The U.S. Treasury said on Wednesday it had removed counter-terrorism sanctions from Iraq's Fly Baghdad Airlines and two aircraft that were imposed in 2024 over links to Iran's Islamic Revolutionary Guard Corps Quds Force, citing changes in the airline's behavior.
A man stands outside the office of Fly Baghdad airline, in Baghdad, Iraq January 23, 2024. Reuters/Ahmed Saad
The U.S. Treasury said on Wednesday it had removed counter-terrorism sanctions from Iraq's Fly Baghdad Airlines and two aircraft that were imposed in 2024 over links to Iran's Islamic Revolutionary Guard Corps Quds Force, citing changes in the airline's behavior.
A Treasury official said that the move was not indicative of any shift in U.S. policy towards Iran's government, the Islamic Revolutionary Guards or any organization designated as terrorist and was unrelated to U.S. negotiations with Iran over a possible deal to end hostilities in the Gulf.
The removal of Fly Baghdad Airlines Co (FBA), Iraq Express and two Boeing 737 aircraft from the Treasury's Specially Designated Nationals list was part of the Office of Foreign Assets Control's process to reconsider sanctions after behavior changes, the official said.
"FBA has demonstrated major changes to their operations such that their listing is no longer warranted," the official said. "They have addressed sanctionable conduct."
No details were provided on the specific FBA changes that warranted the lifting of sanctions, and the official said that sanctions could be reimposed at any time.
Reporting by Daphne Psaledakis, Ismail Shakil and David Lawder
A proposed deal between Iran and Oman would give Tehran control over ships entering the Gulf through the Strait of Hormuz, a senior Iranian source and two regional officials told Reuters on Wednesday, in one of the biggest concessions yet to Iran.
Qatar said mediators were making progress in efforts to end the U.S.-Iran war on Tuesday, driving oil prices lower, although Tehran has denied President Donald Trump's assertion that talks are already under way.
Iran is betting it can outlast Washington by turning the Middle East's trade routes, shipping lanes and energy infrastructure into pressure points that steadily raise the cost of confrontation, according to Gulf officials and analysts.
To make this website run properly and to improve your experience, we use cookies. For more detailed information, please check our Cookie Policy.
Necessary cookies enable core functionality. The website cannot function properly without these cookies, and can only be disabled by changing your browser preferences.