US Says Iran's Unfrozen Money Will Buy American Goods, Iran Disagrees

US Treasury Secretary Scott Bessent said on Wednesday that the US Treasury Department would oversee Iranian funds once they are released under President Donald Trump's interim agreement with Tehran, telling CNBC's Squawk Box that a large share of the money would go towards purchasing American food and medicine, echoing earlier remarks made by Trump.

The claim has already met resistance from Iran. Officials in Tehran said on Tuesday that Washington or its partners would not be allowed to dictate how Iran spends its unfrozen assets, insisting that any agricultural purchases would be decided on price and quality rather than terms set by the United States.

Bessent said oversight would be handled by Treasury in West Asia, with initial funds likely released through Qatar and monitored by Treasury officials stationed in Doha. He described the arrangement as one that would recycle the money back into American goods.

The remarks come as the White House faces pushback from some Republican lawmakers, who argue the deal grants Iran too much, including sanctions relief and access to frozen assets, in return for what amounts to a temporary pause in hostilities. Bessent did not say how much money would be released, which body in Qatar would control the account, where funds would ultimately sit, what say Iran would have over purchases, or how Treasury intended to stop the money being diverted elsewhere.

Administration officials maintain the interim arrangement is meant to halt hostilities and open a sday 60 window for a more permanent settlement. Vice President JD Vance, who has taken part in the negotiations, said last week that no taxpayer money was being sent to Iran and that Tehran would only see economic benefits if it kept to the terms of the deal.

Trump said on Tuesday, and again in a social media post on Wednesday morning, that released funds and sanctions relief would sit in a US-controlled escrow account earmarked for food and medical supplies, including corn, wheat and soybeans. Bessent reiterated that the money would come from frozen Iranian funds and be used, in the first instance, for the benefit of the Iranian people.