Iran Rejects Proposal to Use Frozen Assets for Gulf War Damage Compensation

Iran has strongly opposed reports suggesting that its frozen assets could be used to compensate Gulf countries for damage caused during the ongoing regional conflict. Deputy Foreign Minister Kazem Gharibabadi stated that Iranian funds are not available for redistribution and cannot be treated as compensation for other nations.

According to Iranian officials, any seizure, transfer, or allocation of the country’s assets without Tehran’s approval would violate international law and could trigger a response from Iran.

Dispute Over Reparations and Frozen Funds

The reaction follows reports that U.S. officials are evaluating the possibility of using Iranian assets to help Gulf allies recover from war-related damage. Estimates suggest that damage to regional energy infrastructure could reach as much as $58 billion.

Iran argues that some regional governments supported military actions against it and therefore have no basis to seek reparations. Tehran instead maintains that it deserves compensation for losses suffered during the conflict.

Sanctions Relief Remains a Key Demand

Iran continues to seek the release of billions of dollars in frozen assets, the removal of international sanctions, and recognition of its role in the Strait of Hormuz as part of broader negotiations aimed at ending the conflict.