Iraqi Army soldiers conducting tactical training with US Army instructors during Operation Inherent Resolve, June 2015
Iraq, June 2015 - Iraqi Army soldiers in tactical training with US Army instructors during Operation Inherent Resolve, the institutional rebuild that has continued through the post-ISIS period. Sgt. Charles M. Bailey / U.S. Army · public domain · Wikimedia Commons
Iraq flag

Play as · WW3 2026 · L2 Mid-Power · Iran-influenced Swing

Iraq - 2026

The strategic intersection of Iranian influence and US presence. About 2,500 US troops on advisory rotation. Iranian-backed Popular Mobilization Forces operating as quasi-state militia. The Iraqi government in Baghdad navigating between the two with chronically thin political room. Oil revenue funds the state; Kurdish autonomy in the north remains unresolved; the post-ISIS reconstruction is incomplete.

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5th Oil Producer
US + Iran Pressure
Kurdish Question
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PMF Parallel

Starting position

Iraq in 2026 is governed by Mohammed Shia' Al Sudani's coordination-framework government, formed after the protracted post-2021-election political crisis that saw Muqtada al-Sadr's bloc withdraw from parliament. The Iraqi Security Forces have rebuilt substantially since the 2014-2017 anti-ISIS campaign with US, NATO, and broader coalition training and equipment. The Popular Mobilization Forces - formally a state institution but functionally a constellation of Iran-backed militias plus more nationalist factions - operates parallel command structures.

The Kurdish Regional Government in Erbil maintains constitutional autonomy but the post-2017 referendum aftermath and ongoing oil-revenue disputes with Baghdad keep the relationship contested. The 2014 oil price crisis exposed Iraq's near-total revenue dependence on hydrocarbons; the recovery has not eliminated the structural fragility. Periodic Iranian-backed PMF strikes on US positions, and US strikes on PMF facilities, run as a sub-strategic conflict that has not escalated into open hostilities but has not been resolved either.

Strategic levers

The instruments are oil revenue (5th-largest producer, OPEC member, the source of the state's fiscal capacity), geographic position adjacent to Iran, Turkey, Syria, Saudi Arabia, and Jordan that makes any regional diplomacy implicitly route through Baghdad, demographic mass (40+ million population), and the legal-institutional framework that - when it functions - gives Iraq the only Arab state where Iranian influence operates inside formal government rather than purely through proxies.

What turns the campaign

What Iraq wants is sovereignty preservation against both Iranian over-influence and any US escalation that turns Iraqi territory into an active US-Iran battleground, sustained oil revenue at prices the budget assumes, Kurdish autonomy stabilized into a sustainable arrangement, ISIS remnants suppressed without renewed Sunni alienation, and a US presence that delivers training and air support without producing ongoing PMF rocket attacks the government cannot suppress.

What Iraq fears is Kurdish independence cascading into a regional crisis (involving Turkey and Iran), an Israeli-Iranian direct exchange that uses Iraqi airspace as the corridor, an oil-price collapse that strips fiscal capacity, and Sunni reintegration politics failing in ways that allow ISIS-successor formations to reconstitute. The structural threat is the political-institutional fragility - Iraqi politics oscillates between functional government and prolonged caretaker periods.

Signature challenge

The dual-pressure-thin-room problem

Every Iraqi government navigates US-Iran pressure with chronically thin political room. The strategy that works is calibrated noncommitment - accept enough from both to maintain the relationships, refuse enough from each to keep sovereignty plausible, take no decisive action that closes off either relationship's future. NationFall surfaces this as the chronic relations-mechanic balancing act: every concrete decision costs on one side or the other, and the cumulative pattern over years determines whether sovereignty is real or notional.

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Regional siblings: Iran · Türkiye · Saudi Arabia · Jordan

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