The United States is expected to contribute $300 billion (equivalent to £223 billion) towards the reconstruction of Iran as part of a new agreement made by President Donald Trump with Tehran. The deal, which includes the full reopening of the Strait of Hormuz, is set to be officially signed at a ceremony in Switzerland, although reports indicate that the agreement has already been finalized. Trump confirmed the completion of the deal upon his arrival at the G7 summit in France on Monday.

Under the terms of the agreement, all American and United Nations sanctions imposed on Iran will be lifted once a final resolution regarding Iran’s nuclear program is reached. Leaked drafts of an interim agreement mirror the main points of the final deal to end the conflict.

Additionally, Iran will be permitted to sell its oil without restrictions as part of the agreement. This provision, combined with the promise to eventually remove all sanctions, surpasses the terms of the 2015 Iran nuclear deal that Trump criticized as the “worst deal ever.”

The terms of the agreement are expected to face strong opposition in Washington as the United States and Iran gear up for 60 days of negotiations to finalize the agreement structure.

The deal also marks a setback for Israeli Prime Minister Benjamin Netanyahu, who had deployed Israeli forces in joint military actions with the US at the start of the conflict on February 28.

The agreement demands an immediate cessation of hostilities in Lebanon between Israel and the Iranian-backed militia Hezbollah. While Iran insists on the withdrawal of Israeli forces as part of the deal, Israel maintains its stance of self-defense and continued presence in significant areas of Lebanon.