A leaked 14-point framework agreement establishes an immediate ceasefire between the U.S. and Iran, alongside a 60-day window to negotiate a final treaty.
The deal introduces a $300 billion entirely private investment vehicle to back Iranian reconstruction, with over half the capital already committed globally.
Persistent friction points remain over U.S. demands for zero nuclear enrichment and Israel's refusal to withdraw forces from occupied parts of Lebanon.
A leaked 14-point framework agreement between Washington and Tehran reveals a memorandum of understanding to immediately end the war on all fronts, anchored by a proposed $300 billion investment plan of which more than half has already been committed by private sectors globally.
The agreement, scheduled to be signed by top American and Iranian officials in Geneva on Friday, 19 June, establishes a 60-day negotiation window to secure a final treaty. While the framework ends a conflict that began on 28 February with U.S. and Israeli attacks on Iran, it faces immediate friction points: the United States demands zero nuclear enrichment, whereas Iran maintains its right to enrich uranium while holding hundreds of kilograms of highly enriched material. Furthermore, Israel’s refusal to withdraw from occupied parts of Lebanon and vow of continued resistance from Iran-backed Hezbollah threaten the permanent ceasefire.
The text of the draft agreement, initially published by Saudi Arabia’s Al Arabiya network, mandates an immediate and permanent end to the war on all fronts, including Lebanon, binding both nations to respect each other's sovereignty and refrain from internal interference. This marks a shift for U.S. President Donald Trump, who publicly abandoned his earlier indirect calls for regime change in Tehran following the announcement of the memorandum on 15 June.
Central to the financial scaffolding of the deal is a $300 billion vehicle named the Reconstruction and Development Fund. A source with direct knowledge of the deal told Reuters that the fund is comprised entirely of private-sector money, with no government funds or grants involved. More than half of the $300 billion has already been committed by companies based in the U.S., the Gulf Arab states, Asia, South America, and Africa. Prominent corporate commitments have originated from South Korea, Japan, Singapore, Malaysia, and the United States, though a full list remains unannounced.
According to an Iranian source cited by Reuters, Tehran originally sought $400 billion in war reparations directly from the United States. Washington refused, prompting Pakistan to mediate a compromise that resulted in the private fund. The mechanism relies on regional countries facilitating loans, establishing credit lines, or directly financing the reconstruction of war-damaged infrastructure, including refineries, airports, and the Mobarakeh Steel complex.
U.S. Vice President JD Vance stated in a CBS interview that Iran’s access to the fund—which he noted is backed by Gulf states—remains contingent on compliance with Washington’s demands. These include dismantling its nuclear programme, eliminating its highly enriched uranium stockpile, and accepting a stringent inspection and enforcement regime. The source told Reuters that the fund will only become operational once a final deal is signed; during the upcoming 60-day framework period, administrators will work alongside Iranian officials and global investors to scope projects spanning the energy, logistics, manufacturing, and transport sectors.
The investment fund operates on a separate track from parallel negotiations regarding the lifting of U.S. sanctions and the unfreezing of Iranian sovereign assets, Reuters reported. The Hindu's coverage of the leaked text notes that the U.S. has committed to lifting sanctions on Iranian crude oil, banking, petrochemical products, and other services during the negotiation period, with a pledge to lift all sanctions upon a final agreement.
Disagreements persist over the execution of these financial clauses. The Hindu reported that while Iranian officials expect immediate access to certain restricted funds, the Trump administration maintains that no cash will be sent directly to Iran. However, the 11th point of the leaked text states that the U.S. undertakes to release and make restricted funds fully available in light of negotiation progress, issuing all necessary permits and licenses.
Immediate operational clauses require the U.S. to lift its naval blockade, while Iran must allow shipping traffic through the Strait of Hormuz to return to pre-war volumes within 30 days. This timeline accounts for the neutralisation of naval mines and the removal of technical obstacles by Iran. While President Trump stated that traffic through the strait would be toll-free, Iran’s Foreign Ministry clarified that while no formal toll will be levied, passing vessels must pay for environmental upkeep and related services.
The framework further dictates that the U.S. will withdraw its forces from "surrounding areas" within 30 days of a final agreement, though the text leaves those specific geographic areas undefined.
Nuclear protocol remains the most contentious issue for the upcoming 60-day track, which can be extended by mutual consent. The draft text states that Iran reiterates it will never produce nuclear weapons—reaffirming a pledge originally made in the 2015 JCPOA framework which President Trump unilaterally exited in 2018. The fate of Iran's existing enriched material and its domestic nuclear needs are deferred entirely to the final negotiations, where negotiators must bridge the gap between Iran's insistence on its right to enrich and the U.S. demand for zero enrichment on Iranian soil.
Both sides have agreed that any final, comprehensive agreement resulting from these tracks will be formalised and approved through a binding resolution of the United Nations Security Council. Neither Iran's nor Pakistan's foreign ministries responded to requests for comment regarding the administration details of the upcoming framework.
(With inputs from The Hindu and Reuters)
