White House weighs using frozen Iranian assets for Gulf allies' reconstruction
The Trump administration is weighing whether to tap frozen Iranian assets to bankroll infrastructure repairs for Gulf allies hit in recent strikes, CNBC reported, citing a source familiar with the discussions. The option is preliminary but has gained traction since the latest flare-up.
CNBC reported on Saturday that the White House is examining whether frozen Iranian assets across several jurisdictions could be deployed to fund the repair of Gulf-ally infrastructure damaged in the most recent missile and drone exchanges. A source familiar with the discussions said the idea has not been formalised as policy but is being worked on between the Treasury and the State Department.
US Central Command said it had downed multiple Iranian drones over the Persian Gulf the previous night and then struck radar positions inside Iran. Kuwait and Bahrain were reportedly hit by overnight strikes, lifting Brent crude by about three dollars and raising regional insurance and port-repair costs.
Analysts cautioned that using frozen assets is legally contested under international law and recalled that a similar move with Afghan funds drew years of US litigation. If the plan is formalised it is expected to be discussed at an emergency Gulf Cooperation Council meeting. This article is not investment advice.
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