The Treasury Department intends to use Iranian assets to help U.S. Gulf allies recover from damage caused by Iran during the ongoing war, according to a source familiar with Treasury Secretary Scott Bessent's thinking who spoke to CBS News on Saturday.
The source said the Treasury plans to utilize all available authorities to make Iranian assets accessible for rebuilding and repair efforts related to any future damage inflicted by Iran. Bessent has also directed the Treasury to seek comprehensive estimates from Gulf allies of the costs associated with repairing damage caused by Iran since the conflict began.
The Treasury will also evaluate whether Iranian assets could be used to help finance repairs for damage already sustained by Gulf allies during the conflict, the source said.
It remains unclear which specific assets would be used. Options could include Iranian cash held in frozen bank accounts or hard assets such as oil tankers.
Since the war broke out in late February, Iran has launched intermittent missile and drone strikes on all the Gulf states, including Saudi Arabia, the United Arab Emirates, Kuwait, Bahrain, Qatar, and Oman.
The potential use of Iranian assets adds a new dimension to ongoing indirect peace talks between the U.S. and Iran. Tehran has insisted that any deal would require the lifting of sanctions to allow the release of billions of dollars in Iranian frozen assets held abroad. Using those assets to fund reconstruction for Gulf states would likely complicate that demand.
No timeline was given for when the Treasury might announce a formal policy or identify specific assets for use.
