Treasury says the U.S. has “ample” war funding for Iran but asks Congress for more

Speaking on NBC News’ “Meet the Press,” Bessant also ruled out pushing for any tax increases to fund the war.

The U.S. military’s request for $200 billion in additional funding for the Iran war has faced strong opposition from Congress, with Democrats and even some Republicans questioning the need after last year’s huge defense appropriations.

Bessent defended the request but did not confirm the amount.

President Donald Trump has yet to ask the Senate and House of Representatives to approve the funding, and his administration has made clear that number could change.

“We have enough money to fund this war,” Bessant said. “This is complementary. President Trump has built up the military, as he did in his first term, and as he is doing now in his second term, he wants to ensure that the military is well-supplied into the future.”

Defense Secretary Peter Hegseth said last week that additional funding was needed “to ensure we are properly funding the work that has been done and what may be done in the future”.

He dismissed questions about a possible tax increase as “ridiculous” and said it was “not at all” being considered.

Early indications are that the war will be America’s most expensive since the long conflicts in Iraq and Afghanistan. Administration officials told lawmakers that Iran’s war cost more than $11 billion in the first six days.

Since Trump began his second term in January 2025, the Republican-led Congress has approved record military funding. Last month, he signed the Fiscal Year 2026 Defense Appropriations Bill, which allocated approximately $840 billion.

Last summer, the Republican-led Congress passed a sweeping tax cuts and spending bill that included $156 billion in defense spending over Democratic opposition.

Bessant also defended the Trump administration’s move in recent days to lift oil sanctions on Iran and Russia. He argued that doing so would allow countries other than China – including Japan and South Korea – to buy oil while preventing oil prices from soaring to $150 a barrel and reducing the overall revenue earned by Iran and Russia.

He said Treasury Department analysis showed Russia could gain up to $2 billion in additional oil revenue.

(Reporting by Andrea Shalal and Nicole Jao; Editing by Sergio Non and Mark Porter)