Trump Offered Big Sum of Money To End The War
Trump did pursue ending the war with Iran and the June 17, 2026 agreement included very large financial/economic provisions — but it was not a direct cash payment from Trump personally or the U.S. Treasury to Iran.
The amount being discussed was enormous: up to US$300 billion (US$300,000 million) for Iran's reconstruction and economic development. The proposal involved a potential investment and reconstruction fund, alongside other economic incentives.
Trump announced a preliminary peace deal (Memorandum of Understanding) June 17, 2026 to end the conflict. He did want the war to end publicly — citing concerns about oil prices and economic harm.
The US$300 billion proposal (June 2026)
According to Al Jazeera's June 16 report, a proposed US-Iran memorandum of understanding included a fund of at least US$300 billion for Iran.
The idea was to help rebuild Iran's economy after the war, encourage foreign companies to invest in Iran, reopen economic opportunities that had been restricted by international sanctions, and make financial benefits conditional on Iran fulfilling its commitments, particularly regarding its nuclear programme.
JD Vance explained that the money would come from investment opportunities involving regional and international businesses, rather than simply being handed over by the American government.
Trump also considered lifting sanctions
In March 2026, the US proposed a 15-point plan that reportedly offered Iran extensive sanctions relief in exchange for removing its enriched uranium stockpile, abandoning uranium enrichment capabilities, accepting restrictions on its ballistic missile programme, and ending support for regional armed groups, including Hezbollah and the Houthis.
Then, in September, Axios and CNN reported that Trump was willing to consider sanctions relief and releasing frozen Iranian assets in exchange for nuclear concessions.
Trump publicly denied making that offer, saying he had offered Iran nothing.
Iran's response
Iran first reaction was accepting the deal - but called it "U.S. Surrender". Iran signed the MOU alongside Trump on June 17. Parliament Speaker Ghalibaf (top negotiator): "This agreement is a record of U.S. failure" — framed it as America surrendering to Iran's 10-point terms, not a gift.
Supreme Leader Ayatollah Mojtaba Khamenei approved opening negotiations, but stressed every U.S. promise must be fully implemented first — deep distrust of past U.S. broken commitments. President Pezeshkian signed formally; state media framed it as victory over aggression.
Iran 'initially demanded $400 billion in war reparations' — rejected; then accepted the $300B investment/reconstruction framework instead. Iran insisted funds be fully, freely accessible to the Central Bank of Iran without extra conditions — a key point of dispute: U.S. said details TBD; Iran said immediate access.
Iran immediately demanded full, unblocked ability to sell oil and keep revenue — this started within days. Iran demanded U.S. must act first — sanctions relief, asset access, end blockade → then Iran fulfills its commitments.
| Issue | Iran's Position | U.S. Position |
|---|---|---|
| Funding source | Presented as secured for Iran | Said it's investors/Gulf partners, not U.S. taxpayer money |
| Frozen assets | Immediate, unrestricted access | Terms still being negotiated |
| Sanctions lifting | Full, permanent removal with timeline | Phased, conditional on Iranian compliance |
| Lebanon | Must stop Israeli attacks | Not part of this deal |
| Strait of Hormuz | Iran gets management role | Return to international norms |
As of late October 2026, final negotiations are still ongoing — the MOU is not a permanent treaty.
Israel's Reaction — In a Nutshell
Israel's reaction was largely anger, disappointment and a sense of betrayal.
Some Israeli politicians and commentators described Trump's proposed agreement with Iran as an American surrender. They were particularly unhappy that Washington appeared willing to offer Iran enormous economic benefits without first securing the destruction of its nuclear programme.
Interestingly, this created a significant disagreement between two countries that had been fighting Iran together.
Netanyahu maintained that preventing Iran from acquiring nuclear weapons remained Israel's priority, whether or not an agreement was reached.
He also made clear that Israel's security interests were not automatically covered by an American agreement with Tehran. The Washington Post reported on June 15 that Netanyahu was facing pressure from both his political allies and opponents over Trump's agreement.
Other Israeli politicians were even more furious
Here are some notable reactions reported in June 2026.
Itamar Ben-Gvir
Netanyahu's National Security Minister said the agreement did not bind Israel. He insisted Israel was an independent sovereign country.
Bezalel Smotrich
Called the agreement bad for Israel and argued that Israel must retain freedom to act against Hezbollah.
Yair Lapid
Described the agreement as one of the most serious failures in Israel's foreign and security policy.
What Israel Hated Most About the Deal
| Issue | Israel's Complaint |
|---|---|
| Nuclear program | Deal only deferred talks — did not demand full dismantlement or removal of enriched uranium. Israel called this the biggest failure |
| Ballistic missiles | Deal said nothing about Iran's missile arsenal |
| Hezbollah / Lebanon | U.S. tried to tie Israel's withdrawal to peace — Israel rejected external control over its northern border |
| Sanctions relief | Billions flowing to Iran = more money for Iran's network of proxies across the region |
| Exclusion | Decided without Israel at the table — Netanyahu was bypassed |
Could Israel continue fighting even if Trump wanted peace?
Israel insisted that an American agreement with Iran did not automatically prevent Israeli military operations.
Trump reportedly became furious about Israeli strikes in Beirut that threatened to undermine the negotiations.
After the US Proposal, Is There Still a War?
Large-scale war paused, but it is not truly over — and fighting has resumed in limited ways. The June 17, 2026 MOU did not result in a permanent peace. It collapsed, and as of late October 2026, the conflict is in a dangerous, unstable "gray zone" — not full-scale war, but definitely not peace.
Israel kept striking Hezbollah in Lebanon → Iran said U.S. was violating the deal.
| Date | Event |
|---|---|
| June 17 | MOU signed ✅ — ceasefire starts |
| Late June | Israel keeps striking Hezbollah; Iran warns deal is at risk ⚠️ |
| July 1–7 | Strait tensions spike — Iran stops tankers; U.S. delays asset release ⚠️ |
| July 8 | Trump calls deal "over"; U.S. strikes Iran; Iran suspends commitments ❌ |
| July–Aug | Talks drag on but nothing gets resolved |
| Aug 17 | 60-day deadline passes — no extension, no final deal ❌ |
| Aug–Oct | Limited strikes resume; sanctions stay; Strait unstable |
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