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Iraq: Fuel Crisis Exacerbates the Country’s Problems, Citizens’ Burdens

A scene of congestion at a gas station in Baghdad (Iraqi News Agency)
A scene of congestion at a gas station in Baghdad (Iraqi News Agency)
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Iraq: Fuel Crisis Exacerbates the Country’s Problems, Citizens’ Burdens

A scene of congestion at a gas station in Baghdad (Iraqi News Agency)
A scene of congestion at a gas station in Baghdad (Iraqi News Agency)

Many Iraqi provinces, including the capital Baghdad, are facing a severe fuel shortage, forcing motorists in some cases to wait for hours to get gasoline. This is placing additional burdens on citizens who are already dealing with deteriorating public services, fewer hours of available electricity, and delays in the payment of pensions and salaries for public-sector employees.

Despite repeated government promises to overcome the fuel crisis, long lines of vehicles can frequently be seen at gas stations across Baghdad, Kirkuk, Babil, Basra, and most provinces of the Kurdistan Region. This is further deepening public distrust in government statements.

According to observers, the current fuel crisis "is one of the consequences of the war and the ongoing state of tension between Washington and Tehran, and its negative repercussions for Iraq since the war began on February 28."

At the same time, successive Iraqi governments face intense public criticism for failing to build enough oil refineries to meet domestic demand in a country that sits on vast oil reserves.

"Deliberate Manipulation"?

While many experts link the fuel crisis to the negative effects of the US-Iran war, particularly following the closure of the Strait of Hormuz and the disruption of most of Iraq's oil exports and foreign imports, sources close to Prime Minister Ali al-Zaidi's government do not rule out "deliberate manipulation" within the Oil Ministry that is worsening the crisis.

They link this alleged manipulation to groups that were recently affected by arrests targeting senior ministry officials on charges of stealing billions of dinars and dollars. Those arrested include former Deputy Oil Minister for Refining Affairs Adnan al-Jumaili, Deputy Oil Minister for Distribution Affairs Ali Maaraj al-Bahadli, Director General of the Oil Products Distribution Company Hussein Talib Abboud, and other figures.

In contrast, the Oil Ministry attributes the current fuel crisis to several factors, including increased demand and higher daily domestic gasoline consumption, technical failures that forced some production units at local refineries to shut down, and delays in the arrival of imported fuel shipments because of security tensions at ports and along regional transportation routes.

Despite the lines of cars at filling stations in more than one province, Oil Minister Basim Mohammed al-Abadi insists that petroleum products are available. During a meeting attended by senior ministry officials, he said that "the temporary shortage of gasoline is being addressed" and that additional gasoline shipments would arrive soon, helping to stabilize supplies and meet citizens' needs.

He added that "gasoline consumption averages around 33 million liters per day and rises to around 38 million liters when citizens become concerned."

He said his ministry "continues to closely monitor supply and distribution flows and is taking the necessary measures to secure petroleum products and strengthen stability in the domestic market."

Regarding the country's current oil exports following the near-total disruption caused by the US-Israeli-Iranian war, Minister al-Abadi said that "crude oil exports were around 250,000 barrels per day when the government took office, while current crude oil production has exceeded 3 million barrels per day."

In a subsequent statement, the Oil Ministry explained that "the congestion at fuel stations is caused by a negative gap between production and consumption." It said the ministry had relied on imported shipments delivered through maritime entry points to make up the shortfall, but regional events and the ongoing conflict have created logistical difficulties for tanker movements, delaying their arrival or docking at Iraqi ports.

No Plans to Export

The Iraqi Oil Ministry on Saturday denied reports circulated by some media outlets and news agencies that it planned to export gasoline, stressing that its immediate priority is to achieve self-sufficiency.

The ministry said in a statement that "the future shift toward exporting certain petroleum products depends on completing expansion work at other refineries," which it is pursuing as part of its strategic plans to transform Iraq from an importer into an exporter.

The statement noted that Iraq currently exports fuel oil and naphtha, in addition to previous shipments of jet fuel and sulfur.

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Arab World

Lebanon Urges US Pressure on Israel, Seeks Army Support and Commits to Reforms

President Joseph Aoun welcoming US Congress members Darin LaHood and Josh Gottheimer (Lebanese Presidency)
President Joseph Aoun welcoming US Congress members Darin LaHood and Josh Gottheimer (Lebanese Presidency)
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Lebanon Urges US Pressure on Israel, Seeks Army Support and Commits to Reforms

President Joseph Aoun welcoming US Congress members Darin LaHood and Josh Gottheimer (Lebanese Presidency)
President Joseph Aoun welcoming US Congress members Darin LaHood and Josh Gottheimer (Lebanese Presidency)

Lebanon’s top leaders urged Washington to pressure Israel to implement agreements and halt its operations in South Lebanon, while stressing the need for continued support for the Lebanese Army and pledging to press ahead with economic, financial and political reforms.

The messages emerged from President Joseph Aoun’s and Parliament Speaker Nabih Berri’s meetings with US Reps. Darin LaHood and Josh Gottheimer, as well as Prime Minister Nawaf Salam’s talks in Washington.

