Geneva: The United States and Iran have signed a preliminary agreement to end the war in the Persian Gulf. President Donald Trump announced that both nations have agreed to a ceasefire, with further negotiations required to establish a permanent peace. Details of the agreement remain undisclosed at this time.
According to Thai News Agency, the agreement extends the temporary ceasefire announced in April by an additional 60 days. It also facilitates the reopening of the Strait of Hormuz, previously blocked by Iran since the United States and Israel launched attacks in February. The negotiations will address complex issues, including the future of Iran's nuclear program.
The agreement, electronically signed by the leaders of both countries, is slated for formal signing in Geneva on Friday. Vice President J.D. Vance will attend the ceremony, representing the United States. Vance indicated that President Trump might release details of the agreement before the signing, noting that the memorandum of understanding is a brief document containing broad principles.
President Trump communicated via Truth Social that Iran has agreed not to pursue nuclear weapons. He dismissed reports of the US paying Iran $300 million as false, clarifying that discussions involve a $300 billion recovery fund supported by neighboring Gulf countries with US military bases. Specifics of this fund remain unspecified.
The announcement led to a $4 per barrel drop in oil prices, reaching a three-month low as the market responded positively to the ceasefire negotiations.
Iranian President Masoud Peseshkian acknowledged on social media that the memorandum marks a significant step toward ending hostilities, though a lasting ceasefire agreement has yet to be reached.