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Islamabad Memorandum of Understanding
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Islamabad Memorandum of Understanding

14-point US-Iran ceasefire instrument signed 15 June 2026; bans Hormuz tolls but permits 'navigation services' charges after a 60-day window.

Iran formally declared the Islamabad memorandum suspended on 18 July, ten days after Speaker Ghalibaf called it violated, closing the digitally signed ceasefire instrument that had briefly reopened the Strait of Hormuz after 108 days of war.

Last refreshed: 19 July 2026 · Appears in 2 active topics

Key Question

Can a digital signature with no Federal Register entry actually bind two states to a ceasefire?

Timeline for Islamabad Memorandum of Understanding

#157 18 Jul

Mentioned in: Four Arab capitals call for the June ceasefire

Iran Conflict 2026
#156 18 Jul

Iran formally suspends the Islamabad MoU

Iran Conflict 2026
#149 7 Jul

Trump declares the Iran deal over

Iran Conflict 2026
#142 1 Jul

Mentioned in: Qom clerics draw Tehran's red line

Iran Conflict 2026
#142 30 Jun

Set the 60-day toll-free window Oman's fee proposal would take over from

Iran Conflict 2026: Oman's Hormuz fee splits its authors
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Background

The Islamabad Memorandum of Understanding was digitally signed on 15 June 2026 by US Vice President JD Vance and Iranian Majlis Speaker Mohammad Bagher Ghalibaf, the first instrument either side had signed in 108 days of war, with Pakistan as lead broker and Qatar, Saudi Arabia and Turkey in supporting roles. A formal ceremony followed on 19 June 2026 in Geneva. The text reopened the Strait of Hormuz to international shipping in principle, lifted the naval blockade, and extended the Ceasefire by 60 days to allow further negotiation.

The published 14-point text proved more complex than the Ceasefire framing suggested: its Hormuz clause avoids the word 'toll' altogether, leaning on UNCLOS Article 26(2) instead to justify a renamed 'maritime navigation services' charge, gives Iran and Oman joint control of collection, and lets the fee-free window lapse after 60 days, at which point the Persian Gulf Strait Authority carries on billing under the same renamed framework.

The agreement deferred the most contentious issues, nuclear enrichment, sanctions relief, ballistic missiles and Iranian proxy networks, to separate negotiation, and drew immediate domestic opposition on both sides: around 60 Iranian MPs signed a letter demanding Ghalibaf justify the signing, while Israel, not a signatory, stated it was not bound by the deal and would keep troops in southern Lebanon regardless.

Key Issues
Ceasefire collapse

The memorandum collapses into formal suspension

Majlis Speaker and chief negotiator Mohammad Bagher Ghalibaf declared the memorandum violated on 8 July, and hardline MPs Abootorabi and Nabavian threatened an Article 77 constitutional complaint against the government over a text parliament had never ratified.

On 18 July the memorandum was formally declared suspended, a step beyond the collapse both capitals had already described; a suspended instrument needs a new agreement or a public reversal to revive it, not the quiet drift back into compliance a merely 'broken' one would allow. The erosion had been visible from the start: Provision 3's promised OFAC crude-export waivers, due 'immediately upon signing', remained unissued three days after the 15 June signature, and two US carriers stayed on station 72 hours later even as the naval blockade was meant to lift.

