The U.S. and Iran have reportedly put together a 14-point memorandum of understanding that lays out a roadmap for easing tensions before formal peace talks even begin. CNBC reported Friday, citing Iran's semi-official Mehr News Agency, that these measures need to be implemented first.
So what's in this draft? Let's break it down.
First, the U.S. would lift its naval blockade, and Iran would reopen the Strait of Hormuz. That's a big deal for global oil markets—the strait is a critical chokepoint for about 20% of the world's petroleum.
Second, the U.S. and its allies would put together a $300 billion reconstruction plan for Iran, and all American forces would withdraw from the country.
Third, there's a 60-day ceasefire extension, including in Lebanon, during which nuclear negotiations would take place.
Fourth, according to Axios, Iran commits to never acquiring a nuclear weapon, and there's a framework for dealing with Iran's enriched uranium stockpile. But any action on that front depends on a second, more detailed accord. A senior U.S. official told Axios that Iran could potentially dilute its highly enriched uranium domestically under U.N. supervision—but only if the two sides reach a follow-up agreement.
Fifth, Iran would get a 60-day sanctions waiver allowing it to resume oil exports. If it shows good faith in follow-up negotiations, broader sanctions relief could follow.
Sixth, Iranian state media says the draft includes releasing half of Iran's frozen funds. Axios, however, reports that this might be handled in a "secret side agreement."
As of Thursday, the proposed deal—likely to be called the Islamabad agreement if finalized—had secured approval from senior Iranian officials but was still awaiting final sign-off from Supreme Leader Mojtaba Khamenei. The tentative agreement was reached late Wednesday after talks between Qatari mediator Ali Al-Thawadi and Iranian Foreign Minister Abbas Araghchi, according to Axios.
