Supporters of Yemen’s Ansar Allah, left, and fighters from Lebanon’s Hezbollah, right.
Iraq removes Hezbollah, Houthis from terror-financing list in official correction
BAGHDAD — Iraq’s Committee for Freezing Terrorists’ Assets on Tuesday issued a revised decision removing Lebanon’s Hezbollah and Yemen’s Houthis from the country’s terror-financing list, formally correcting what authorities had described as an “error” caused by publishing an unedited draft.
The committee said its updated Decision No. 64 of 2025 was issued after an extraordinary session on Dec. 7 and clarified that the two entries, listed as sequences 18 and 19 in the earlier document, “were not covered by the provisions of the decision,” which applies only to entities linked to ISIS and al-Qaida. The revised order states that the listings have been deleted and that the correction “shall be implemented from the date of issuance and published in the official gazette.”
The move is the latest step in a controversy that began when Hezbollah and the Houthis appeared in Issue 4848 of al-Waqa’i al-Iraqiya under Decision No. 61 of 2025. The publication triggered political backlash, street protests and a series of denials from state institutions.
On Thursday, Prime Minister Mohammed Shia al-Sudani ordered authorities to “conduct an urgent investigation, identify responsibility, and hold those who fell short accountable,” saying the published text “reflected positions that are not real” and that Iraq’s approval of a Malaysian request under U.N. counterterrorism measures was limited to entities tied to ISIS and al-Qaida.
The Central Bank’s Committee for Freezing Terrorists’ Assets later said the inclusion of Hezbollah and the Houthis was “a mistake” caused by releasing an unedited draft before final review. It confirmed the names “will be removed” in a corrective notice, a step completed with Tuesday’s revised decision.
Several institutions moved to distance themselves as the issue intensified. Iraq’s Presidency said it “denies having knowledge of or ratifying the decision,” noting that such committee decisions do not pass through the presidency for approval. The Communications Ministry also said its representative on the committee “was not present at the last session” because he was on leave and did not participate in any vote.
The controversy prompted public reaction as well. Kataib Hezbollah organized a protest outside the Iraq Media Network headquarters on Friday, denouncing the appearance of Hezbollah and the Houthis in the gazette, even though the publication is issued by the Ministry of Justice.
The investigation ordered by al-Sudani into how the unedited document reached publication remains ongoing.