IRAQ FACES ITS TOUGHEST TEST YET: US THREATS TO CUT OFF OIL REVENUES PLUNGE THE COUNTRY INTO A COMPLEX CRISIS.
Abbas al-Jubouri, head of the Al-Rafid Center for Political and Strategic Studies, warned on Sunday (January 25, 2026) of serious repercussions that the Iraqi state may face if political forces proceed with including armed factions in the next government formation, in light of clear American threats to cut off or restrict the revenues of Iraqi oil sales deposited in the United States.
Al-Jubouri told Baghdad Today that “activating this threat is not just a symbolic or political measure, but rather a very dangerous economic pressure tool, given that Iraq relies primarily on the American financial system to pass its oil revenues, which makes the national economy vulnerable to severe shocks that may affect salaries, service projects, cash reserves, as well as the stability of the dinar exchange rate.”