The Treasury Department will oversee Iranian funds when they are released under President Donald Trump’s interim Iran agreement, Treasury Secretary Scott Bessent said Wednesday on CNBC’s “Squawk Box.”
“A very large percentage of it will go to buy U.S. foodstuffs and medicines,” Bessent said, repeating what the president had said about how the unfrozen funds will be spent.
The administration’s pledge has already run into a competing account from Tehran. Iranian officials on Tuesday rejected the idea that Washington or its partners would dictate how Iran spends unfrozen assets, saying any agricultural purchases would be based on price and quality rather than U.S.-imposed terms.
That disagreement underscores a central question hanging over the deal: whether Treasury will have direct legal control over the money once it is released, or whether the U.S. is describing conditions it hopes to enforce through foreign banks, escrow accounts and sanctions pressure.
Bessent said the unfrozen funds would be overseen by Treasury in the Middle East, suggesting the administration is trying to place guardrails around one of the most politically sensitive pieces of the agreement: Iran’s access to frozen assets.
Bessent said the initial money would likely be released from Qatar, with Treasury officials in Doha overseeing how the funds are allocated. He said the arrangement would “recycle” the money back into U.S. products.
The comments come as the White House faces backlash from some congressional Republicans over whether Trump’s deal gives Iran too much, including sanctions relief and access to frozen funds, in exchange for a temporary negotiating window.
The arrangement described by Bessent would also create a potential domestic economic argument for the deal: Some of the released funds could flow back to U.S. farmers, food producers and pharmaceutical companies if Iran is required or encouraged to use the money to buy U.S. goods.
But the mechanics remain unclear.
Bessent did not specify how much money would be released, which entity in Qatar would control the account, where the funds would be held, what role Iran would play in directing purchases or what enforcement tools Treasury would use to ensure the money is not diverted.
Administration officials have argued the interim deal is designed to stop hostilities and create a 60-day window for a broader agreement. Critics say the White House is offering too much up front while leaving major security questions unresolved.
Vice President JD Vance, who has been involved in the negotiations, defended the agreement last week, insisting the U.S. is not sending taxpayer money to Iran and that Tehran would receive economic benefits only if it complies with the deal.
Trump said Tuesday — and reiterated in a social media post Wednesday morning — that the money and sanctions relief being released by Treasury would go into a U.S.-controlled escrow account and be used for food and medical supplies from the United States, including corn, wheat and soybeans.
Bessent echoed that argument Wednesday, saying any money Iran receives would come from frozen Iranian funds and be used first “for the benefit of the Iranian people.”
