Economic Compensation Timing Becomes Key Sticking Point in U.S.-Iran Negotiations

According to CNN, reported on June 4, economic compensation timing has emerged as one of the key sticking points in U.S.-Iran negotiations. Iran has indicated through mediators that it expects economic compensation immediately upon reaching a preliminary memorandum of understanding, rather than delaying payments to a future date.

Trump administration officials are concerned that unfreezing funds at such an early stage could reduce economic pressure on Iran and weaken Washington's leverage for entering the second phase of negotiations over Iran's nuclear program details. Trump has instructed his team that any agreement must appear substantially stricter than the 2015 nuclear deal and avoid any action that could be interpreted as "handing over large sums of cash."