The US Treasury has lifted counter-terrorism sanctions on Iraq’s Fly Baghdad Airlines and two aircraft, saying the carrier addressed the conduct that led to its designation while stressing the move does not signal a policy shift on Iran.
The US Treasury Department on Wednesday removed Iraq’s Fly Baghdad Airlines and two of its aircraft from its counter-terrorism sanctions list, saying the airline had made significant operational changes that justified its delisting.
The sanctions, imposed in 2024, had cited alleged links between the airline and Iran’s Islamic Revolutionary Guard Corps-Quds Force (IRGC-QF).
A Treasury official said the decision followed a review by the Office of Foreign Assets Control (OFAC), which periodically reassesses sanctions designations when there are changes in behaviour.
According to the official, Fly Baghdad had made substantial changes to its operations and addressed the conduct that initially led to the sanctions.
”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.
With inputs from agencies
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