Kurdistan Region President, top US Treasury official discuss ISIS finances, 'regional trade'

ERBIL, Kurdistan Region — A senior US anti-terror financing official was in Erbil on Wednesday to discuss issues including the eradication of Islamic State (ISIS) financial resources to prevent  the group’s resurgence. Trade with “regional and neighboring countries” was also discussed, as the US continues to implore its regional allies to adhere to and implement economic sanctions on Iran. 

Assistant Secretary for Terrorist Financing Marshall Billingslea met on Wednesday with Kurdistan Region President Nechirvan Barzani, with the disabling of ISIS finances to prevent the group’s revitalization high on the meeting agenda.

“[They] emphasized the necessity of draining the financial sources of Daesh and preventing all of its financial activities and movements, to prevent its resurgence,” the IKR Presidency readout read.
 
Though ISIS was territorially defeated in Iraq in December 2017, militants have managed to regroup as sleeper cells and carry out insurgent violence. They have been at their most potent in territories disputed by the Kurdistan Regional Government (KRG) and central government in Baghdad. 

Iraq and Kurdistan Region trade “with neighboring and regional countries” were also discussed at the meeting, the readout added.

Though the readout did not explicitly refer to trade to Iran, the estimated $12 billion in Iraq-Iran trade have long drawn Washington’s ire.

The Kurdistan Region shares its own extensive business ties with Iran with which it shares three main border crossings - Parviz-Khan, Bashmakh, and Haji Omaran. 

Washington began re-imposing economic sanctions on Tehran in November 2018, having pulled out of the Iran nuclear deal six months earlier. 

Primarily applied to the country’s petrochemical industry, sanctions have since been expanded to include Iran’s Elite Revolutionary Guards Corps (IRGC) and senior Iranian regime figures including foreign minister Javad Zarif. 

Iraq has had to tread a careful line as it tries to maintain relations with both the US and Iran. Iraq is particularly dependent on Iran as a supplier of the natural gas it needs for electricity production. It has relied on US waivers on imposed sanctions for imports to continue. 

Billingslea visited Baghdad on September 13, telling Iraqi leaders the US expects Baghdad to “unequivocally” adhere to and implement sanctions on Iran.

Iraq has said previously that it will not participate in US sanctions against Iran. The Kurdistan Region has said that it will follow Baghdad policy on the matter.