Iraq Caught in Crossfire: Struggling to Maintain Stability Amid Regional Turmoil

Iraq finds itself at the center of a regional conflict between Iran and the US, facing daily drone strikes and disrupted oil exports. The conflict threatens Iraq's fragile economy, which heavily relies on oil revenues, and exacerbates political tensions. The nation risks widespread unrest and economic instability.


Devdiscourse News Desk | Irbil | Updated: 13-03-2026 19:37 IST | Created: 13-03-2026 19:37 IST
Iraq Caught in Crossfire: Struggling to Maintain Stability Amid Regional Turmoil
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Iraq stands at the crossroads of escalating regional conflict involving Iran and the US, making it increasingly vulnerable. Daily drone and missile strikes target US bases, diplomatic sites, and oil infrastructure, sparking fears of an economic and political crisis. With oil exports stalled, Iraq's economy teeters on the brink.

Disruptions in Gulf shipping and oil field strikes have halted crucial exports. These challenges, compounded by a political transition, jeopardize Iraq's ability to pay its oversized public-sector workforce. Talks with Kurdish leaders about resuming pipeline exports to Turkiye remain deadlocked, further straining government revenues.

The conflict's toll on Iraq is profound, as it hosts competing Iran-aligned forces and American interests. Political paralysis and economic shocks threaten Iraq's stability. With a caretaker government in place, leaders struggle to manage multiple armed groups, risking internal divisions and heightening political tensions.

(With inputs from agencies.)

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