The United States lifts counter-terrorism sanctions on Iraq’s Fly Baghdad Airlines and two aircraft, according to the US Treasury. The delisting removes the airline and the aircraft from a sanctions designation made in January 2024, when the airline and its aircraft were targeted over alleged links to Iran’s Islamic Revolutionary Guard Corps (IRGC) Quds Force and associated groups. The Treasury says the change follows updates in the airline’s operations that made the prior listing no longer warranted. US officials also state the move does not signal a broader shift in US policy toward Iran or the IRGC, and is not connected to any negotiations with Iran on ending hostilities in the Gulf.
Reporting also says the airline had denied the January 2024 accusations. One source notes that the US Treasury maintains sanctions against Basheer Abdulkadhim Alwan al-Shabbani, identified as the airline’s owner, even as sanctions related to the airline are removed. The Treasury’s updates include changes to how the designation is described, including references to the IRGC Quds Force.