The United States and Qatar are coordinating efforts to unlock billions of dollars in frozen Iranian assets for humanitarian purposes as part of incentives tied to ending ongoing conflicts, according to The Wall Street Journal citing sources close to the discussions.

This arrangement would enable Iran to initially tap into $6 billion currently located in Qatar, designated exclusively for buying food, medicine, and other essential humanitarian items. These transactions would involve Iran's central bank utilizing proceeds from oil sales previously restricted abroad due to sanctions, as explained by those familiar with the plans.

Back in 2023, the US granted a sanctions waiver during the Biden administration that facilitated moving $6 billion in Iranian oil earnings from South Korea to Qatar for humanitarian expenditures, though the money was subsequently restricted following the October 7 events.

Potential Model for Future Releases

The proposed structure could serve as a template for freeing additional Iranian holdings down the line, including an initial $24 billion pool that Tehran seeks to access without delay, according to the sources.

Iran has yet to accept the current outline, which has been placed on the agenda for upcoming US-Iran discussions. The US has committed to rendering Iran's frozen assets fully usable, with one official noting that access would continue provided Iran remains engaged in the negotiation process, the WSJ indicated.

"We have taken their money; it is not our money, it is their money, and we froze it. At a certain point in time, I guess we are going to have to give it back," US President Donald Trump stated to reporters on Wednesday.

Iran's restricted assets remain held under sanctions across nations such as China, India, Iraq, and Qatar.

Discussions regarding the Qatar-held funds commenced in late May when Iran's parliamentary speaker, Mohammad Bagher Ghalibaf, headed a group to Doha for talks on the arrangements, per individuals briefed on the matter.