As negotiations between the United States and Iran move closer to a possible agreement, Iranian officials have outlined a set of conditions that they say must be met before any final deal can take effect. While Washington has focused on Iran’s nuclear programme, Tehran has pushed for measures addressing sanctions, maritime access and regional security.Iran has outlined a series of conditions for ending its war with the United States, with foreign minister Abbas Araghchi saying a proposed memorandum of understanding (MoU) is closer than ever to completion.The proposed framework, reportedly known as the ‘Islamabad Memorandum of Understanding’ or ‘Islamabad Agreement’, would serve as an interim arrangement aimed at ending hostilities and creating conditions for broader negotiations on Iran’s nuclear programme.The agreement is designed to extend the ceasefire, reopen the Strait of Hormuz and create a framework for future negotiations on Iran’s nuclear programme.While US President Donald Trump has repeatedly claimed that a deal is imminent, Iranian officials have stressed that no final decision has been taken and that the text remains under review by Tehran’s leadership.
Iran’s first demand: Lift the US blockade
Iran has repeatedly said that the most important element of the proposed agreement is the lifting of the US naval blockade imposed during the war.Speaking to Iranian state television, Araghchi said the first article of the proposed memorandum focuses on ending restrictions on Iranian shipping and trade.He stressed that the first point mentioned in the MOU was the lifting of the US naval blockade of Iran.According to details discussed by US and Iranian officials, the reopening of the Strait of Hormuz would be linked to the lifting of the US blockade on Iranian ports and shipping.
Iran wants a different Strait of Hormuz arrangement
The future of the Strait of Hormuz remains one of the most sensitive issues in the negotiations.The waterway, through which roughly one-fifth of the world’s oil and liquefied natural gas normally passes, has been effectively disrupted since the conflict began. Iran has imposed a toll system during the war, while the United States has insisted that passage should remain free.
Araghchi indicated that Tehran does not intend to return to the previous arrangement, CBS news reported.“As for the Strait of Hormuz, its administration will no longer be the same as before,” he said.In another interview, he made clear that Iran expects commercial vessels to continue paying for services provided by Tehran.“There will be costs involved, and those costs must be paid,” Araghchi said.Reuters also reported that Araghchi stressed that Iran, together with Oman, would continue to retain authority over traffic through the strategic waterway.“Our sword will always hang over the Strait of Hormuz,” he said.
Iran wants Lebanon included in the deal
Another major Iranian demand is that the agreement should not only cover Iran but also include an end to hostilities involving Hezbollah in Lebanon, BBC reported.Araghchi said the draft memorandum consists of 14 articles and that the first phase focuses on ending conflicts involving both Iran and Lebanon.Speaking to Iranian state television, he rejected suggestions that Hezbollah could be excluded from any final arrangement.“We will not forget Lebanon’s Hezbollah in any agreement. Iran will never leave Hezbollah alone,” Araghchi said.Iran has reportedly insisted throughout negotiations that any ceasefire arrangement should apply ‘on all fronts, including Lebanon.’
Nuclear talks to come later
Iran has also pushed for separating the ceasefire agreement from negotiations over its nuclear programme.According to Araghchi, the current memorandum is focused on ending hostilities and creating conditions for future talks rather than immediately settling nuclear disputes.He said discussions on Iran’s nuclear programme would be deferred to a second phase lasting 60 days after the initial agreement is signed.
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“All details of the nuclear program would be deferred to a round of negotiations that would take place after the memorandum of understanding or letter of intent is signed,” Araghchi said, according to state media.He also suggested that the 60-day period could be extended if required.Regarding Iran’s stockpile of highly enriched uranium, Araghchi said Tehran prefers a different solution from the one proposed by Washington.“For Tehran, the only preferred solution for its highly enriched uranium stockpile is down-blending the material,” he said.
Iran says no final decision yet
Despite reports that the text has largely been agreed, Iranian officials continue to caution that approval has not yet been secured.Araghchi acknowledged that there are differing views within Iran’s Supreme National Security Council regarding the proposed terms.“There are supporters and opponents of the latest terms of the deal,” he said.He added that no collective decision had yet been reached.“For now, we must wait. If approved, the agreement will be signed remotely.”In a separate post on X, Araghchi urged caution over media reports claiming details of the deal had already been finalised.“Pending its finalization, the media should refrain from entering speculation about its content,” he wrote.He added that all details would be made public once the process is complete.“In line with Iran’s responsible and transparent approach, all details will be shared with the public in due course.”
What the United States wants
While Iran has focused on sanctions relief, shipping access and Lebanon, Washington’s priorities centre on nuclear restrictions and regional security.US officials say the proposed agreement would require Iran to:
- Reopen the Strait of Hormuz immediately.
- Stop funding proxy groups across the region, including Hezbollah and other Iran-backed organisations.
- Commit never to acquire a nuclear weapon.
- Address concerns surrounding its stockpile of highly enriched uranium.
- Accept future verification measures and compliance mechanisms.
According to US officials, the deal would begin with a 60-day negotiation period focused on Iran’s enriched uranium stockpile.American officials have said the ultimate goal is the destruction or removal of Iran’s highly enriched uranium and broader restrictions on Tehran’s nuclear activities.The United States has also made clear that any sanctions relief would be linked to Iranian compliance.A senior US administration official said the agreement is based on performance rather than trust.“Iran would only receive economic benefits when it could be verified it had implemented measures it had committed to.”US officials also rejected suggestions that Tehran would receive large sums of money immediately after signing, saying sanctions relief and access to frozen assets would happen gradually.
Digital signing now being considered
While earlier discussions focused on an in-person signing ceremony in Europe, Iran now says a remote signing is being considered, CBS reported.Speaking to Iranian state media, Araghchi said the memorandum could be signed digitally before being announced publicly.“Once this memorandum of understanding is signed by both parties, it will be announced and that will be it.”He expressed optimism that an agreement could be finalised soon.“As soon as the final stages of our negotiations are completed, this agreement will be signed and announced.”“This could happen in the coming days. I am very hopeful.”Pakistan, which has played a leading role in mediation efforts, has said Washington and Tehran have already agreed on the wording of the text and are now discussing implementation.Prime Minister Shehbaz Sharif described the negotiations as being at their closest point to success.Araghchi echoed that assessment.“The memorandum of understanding has never been closer” to completion, he said.However, both sides acknowledge that final approval is still required before the proposed Islamabad Agreement can formally take effect.
