Report: U.S.-Iran Deal Could Give Hezbollah an Economic Lifeline

A Reuters report says a memorandum of understanding expected to be signed on Friday between the United States and Iran could hand Hezbollah a major political and financial boost. According to regional and Lebanese sources, Tehran has promised the group increased funding once Iranian assets are unfrozen, in order to help it recover from heavy losses suffered in the war.

The report says the arrangement is tied to the volatile situation in southern Lebanon, where Iran is demanding a full Israeli withdrawal as part of the deal and is warning of military retaliation. Israel, meanwhile, insists on keeping IDF forces in place to block Hezbollah threats. Four sources familiar with Tehran’s ties to the group said Iran is preparing to transfer more money to its ally as soon as the cash starts flowing.

No one provided exact figures, but the sources said the support would rise quickly after the assets are released. Hezbollah’s media office said Iran has openly declared its support and that assistance continues. Asked whether Hezbollah would receive any of the unblocked Iranian funds, the office said Tehran would keep supporting Lebanon “regardless of the details of how its funds are returned.”

An unnamed U.S. official said Washington had made clear that “funds will not be unfrozen if they are intended for any terrorist organization.” The official added that the memorandum is also meant to pressure Iran to restrain its proxy groups, because otherwise they would not benefit from the agreement. Hezbollah leader Naim Qassem welcomed what he called a “great victory” and urged implementation of the November 2024 ceasefire, the deployment of the Lebanese army south of the Litani, and a full Israeli withdrawal. Iran’s foreign minister, Abbas Araghchi, said Tuesday that any continued Israeli presence in Lebanon would violate the memorandum. Reuters also cited Iranian support totaling $1 billion to Hezbollah in the first 10 months of 2025, according to the U.S. Treasury.