Monday, May 19, 2025

Why $87 Billion Is Flowing Into Iraq: A New Economic Era Begins 🎥

Fouad Hussein: Iraq is witnessing an influx of foreign investments amounting to approximately $87 billion.

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The Kurdistan Regional Government signs two agreements with American companies to develop the oil and energy sector.

Foreign Minister Fuad Hussein revealed on Monday that Iraq is currently witnessing an influx of foreign investments estimated at $87 billion, noting that Iraq is playing an active role in bringing the views of opposing countries closer together.

In a speech during his participation in  the Tehran Dialogue Forum, which was monitored by Al-Sa'a Network, Hussein said, "Iraq is currently witnessing an influx of foreign investments estimated at $87 billion, reflecting growing international confidence in the Iraqi economy ."

The video for this My FX Buddies Blogpost is below here:

He reviewed the Iraqi government's plans to diversify the economy, and Iraq's beginning to invest in natural gas, expecting to reach full domestic gas production by 2028 .

He explained that "the government is moving towards developing the petrochemical sector, activating tourism, particularly religious tourism, and supporting the agricultural sector ."

Regarding Iraq's role in the regional arena, the minister stressed that "Iraqi foreign policy is based on the principles of dialogue and communication," noting "the effective role Iraq has played in bringing the views of opposing countries closer together ."

Regarding the recent Arab Summit hosted by Baghdad, the minister explained that "Iraq is dealing realistically with the challenges facing the Arab world, as several countries are experiencing internal conflicts and wars ."


The framework refuses to grant a second term to any prime minister.

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The framework refuses to grant a second term to any prime minister.

State of Law Coalition leader Zainab Arif al-Basri revealed an agreement among the leaders of the Coordination Framework regarding the position of prime minister for the next phase. The agreement stipulates that no prime minister will be granted a second term starting with the next elections.

Al-Basri said, "The leaders of the framework agreed that the person who will assume the position of prime minister will serve only one term in the next phase."

Al-Basri ruled out the possibility of "current Prime Minister Mohammed Shia al-Sudani being renewed for a second term," but emphasized that "al-Sudani and his bloc will be influential as a parliamentary bloc within the framework and parliament."

This statement indicates that the framework does not care about the election results, and that it bases its decision on the winner's appointment.

The statement demonstrates that the Coordination Framework forces do not link the position of prime minister to ballot box results, as if the elections were merely a formal referendum that does not lead to a genuine transfer of power and does not make a difference to the governance equation, which is often managed behind the scenes.


Parliamentary Finance: Salaries are secured, but the government must submit the budget and change the oil price.

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After a deficit of 63 trillion dinars

 

The Parliamentary Finance Committee reassured citizens regarding the salaries issue, asserting that the situation is under control. However, it expressed concern about the government's delay in submitting budget schedules and the failure to change the scheduled oil price following the decline in global prices.

Committee member Hussein Mounes told the official newspaper, followed by the 964 Network , that "the government has several options and the ability to overcome any current crisis," noting that "the current situation is not cause for concern, and the salaries issue will not witness any disruption."

Regarding the budget, Mounes emphasized that "the government's delay in submitting the schedules is a negative indicator reflecting a weak response to global economic changes, particularly the decline in oil prices." He noted that "maintaining the price of a barrel at $70 within the budget is unrealistic and must be adjusted based on the opinions of experts."

He explained that "the current budget deficit has reached 63 trillion dinars, a large figure that requires Parliament to work hard to reduce it in line with available resources," noting that "the Finance Committee is actively working to address the deficit and amend the budget schedules to align with current challenges."

Mounes pointed out that "the budget schedules will pose a real challenge to Parliament, due to the fragility of the Iraqi economy and its reliance on a single resource, oil, which exposes the country to the volatility of the global market." He emphasized that "overcoming these challenges requires sound financial management and realistic planning that is consistent with the current economic situation."


Al-Sudani: Iraq to strengthen NATO coordination, host next dialogue

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Al-Sudani: Iraq to strengthen NATO coordination, host next dialogue

 

On Monday, Iraqi Prime Minister Mohammed Shia Al-Sudani met in Baghdad with the new Commander of the NATO Mission in Iraq, Christophe Hintzy, pledging stronger cooperation with the alliance.

According to a statement from the PM’s Office, the meeting marked the departure of Lt. Gen. Lucas Schreurs, whom al-Sudani thanked for his leadership and contributions to NATO’s advisory efforts in Iraq.

Al-Sudani emphasized the need to strengthen joint coordination, referencing progress made during last year’s High-Level Dialogue in Brussels. He announced that Iraq will host the next round of discussions in Baghdad and instructed government institutions to fully support NATO’s mission, aiming to bolster its “advisory role” and institutional partnership.

