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Qatar says it is “committed” to handling $6 billion in unfrozen Iranian funds in a deal reached under a US-Iran prisoner swap deal Iran.
Tehran has issued a warning following US reports of an agreement between Doha and Washington to suspend funds following the Hamas attack on Israel.
Qatar Prime Minister and Foreign Minister Mohammed bin Abdulrahman Al Thani said in a joint press conference with US Secretary of State Antony Blinken that the State of Qatar remains committed to any agreement and that each step had to be taken through consultation with other funding partners.
Earlier, Iran said the United States could not “withdraw” from the Qatar-sponsored deal to release $6 billion in assets from Tehran.
The United States said on Thursday that Iran would not have access to $6 billion in Iranian funds deposited in a Qatar bank last month as part of a prisoner swap and that Washington reserved the right to completely freeze this account.
The issue of Iran’s access to funds has been in the spotlight since Iranian-backed Palestinian Hamas militants attacked Israel on Saturday.
Last month, Washington and Tehran agreed to transfer $6 billion in Iranian assets frozen in South Korea to a particular account in Qatar, and Iran released five American detainees after transferring money to accounts in Doha.
The agreement sparked widespread controversy in circles. Republicans have accused the Biden administration of engaging in what has become known as “hostage diplomacy,” referring to Iran detaining Western nationals on its territory before releasing them after securing concessions.
“Iran will not be able to access the funds for the foreseeable future,” a senior U.S. official told Reuters, speaking on condition of anonymity.
Blinken told a news conference in Tel Aviv that Iran had not received those funds and had not spent any of them.
“None of the funds that have now gone to Qatar have been spent or used in any way by Iran. … We strictly monitor these funds and reserve the right to freeze them.”
On Thursday, several American media outlets reported that the United States and Qatar had agreed to block Iran from accessing the funds.
– Qatari-Iranian talks
The official IRNA news agency reported that the governor of the Central Bank of Qatar, Sheikh Bandar bin Mohammed bin Saud Al Thani, met on Saturday with his Iranian counterpart, Mohammad-Reza Farzin, on the sidelines of the annual meetings of the International Monetary Fund and of the World Council. Bank in Morocco.
The Qatari official affirmed that his country was fully committed to fulfilling all its obligations towards Iran and that there were no obstacles to strengthening banking relations between the two countries.
“The rumors about the refreezing of Iranian funds in Qatari banks had no real value and looked more like a joke and a media game,” Al Thani said, according to IRNA.
The Iranian agency added that Farzin said that since the financial resources released by Iran can be used in Qatar through SWIFT and with the opening of LC, technical communication between Qatari banks and six Iranian banks is in progress.
“By establishing these technical connections, the operational banks send and process the necessary payment orders,” he said.
Iranian oil revenues were frozen in Seoul after Washington, under former President Donald Trump, imposed a complete embargo on Iranian oil exports and sanctions on its banks in 2019.
– The White House refuses to confirm
White House national security spokesman John Kirby declined to discuss diplomatic conversations or “speculate…on future transactions.”
He said the money was intended to be paid “to licensed sellers – which we have approved – to purchase food, medicines and medical equipment, agricultural products, and ship them directly to Iran for the benefit of the people Iranian”.
“Every penny of that money is still in the Qatari bank,” Kirby told reporters, adding: “The regime would never have received a single penny of that money.”
Separately, Agence France Presse reported that the spokesperson for Iran’s permanent mission to the UN, Ali Karimi Magham, said in a message on X on Thursday evening that the US government knew he could NOT go back on the agreement.
“The money rightfully belongs to the Iranian people and is intended for the government of the Islamic Republic of Iran to facilitate the acquisition of all essential goods for Iranians,” he added.
– Possible sanctions
Speculation is growing over whether the United States will tighten restrictions on Iranian oil exports following Hamas’ surprise attack on Israel last week.
US Treasury Secretary Janet Yellen said on Wednesday that additional US sanctions could be imposed in response to Hamas’ attack on Israel.
“I wouldn’t take anything off the table regarding possible future actions, but I certainly don’t want to move forward from the current situation,” Yellen said at a news conference in Marrakech, Morocco, according to Bloomberg.
Yellen rejected the widely held notion that the United States has gradually eased some of the sanctions imposed on Iranian oil sales as part of broader efforts to achieve diplomatic rapprochement.
Since Hamas’ unprecedented operation against Israel on Saturday, attention has turned to Iran due to its support for the movement for many years.
Despite their close relations, Iranian leaders confirmed that their country was not involved in the Hamas attack on Israel, but expressed support for the operation.
US President Joe Biden on Wednesday warned Iran against getting involved in Israel’s conflict with Hamas.
The US special envoy to Iran discussed joint efforts to counter threats posed by Iran to the interests of the United States and Israel with a senior Israeli Foreign Ministry official on Friday evening.
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