Iran deal includes $300 billion investment fund

A $300 billion private investment fund outlined in the US–Iran framework agreement is intended to stimulate investment into Iran, and more than half of the total has already been committed, according to a source familiar with the deal.

The fund is designed to give both sides an economic incentive to conclude a final deal to end the war, said the source, who spoke on condition of anonymity because the plan has not yet been announced as Washington and Tehran prepare to sign on Friday, News.Az reports, citing The Jerusalem Post.

The fund's existence has been previously reported but Reuters is revealing for the first time that more than half of the amount has already been committed and that it will be comprised entirely of private-sector funds.

US and Iranian officials said on Sunday they had agreed on a framework to end their war, which began when US and Israeli forces attacked Iran on February 28, halt the US blockade of Iran and reopen the Strait of Hormuz, a key supply route for global oil and gas.

The new fund is a private investment vehicle, not a reconstruction or reparations program and will not include any government money or grants, the source said, adding that companies based in the US, the Gulf Arab states, Asia, South America and Africa have agreed to commit financing.

Investments pledged span energy, logistics, manufacturing and transport, the source said.

News.Az 

By Ulviyya Salmanli