Schreurs, in turn, praised Baghdad for successfully hosting the Arab League Summit, highlighting advancements in infrastructure and economic development that contribute to regional stability.

He further reiterated NATO’s commitment to supporting Iraq through training, technical assistance, and strategic guidance.

  

Iraqi Prime Minister Media Office
2 hours ago

 

Prime Minister Mohammed S. Al-Sudani Meets with the New Commander of NATO Mission in Iraq
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Prime Minister Mohammed S. Al-Sudani met today, Monday, with the new Commander of the NATO Mission in Iraq, Major General Christophe Hintzy, in the presence of the outgoing Commander, Lieutenant General Lucas Schreurs.

...See more
 
  
 

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Iran informs Iraq of its readiness to continue negotiations with the United States.

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Iranian Foreign Minister Abbas Araqchi affirmed on Monday his country's readiness to continue nuclear negotiations with the United States.

A statement issued by the Iraqi Foreign Ministry stated that "Foreign Minister Fuad Hussein held a bilateral meeting with Iranian Foreign Minister Abbas Araghchi on the sidelines of his participation in the Tehran Dialogue Forum, to discuss prospects for developing bilateral cooperation between Iraq and Iran, ways to enhance regional stability, and a number of issues of common interest."

Hussein emphasized that "Iraqi-Iranian relations are based on solid historical and geographical foundations," emphasizing Baghdad's keenness to enhance cooperation in the areas of security, economy, and energy, especially in light of current regional challenges.

He also pointed to the importance of activating the work of joint committees between the two countries, addressing the impact of sanctions on Iranian gas supplies to Iraq.

In the same context, he reiterated Iraq's support for the ongoing diplomatic process between Tehran and Washington, describing it as "a vital path to achieving stability in the region." He noted that he had discussed this issue during his recent visit to Washington, where he emphasized the need to transform the negotiations into tangible, practical results that serve the interests of the peoples of the region.

For his part, Abbas Araqchi expressed his appreciation for Iraq's active participation in the Tehran Dialogue Forum, affirming Iran's readiness to continue nuclear negotiations with the United States and praising Iraq's role in creating the appropriate conditions for diplomacy.

The meeting also addressed developments in regional crises, with Hussein stressing the importance of adopting comprehensive political solutions that ensure respect for state sovereignty and put an end to human suffering in the region.

 

Oil expert: The drop in oil prices is hitting Iraq hard, and its economy is dependent on crude oil revenues.

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Oil expert Hamza Al Jawahiri confirmed that the decline in oil prices directly affects Iraq due to its total dependence on oil exports.

Al-Jawahiri told Furat News: “The Iraqi economy is a rentier economy, and the rest of the OPEC countries do not depend on oil as a primary resource.”

He explained, “Oil revenues only constitute between 40 and 50 percent of their resources, while Iraq has a single-resource economy that depends entirely on oil revenues.”

Brent crude futures fell 5 cents to $65.36 a barrel by 00:22 GMT. U.S. West Texas Intermediate (WTI) crude futures rose 3 cents to $62.52.
Both crudes rose more than 1 percent last week after the United States and China, the world’s two largest economies and oil consumers, agreed to a 90-day de-escalation in their trade war during which they will significantly reduce tariffs.


The International Monetary Fund warns Iraq: A difficult economic year is on the horizon.

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 The International Monetary Fund  (IMF)  has warned that Iraq faces a challenging economic year, with spending on salaries and energy continuing to rise, with 55% of its electricity being wasted 

The Fund expects that Iraq's non-oil economic growth in 2025 will "decline significantly ."

The economic situation in Iraq prompted a delegation from the International Monetary Fund to hold several meetings in Baghdad and Amman, the Jordanian capital, between May 4 and 13, with Iraqi ministries and financial and economic institutions 

On May 15, the Fund released a report on its forecasts for Iraq this year .

The International Monetary Fund reported that the fiscal deficit in 2023 amounted to 1.1% of GDP, but this percentage is expected to rise to 4.2% of GDP in 2024 

The report attributes this to the fact that "salary and energy expenditures in Iraq are constantly increasing ."

It's worth noting that the price of a barrel of oil in the Iraqi budget law was set at $70, but its market price has remained below that level for more than two months 

According to the International Monetary Fund, "the spending surplus has declined significantly from 7.2% to 2% of GDP, due to increased imports of goods ." 

The Fund expects Iraq's non-oil economic growth in 2025 to be "very low," with GDP growth falling to 1 %.  

