We know that Trump’s favorite tool is economic sanctions…..easy to install and have very little effect…..that sums up his presidency.
I bring up sanctions because it seems to be the next step in the battle with Iraq.
Yes I said Iraq.
Recently the Iraqi government passed a non-binding solution to have US troops leave the country.
The Trump administration has started drafting sanctions against Iraq over its push to expel US troops from the nation, a White House official who requested anonymity confirmed to Business Insider on Tuesday.
President Donald Trump first threatened economic penalties over the weekend after the Iraqi parliament passed a nonbinding resolution to urge the US military to leave, a rebuke of the lethal drone strike that targeted a top Iranian general in Baghdad late Thursday. Along with Maj. Gen. Qassem Soleimani, an Iraqi militia official was also killed in the escalation.
The Washington Post reported late Monday that senior administration officials had initiated preliminary talks on the potential sanctions, which the US has not yet decided to move forward with.
Sanctions and now the idea of cutting military aid to Iraq……
In addition to bankrupting Iraq by seizing the entirety of their oil revenue account, the Trump Administration is now also threatening to cut military aid to Iraq, if the Iraqi government formally asks the US to leave.
The US State Department and Pentagon have discussed the matter, with the State Department working on cutting all $250 million from the 2020 military aid budget already approved, and asking the budget office to cut $100 million from the 2021 request.
While US officials insist they have no intention of leaving Iraq, the continued threats to punish Iraq with sanctions and cuts suggest that they are taking seriously the possibility that Iraq will actually order them out, and that the US may not be able to just ignore it.
While $250 million in aid is substantial, it is likely well down Iraq’s priority list with the oil revenue account containing 90% of Iraq’s annual budget. Iraqi officials haven’t indicated what their intentions are since the threats began, but parliament already voted 170-0 to expel all foreign troops, US included, as soon as possible.
What will all this chest thumping do with ISIS waiting in the shadows?
Now Iraq is worried about a total economic co;;apse if sanctions and such go into effect….
Iraqi officials are warning that they would face almost immediate economic collapse if President Trump follows through on sanctions against them for asking US troops to leave. Iraq’s parliament voted on January 5, 170-0, to order the government to expel all foreign troops.
President Trump has threatened massive sanctions against Iraq, and more recently, suggestions are that the US would freeze Iraq’s bank account at the New York Federal Reserve, where all of Iraq’s oil revenues go.
Which is also 90 percent of Iraq’s budget. Iraqi officials have confirmed “threatening calls” from the US over the troops, insisting that they have no intention of leaving Iraq just because Iraq is asking.
The collapse of their entire economy, while still theoretical at this point, isn’t a healthy thing to have hanging over Iraq going forward. Siemens CEO Joe Kaesar warned he believes that “putting sanctions on something just because you don’t get your will is maybe also not always helpful.“
Siemens has a $15 billion electricity development contract for Iraq. While they say they don’t intend to scale back the project, there is a risk for them, like everyone else, that the US will just take all of Iraq’s money and leave them unable to pay.
So just to retaliate Trump will econ0mically ruin a country like Iraq…..someone that is suppose to be a “friend”…..someone who is a “partner” in the war on ISIS……
Sorry do not see the logic in all this ignorance.
A country swimming in oil and yet it could face economic collapse…..funny but that would be because the oil belongs to corporations and not the Iraqis……if problems then a case for nationalization of the oil could be waiting for a test run. And that would mean more war….after all oil is why we are there in the first place.
I Read, I Wrote, You Know
“lego ergo scribo”