• Iran’s top negotiator claims the US has agreed to grant access to frozen Iranian assets, though US officials insist no funds will be released outright.
  • Negotiations remain deadlocked over the amount, timing, and conditions for any asset release, with Washington favoring staged disbursements tied to compliance.
  • The outcome could have significant economic and political implications, affecting Iran’s liquidity, regional financial flows, and the broader US-Iran diplomatic track.

Iran’s lead nuclear negotiator, Ali Baghaei, stated on Thursday that the United States has committed to providing Iran with access to its frozen funds abroad, but stressed that Washington will not actually hand over any money – a cryptic formulation that reflects the ongoing stalemate in asset-release talks.

According to people familiar with the matter, the negotiations have centered on a staged release of Iranian assets held in foreign accounts, with the US insisting on strict oversight and humanitarian uses. Baghaei’s remarks appear to acknowledge that while a framework for access may be emerging, no immediate transfer is forthcoming. The US has not commented directly on Baghaei’s statement, but officials have previously indicated that any release would be conditional.

The dispute over frozen funds – estimated at tens of billions of dollars – has intensified as both sides seek a pathway toward a broader interim agreement. Iran has demanded a large upfront liquidity boost, while the US prefers phased disbursements tied to verified commitments, such as curbs on nuclear activities or regional de-escalation. Reports have floated figures ranging from a few billion dollars initially to a more gradual release over time.

“The sticking point is not whether to release the funds, but how and when,” said a former US diplomat familiar with the talks. “Iran wants a sign of relief now; the US wants to maintain leverage.”

Any eventual release could bolster Iran’s import capacity and help stabilize its economy, which has been battered by sanctions. However, the conditions attached – likely requiring funds to be used for humanitarian goods like food and medicine – may limit the immediate impact on ordinary Iranians. International banks, wary of US sanctions, remain cautious about facilitating transactions.

Geopolitically, the asset issue is intertwined with broader US-Iran diplomacy, including potential understandings on ceasefires in the region and Iran’s support for proxy groups. Gulf allies are monitoring closely, as any sanctions relief could shift regional dynamics.

Negotiations are expected to continue in the coming weeks, with both sides under domestic pressure. The US faces criticism from hawks who oppose any relief before sweeping changes in Iran’s behavior, while Iranian leaders need to show progress to a public weary of economic hardship.

Correction: An earlier version of this article mischaracterized Baghaei’s statement. It has been updated to clarify that he said the US will commit to access, not an outright release.