Tishwash: Trump announces lifting of naval blockade in the Strait of Hormuz
US President Donald Trump announced on Friday the lifting of the naval blockade in the Strait of Hormuz, stressing the need to reopen it immediately to international shipping without any transit fees.
Trump said in press statements, as reported by Shafaq News Agency, that “ships stuck in the strait due to the blockade, which will now be lifted, can begin the process of returning,” adding that “the Strait of Hormuz must be opened immediately without transit fees in both directions.”
He noted that “all sea mines will be removed if found,” explaining that US forces “detonated many of them,” while Iran will immediately remove the remainder.
Trump asserted that “ships stuck in the Strait of Hormuz can return home,” emphasizing that “Iran must agree that it will never possess a nuclear weapon or bomb.”
He pointed out that “the nuclear dust buried deep underground will be extracted in coordination with Iran and the International Atomic Energy Agency.”
He concluded that “no money will be exchanged with Iran until further notice,” revealing that he would go to the “operations room to make the final decision on this matter.” link
Tishwash: After the depletion of state-owned banks, the central bank faces the burden of financing.
Economist Mahmoud Dagher gave a briefing on the liquidity crisis facing government banks and its implications for the state’s ability to finance its needs through domestic borrowing, warning of continued financial pressures if the current crisis lasts for an extended period.
Dagher told Al-Jarida that “the low level of liquidity in government banks makes it difficult to resort to them to achieve internal borrowing, which prompted the Ministry of Finance to transfer remittances to the Central Bank for discounting instead of having them discounted by government banks.”
He added that “this measure leads to additional pressure on the debt-backed central bank budget,” indicating that “the continuation of the crisis for a longer period may force the government to look for alternative solutions, foremost among them being reducing public spending and rationalizing expenditures to limit the increasing financial pressures.” link
************
Tishwash: Washington removes the name of an Iraqi with 12 titles from its sanctions list.
The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) announced Thursday evening that it had lifted sanctions on 76 entities and individuals who were on old sanctions lists, including an Iraqi citizen whose name appeared in various forms in the department’s records.
This move came as part of an initiative to modernize the US sanctions system, a trend discussed by Treasury Secretary Scott Bisent during the “No Money for Terror” conference held in the French capital, Paris.
The US Treasury explained in its statement , which was reviewed by Shafaq News Agency, that the review included removing restrictions on deceased individuals, ships that were dismantled or taken out of service, as well as people who were previously classified as part of illicit financial networks that no longer exist, or others who were listed more than a decade ago without sufficient identifying data to continue scrutinizing them.
According to Treasury Department documents, the updated list included a prominent Iraqi citizen named Badran Turki Hishan al-Mazidi, who was born in Mosul, the center of Nineveh Governorate, and is known by the nicknames “Abu Ghadiya” and “Abu Abdullah”.
The lifting of restrictions on him came after his name and titles appeared in 12 different forms in previous lists to avoid merging identities.
The list also included the removal of other names and companies belonging to multiple nationalities, including Colombia, Algeria, Mexico, the Philippines, Burma and Germany. link
************
Tishwash: Government advisor: The 2026 budget will be a “crisis management budget”
The financial advisor to the Iraqi Prime Minister, Mazhar Muhammad Salih, warned of the challenges that may face in preparing the general budget for 2026, in light of the escalating geopolitical tensions in the Gulf region, describing the anticipated budget as being closer to a “crisis management budget” than to a budget for economic expansion or long-term development.
Saleh said, in a statement followed by (Al-Mada), that the escalating crisis in the Strait of Hormuz puts Iraq before a double challenge, which is to ensure the continuation of internal financial stability, in conjunction with protecting its oil exports, which constitute the main source of public revenues.
He explained that the budget “is no longer just an accounting document or tables of numbers,” but has become a reflection of the nature of the rentier Iraqi economy and the extent of the state’s ability to manage its resources amid a turbulent regional environment.
He indicated that the government would most likely move towards preparing a more conservative budget based on cautious oil assumptions, focusing on reducing unnecessary spending and rearranging priorities towards protecting salaries, pensions, social welfare and basic services.
