Iraq Revises Terrorist Funds Freeze, Excludes Hezbollah and Houthis Due to Error

The Iraqi committee responsible for managing terrorist funds announced on Tuesday an amendment to decision number (61) of 2025, which removes Hezbollah and the Houthi group from the funds freeze lists. The committee confirmed that their earlier inclusion was due to an error.

In its statement, the committee clarified, "The approval from the Iraqi side was intended solely for entities and individuals associated with ISIS and Al-Qaeda. The inclusion of other groups resulted from the list being published prematurely without thorough review."

The committee further stated, "There was an error in including the names of Hezbollah and the Houthis."

The original decision was published in the Iraqi Facts newspaper on November 17, 2025, following a request from Malaysia and in accordance with UN Security Council Resolution No. 1373 of 2001, which mandates the freezing of funds and assets linked to ISIS and Al-Qaeda.

The initial publication of the list last month prompted significant controversy and criticism from various Iraqi factions. International media, including Reuters, noted that the move could be seen as favorable by Washington and could intensify pressure on Tehran.

Iraqi officials confirmed last Thursday that the names of the two groups would be removed from the list, affirming that their inclusion was unintentional.

This amendment follows a week of political and media scrutiny in Iraq, where pro-Iran factions deemed the initial inclusion "confusing." The revised decision clarifies Iraq's official stance regarding the entities listed.