As tensions between the United States and Iran continue to escalate, reports are emerging that Washington will be redirecting Tehran’s assets to the Gulf states for rebuilding and repairs of future damage caused by the West Asian nation.

As
tensions between the United States and Iran continue to escalate, reports are emerging that Washington will be redirecting Tehran’s assets to the
Gulf states for rebuilding and repairs of future damage caused by the West Asian nation. A source close to the matter shared insights into the plan with Reuters on Saturday, a day after a wave of attacks by Iran against Kuwait and Bahrain.

Apart from this, US Treasury Secretary
Scott Bessent has also directed a team to assess the damage caused by Iran in the Gulf region. The revelation also came a day after Mohsen Rezaei, an adviser to Iran’s supreme leader, told CNN that a peace deal hinged on the release of $24 billion in Iranian assets frozen by the United States.

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The source did not specify exactly what kind of Iranian assets the US Treasury was examining. In recent days, the peace negotiations between the two warring nations appeared to have stalled. However, a minister from mediator
Pakistan travelled to Tehran on Saturday with a letter for Iran’s Supreme Leader,
Mojtaba Khamenei, Iran’s semi-official ISNA news agency reported.

Iran targets Kuwait and Bahrain

Meanwhile, right after American forces struck Iranian coastal radar sites in Goruk and Qeshm Island, both in the Strait of Hormuz, Tehran retaliated by targeting US bases in Kuwait and Bahrain. Iran’s Revolutionary Guard confirmed on Saturday that it launched ballistic missiles into the Gulf region that even passed over residential areas.

“Following the invasion of the child-killing and terrorist US army into Sirik and Qeshm Island, enemy bases in the region were hit by aerial missiles,” state broadcaster IRIB reported early on Saturday, quoting the IRGC. Tehran went on to claim it attacked the 5th fleet headquarters in Bahrain, a claim the US denied.

Amid the chaos, the Kuwaiti army wrote on US social media platform X that the General Staff confirmed that “any explosions that may be heard are the result of air defence systems intercepting hostile targets.” “The public is urged to adhere to safety and security instructions issued by the relevant authorities,” it said.

Meanwhile, Bahrain’s Interior Ministry also wrote on X that “the siren has been sounded,” and “citizens and residents are urged to remain calm and head to the nearest safe place.” Iran claimed that its missile successfully struck Ali Al-Salem Air Base in Kuwait and US Fifth Fleet facilities in Bahrain. Overall tensions in the region remain high.

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First Published:
June 07, 2026, 07:12 IST

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