Aoun told the US lawmakers that Lebanon was placing considerable importance on Washington pressuring Israel to implement the “framework agreement” reached through Lebanese-US-Israeli negotiations in Washington.

Lebanon remains fully committed to the agreement, while Israel continues to disregard its provisions, Aoun stressed, according to a Lebanese presidency statement.

He stressed the need to halt demolition, bulldozing and destruction activities in the southern villages occupied by Israel, arguing that implementing the agreement required accelerating the return of Lebanese prisoners, resolving disputed points along the Blue Line and a gradual Israeli withdrawal from Lebanese territory alongside Lebanese Army deployment up to the internationally recognized southern border.

Aoun warned that continued delays would prolong tensions in the south and hinder the state’s ability to extend its authority throughout its southern territory, remove armed manifestations and return displaced residents to their villages and towns.

He also underscored the need to provide the Lebanese Army with the resources required to carry out its wide-ranging duties, from combating terrorism and smuggling and securing borders to protecting institutions and maintaining civil peace.

On domestic affairs, Aoun reaffirmed the government’s commitment to financial, economic and judicial reforms, pointing to legislation including amendments to the banking secrecy law, bank restructuring and the media law.

LaHood described the current situation as an opportunity to restore stability to Lebanon and the wider region and affirmed continued US assistance to Lebanon and its army through military aid provided by the administration with congressional approval.

Berri, meanwhile, focused on the continuing Israeli operations in Lebanon, arguing that Israel’s failure to fulfill its obligations under agreements reached to end the war was the main obstacle to their implementation.

He reiterated that the US administration and President Donald Trump had the ability to pressure Israel to halt its war on Lebanon, warning that its continuation would undermine efforts by the state and its institutions to carry out their roles, according to a statement from the parliament speaker’s office.

Berri welcomed assistance to the Lebanese Army but stressed the need to avert a failure to renew the mandate of the UN Interim Force in Lebanon, or UNIFIL, noting that there was still time to prevent such a step.

During a separate meeting with a British military delegation, he emphasized the importance of maintaining a UN umbrella and flag for any force assisting the Lebanese Army after Israel withdraws from occupied Lebanese territory.

Deputy Prime Minister Tarek Mitri also presented Berri with a documented report on crimes committed by Israeli forces in South Lebanon. Berri maintained that Lebanon’s right to pursue Israel over those acts was a “sovereign right” that could not be relinquished.

In Washington, Salam discussed economic and financial relations with US Treasury Secretary Scott Bessent, along with financial and banking reforms, negotiations with the International Monetary Fund and cooperation with the World Bank.

Salam outlined government measures to address the repercussions of Lebanon’s financial crisis and rebuild the banking sector, while seeking US support for reforms and economic recovery. Discussions also covered efforts to curb the cash economy and strengthen transparency, compliance and measures against money laundering and terrorism financing.

Meeting young Lebanese in Washington, Salam linked domestic reform with full state sovereignty, stressing that state-building rested on two inseparable tracks.

“There can be no state with two armies, and no state with two decision-making authorities,” he declared, reaffirming the government’s determination to pursue reforms and extend state authority across all Lebanese territory.

Salam stressed that government success should be measured not only by laws and projects but by its ability to build a country where young people see a future, making the return of Lebanese from abroad “a choice, not a sacrifice.”

He called for a state that respects its citizens and provides a trustworthy judiciary, a productive economy and an effective administration, urging Lebanese abroad to remain engaged through their expertise, investments and connections.

“Judge us by our work; judge us by the results,” Salam concluded.

Arab World

Violent Pilot Altercation Forces Diversion of UAE Plane en Route to Israel

A Flydubai aircraft (archive - Asharq Al-Awsat)
A Flydubai aircraft (archive - Asharq Al-Awsat)
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Violent Pilot Altercation Forces Diversion of UAE Plane en Route to Israel

A Flydubai aircraft (archive - Asharq Al-Awsat)
A Flydubai aircraft (archive - Asharq Al-Awsat)

A violent altercation between two pilots forced a flight traveling between the United Arab Emirates and Israel to divert on Wednesday. Israel's Prime Minister Benjamin Netanyahu's office denied reports that the aircraft had been hijacked, according to Reuters.

Netanyahu stressed that the situation was "under control" and that all necessary measures are being taken to ensure the safe return of the Israeli passengers.

Flydubai said Flight FZ1073 experienced an incident while airborne and landed safely in Tabuk, Saudi Arabia, with all passengers unharmed.

CNN, citing sources, reported that a violent clash between the pilots led to the transmission of emergency signals. An Israeli official told Reuters that the pilots sent distress codes after becoming involved in a physical confrontation, though it remained unclear whether either pilot intentionally activated the alerts.

Israeli media reported that the aircraft, carrying about 150 passengers, briefly transmitted emergency codes, raising concerns that it may have been hijacked and prompting Israel to scramble two fighter jets to escort the plane.

According to the Ynet news website, the emergency signal was transmitted while the aircraft was descending under manual control and turning back in the opposite direction.

Israeli Prime Minister Benjamin Netanyahu and Defense Minister Israel Katz held urgent security consultations following the incident.

