The crisis in Iraq is ongoing and becoming more serious with no agreement reached on forming the government. There are some or the other obstacles in the path of formation of government. There is no party having single majority seats to form the government. The alliance, forums that are being formed are also not stable with a lot of foreign intervention. The country that is interfering the most inside Iraq is Saudi Arabia. First they were influencing the Sunni population and have formed terrorists groups but now they are buying Shia groups and getting their support to use them against Iran which has created all this complex situation. Due to this political instability the living needs problems are coming on people; like no electricity, water and people are adding to political instability. If these issues enhance and political stability is not achieved then this can reach the stage of civil war. The same political disagreements that are there between the parties can turn into armed conflicts. This is because all the groups are armed and they have this readiness. Similarly there is a lot of penetration of Europe and America in Iraq as well. The biggest objective of America and Saudi is to get Iranian influence and penetration out from Iraq. They want to do the same in Syria and Yemen; the way Iran has full control of Hezbollah in Lebanon they want to keep Iran away from Iraq. The want to keep Iran away from all Arab nations. The American pressure on Iran is also for this reason. First they had this fear that Iran should not export their revolution to these nations and now when Iran has entered into this countries they are doing all the activities to keep Iran out from Iraq. There are other elements also but all those together combine towards this main aim to keep Iran out from Iraq.