Tehran / Washington | May 2026
Iran has reportedly signaled that it could consider reopening the strategically vital Strait of Hormuz if the United States and Israel agree to pay substantial compensation as part of a wider war settlement, according to multiple diplomatic and media reports.
The proposed framework is part of ongoing Pakistan-mediated negotiations aimed at ending the 2026 Iran conflict and restoring global shipping through the Persian Gulf chokepoint.
đź’¬ What Iran is demanding
According to reports from negotiations:
Iran is seeking financial compensation for war-related damage
It has also tied discussions on reopening the strait to broader political conditions, including sanctions relief and military de-escalation
Some proposals suggest compensation could be worth hundreds of billions of dollars, though exact figures remain disputed
U.S. position
Washington has not confirmed any agreement on direct compensation payments. U.S. officials reportedly view Iran’s conditions as excessive and insist that:
The Strait must be reopened for free international navigation
Security guarantees must be established before any sanctions relief
Nuclear and regional security issues must also be resolved in parallel
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