The US is considering using frozen Iranian assets to compensate Gulf allies for damage caused by Tehran’s missile and drone attacks during the war.
Treasury Secretary Scott Bessent has reportedly instructed his team to assess conditions across affected Gulf states and calculate the cost of damage already inflicted by Iran. The review is expected to include attacks on civilian infrastructure, strategic facilities and military installations.
Washington is examining whether Iranian assets held abroad could be made available for rebuilding and repairs. The measure could apply both to future Iranian attacks and damage already suffered by US partners, including Kuwait and Bahrain.
The proposal would establish a powerful precedent: Iran, rather than American taxpayers or the victims of its attacks, could ultimately be forced to pay for the destruction caused by the regime. It would also reduce the value of the frozen funds Tehran is demanding as part of negotiations with Washington.