U.S. Cuts Peshmerga Training Funds to Zero in New Iraq Security Budget

29-04-2026 11:59

Peregraf — The U.S. Department of War’s FY 2027 Counter-ISIS Train and Equip Fund (CTEF) request shows a major shift in Iraq security assistance, ending direct Training and Equipping (T&E) funding for the Ministry of Peshmerga Affairs (MoPA) while sharply reducing overall support.

According to the DoW’s FY 2027 CTEF request, funding allocated for MoPA — which covers "Peshmerga" Training and Equipping — drops from $61,014,940 in FY 2026 to $0 in FY 2027.

At the same time, support is being consolidated into Iraqi federal forces, with the Iraqi Ministry of Defense (MoD) receiving $38.6 million and the Counter Terrorism Service (CTS), led by President of the CTS Lieutenant General Karim Abboud al-Hialli, receiving $57.85 million.

This brings the total CTEF-I T&E request for FY 2027 to $96,452,160, compared to $175,028,940 in FY 2026 and $257,058,349 in FY 2025, marking a significant overall decline in U.S. security assistance.

Major Shift Away from Direct "Peshmerga" Support

The DoW document indicates that MoD and Joint Operations Command–Iraq (JOC-I) requirements are now combined in the FY 2027 budget justification, signaling a restructuring of how U.S. support is distributed.

The complete removal of direct MoPA funding suggests Washington is shifting its focus away from separate support for Kurdish groups and toward strengthening Iraqi federal military institutions. 

MoPA had received nearly $58 million in FY 2025 and over $61 million in FY 2026, making the FY 2027 zero allocation a major policy change.

Federal Forces Receive Priority 

Under the new request:

Iraqi Ministry of Defense (MoD): $38,600,000

Counter Terrorism Service (CTS): $57,852,160

Ministry of Peshmerga Affairs (MoPA): $0

The CTS remains one of the highest-funded Iraqi security institutions under the request, reflecting continued U.S. emphasis on specialized operations.

The DoW states that the MoD, currently led by Minister of Defense Thabit al-Abbasi, remains responsible for manning, training, and equipping the Iraqi Ground Forces Command, Iraqi Navy, Iraqi Air Force (IqAF), and Iraqi Air Defense Command.

Political and Security Implications 

The funding shift may raise political concerns in the Kurdistan Region, where direct U.S. support to the "Peshmerga" has long been viewed as a key part of the security partnership between Washington and Erbil.

It may also increase debate over Baghdad-Erbil security coordination, especially as the Kurdistan Region continues to face repeated drone and missile attacks linked to the wider US-Israel War on Iran.

The FY 2027 request reflects broader U.S. efforts to streamline military assistance and prioritize centralized federal security structures as Iraq enters a new phase of security management amid the ongoing US-Israel War on Iran.