Iran and Oman reach agreement on Strait of Hormuz revenues

Six months into the war between Iran and the US but with no off-ramp in sight, an agreement to restore some semblance of peace has emerged in the Strait of Hormuz.

This as Iran and Oman have come to an agreement on their respective shares of the revenues coming from the strait, with both parties stressing that no enemy vessels are allowed to enter into the strategic waterway.

This as US President Donald Trump emphasised the strait is to remain under US control and that he is not in a hurry to resume negotiations with Tehran.

Iranian Foreign Minister Abbas Araghchi earlier met with Omani counterpart Badr bin Hamad Al Busaidi in Tehran on Tuesday to discuss about the situation in the Strait of Hormuz.

A spokesperson for Iran's Islamic Revolutionary Guard Corps noted on the following day that the two parties have come to an agreement regarding their respective shares of revenues coming from the economic artery.

No other details have been revealed.

Sources say the two countries have also made a deal on the usage of transit routes in the strait, only granting safe passage to commercial vessels and not warships.

This as the CEO of Dubai Airports Paul Griffiths, head of one of the world's busiest traffic hubs, said there was a sharp drop in passengers during the second quarter owing to the effects of the Iran war.

The events of the disruption, which lasted two months, that had an impact on traffic.

However, the trajectory now is universally positive.

If you look at our two home-based carriers, Emirates and Fly Dubai, their recovery in terms of capacity is in the 90s and percentile terms, and customers are not far behind that.

Since tensions have risen in the Middle East there has been a surge in flights opting for routes that avoided the region.

In Jerusalem, Israeli Prime Minister Benjamin Netanyahu praised Washington after its latest announcement on a new round of sanctions targeting Iran and countries that continue to do business with the Islamic Republic.

Claiming that the "Iran challenge" was not yet over, the Israeli leader added that Israel is determined to bring about an end to challenges in other fronts such as Gaza and Lebanon.