He attributed this to the decline in oil prices and the increase in government expenditures, which will have a significant impact on current expenditures this year due to the decline in oil export revenues 

The IMF also confirmed that the Iraqi economy's vulnerabilities have increased in recent years due to increased spending on public sector employment and salaries, as well as increased reliance on oil revenues 

The Fund called for "a swift response and for the authorities to review the current spending plan and work to increase non-oil revenues by reviewing customs tariffs. The fiscal deficit should not be covered by drawing on foreign exchange reserves, weakening the central bank's capacity ."

The IMF also indicated that the Central Bank of Iraq's reserves are expected to reach $100.3 billion by the end of 2024, which is only enough to cover import costs for 12 months .

Another issue the IMF has strongly warned about is energy sector expenditures, particularly electricity. The Fund states that "addressing deficiencies in the electricity sector is a critical public finance issue. In 2024, electricity wastage reached 55%, primarily through theft and illegal connections, causing significant financial losses ."


MP: Qaani's visit before the Arab Summit was an unfortunate move

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Member of Parliament and representative of the Progress Party, Abdul Karim Abtan, considered on Monday that the visit of the commander of the Iranian Quds Force, Esmail Qaani, to Baghdad before the Arab Summit was not a successful step, noting that its timing was inappropriate in light of the preparations for the summit. 
Abtan said in a statement monitored by (IQ): "In my opinion, and as a representative of a segment of society, I believe that Qaani's visit before the Arab Summit was not successful, as its timing was inappropriate, because we were preparing for the Arab Summit."


After years of waiting, affected companies appeal to Al-Sudani to release their pending compensation.

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After the individual compensation case in Diyala Governorate was closed, owners of 17 companies affected by terrorist attacks issued an urgent appeal to Prime Minister Mohammed Shia al-Sudani, demanding the release of their financial compensation, which has been pending for more than ten years.

Owners of the affected companies told Baghdad Today that "the compensation due to their companies was approved by the judiciary after a long legal battle, but it was subject to a deduction exceeding 50% of the original value, causing significant harm to the affected companies, which were awaiting these rights to revive their stalled businesses."

In their appeal, the companies noted that "the value of compensation has diminished due to the passage of time and significant price changes, causing it to lose a significant portion of its true value, given the economic and financial challenges facing Iraqi companies across all governorates."

The victims emphasized that "their justice today is part of completing the justice file that the government has begun addressing in Diyala, calling for this pending file to be resolved, in line with what was done with the affected citizens."

Today, Monday (May 19, 2025), the representative of Diyala Governorate, Mudhar Al-Karwi, revealed the issuance of two urgent directives from Prime Minister Mohammed Shia Al-Sudani regarding the file of compensation for those affected in Diyala.

Al-Karwi told Baghdad Today, "The Diyala compensation issue has been significantly delayed for years, prompting us to submit a direct request to the Prime Minister, who responded immediately and issued two directives to the Ministry of Finance."

He added, "The first directive calls for expediting the disbursement of ready-to-pay compensation transactions without delay, and for the necessary funds to be secured immediately. The second directive instructs the central committees concerned with the Diyala compensation file to accelerate the pace of work and release the delayed batches of transactions."


Finance: Ernst & Young contracted to evaluate Iraqi insurance companies.

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Finance: Contracting with Ernst & Young to evaluate Iraqi insurance companies

The Minister of Finance announcedSami's SpectreToday, Monday, contractedIraqWith the company "Ernest"Young" Global to evaluate the performance of government insurance companies and make recommendations to determine their fate.

Sami told the official agency, which followed it:Alsumaria NewsHer ministry, "based on the directives ofcabinetI contracted with the international company Ernst & Young to evaluate the work of government insurance companies.
 She added , "The company's role will focus on submitting technical recommendations to the ministry regarding merging, restructuring, or improving the current performance of these companies, in line with international best practices and standards."Ministry of FinanceIn 2023, it announced its selection of the international audit firm "Ernest"Young" and its headquartersAmerica...to "review its financial statements, as a first step in efforts to correct and reform financial policy, consistent with the principles of the Iraqi government's reform program," according to an official statement issued at the time.

Masrour Barzani sponsors the signing ceremony of two important energy agreements in Washington.

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The Kurdistan Regional Government signs two agreements with American companies to develop the oil and energy sector.

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As part of his official visit to the United States, Kurdistan Regional Government Prime Minister Masrour Barzani oversaw the signing of two important energy sector agreements on Monday, May 19, 2025, at the US Chamber of Commerce in Washington, DC.

