Iraq Development Bank Named for Iran Dealings with Exception for Value of Transaction

[ABS News Service/30.10.2026]

The Treasury Department’s Office of Foreign Assets Control issued a general license yesterday authorizing qualifying transactions necessary to wind down dealings with the International Development Bank for Investment and Finance, also known as Iraq Development Bank.

OFAC designated the bank on October 15, 2026, under Executive Order 13902 for operating in Iran’s financial sector. Treasury alleged that the bank provided financial services and US-dollar access to Iran.

The license covers transactions prohibited by the Iranian Transactions and Sanctions Regulations involving the bank and entities it owns, directly or indirectly, by 50 percent or more.

Payments to blocked persons must be deposited into blocked accounts. Other prohibited transactions remain excluded unless separately authorized. The authorization expires December 1.

The bank’s shareholder register describes the Khalaf Abed Karim family as holding approximately 68 percent of its equity.

An International Finance Corporation project disclosure describes an uncommitted trade-finance line of up to $10 million under IFC’s Global Trade Finance Program. IDB also reports trade-finance support from Saudi EXIM Bank, without specifying the amount or current availability.