The United States has halted shipments of US dollars to Iraq and paused security cooperation programs as a measure to pressure Baghdad into curbing powerful Iran-aligned groups. A recent cargo plane carrying nearly $500 million in US banknotes, derived from Iraqi oil revenues held at the Federal Reserve Bank of New York, was blocked by the US Department of the Treasury. This suspension, the second since late February, coincides with Washington's push for Iraq to distance itself from Iran amid the ongoing conflict. The move follows attacks by Iran-aligned groups targeting US facilities and neighboring countries, and previous US airstrikes against these factions within Iraq.