The two agreements were concluded between the Kurdistan Regional Government on one side and the American oil companies HKN Energy and Western Zagros on the other, both of which specialize in this vital field.

The two agreements, estimated to be worth tens of billions of dollars, aim to develop and grow the oil and energy sector in the Kurdistan Region, in addition to strengthening its economic infrastructure.


Parliamentary Finance Committee sounds alarm bells over the Iraqi economy

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Member of the Parliamentary Finance Committee, Moeen Al-Kadhimi, warned on Monday of the repercussions of the government's continued resort to domestic and foreign borrowing, stressing that this move portends a potential economic collapse in light of the decline in global oil prices and the federal budget deficit.

Al-Kadhimi told Al-Maalouma News Agency that “the large financial deficit in the general budget, coupled with the decline in oil prices, is pushing the government toward dangerous choices, most notably expanding borrowing,” noting that “continued reliance on loans will lead the country into a spiral of financial and economic crises that will be difficult to escape.”

He added that "successful governments have failed to diversify the economy, but have instead continued to rely on oil as the almost sole source of budget funding, leaving Iraq hostage to global market fluctuations." He emphasized the "need to develop a comprehensive economic strategy based on revitalizing productive sectors, such as agriculture, industry, and tourism."

Al-Kadhimi continued, “Borrowing without real reforms to the economic structure will push Iraq to the brink of collapse and double the debt burden on future generations.”

Al-Kadhimi's warnings coincide with growing parliamentary calls for a review of fiscal policies, while economic reports confirm that Iraq's dependence on oil, which accounts for more than 90% of its revenues, poses a long-term strategic threat.


Al-Sudani: Iraq is keen to continue coordination with Nokia to secure the infrastructure for the digital transformation project.

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Today , Monday, Prime Minister Mohammed Shia Al-Sudani affirmed Iraq's keenness to continue coordination with Nokia to secure the infrastructure for the digital transformation project.

The Prime Minister's media office said in a statement received by Al-Youm Al-Akhbariya that "Prime Minister Mohammed Shia Al-Sudani received, today, Monday, the Ambassador of the Republic of Finland to Iraq, Anu Saarela, accompanied by a delegation representing the executive directors of the Finnish company Nokia, which specializes in the field of communications and information technology.

" The statement added that "during the meeting, ways to develop cooperation were discussed, especially in the fields of information technology and modern digital technologies, as the company's delegation provided a detailed explanation to Al-Sudani about its programs and plans to implement the digital transformation project and its services in the field of artificial intelligence and fifth generation communications."
Al-Sudani affirmed "Iraq's keenness to continue coordination with Nokia to secure the infrastructure for the digital transformation project in government departments and institutions, and in various sectors."

He pointed out that "the government has laid the foundations for legislation and laws, and created centers concerned with developing this technology and providing the required technologies," indicating that "Iraq presented, during the Arab Summit, important initiatives regarding digital transformation and artificial intelligence."

For her part, Ambassador Al-Sudani congratulated "the successful organization of the Arab Summit and the strengthening of Iraq's role at the Arab and regional levels, in addition to the government's success in providing services and implementing development projects," stressing that "Nokia is determined to contribute effectively to providing the infrastructure for the digital transformation project, through contracts concluded with Iraqi companies."


Al-Sudani: Iraq presented important initiatives regarding digital transformation during the Arab Summit.

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Prime Minister Mohammed Shia al-Sudani affirmed Iraq's commitment to continuing coordination with Nokia on Monday, noting that Iraq presented important initiatives regarding digital transformation and artificial intelligence during the Arab Summit.

The Prime Minister's Media Office said in a statement seen by Al-Eqtisad News, "Prime Minister Mohammed Shia al-Sudani received, on Monday, the Ambassador of the Republic of Finland to Iraq, Anu Saarela, accompanied by a delegation representing the executive directors of the Finnish telecommunications and information technology company Nokia."

He added, "During the meeting, we discussed ways to develop cooperation, particularly in the fields of information technology and modern digital technologies. The company's delegation provided His Excellency with a detailed explanation of its programs and plans to implement the digital transformation project and its services in the field of artificial intelligence and fifth generation communications."

Al-Sudani affirmed "Iraq's commitment to continuing coordination with Nokia to secure the infrastructure for the digital transformation project in government departments and institutions and across various sectors," noting that "the government has laid the foundations for legislation and laws and created centers dedicated to developing this technology and providing the required technologies."

He stressed that "Iraq presented, during the Arab Summit, important initiatives regarding digital transformation and artificial intelligence."

