Iraq announced Thursday that Lebanon’s Hezbollah and Yemen’s Houthis will be removed from an asset-freeze list, after the Iran-aligned groups were mistakenly included in a government publication that triggered confusion and criticism, Reuters reported.
Last month, the Justice Ministry’s official gazette published a list of groups and entities whose funds would be blocked, naming both organizations, a move that would likely have been welcomed in Washington and increased pressure on Tehran.
A letter from the acting deputy governor of the Central Bank asked the Committee for the Freezing of Terrorists’ Funds to delete the clause containing the names, two bank sources told Reuters.
Prime Minister Mohammed Shia al-Sudani clarified that Iraq had approved freezing only the assets of entities and individuals linked to Islamic State and Al-Qaeda jihadists, in response to a request from Malaysia. He said he had ordered an urgent investigation into the mistake “to hold accountable those responsible.”
Sudani added that Iraq’s political and humanitarian positions on “the aggression on our people in Lebanon or in Palestine” were “principled and not subject to exaggeration.”
Hussain Mouanes, a lawmaker representing a bloc affiliated with the Iraqi militia Kataib Hezbollah, blasted the government for what he called “irresponsible” conduct. He accused it of being a “subordinate authority that lacks the dignity to represent its people or defend Iraq’s sovereignty.”
The Iraqi committee explained that the November 17 publication was intended to cover only individuals and entities linked to Islamic State and Al-Qaeda, in line with UN Security Council Resolution 1373. Several unrelated groups were mistakenly included because the list was released before final revisions were completed. The corrected version will appear in the official gazette.
Hezbollah and the Houthis did not immediately respond to requests for comment.
The United States has long sought to reduce Iran’s influence in Iraq and across the Middle East, where Tehran’s allies form part of its so-called “Axis of Resistance”.
Iran views Iraq as vital to sustaining its economy under international sanctions. Baghdad, meanwhile, balances ties with both Washington and Tehran, wary of being caught in the crosshairs of US President Donald Trump’s policy to squeeze the Islamic Republic.