Rank #44 · Middle East
Iraq's official defense spending of $6.2 billion (2024) reflects rebuilding efforts since the defeat of ISIS in 2017, but the Iraqi security landscape is uniquely complicated by the Popular Mobilization Forces — a 100,000-300,000 strong paramilitary network that formally reports to the Prime Minister but operationally follows Iran's directives. The Iraqi Armed Forces are expanding their F-16 fleet and diversifying suppliers away from US exclusivity toward Russian and Chinese systems.
Iraq's defense budget has grown steadily from $4.7B (2022) to $6.2B (2024), fueled by oil revenues that fund roughly 90% of the federal budget. The 2024 state budget passed at a record $153B reflects high oil-price revenues and prioritizes reconstruction and security. Official defense spending does not capture PMF funding, which flows through the National Security Adviser's office and receives additional Iranian material support. The US provided an estimated $25B in training and equipment between 2004-2014 and continues FMF transfers, though at reduced levels post-2021.
Iraq's armed forces comprise the Army, Air Force, Navy, and Federal Police. The Army is the dominant service with an estimated 193,000 troops organized around counter-insurgency and internal security doctrine. The Air Force operates F-16IQ Fighting Falcons (initially delivered 2014-2015; fleet of ~18 jets with attrition and additional orders), C-130 transports, and Russian Mi-35 attack helicopters. The Navy is small, focused on oil-platform protection with patrol craft. The PMF, formally integrated by 2016 parliamentary law but operationally autonomous, comprises ~67 predominantly Shia factions totaling 160,000-300,000 fighters and operates with Iranian IRGC support.
Iraq has virtually no domestic defense industry of consequence. The country is almost entirely import-dependent for weapons, equipment, and spare parts. Post-2003 reconstruction prioritized US suppliers (M16 rifles, Humvees, M1A1 tanks, F-16s), but Baghdad has deliberately diversified since 2014: Russian Mi-28 and Mi-35 helicopter purchases, Chinese CH-4 armed drones, and South Korean K9 howitzer interest have all been reported. Czech L-159 fighter jets were briefly operated. Iraq's oil-revenue dependence means defense investment tracks global crude prices.
ISIS retains an insurgent capability in Iraq's Anbar, Kirkuk, and Nineveh provinces, conducting periodic vehicle bombings, ambushes, and assassinations despite territorial defeat in 2017. The PMF's alignment with Iran creates persistent tension with the US, which maintains ~2,500 troops in Iraq under the anti-ISIS coalition. The 2026 US-Iran conflict (Operation Epic Fury, Feb-Apr 2026) placed Iraq in an extremely difficult position: PMF factions launched attacks on US forces from Iraqi territory, while the Iraqi government officially called for restraint and requested US troops remain. A March 2025 parliamentary bill sought to formally subordinate the PMF to Prime Ministerial authority and reduce Iranian influence.
During the February-April 2026 Operation Epic Fury US-Iran conflict, Iran-aligned PMF factions launched rockets and drones at US bases in Iraq, including the Ain al-Assad air base. Iraq's government walked a tightrope — formally condemning violations of sovereignty while not confronting PMF units directly. The March 2025 PMF reform bill remained stalled in parliament under pressure from Iran-aligned factions. Iraq signed contracts for additional F-16 maintenance support and is considering a second-tranche purchase. Chinese military outreach, including a 2024 visit by Iraq's Defense Minister to Beijing, signaled continued supply diversification.
Iraq's official defense budget was $6.2 billion in 2024, up from $5.5B in 2023. This figure covers only the Iraqi Security Forces; PMF/Hashd al-Shaabi expenditures are separately channeled and not fully disclosed. Oil revenues fund roughly 90% of the state budget.
The Popular Mobilization Forces (Hashd al-Shaabi) is an umbrella of ~67 mostly Shia armed factions formally integrated into Iraq's security structure in 2016. With 160,000-300,000 fighters, they operationally take direction from Iran's Supreme Leader rather than Baghdad. They fought ISIS effectively but now constitute a state-within-a-state challenging Iraq's sovereignty and complicating US-Iraq relations.
Iraq operates a small but growing air force centered on ~18 F-16IQ Fighting Falcons (delivered 2014-2015 with attrition), C-130 transports, and Russian Mi-35 attack helicopters. The force is limited by maintenance challenges, pilot shortages, and lack of integrated air defense. Iraq is seeking additional F-16s and exploring other combat aircraft.