For her part, the ambassador congratulated the Prime Minister "on the successful organization of the Arab Summit, and the strengthening of Iraq's role at the Arab and regional levels, in addition to the government's success in providing services and implementing development projects." She emphasized that "Nokia is determined to contribute effectively to providing the infrastructure for the digital transformation project through contracts concluded with Iraqi companies."


Guterres praises Iraq's renaissance

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In a new international stance reflecting appreciation for achievements on the ground, UN Secretary-General António Guterres praised the significant developments witnessed in Iraq, particularly in the capital, Baghdad, over the past two years, stressing that the country is making steady progress toward reconstruction and stability.

This came during a meeting between Guterres and Prime Minister Mohammed Shia al-Sudani on the sidelines of his visit to Baghdad to participate in the 34th Arab Summit. Al-Sudani commended the Secretary-General's presence, praising his humanitarian stances and continued support for just causes, foremost among which is the Palestinian cause. He noted that his presence reflects significant moral support for Iraq and its development and sovereign path.

During the meeting, Al-Sudani affirmed that cooperation programs between Iraq and UN agencies have reached advanced stages and encompass multiple sectors. He noted the government's commitment to continuing this cooperation to achieve development goals and address economic and social challenges.

During his visit, Guterres also met with staff from the United Nations Assistance Mission in Baghdad and expressed his satisfaction with the positive developments in the country. He emphasized that the decision to end UNAMI's mission does not mean the end of the organization's role, but rather a transition to direct development support through specialized agencies that will continue their work in Iraq.

In a related context, the Prime Minister received the Commissioner-General of the United Nations Relief and Works Agency for Palestine Refugees (UNRWA), Philippe Lazzarini, and discussed with him ways to support the agency in light of the targeting and challenges it faces, especially in the Gaza Strip.

Al-Sudani reiterated Iraq's full support for UNRWA, pointing to the initiatives he launched during the Arab League and Development Summits in Baghdad, most notably the initiative to establish an Arab fund for the reconstruction of Gaza. He called on the international community to shoulder its responsibilities in halting the aggression, facilitating the delivery of humanitarian aid, and opening the crossings to civilians.


Iranian President: We are ready for nuclear cooperation with Iraq

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Iranian President Masoud Pezeshkian announced during his meeting with Iraqi Deputy Prime Minister and Foreign Minister Fuad Hussein on Monday that his country is ready to share its experiences and achievements in various fields, including nuclear technology applications, with Islamic countries and their neighbors.

Mehr News Agency reported that during his meeting with the Iraqi minister, Pezeshkian highlighted the deep and historical relations between the two countries, saying, "The relations between the Islamic Republic of Iran and Iraq are not limited to today and yesterday, but are based on deep-rooted foundations dating back thousands of years."

He explained that the ethnic, linguistic, and cultural commonalities between the peoples on both sides of the border indicate unbreakable bonds that clearly demonstrate the depth of relations between the two countries.

Pointing to the broad potential for cooperation in various fields between the two countries, Pezeshkian added: "To the extent that we are able to expand our interactions in various fields, including trade, industry, healthcare, academic cooperation, science and technology, and investment, there will undoubtedly be mutual and complementary benefits for the two countries and peoples."

Pezeshkian also expressed his satisfaction with the good relations between the governors of the two countries' border regions, considering these relations a suitable basis for developing border trade and strengthening regional cooperation. He emphasized that "accelerating the completion of joint projects, particularly in the areas of transportation and railways, will lead to strengthening ties between Iran and Iraq."

In another part of his speech, the Iranian president addressed indirect negotiations with the United States, saying, "If Washington is sincere in its concerns about Iran's nuclear program, we are ready to reassure it. However, the Islamic Republic of Iran will never succumb to pressure, nor will it deprive its people of the benefits of peaceful nuclear technology in the areas of health, treatment, agriculture, and industry. We do not ask anyone's permission to achieve growth and progress for our people."

Pezeshkian pointed out Iran's readiness to share its expertise and achievements with Islamic and neighboring countries in various fields, particularly nuclear applications in medicine, agriculture, and industry. He emphasized that "the doors of cooperation with Iraq are open in all areas, and we see Iraq's progress as our own, and Iran's development as Iraq's development."

For his part, Fuad Hussein expressed his happiness at this meeting, conveying the greetings of the Iraqi President and Prime Minister to the Iranian President and people. He said, "Iraq's relations with the Islamic Republic of Iran are at their best and are on an upward trajectory, with trade and economic exchanges witnessing a remarkable expansion."

Hussein, who also chairs the Iraqi Economic Council of Ministers, presented a comprehensive report on the capabilities, opportunities, and challenges facing economic relations between the two countries, stressing the Iraqi government's commitment to completing joint projects, particularly in the areas of transportation and railways.