The flight departed Dubai at 7:05 a.m. local time and was scheduled to land at Ben Gurion Airport near Tel Aviv at about 9:30 a.m.

Roughly 90 minutes into the flight, as the aircraft entered Jordanian airspace, it transmitted Code 7700, the international signal for a general emergency. It later sent Code 7500, used to indicate unlawful interference with an aircraft, including a possible hijacking.

Israeli Air Force fighter jets were scrambled to escort the plane while authorities worked to determine the cause of the emergency alerts.

Arab World

Iraqi Factions Threaten to ‘Bring Down Government’ Over Iran Flight Ban

An Iraqi man walks past a sign posted along a street in Baghdad on Sept. 29, 2026, as the international coalition’s mission against ISIS comes to an end. (AFP) 
An Iraqi man walks past a sign posted along a street in Baghdad on Sept. 29, 2026, as the international coalition’s mission against ISIS comes to an end. (AFP) 
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Iraqi Factions Threaten to ‘Bring Down Government’ Over Iran Flight Ban

An Iraqi man walks past a sign posted along a street in Baghdad on Sept. 29, 2026, as the international coalition’s mission against ISIS comes to an end. (AFP) 
An Iraqi man walks past a sign posted along a street in Baghdad on Sept. 29, 2026, as the international coalition’s mission against ISIS comes to an end. (AFP) 

Baghdad has so far maintained its position of barring Iranian airlines from landing at Iraqi airports in compliance with US Treasury sanctions, but Tehran-allied groups are pushing to bring down the government and close Iraq’s land crossings with neighboring countries.

The Iraqi government has also revived the issue of Tehran’s refusal to grant Iraq an exemption allowing its oil exports to pass through the Strait of Hormuz, seeking to counter escalating campaigns and threats by Iran-aligned militias against Prime Minister Ali Falih al-Zaidi and their continued pressure to allow Iranian aircraft to land at Iraqi airports, according to sources.

US authorities have issued limited exemptions for Iraqi Airways flights between Iran and Najaf airport only, while the Transport Ministry announced that flights would operate from the Iraqi side.

Ban and International Companies

Although the government has attributed the ban on Iranian flights to international regulations and systems, a former Transport Ministry official told Asharq Al-Awsat that the government could adapt those regulations to allow Iranian aircraft to land because Iraq has sovereignty over its airspace.

“The government is relying on international aviation regulations to put forward its position of complying with the US sanctions decision,” the official said.

Government spokesman Haider al-Aboudi stressed that “the government did not decide to ban Iranian aviation,” noting that airports operate within an international system similar to the oil sector and are bound by global requirements.

He explained that the international system includes companies providing services such as ground handling, monitoring and insurance, as well as ensuring the safety of airspace and passengers.

Companies operating at Baghdad and Basra airports have a presence at no fewer than 200 airports worldwide, maintain financial accounts and conduct transactions in dollars, prompting them to stop providing services to Iranian companies to avoid US sanctions, al-Aboudi added.

Kataib Hezbollah Threats

Despite the official explanations, armed factions have continued threatening the government since Iranian flights to Iraqi airports were suspended.

Hundreds of faction supporters demonstrated outside Najaf airport on Monday, denouncing the ban and demanding that it be lifted.

Kataib Hezbollah has emerged as one of the most hard-line factions on the issue. Its security official, Abu Mujahid al-Assaf, threatened to bring down Zaidi’s government unless the restrictions on Iranian flights were lifted.

“Zaidi and those behind him should know that a government that does not work in the interests of the people will be brought down by all means,” al-Assaf said in a statement.

He warned that if the air restrictions on Iran remained in place after Oct. 1, Iraqis could take a position “that may extend to closing the border crossings of countries participating in the blockade of the Iranian people.”

Firas Elias, a political science professor at the University of Mosul, said the pressure was “not only about aviation and restricting weapons to state control, but about preserving Tehran’s influence and its Iraqi cards at a sensitive moment in negotiations with Washington.”

US Treasury Exemption

Amid escalating Iranian pressure on Baghdad, the US Treasury Department on Tuesday issued a special license allowing Iraqi Airways to conduct transactions normally required to operate passenger services between Iraq and Iran through Najaf airport, subject to specific conditions and restrictions.

The license expires upon completion of the authorized transactions or on Oct. 28, 2026, while the Treasury Department retains the right to revoke or modify it at any time.

Its scope is narrow: flights must depart exclusively from Najaf International Airport and return there, and may carry only Iranian passengers traveling for religious tourism.

It also prohibits bulk cash transfers, shipments intended for Iranian intelligence, military or law enforcement agencies, and sanctioned individuals, including Iranian government officials and members of Iran-aligned militias.

Government-linked sources had previously indicated that Zaidi’s government asked Washington for an exemption to resume some flights between Iraq and Iran, particularly those carrying patients, students and religious pilgrims.

Following the US exemption, Iraq’s Transport Ministry announced that Iraqi Airways had secured authorization to operate flights to Iran, paving the way for their resumption in October. Flights will operate from the Iraqi side and through Najaf only, while the ban on Iranian airlines remains in place.