US lifts sanctions on Iraqi carrier Fly Baghdad, reaffirms tough stance on Iran

Washington: The US Department of the Treasury has removed Iraqi commercial carrier Fly Baghdad and two of its aircraft from its sanctions list linked to Iran’s Islamic Revolutionary Guard Corps (IRGC).

According to an official statement from the Treasury’s Office of Foreign Assets Control (OFAC), Fly Baghdad Airlines (also operating as Iraq Express) and two of its Boeing 737 aircraft were removed from the Specially Designated Nationals (SDN) List following an internal review process.

Fly Baghdad was originally blacklisted in January 2024 over allegations that it provided logistical support to the IRGC’s Quds Force and affiliated proxy militias across Iraq, Syria, and Lebanon.

US officials emphasized that the delisting does not signal a broader policy shift toward Tehran. "This is not indicative of any shift in US policy toward the Government of Iran, the Islamic Revolutionary Guard Corps-Quds Force, any designated terrorist organization, or any person who supports or acts on behalf of any of these," a Treasury official stated.

The administrative move comes amid diplomatic efforts to resolve tensions in the Strait of Hormuz following a brief pause in recent military exchanges. US Treasury Secretary Scott Bessent noted that a deal to reopen the vital maritime choke point could be reached within days as bilateral talks progress.

In Tehran, Iranian Foreign Ministry spokesperson Esmaeil Baghaei confirmed that Iran and Oman have made significant headway on establishing a safe commercial shipping corridor through the strait. Baghaei stated that both nations have agreed on the geographical coordinates of the proposed route and are drafting a joint statement, provided "certain third parties" do not disrupt the process.

However, Baghaei cautioned that the bilateral understanding with Oman does not automatically guarantee safe passage for transit vessels, citing ongoing US maritime blockades and regional security risks stemming from recent US and Israeli military actions. He added that Tehran currently has no plans for senior officials to visit Qatar or Pakistan this weekend.

(Inputs from IANS)

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