He emphasized the importance of cultural and academic relations between the two countries, saying, "Today, there are no longer borders between us and Iran. Millions of pilgrims from both sides visit holy sites in both countries annually, and these religious ties represent a valuable asset for strengthening the rapprochement between the two peoples."


Decrease in Iraqi foreign exchange reserves

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Economic and financial experts confirmed that the Central Bank of Iraq's reserves witnessed a significant decline of more than 12% from the end of 2022 to March 2025.

Over the past 15 months, the reserve has declined by more than 20 trillion Iraqi dinars, at a rate of 1.3 trillion dinars per month, equivalent to one billion dollars. This is due to the rise in imports and current expenditures, which have begun to drain Iraq’s hard currency resources to meet the country’s consumer and production needs, the weakness of the industrial and agricultural sectors, and the absence of national alternatives.

The Central Bank of Iraq attributed the decline in foreign exchange reserves to the Central Bank's resort to withdrawing cash liquidity from the market by strengthening monetary sterilization operations (  the internal monetary sterilization policy consists of the Central Bank selling or buying financial assets in foreign currency with the aim of not affecting the monetary basis and limiting the effects of inflation resulting from cash flows), as part of its efforts to maintain monetary stability.

This decline is also due to the drop in oil prices from $82.2 to $64 now, which was another factor in the decline in foreign reserves .

The bank also explained that the increase in receipts led to the depletion of a portion of net foreign reserves, and that the issued currency increased as a result of the increase in public spending, which in turn led to an increase in public debt. However, it emphasized that despite this decline, it still possesses large net foreign reserves compared to the money supply, which makes it relatively safe, according to international financial standards that set the minimum at 20%. Large reserves can be a double-edged sword, especially if the economy is exposed to unexpected pressures, such as the current decline in oil prices, or to difficult political crises that affect the country's domestic and foreign investments.

The government is trying to improve non-oil revenues to boost other sources of income, such as taxes, customs, and investments in non-oil sectors. However, these efforts are slow and do not target the wealthy classes. They have affected low-income groups, especially as they have eliminated many free services and made others charge a fee. However, these revenues still represent a small percentage of the total national income, which raises questions about the government's seriousness in achieving economic diversification and reform, and utilizing the cash reserve to implement projects with productive returns and income generation that contribute to the development of various economic sectors and achieve serious structural reforms in the industrial and agricultural sectors, in addition to enhancing the investment climate to attract foreign capital, which has not been tangibly achieved so far.

The reality is that there are many countries that do not have the monetary reserves as much as Iraq does, but they are distinguished by better economic stability and investment of their energies and employment of them much better than in our country. This is due to the environment and climate that is plentiful and free of corruption and waste, and the adoption of transparency, integrity and efficiency in management and politics.

Al-Sudani directs contracting with two international companies to contribute to raising Iraq's credit rating.

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Prime Minister Mohammed Shia al-Sudani chaired a special meeting on Monday to discuss financing private sector projects under the Sovereign Guarantees Initiative.

The Prime Minister's Media Office stated in a statement received by Al-Eqtisad News that "the meeting discussed mechanisms to facilitate procedures for achieving industrial development, the work of the Sovereignty Guarantees Committee, and the significant economic shift it has achieved in supporting the private sector, as part of the government's vision to achieve economic reform."

Al-Sudani directed "finding quick solutions to simplify legal and administrative procedures to facilitate the implementation and success of small business lending and sovereign guarantee initiatives, emphasizing the importance of adopting the economic reform approach and its paths to develop projects."

The Prime Minister also directed "contracting with two international companies, one specializing in international law and global economics, to work as an advisor to the Trade Bank of Iraq (TBI), and the other specializing in public relations, to contribute to raising Iraq's credit rating."


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Rome addresses Baghdad economically: We propose an investment forum to deepen bilateral partnership.

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Rome addresses Baghdad economically: We propose an investment forum to deepen bilateral partnership.

The Italian government has expressed its desire to organize a joint economic forum with Iraq, bringing together businessmen and investors from both countries, as part of efforts to strengthen bilateral relations and expand trade and investment cooperation between Baghdad and Rome.

The Ministry of Foreign Affairs stated in a statement received by {Euphrates News} a copy of it, that: “Deputy Prime Minister and Minister of Foreign Affairs, Fuad Hussein, received today, Monday, the Undersecretary of the Italian Ministry of Foreign Affairs, Ms. Maria Tripodi, in Baghdad.”

