JD Vance Says Iran Could Access $300 Billion Reconstruction Fund Under Peace Deal

US Vice President JD Vance has dismissed reports claiming that the United States is offering Iran access to a $300 billion reconstruction fund as part of an interim US-Iran agreement, clarifying that the proposal involves private investment mechanisms rather than direct American financial assistance. Vance made the remarks during an appearance on The Megyn Kelly Show, where he addressed widespread speculation about the alleged fund.

He said the US is not providing money to Iran but instead would consider allowing foreign investment into the country if Tehran complies with the terms of a potential agreement. According to Vance, the framework under discussion is designed to create conditions in which international investors could participate in Iranian development projects, provided Iran alters its behaviour in line with the deal’s requirements. He stressed that any financial activity would depend on the lifting of sanctions and would not involve direct US government funding.

He further explained that countries such as the United Arab Emirates or other regional partners could potentially invest in sectors like energy infrastructure in Iran, but only if restrictions within the global financial system are eased as part of a verified agreement. Vance rejected claims that Washington was “giving money” to Tehran, calling such interpretations inaccurate and misleading.

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The clarification comes after reports, including one cited by Reuters, suggested that a $300 billion private investment fund was being considered as part of a broader US-Iran framework agreement. The reported mechanism was described as an economic incentive structure intended to support reconstruction and development efforts in Iran through international private capital.

According to those reports, the proposed fund would not involve direct government grants or US taxpayer money, but would instead operate as a private investment vehicle drawing contributions from companies in regions including the Gulf, Asia, South America, and Africa. The fund was also said to target sectors such as energy, transport, logistics, and industrial reconstruction.

The reported framework also suggested that investment flows would be tied to Iran’s compliance with agreed terms, with sanctions relief acting as a key condition for unlocking capital. Iranian and US sources cited in the reports indicated that the mechanism would only become operational after a final agreement is reached, with a structured timeline for implementation over several weeks.

Iran, which remains heavily restricted by international sanctions, has long struggled to attract significant foreign direct investment despite possessing vast natural resources and a large domestic industrial base. The proposed framework, as described in the reports, is seen as an attempt to create economic incentives alongside diplomatic negotiations aimed at stabilising tensions and reopening trade routes such as the Strait of Hormuz.

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