On Saturday, the Wall Street Journalreported that the State Department is threatening to revoke Iraq's access to a national bank account at the Federal Reserve Bank of New York if the country moves to push U.S. troops out of the country.
"Iraq, like other countries, maintains government accounts at the New York Fed as an important part of managing the country’s finances, including revenue from oil sales," wrote reporters Ian Talley and Isabel Coles. "Loss of access to the accounts could restrict Iraq’s use of that revenue, creating a cash crunch in Iraq’s financial system and constricting a critical lubricant for the economy."
The Iraqi parliament has moved to call for the expulsion of U.S. troops in the wake of the operation to take out Iranian general Qassim Suleimani in Baghdad. The Trump administration, however, has no intention of withdrawing troops, who have been attempting to contain ISIS and monitor the escalating tensions in Iran.
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