At the beginning of the meeting, Tripodi congratulated the minister on the remarkable developments taking place in Baghdad, as well as on the success of the recent Arab Summit. She noted that she had held important and fruitful political and economic discussions during her visit, and affirmed her country's desire to organize an Iraqi-Italian economic forum with the participation of businessmen from both countries.

The Foreign Ministry added, "The meeting discussed developments in the region, with both sides affirming their convergence of views on a number of issues, while expressing optimism about the ongoing positive developments."

For his part, Fuad Hussein expressed his "satisfaction with the results of the discussions held by the Italian official in Baghdad," stressing that "bilateral relations are witnessing significant growth, and there is a shared ambition to enhance economic and trade cooperation between the two countries."


Trump redraws Middle East alliances, and a "silent message" puts Iraq in the shadows.


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On his first Middle East tour since leaving the White House, US President Donald Trump landed in the heart of the Gulf. However, while his meetings were divided between Riyadh, Doha, and Abu Dhabi, Iraq's absence from his agenda was a clear sign of a reshaping of the balance of influence, and perhaps Baghdad's marginalization from the new regional equation.

The visit focused on achieving a set of economic and geopolitical goals pursued by Washington. On the economic front, Trump was keen to strengthen investment and trade partnerships with his Gulf allies, with his agenda including major trade agreements and mutual investments in technology, energy, and infrastructure. Through this tour, Washington sought to consolidate its regional influence and ensure that no vacuum is left open to exploitation by competing powers.

This included discussing the future US role in regional security, emphasizing the importance of ensuring stability and containing conflicts by supporting regional allies and mediating hot issues such as the Palestinian-Israeli conflict. The tour also represented an opportunity to push more countries in the region toward the Abraham Accords for peace with Israel, as Trump discussed expanding the normalization framework with the participation of Saudi Arabia, which has not yet formally joined the agreements.

In general, the analyses of American experts who spoke to Shafaq News Agency expressed that Washington seeks, through this visit, to establish a new Middle East centered on Riyadh and to limit the influence of its adversaries, through a close economic-security alliance with the Arab Gulf states.

One of the most striking observations of Trump's Middle East tour is the exclusion of Iraq from its itinerary. Analysts have attributed this marginalization to strategic considerations related to Iraq's current political position. Unlike the Gulf states allied with Washington, Iraq is in a situation that makes it a lower priority on Trump's agenda; its influence "is under clear Iranian hegemony," placing it at odds with the new American orientations.

At the heart of the scene: interests first

The tour was not merely a protocol appearance by a president seeking to regain the limelight. Rather, analysts see Trump as drawing a new map for the region, one based on a clear pragmatic logic: the economy first, and strong allies before faltering ones.

“It was a balanced plan, but it focused on Saudi Arabia and Qatar as key players in shaping the dynamics of the region,” says Frank Musmar, chairman of the University of Maryland’s advisory board.

He added to Shafaq News Agency: "Iraq has become a symbol of an old chapter of American interventions that no longer fit Trump's rhetoric, neither politically nor populistically."

The US president, who has long expressed his frustration with "endless wars," seemed committed to his traditional approach: reducing military engagement and expanding influence through economic and energy partnerships. In this context, Mismar explains that ignoring Baghdad was not merely a diplomatic coincidence, but a calculated decision aimed at avoiding the complexities of the confusing Iraqi situation and sending a message to the political class there: the time has come to make sovereign decisions.

Mismar believes that the US administration deliberately ignored Baghdad during this round, citing dissatisfaction with Iraqi decision-making being dependent on the Tehran axis, as well as the country's internal instability. Instead of Baghdad, Trump preferred to focus on the Gulf axis, which is more aligned with his policies, holding summits with Riyadh, Abu Dhabi, and Doha to maximize shared security and economic gains.

This American disregard has raised questions within Iraq, but observers believe it is a veiled message to the Baghdad government that it must reduce its dependence on the Iranian project if it wants to play a role in the new regional arrangements.

From marginalization to structural absence

Iraq's absence from the tour's agenda was not merely a diplomatic coincidence. From an Iraqi perspective, Baghdad is no longer viewed as an effective strategic ally in the new Middle East arrangements.

Dr. Ihsan Al-Shammari, a professor of political thought at the University of Baghdad and head of the Iraqi Center for Political Thought, told Shafaq News Agency that linking Iraq to Iran in US policy documents was one of the reasons for its absence. He pointed out that the national security memorandum signed by Trump to increase pressure on Tehran did not separate Iran from Iraq, which weakens the chances of dealing with Iraq as an independent issue.

