Tehran is pressing Washington to unfreeze billions of dollars in assets held abroad as part of ongoing negotiations over sanctions relief, according to a representative familiar with the demand. The request has become a central sticking point in the talks, which have dragged on for months without a deal.
What Iran is asking for
Iran wants the U.S. to release assets frozen under sanctions that blocked access to funds in foreign banks and central bank accounts. That money comes from oil sales and other trade, much of which has been locked up since the U.S. reimposed sanctions in 2018 after leaving the nuclear deal. Tehran argues that unfreezing the funds is a necessary first step toward any agreement, not a concession to be bargained for later.
The exact amount Iran is demanding hasn't been made public, but analysts estimate it could be well over $10 billion held in accounts in South Korea, Iraq, and other countries. Iran has repeatedly said it cannot trust the U.S. to provide relief if the assets stay out of reach.
Why frozen assets are a flashpoint
For the U.S., releasing those assets without guarantees on Iran's nuclear program or support for proxy groups is politically difficult. Critics of the talks warn that handing over billions would give Tehran a financial lifeline with no permanent limits on its nuclear activities. The Biden administration has previously allowed limited transfers for humanitarian goods, but Iran insists on unconditional access.
“They keep saying sanctions relief is possible, but we see no real change,” a person close to the talks said. “The money is still frozen. That’s not relief.”
The deadlock has complicated broader negotiations. Without progress on the asset issue, Iran has refused to discuss other topics like uranium enrichment levels or ballistic missiles.
Where the talks stand now
Diplomatic channels remain open, with envoys from both sides meeting indirectly through European intermediaries. No official deadline has been set, but Iran has warned that its patience is limited. The U.S. has said it is willing to negotiate “in good faith” but has not publicly budged on releasing the frozen assets as a precondition.
Meanwhile, Iran’s economy continues to suffer. Inflation is high, and the rial has weakened against foreign currencies. Tehran sees the frozen assets as a lifeline, not a luxury.
The next round of discussions is expected within weeks. Whether the U.S. will meet Iran’s demand remains the open question that will determine if the talks move forward or stall again.
