US blocks cash shipments to Iraq

The U.S. Treasury has blocked a plane carrying nearly half a billion dollars in banknotes, which were proceeds from Iraqi oil sales, as part of a broader strategy to exert economic pressure on the region.

Washington has also suspended parts of its security cooperation with Baghdad, signaling a significant shift in the bilateral relationship.

The cash freeze is intended to prevent the funds from being diverted to groups linked to the Islamic Revolutionary Guard Corps.

Iraqi sources indicate that the move has created immediate liquidity concerns for the nation's cash-based economy.