The U.S. Treasury's OFAC removed counterterrorism sanctions from Iraqi carrier Fly Baghdad Airlines and two of its Boeing 737 aircraft.

The U.S. Treasury's OFAC removed counterterrorism sanctions from Iraqi carrier Fly Baghdad Airlines and two of its Boeing 737 aircraft. The airline had been designated in January 2024 for allegedly helping the IRGC-Quds Force—including flying weapons and fighters to Syria and Lebanon for Iranian proxies like Hezbollah and Kata'ib Hezbollah. Treasury stressed this is an administrative decision, not a policy shift toward Iran or the IRGC. The airline's CEO stays on the sanctions list—with his linkage actually updated to point directly at the IRGC-Quds Force.