The United States has withdrawn its military forces from bases in Iraq, marking a significant development in the country's journey towards stability. According to reports, the withdrawal was completed on September 30, 2026, with US forces relocating to neighboring countries. While this move is seen as a positive step, many Iraqis remain cautious, aware that the country's challenges are far from over. The US occupation of Iraq began in 2003, with forces initially deploying to 505 bases across the country.
The US military presence in Iraq has been a contentious issue, with various factions within the country holding different views on the matter. Some Shia militias and Kurdish forces have their own armed groups, while Sunni communities lack the same level of military capability. This has led to concerns among Sunnis about their security in the face of threats from extremist groups like ISIS. Despite the US withdrawal, many Iraqis are aware that their country's stability is still fragile and that the threat of violence remains.
According to a study by researcher Arib Al-Rantawi, there are two key reasons why Iraqis may not be celebrating the US withdrawal as much as expected. Firstly, the US military has relocated to bases in neighboring countries, from where they can still launch attacks or impose a form of remote control over Iraq. This means that Iraq is not entirely free from US military influence. Secondly, the US still maintains significant economic leverage over Iraq, particularly in terms of control over the country's oil revenues.
Iraq's economy remains heavily dependent on oil exports, which account for around 90% of the country's budget. However, the country's oil revenues are still deposited into a Federal Reserve account in New York, giving the US significant control over Iraq's finances. This arrangement, which has been in place since the 2003 invasion, allows the US to influence Iraq's economic decisions and restrict access to funds if necessary. This level of economic control can limit Iraq's sovereignty and hinder its economic development.
The US also maintains strict controls over Iraq's banking sector, using electronic platforms to monitor transactions and prevent money laundering. While these measures aim to prevent illicit activities, they can also lead to periodic economic crises and currency fluctuations. Furthermore, the US has significant influence over Iraq's energy sector, particularly with regards to gas imports from Iran. The US can restrict Iraq's access to gas, which is used to power electricity generation, potentially plunging the country into darkness.
Despite these challenges, Iraqis are determined to rebuild their country and assert their independence. The withdrawal of US forces from Iraqi territory is seen as a positive step towards greater sovereignty. However, the country's leaders are aware that much work remains to be done to address the economic and security challenges facing Iraq. This includes efforts to diversify the economy, improve infrastructure, and build a more robust and sustainable security framework.
As Iraq looks to the future, its leaders will need to navigate complex relationships with neighboring countries, including the US, Iran, and others. The country's economic development will depend on its ability to harness its natural resources, improve its business climate, and attract foreign investment. With patience, determination, and a bit of luck, Iraq may yet emerge as a stable and prosperous nation, free from the shadows of conflict and occupation.
Key points
- The US military withdrawal from Iraq does not necessarily mean that the country is free from US influence, particularly in terms of economic control.
- Iraq's economy remains heavily dependent on oil exports, which are controlled by the US through a Federal Reserve account in New York.
- The country's leaders face significant challenges in rebuilding the economy, improving security, and asserting Iraq's sovereignty in the face of ongoing US influence.
