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Trump Threatens to End U.S. Support if Iraq Installs Maliki as Prime Minister

U.S. leverage over Iraq’s oil revenues, alongside threatened sanctions, now looms over a stalled government formation.

Overview

  • Iraq’s largest Shiite bloc, the Coordination Framework, nominated Nouri al-Maliki on Jan. 24 to form the next government after caretaker premier Mohammed Shia al-Sudani withdrew his bid.
  • President Donald Trump warned on Tuesday that the United States would “no longer help” Iraq if Maliki returns to power, framing the move as part of efforts to curb Iran-aligned influence.
  • Maliki dismissed the warning as “blatant American interference” and said he will continue pursuing the premiership in line with the bloc’s decision.
  • Parliament’s scheduled vote to elect a president was delayed, leaving the constitutional process in limbo since a president must formally task a prime minister-designate to form a cabinet.
  • U.S. officials have signaled possible sanctions and could leverage control over Iraq’s dollar flows and oil revenues held at the New York Fed, with warnings tied to inclusion of Iran-backed factions in a future cabinet.