Foreign Ministry spokesperson Esmaeil Baghaei says the agreement has been finalised and signed with the US.

Iran’s Ministry of Foreign Affairs spokesperson, Esmaeil Baghaei, has announced that a memorandum of understanding with the United States has been finalised and signed electronically by both sides.

He added that the agreement has already gone into effect.

“The text of the Islamabad Memorandum of Understanding was finalised with the signatures of the presidents,” Baghaei told the news agency IRNA. “Now it is time to test the implementation of the agreement.”

Wednesday’s statement appears to confirm that the US and Iran have agreed to suspend military operations, paving the way for further negotiations.

Given that both sides signed the agreement electronically, Baghaei noted that there would be no signing ceremony on Friday in Geneva, Switzerland, as had previously been expected.

Negotiating teams, however, still plan to be in the Swiss city. A decision on a possible in-person meeting between them is expected in the coming hours, though for now such plans are paused, according to Baghaei.

While the office of US President Donald Trump has yet to issue a formal statement on the signing, Al Jazeera correspondent Mike Hanna explained that a White House spokesperson confirmed earlier in the day that it happened.

But Hanna warned that the memorandum is likely to face domestic backlash in the US, where Trump had been under right-wing pressure to take a hard line against Iran.

“There’s a great deal of dissatisfaction with the memorandum of understanding, as it has been outlined to the public at this particular point, even among some Republicans who have expressed the concern that Iran is being treated leniently,” Hanna said.

He also emphasised the administration’s position that the memorandum is not a full-fledged deal but rather a prelude to more negotiations.

“The administration is fighting hard to persuade the American public and American politicians that this is not a defeat for the United States,” Hanna said.

Since February 28, the US and Israel have been jointly engaged in a war against Iran, though a temporary ceasefire suspended much of the most intense fighting on April 8.

Trump has repeatedly said his goal in launching the war was to prevent Iran from acquiring a nuclear weapon.

Since the memorandum was revealed, he has highlighted the document’s assurances that Iran will not seek a nuclear weapon, though Tehran has long denied any intention of doing so.

But according to a US account, the memo goes beyond the question of nuclear weapons. It sets up a 60-day timeline for a final deal to be struck, and it indicates that the US will rally “regional partners” to create a $300bn for Iran’s reconstruction.

US sanctions would also work towards lifting its sanctions against Iran, and the country would issue waivers for the export of Iranian fuel.

Iran has touted those terms as a victory. On Wednesday, chief negotiator Mohammad Bagher Ghalibaf told Fars, an Iranian state news agency, that the US had failed to achieve its goals with Iran and pointed to the memo as proof.

“The agreement is a record of US failure,” Ghalibaf said. “People will see it and judge.”

He also explained that the Strait of Hormuz would not return to “pre-war conditions” after the 60-day period for negotiations stipulated in the agreement. He suggested that Iran will expect payments for use of the waterway.

“I emphasise again that the Strait of Hormuz will never return to the previous conditions,” Ghalibaf said.

“Iran has the right to sovereignty over the Strait of Hormuz, and of course, we will receive a fee for services.”

That position is likely to put pressure on the Trump administration, which had pledged that the strait, a key waterway for trade, would be “permanently toll-free”.

Since the start of the war, Iran has blocked the waterway, sending global prices for fuel, fertiliser and other goods soaring.

The US had responded with its own blockade of Iranian ports, though that effort is slated to end under the memorandum.

Both sides, however, have emphasised that the memorandum of understanding is not a final agreement on all issues of dispute. More negotiations are expected to resolve lasting impasses.

“It will only become a deal, as such, at the end of the 60-day negotiation period. At least, that’s the intention,” Hanna reported.