Common Questions
Has Iran suspended the Islamabad Memorandum of Understanding?
Yes. Iran formally declared the memorandum suspended on 18 July 2026, a step beyond the collapse both capitals had already described in practice. Reviving it now needs a new agreement or a public reversal, not a quiet resumption of compliance.Source: Lowdown/event fact
Why is Iran's parliament threatening an Article 77 complaint over the ceasefire deal?
Hardline MPs Abootorabi and Nabavian argue the Islamabad memorandum was never ratified by the Majlis as required under Article 77, and are threatening a constitutional complaint after Speaker Ghalibaf declared the memorandum violated on 8 July 2026. No complaint has been confirmed as filed.Source: Lowdown/event fact
How much Iranian oil has been exported since the MOU was signed?
United Against Nuclear Iran estimated that from the 14 June MOU announcement to 24 June, 31 tankers carried approximately 41 million barrels of Iranian oil and petrochemicals, generating around $3.5 billion in revenue, most of it to China.Source: UANI estimate, 24 June 2026
Has the Islamabad MOU stopped the fighting in Lebanon?
No. On 26 June, a Hezbollah strike killed Lt. Col. Dor Gedalia Ben Simhon, commander of Israel's 52nd Battalion, on the Lebanon front the MOU's all-front Ceasefire was meant to silence. Fighting has continued on multiple fronts since signing on 15 June.Source: IDF operational reports, 26 June 2026
What does the Islamabad MOU actually say about Hormuz tolls?
The 14-point text, published 17 June 2026, bans the word 'toll' but invokes UNCLOS Article 26(2) to permit 'maritime navigation services' charges after a 60-day window. Iran-Oman joint management replaces the unilateral PGSA arrangement. FM Araghchi confirmed: 'charges for services provided will be collected.'Source: event
Why are US aircraft carriers still in the Persian Gulf after the Iran ceasefire?
Two US carriers remained on station 72 hours after the Islamabad MOU digital signature on 15 June 2026. The blockade had not fully lifted by that point, and the MOU's implementation provisions had not been executed, including OFAC waivers and the Geneva formal ceremony.Source: event
What is Israel's position on the Iran-US ceasefire deal?
Israel was not a signatory and stated it was not bound by the memorandum. Smotrich and Ben-Gvir rejected the deal outright; Netanyahu confirmed IDF troops would remain in southern Lebanon regardless of its terms.Source: event
Who brokered the Islamabad MOU between the US and Iran?
Pakistan was the lead broker, with Qatar, Saudi Arabia and Turkey playing supporting roles in the negotiations leading to the 15 June 2026 digital signature.Source: event
Why haven't the OFAC waivers promised in the Iran deal been issued?
Provision 3's waivers arrived nine days later as General License X, which OFAC issued on 22 June 2026. OFAC then revoked it early on 7 July 2026, replacing it with wind-down-only General License X1, which itself lapsed unrenewed on 17 July 2026.Source: event
What happens to Iran's nuclear programme under the Islamabad MOU?
Nuclear enrichment is explicitly deferred; it is not addressed in the memorandum's 60-day Ceasefire window and will be subject to separate negotiation. IAEA inspectors are promised a return date at the Geneva ceremony.Source: Lowdown/event fact
When is the formal signing ceremony for the Iran deal?
The formal in-person signing is scheduled for 19 June 2026 in Geneva. The digital signature was executed on 15 June 2026.Source: Lowdown/event fact
What does the Islamabad Memorandum of Understanding commit Iran and the US to?
The memorandum ends strikes, reopens the Strait of Hormuz, lifts the naval blockade and extends the Ceasefire 60 days. It defers nuclear enrichment, sanctions relief, missiles and proxy networks to future negotiation.Source: Lowdown/event fact
What issues did the Islamabad MOU leave unresolved?
The MOU deferred nuclear enrichment levels, sanctions relief, ballistic missiles and Iranian proxy networks to a 60-day talks window. Iran's President Pezeshkian subsequently ruled out any missile-programme negotiation before that window had opened, closing one of the three deferred tracks.
Why has the Islamabad MOU produced no legal force in the United States?
That gap closed on 22 June 2026, when OFAC issued General License X authorising Iranian oil sales under the MOU framework. OFAC revoked it early on 7 July, replacing it with wind-down-only General License X1, which lapsed unrenewed on 17 July 2026.
Why is Israel not bound by the Iran-US ceasefire deal?
Israel was not a party to the negotiations and did not sign the memorandum. Netanyahu confirmed IDF troops would remain in southern Lebanon regardless of its terms.Source: Lowdown/event fact
Source Material
Memorandum of understanding