Israel is now actively persuading the United States to keep Iran's vast frozen assets locked down, even as ceasefire talks appear to be inching forward. This isn't just a political statement; it's a strategic move to define the very structure of any potential deal.
The core of the issue is about sequencing: should Iran get access to billions of dollars as a gesture of goodwill to start a deal, or only after it has taken verifiable steps to curb its nuclear program and regional aggression? Israel, along with a growing consensus in Washington, is pushing hard for the second option: 'compliance first, money later.'
This push comes at a critical moment, shaped by a clear chain of events. First, recent developments in June created the perfect opportunity. President Trump publicly stated he would not unfreeze funds "up front," and just days later, the International Atomic Energy Agency (IAEA) passed a resolution demanding Iran provide access to its nuclear sites. These actions significantly reduced the political room for the U.S. to offer early cash relief, giving Israel's position more weight.
Second, the groundwork for this stance was laid in the preceding months. Talks in April and May repeatedly raised the possibility of unfreezing assets, which often caused oil prices to drop and sparked political backlash in the U.S. This made the idea of 'cash up front' politically toxic, as it was seen as rewarding Iran before securing any concessions. Each time the topic was broached, it reinforced the argument that financial relief was a powerful leverage tool that shouldn't be given away easily.
Third, the entire negotiation is shadowed by long-standing distrust. The conflict that began in February 2026 and the IAEA's persistent warnings about Iran's nuclear verification gaps since late 2025 have fundamentally changed the narrative. What might have been seen as a 'confidence-building measure' in other circumstances is now widely viewed as a 'premature concession' or even a 'reward for aggression.'
Therefore, Israel's current lobbying effort is the logical culmination of these events. It aims to ensure that any financial relief to Iran is not a lump-sum payment but is instead channeled through tightly controlled escrow accounts for humanitarian purposes, and only after Iran has met concrete, verifiable milestones.
- IAEA (International Atomic Energy Agency): The UN's nuclear watchdog, responsible for verifying that countries are not using nuclear technology for military purposes.
- Escrow: A legal arrangement where a third party temporarily holds money or property until a particular condition has been met.
- Leverage: In negotiations, the power to influence people and get the results you want.