He added that any disruption to oil exports through the Gulf would put direct pressure on Iraq’s financial and monetary stability, given the country’s almost complete dependence on oil revenues to finance operational and investment spending.
In contrast, Saleh pointed out that geopolitical crises may lead to a rise in global oil prices, which may give Iraq a temporary financial reprieve that alleviates the severity of the deficit and helps to pass the budget without an immediate financial crisis, provided that revenues are managed efficiently, waste is reduced, and the efficiency of public spending is increased.
He stressed that continuing to work according to the amended Federal Financial Management Law No. 6 of 2019 remains an option if the budget is delayed due to continued regional uncertainty.
Saleh concluded by saying that the real challenge lies not in the budget legislation itself, but in the state’s ability to ensure the sustainability of funding in an economy that is almost entirely dependent on oil, calling for dealing with the 2026 budget with “economic rationality and financial realism” away from emergency spending and ill-considered policies. link
Tishwash: Government advisor: The 2026 budget will focus on reducing unnecessary spending.
The Prime Minister’s financial advisor, Mazhar Muhammad Salih, confirmed on Friday that the 2026 budget will focus on reducing unnecessary spending and ensuring funding for vital sectors directly related to citizens’ lives.
He also indicated that continuing to operate under the amended Federal Financial Management Law No. (6) of 2019 remains a constitutional and financial option should the budget’s approval be delayed.
Salih stated, “In light of the escalating crisis in the Strait of Hormuz, through which the world’s oil artery passes amidst anxiety and tension, Iraq finds itself facing a dual challenge: how to successfully enact its 2026 budget amidst regional turmoil that threatens its oil exports, while simultaneously maintaining internal financial stability.”
He added, “The budget is no longer merely an accounting document or a set of figures; it has become a political and economic equation reflecting the nature of the Iraqi economy, which is based on oil revenues, and simultaneously revealing the state’s ability to manage its financial resources prudently and efficiently in a highly volatile and fragile regional environment.”
He added, “Given the escalating geopolitical conflict in the Middle East and the accompanying direct and indirect threats to maritime navigation and energy flows in the Strait of Hormuz, the possibility of enacting Iraq’s 2026 budget appears constitutionally and politically viable. However, it will be one of the most sensitive and complex budgets in Iraq’s modern financial history due to the intrinsic link between the Iraqi economy and global oil markets.”
He pointed out that “Iraq still relies almost entirely on oil revenues to finance salaries, pensions, social welfare, general operating expenses, and investment projects. This makes any disruption to exports through the Gulf a direct pressure on the country’s financial and monetary stability.” He noted that “the financial authorities are expected to prepare a more conservative budget based on prudent oil assumptions, reducing unnecessary spending and reprioritizing expenditures to protect social spending related to salaries, pensions, social welfare, and basic services, as well as ensuring funding for vital sectors directly impacting citizens’ lives and their economic stability.”
He explained that “conversely, geopolitical crises often drive up global oil prices, which could provide Iraq with temporary financial relief, mitigating the deficit and offering an opportunity to pass the 2026 budget without a direct financial collapse, especially if the financial administration succeeds in managing oil revenues efficiently, activating export alternatives, reducing financial waste, and increasing the efficiency of public spending.”
He stated that “continuing to operate under the amended Federal Financial Management Law No. (6) of 2019 remains a constitutional and financial option if the budget’s approval is delayed due to continued uncertainty and tension in the regional landscape.”
He pointed out that “the real challenge lies not in the debate surrounding the enactment of the 2026 federal budget law itself, but rather in the ability of public finances to ensure the sustainability of funding amidst a turbulent regional environment and an economy that relies almost exclusively on oil.”
He explained that “the 2026 budget, if it is enacted under the current geopolitical climate, appears to be closer to a (crisis management budget) than to a budget for economic expansion or long-term sustainable development, which requires the legislative and executive authorities to deal with it with economic rationality and financial realism, far from containment policies, immediate reactions and ill-considered emergency spending.” link
