The United States has been trying to prevent the Kurdistan Regional Government (KRG) from holding a referendum on its independence, with Washington using its substantial support to the peshmerga forces as leverage against the KRG to stop the plebiscite scheduled for late this month. However, the strong alliance between the two sides will likely prevent any further escalation during this period.

Pentagon spokesman Eric Pahon told TV channel Al-Hurra Aug. 17 that the United States intended to suspend financial aid to the KRG peshmerga forces. Quoting the US Defense Department, Al-Hurra reported, "Hundreds of millions of dollars have been handed over to the Peshmerga Ministry since 2014 in batches. The Pentagon will no longer provide funds to the Ministry of Peshmerga."

High-level sources in the US Defense Department, who spoke on condition of anonymity, said that these threats to suspend aid were a direct result of the announced referendum on the independence of the Kurdistan Region scheduled to be held on Sept. 25.

The United States has contributed to the restructuring and modernization of the Kurdish peshmerga forces in recent years and has helped them at the level of arming and training, as well as paying part of their salaries.