A major diplomatic breakthrough appears imminent in West Asia as Pakistani Prime Minister Shehbaz Sharif announced today that the United States and Iran have officially settled on a “final, agreed-upon text” for a peace deal aimed at ending their months-long conflict.

Pakistan has been acting as a primary mediator in the war, which broke out on February 28, 2026, and led to a severe naval blockade of the Strait of Hormuz. Prime Minister Sharif shared in a post on X that peace has never been closer, confirming that Islamabad is now working closely with both sides to finalize the next steps. Iranian Foreign Minister Abbas Araghchi echoed this sentiment, noting that a comprehensive memorandum of understanding is within reach.

While the official signing is expected within days, details leaked by senior U.S. administration officials outline a strict, performance-based agreement. Under the terms, the naval blockade on the Strait of Hormuz will be lifted immediately, reopening a vital global transit route for oil and natural gas. In return, Iran’s nuclear program is to be dismantled, with all enriched materials destroyed on-site and removed from the country under a strict inspection regime.

U.S. Vice President J.D. Vance and President Donald Trump have firmly rejected alternative versions of the deal leaked by Iranian state media, clarifying that Iran will receive no immediate cash or release of frozen assets simply for signing. Financial relief will only flow once specific long-term security benchmarks are met. Following the announcement, global financial markets responded immediately, with international standard Brent crude oil prices tumbling by nearly $3 to $87.44 a barrel in anticipation of renewed energy shipments through the Persian Gulf.