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US, Iran Sign Peace Deal To End War, Reopen Hormuz; Pak Says MoU Comes Into ‘Immediate Effect’

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Key points generated by AI, verified by newsroom

  • US, Iran signed MoU ending hostilities, reopening Strait.
  • MoU includes sanctions relief, nuclear talks, immediate military cessation.
  • Agreement provides economic aid, guides future comprehensive negotiations.

US President Donald Trump and Iranian President Masoud Pezeshkian have signed a 14-point memorandum of understanding (MoU) designed to end hostilities between the two countries, reopen the Strait of Hormuz and establish a framework for negotiations on sanctions and Iran’s nuclear programme.

Trump signed the memorandum on Wednesday during a meeting with French President Emmanuel Macron in Paris. Pezeshkian also signed the agreement, which took effect immediately, CNN reported, citing a White House official.

Pakistan, which has played a mediation role in the peace talks said the newly signed memorandum, will come into effect immediately.

In a post on X, Prime Minister Shehbaz Sharif wrote: “Islamabad MoU shall enter into force with immediate effect and as a first step, Islamic Republic of Iran will instantly reopen the Strait of Hormuz and the United States of America will immediately lift the naval blockade.” 

Sharif said Pakistan and co-mediator Qatar will jointly host the official signing ceremony in Switzerland on Friday to mark the agreement and formally launch technical-level negotiations.

“The signing of this agreement at the highest level of the respective governments demonstrates the commitment of both sides to a diplomatic resolution of the conflict,” Sharif added.

The Embassy of Iran in India also took to X to confirmt the development. “President Pezeshkian and his US counterpart Trump signed the MoU between Tehran and Washington digitally and remotely,” it said, sharing images of the Iranian President signing the MoU.

MoU Aims To Ease Tensions

CNN reported that the United States released the text of the “Islamabad Memorandum of Understanding between the United States of America and the Islamic Republic of Iran”. 

A senior US administration official described the agreement as a mechanism to reopen the Strait of Hormuz, address Iran’s enriched uranium stockpile and create a phased framework for economic relief linked to Iranian compliance.

“This is fundamentally an agreement that allows us to open the Strait of Hormuz immediately, commit the Iranians to destroying the nuclear dust, and then gives us a dial where if the Iranians dial up their good behaviour, we respond by dialling up the kind of economic and sanctions relief that can make them a more prosperous country,” the official was quoted as saying.

Hormuz Reopening, Ceasefire Measures Included

According to Press TV, Iranian Foreign Ministry spokesperson Esmaeil Baghaei confirmed that the memorandum had been finalised and signed by both sides.

He said consultations involving Oman and other countries had been underway for some time and that arrangements concerning the Strait of Hormuz had largely been agreed upon.

Baghaei stated that safe maritime passage would be ensured while maintaining “the sovereignty and authority of the Islamic Republic of Iran over the Strait of Hormuz.”

What The US-Iran Agreement Includes

The agreement provides for the immediate and permanent cessation of military operations, including in Lebanon, and commits both sides to concluding negotiations on a final agreement within 60 days, with the possibility of an extension through mutual consent.

Under the memorandum, the United States will begin removing its naval blockade and associated restrictions, while Iran will facilitate the safe passage of commercial vessels through the Strait of Hormuz without charge for an initial 60-day period.

The document also lays out provisions for the phased lifting of sanctions, the release of frozen Iranian assets, Treasury waivers for Iranian oil exports and a US-backed reconstruction and economic development programme for Iran valued at a minimum of USD 300 billion.

Nuclear Commitments

Press TV reported that Iran reaffirmed its commitment not to develop or acquire nuclear weapons under the terms of the memorandum.

The agreement also calls for discussions on the future management of Iran’s enriched uranium stockpiles under the supervision of the International Atomic Energy Agency (IAEA).

Earlier, Fox News reported that the broader framework would include reopening the Strait of Hormuz, ending the American blockade, initiating a 60-day negotiation process on Iran’s uranium enrichment activities, sanctions relief measures and a structured ceasefire arrangement involving Israel and Hezbollah.

The memorandum is expected to serve as the basis for further negotiations aimed at reaching a comprehensive agreement between the two countries.

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