Iraq Orders Militias to Disarm by Sept. 30 After US Halts Dollar Shipments

3 articles · Updated · The Guardian · Jul 23

Ali al-Zaidi ordered pro-Iranian militias in June to surrender their weapons and fold fighters into the state, after Washington suspended physical dollar shipments that Iraq relies on to pay salaries and run government.
Dollar deliveries resumed in July, underscoring US leverage over an economy whose oil revenues are held at the Federal Reserve Bank of New York and whose finances were already strained by war-related export disruption.
Basra's oil sector became the pressure point: officials say Iran-backed Iraqi factions attacked oilfields, tankers and foreign energy facilities, cutting output by two-thirds within weeks and driving out hundreds of foreign workers.
The crackdown faces stiff resistance from hardline Islamic Resistance in Iraq factions, which say their weapons are non-negotiable while US forces remain and the war with Iran continues.
The episode exposes Iraq's broader bind: a state weakened by corruption and divided security forces, yet dependent on both US financial support and Iran-linked armed groups.

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The Guardian18h ago

Iraq PM Ali al-Zaidi Orders Militia Disarmament After US Halts Dollar Shipments

Instagram18h ago

Iraqi Prime Minister Ali al-Zaidi said that ending the presence of U.S. forces in Iraq and ensuring that all weapons are under state control is a difficult and dangerous project that could

Facebook18h ago

The Iraqi government announced that Prime Minister Ali al-Zaidi will pay an official visit to #Iran on Thursday at the head of a ministerial delegation, following a formal invitation from Tehran. It

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Disarming Iraq by September 30, 2026: US Leverage, Iran-Backed Militias, and the Fight for National Stability

Overview

In July 2026, Iraqi Prime Minister Ali al-Zaidi issued a sweeping disarmament order for armed factions, setting a deadline that matches the US military’s planned withdrawal. This bold move was driven by US pressure, especially after the US halted physical dollar shipments to Iraq, causing the dinar to lose value and prices to rise for ordinary Iraqis. The halt became a key US leverage point, pushing Iraq to act on anti-corruption reforms and assert state control. The interplay between economic pressure and political reform highlights Iraq’s struggle to stabilize, strengthen governance, and reduce the influence of non-state actors.

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