Report says US blocked $500m cash shipment to Iraq over pro-Iran attacks

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The United States blocked a plane carrying nearly $500 million in banknotes from delivering the cash to Iraq, US media reported, adding pressure on Baghdad to confront armed groups, AFP reports.

The Wall Street Journal reported that Washington has suspended cash shipments to Iraq and frozen funding for security programs following attacks on US interests in the country by groups showing solidarity with Iran.

Iraq has long walked a tightrope between the competing influences of its allies, neighbouring Iran and the United States.

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