Iraq urges the US to reconsider sanctions imposed on Iraqi banks
An Iraqi man walks past the headquarters of the Central Bank of Iraq in Baghdad, Iraq. Photo: Reuters
Baghdad (IraqiNews.com) – The Iraqi Minister of Foreign Affairs, Fuad Hussein, called on the United States to reconsider the sanctions imposed on Iraqi banks that finance food items for families with limited income.
The Iraqi Foreign Ministry said in a statement on Wednesday that Hussein reviewed the latest regional developments in a phone call with the US Secretary of State, Antony Blinken.
The two sides addressed the attacks launched by the US on military and civilian sites, where Iraqi security forces were targeted.
Hussein stressed the Iraqi government’s rejection of such attacks, highlighting the need to stop them to ensure that Iraq remains away from score-settling between warring countries.
The Iraqi Foreign Minister also stressed the need to return to negotiations within the framework of the meetings of the High Military Committee.
The two sides stressed the importance of enhancing the strategic partnership between the two countries and continuing coordination during the coming period to confront the growing challenges in the region.
Days following a visit by a senior US Treasury official, Iraq barred eight local commercial banks from carrying out transactions in US dollars, reducing fraud, money laundering, and other illicit uses of US cash.
The banks are prohibited from participating in the daily US dollar auction held by the Central Bank of Iraq (CBI), which is the primary source of hard currency for Iraq and the focus of an American campaign against the smuggling of money into Iran, according to Reuters.
Iraq trusts that Washington will continue to provide access to oil earnings and finances, given that Iraq has reserves worth over $100 billion in the United States.
Last July, the United States barred 14 Iraqi banks from conducting US dollar transactions as part of a crackdown on transferring US currency to Iran and other sanctioned countries.
The step highlights the ongoing efforts to lessen Iran’s access to international financial networks.