US and Iran Sign Islamabad Memorandum to End Hostilities and Reopen Strait of Hormuz

Early on Thursday, US President Donald Trump and Iranian President Masoud Bezhikian electronically signed a memorandum of understanding between their countries, as confirmed by images and footage from both sides.

The United States published the text of the interim agreement with Iran on Wednesday. The accord aims to cease hostilities and reopen the Strait of Hormuz. Trump signed the preliminary memorandum of understanding at the Palace of Versailles in France.

The agreement, detailed in 14 clauses and read to journalists by a senior US official, represents a broad understanding between the two parties. However, it postpones decisions on several complex issues, such as how to end Tehran's nuclear program, pending a final agreement. This accord initiates a 60-day negotiation period, extendable by mutual consent.

The full text of the document titled "Islamabad Memorandum of Understanding between the United States and Iran" is as follows:

1. The United States and Iran, along with their allies in the current conflict, declare an immediate and permanent end to the war on all fronts upon signing the memorandum of understanding, including in Lebanon. Both parties commit henceforth to refrain from any hostile acts against each other, to avoid threats or use of force, and to guarantee Lebanon’s territorial integrity and sovereignty.

The final agreement will confirm the permanent cessation of war on all fronts, including Lebanon, along with the other provisions in this clause.

2. The United States and Iran pledge to respect each other's sovereignty and territorial integrity and to abstain from interfering in each other's internal affairs.

3. Both countries commit to negotiating and reaching a final agreement within a maximum period of 60 days, extendable upon mutual agreement.

4. Upon signing the memorandum, the United States will lift the naval blockade imposed on Iran and remove any obstacles or barriers against it, completing this lifting within 30 days.

During this period, ship movements will correspond proportionally to the volume of navigation before the outbreak of war, which Iran will resume. The United States also commits to withdrawing its forces from areas surrounding Iran within 30 days from the date of the final agreement.

5. Iran will exert its utmost efforts immediately after signing the memorandum to arrange safe passage for commercial vessels without fees for 60 days only, covering transit from the Gulf to the Gulf of Oman and vice versa.

Commercial shipping will commence immediately. Considering the need to remove technical and military obstacles and clear mines, regular passage will resume within 30 days.

Tehran will engage in dialogue with the Sultanate of Oman to determine future maritime administration and services in the Strait of Hormuz, coordinating with other Gulf states, consistent with applicable international law and the sovereign rights of the two littoral states.

6. The United States, cooperating with regional partners, will prepare a final agreed plan between the parties for reconstruction and economic growth in Iran, valued at no less than $300 billion.

The finalization of the implementation mechanism for this plan will occur within 60 days as part of the final agreement. The United States will grant all necessary licenses, exemptions, and permits for related financial transactions.

7. The United States commits to lifting all sanctions against Iran according to a timetable agreed upon in the final agreement. This includes United Nations Security Council resolutions, International Atomic Energy Agency Board of Governors decisions, and all unilateral US sanctions, whether primary or secondary.

Both the United States and Iran acknowledge the critical importance of resolving these sanctions issues and express their intention to address them immediately in negotiations to reach a mutual agreement.

8. Iran reaffirms it will not seek to acquire or develop nuclear weapons. The United States and Iran agree to resolve the fate of stored enriched materials according to a mechanism to be agreed upon, following the timetable in clause seven. The preferred approach is to reduce enrichment concentration in place under International Atomic Energy Agency supervision.

They also agree to discuss enrichment and other agreed issues related to Tehran's nuclear needs, based on a satisfactory framework to be established in the final agreement.

The final agreement will confirm the provisions of this clause. Washington and Tehran recognize the critical importance of the nuclear issues mentioned and express their intention to address them promptly in negotiations to reach a mutual agreement.

9. Iran and the United States agree to maintain the status quo until a final agreement is reached. Tehran will maintain its current nuclear program status, while Washington will not impose new sanctions on Tehran or deploy additional forces in the region.

10. The United States pledges that the Treasury Department will issue exemptions for Iranian crude oil exports, petrochemical products, derivatives, and all related services, including banking, insurance, and transport, from the signing of the memorandum until sanctions are lifted.

11. The United States commits to full access to Iran’s frozen or restricted funds and assets. Washington and Tehran will agree on procedures for releasing these funds during negotiations following the memorandum's implementation.

These funds, whether held in the main account or transferred, will be fully usable to pay any final beneficiary designated by Iran's Central Bank. The United States also commits to issuing all necessary permits and licenses accordingly.

12. Iran and the United States agree to establish an implementation mechanism to oversee successful compliance and future commitment to the final agreement.

13. After signing the memorandum and upon receiving guarantees regarding the commencement of implementing clauses 4, 5, 10, and 11 and their continued execution, the United States and Iran will enter negotiations to finalize an agreement concerning only the remaining clauses.

14. The final agreement will be adopted through a binding resolution by the United Nations Security Council.