK, France, Germany, and Italy issuing a joint statement affirming their commitment to actively cooperate with the US, Iran, and regional partners to achieve a lasting diplomatic solution to the Iranian nuclear problem.
The US-Iran agreement provided impetus to efforts to resolve Iran’s nuclear issue, with several European countries such as the UK, France, Germany, and Italy issuing a joint statement affirming their commitment to actively cooperate with the US, Iran, and regional partners to achieve a lasting diplomatic solution to the Iranian nuclear problem.
News of the US-Iran agreement has immediately cooled world oil prices: Brent crude fell by about 4% to $83 per barrel and WTI crude fell by 4.8% to $80.8 per barrel. A peace agreement is hoped to ease pressure on oil prices, restore consumer confidence, and give global central banks more room to adjust monetary policy.
However, many issues remain unresolved between the US and Iran. Following the official signing ceremony, which is scheduled to take place in Switzerland on June 19, the two sides will enter a challenging and difficult negotiation phase. Iran has stated that negotiations with the US will depend on Washington's fulfilment of preliminary commitments, which Tehran will verify between now and the signing of the MoU.
Nevertheless, the international community still hopes that the agreement to end the US-Iran conflict will be implemented steadily, moving towards a positive settlement.
