Iraq’s President Nizar Amedi has appointed Ali al-Zaidi as prime minister-designate and tasked him with forming a new government, according to Al Jazeera’s correspondent in Iraq. Al-Zaidi was selected by the Coordination Framework, a coalition of Shia parties holding a parliamentary majority, following a meeting in Baghdad. His nomination ends months of political stalemate that had drawn intervention from United States President Donald Trump, who opposed the initial candidate, former Prime Minister Nouri al-Maliki. Both al-Maliki and outgoing Prime Minister Mohammed Shia al-Sudani withdrew their candidacies to facilitate consensus.

Al-Zaidi, chairman of Al-Janoob Islamic Bank, emerged as a compromise figure supported for his economic expertise and business connections, despite lacking prior political experience. In his first statement, he pledged to make Iraq “a balanced country, regionally and internationally,” emphasizing unity during what he described as a sensitive period. Under Iraq’s constitution, he now has 30 days to present a cabinet to parliament and secure a vote of confidence.

The incoming government faces major challenges, including managing the fallout from the US-Israeli war against Iran, disruptions to oil exports through the Strait of Hormuz, and persistent issues of corruption, armed groups, and governance reform.