Why does the US control Iraq's oil revenues?
Middle East Eye
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Middle East Eye
Original Source
For over two decades, Iraq's oil revenues have flowed through a financial system centered in New York, established after the 2003 US invasion ostensibly to protect revenues and fund reconstruction. The arrangement now grants Washington considerable leverage over Iraq's access to its own funds, which the US increasingly uses to pressure Baghdad into curtailing Iranian influence.
For more than two decades, Iraq's oil wealth has passed through a financial system centred thousands of miles away in New York.
The arrangement, created after the US-led invasion of Iraq in 2003, was initially designed to protect Iraqi oil revenues from creditors and help fund reconstruction.
Today, it gives Washington significant leverage over Iraq's access to its own dollars, leverage that the US is increasingly using as it pressures Baghdad to curb Iran's influence and the activities of armed groups aligned with Tehran.
The issue came into sharp focus in April, when Washington blocked a shipment of about $500m in cash to Iraq as it pressured the government over Iran-aligned armed groups.
Muayen al-Kadhimi, a former parliamentary Finance Committee member, condemned the decision at the time, calling on the government to end what he described as US dominance over Iraqi funds.
The arrangement, created after the US-led invasion of Iraq in 2003, was initially designed to protect Iraqi oil revenues from creditors and help fund reconstruction.
Today, it gives Washington significant leverage over Iraq's access to its own dollars, leverage that the US is increasingly using as it pressures Baghdad to curb Iran's influence and the activities of armed groups aligned with Tehran.
The issue came into sharp focus in April, when Washington blocked a shipment of about $500m in cash to Iraq as it pressured the government over Iran-aligned armed groups.
Muayen al-Kadhimi, a former parliamentary Finance Committee member, condemned the decision at the time, calling on the government to end what he described as US dominance over Iraqi funds.
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Tags:#العراق#النفط#الولايات المتحدة#إيران#السياسة الدولية#الضغوط الاقتصادية
Source: Middle East Eye
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