South Korea hasn't received official request for Iran reconstruction fund participation

SEOUL, June 18 (Yonhap) -- South Korea has not formally received any request from the United States or other parties regarding participation in a proposed post-war reconstruction fund for Iran, sources familiar with the matter said Thursday.

On Wednesday (U.S. time), U.S. President Donald Trump unveiled the text of a 14-point memorandum of understanding (MOU) under which Washington and Tehran agreed to negotiate a final agreement within 60 days to end their monthslong war. The document also included Iran's reaffirmation that it will neither acquire nor develop nuclear weapons.

The MOU outlines provisions for reopening the Strait of Hormuz, while stating that the U.S. will work "with regional partners to develop a definitive, mutually agreed plan with at least US$300 billion" for Iran's reconstruction and economic development.

According to foreign media reports, more than half of the proposed private-sector fund has already been committed, with companies from South Korea, Japan, Singapore, Malaysia and the U.S. said to be among those that have pledged participation.

"The proposed reconstruction fund is linked to negotiations on a final agreement on Iran's nuclear program. We will closely monitor discussions between the two sides, as well as developments among regional and other relevant countries," a foreign ministry official told reporters.

Sources familiar with the matter said neither the South Korean government nor private companies are known to have received any request from the U.S. regarding participation in the initiative, adding that other countries mentioned in media reports are likewise not known to have received such requests.

If the fund is ultimately financed entirely through private capital, decisions on participation would likely rest with individual companies, they said.

Eyes are also on developments regarding mine-clearing operations aimed at reopening the Strait of Hormuz.

Though Britain, France and other countries have expressed willingness to assist in such efforts, observers say Iran may oppose foreign participation in the operations, given the military dimension of mine-removal activities in the strategic waterway.

"We are gathering information on issues related to maritime transit through the Strait of Hormuz through consultations with the U.S., Iran and other relevant countries," foreign ministry spokesperson Park Il said at a press briefing.

Asked about the possibility of transit charges being imposed after the 60-day period, Park said, "No transit fees or charges should be imposed on vessels passing through the strait."