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Israel Warns of ‘Bad Deal’ as Saudi-US Normalization Talks Risk Funneling Billions to Iran

Brief: Jerusalem fears emerging Washington-Riyadh agreement could enrich Tehran's nuclear program while sidelining Israeli security concerns in regional realignment.

Israeli officials are expressing growing alarm over the direction of normalization talks between the United States and Saudi Arabia, warning that a potential agreement could channel billions of dollars to Iran while failing to adequately address the Islamic Republic's nuclear ambitions and regional aggression.

According to reports, Jerusalem has conveyed its concerns directly to Washington, emphasizing that any deal involving Saudi Arabia must include robust mechanisms to counter Iranian threats rather than inadvertently strengthening Tehran's position in the region.

The Israeli anxiety centers on the possibility that sanctions relief or financial arrangements connected to a broader Middle East realignment could provide Iran with economic resources to advance its nuclear program and fund proxy militias across the region, including Hezbollah in Lebanon, Hamas in Gaza, and Houthi forces in Yemen.

Israeli defense and diplomatic officials have privately described the emerging framework as a potential 'bad deal' that could repeat what they view as the failures of the 2015 Joint Comprehensive Plan of Action (JCPOA), which Israel strongly opposed. That agreement, Israeli leaders have long argued, provided Iran with sanctions relief without permanently dismantling its nuclear infrastructure.

The current concerns come as the Biden administration has sought to broker a normalization agreement between Israel and Saudi Arabia, building on the momentum of the Abraham Accords. However, Israeli officials fear that eagerness to secure a Saudi deal may lead Washington to make concessions to Iran that undermine Israeli security interests.

Jerusalem has indicated it supports normalization with Riyadh in principle, viewing expanded ties with the Arab world as strategically beneficial. However, Israeli leaders have emphasized that any regional arrangement must prioritize containing Iranian influence rather than accommodating it.

The situation reflects broader Israeli frustration with what officials perceive as insufficient American pressure on Iran's nuclear program. Despite repeated Israeli warnings and intelligence assessments indicating Tehran's continued advancement toward weapons capability, the Islamic Republic has faced limited consequences for its ongoing uranium enrichment activities and refusal to cooperate fully with international inspectors. Israel has consistently maintained that it reserves the right to take independent military action to prevent Iran from obtaining nuclear weapons, a threshold Israeli leaders describe as an existential threat to the Jewish state.

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