He added, "It seems that Washington does not view Iraq as an entity separate from the Iranian influence network, but rather considers it part of the US-Iranian negotiating spectrum, whether regarding the future of sanctions or the US military presence." He pointed out that, in light of this perception, Iraq has become part of a potential confrontation arena between Washington and Tehran, or even between Tel Aviv and Tehran.

But Al-Shammari doesn't hold Washington solely responsible. He also points to Iraq's weak foreign policy performance, saying, "The Sudanese government has failed to restore the principle of balance, and its foreign policy has moved closer to Tehran at the expense of Arab and international relations, which has contributed to widening the gap with Washington's allies."

He added, "There is also a flaw in the Iraqi government's handling of the major developments in the Syrian file, and a clear absence of new regional understandings that often take place behind closed doors."

Al-Shammari concludes that there is a growing international conviction that Iraq is no longer an active player in the new Middle East. Indeed, "some Iraqi political forces are deliberately excluding Iraq from these arrangements, in line with foreign agendas that do not want it to be open or active."

Iraq OUT.. Syria IN

But if Iraq was absent, the surprise came from Damascus. In a scene observers described as "historic," Trump shook hands with the new Syrian president, Ahmed al-Sharaa, in Riyadh, announcing the gradual lifting of US sanctions on Syria.

"No president other than Trump could have taken this step," Radwan Ziadeh, a Syrian researcher in Washington, told Shafaq News Agency. He noted that the "unprecedented" move opened the door to reintegrating Damascus into the regional and international order.

Tom Harb, director of the American Middle East Alliance for Democracy, went further, arguing that Trump had "transferred Syria from the Turkish embrace to the Saudi embrace," and that any future security breaches there would be Riyadh's responsibility.

However, this proposal does not enjoy consensus. Ziadeh himself considers talk of Syria transitioning from one camp to another a "misleading simplification," and points to joint coordination between Ankara, Doha, and Riyadh to push for this shift.

Riyadh... From Shadow to Light

It wasn't just Sharaa's handshake that caught the eye, but also Trump's repeated references to Saudi Arabia's growing role, not only in Syria but across the Middle East as a whole. According to Paulo Van Schirac, president of the Washington-based Institute for Global Studies, Trump's visit "came within the framework of a plan to redistribute roles," with Saudi Arabia now viewed as the new champion of regional stability.

However, Chirac warned, in an interview with Shafaq News Agency, against "being carried away by optimism," noting that the reality on the ground in Syria remains fragile. From prisons run by the Syrian Democratic Forces to the refugee issue, there are still major questions outstanding, and no one has easy answers.

On the other hand, Sharaa faces the challenge of internal reconciliation with the Kurdish component in the northeast of the country. It remains unclear whether the new Damascus is prepared to make concessions on this sensitive issue.

Added to this is the enormous economic challenge of reconstruction and improving the lives of Syrians after the lifting of sanctions. These obstacles make the process of Syria's regional and international reintegration difficult and protracted. Chirac believes that Washington and its allies will remain cautious about lifting all forms of isolation from Damascus before ensuring its genuine commitment to a comprehensive settlement.

Indeed, the limited US military presence in Syria will continue as a stabilizing and pressure factor, and will not be completely withdrawn unless actual stability and a comprehensive restructuring of the Syrian situation are achieved, something that "does not seem within reach," according to Chirac.

Accordingly, it can be said that the post-Riyadh summit arrangements hold promising opportunities for Syria and the region, but they are also a challenge. The success of these new arrangements depends on the ability of the concerned parties to fulfill their security and political commitments on the ground, and to ensure that the ongoing regional transformations serve as a gateway to a sustainable solution, rather than merely a temporary deal on the Middle East chessboard.

pivotal moment

Whether the visit was an attempt to reposition itself politically or merely a symbolic move to improve Trump's image abroad, what happened in the Gulf reflects real shifts in the mood of American power and in the mechanisms of alliance formation.

Trump did not announce detailed plans, but he changed the rules of the game. His failure to visit or make any actual reference to Iraq, his sudden embrace of Damascus, and his indication of a growing Saudi role are all indicators of a reshaping of regional alliances away from traditional entities.

While Tehran and Baghdad are waiting to see whether these shifts are merely symbolic gestures or more permanent changes, the American message is clear: those who do not move in line with new American interests may find themselves marginalized, analysts say.


🧠 Easy-to-Understand Summary provided by Ai

Former U.S. President Donald Trump recently visited some powerful countries in the Middle East — like Saudi Arabia, Qatar, and the United Arab Emirates — but he skipped Iraq completely.

Why? Trump wanted to build stronger friendships with countries that are already working closely with the U.S., especially for money deals, energy projects, and peace talks. He thinks these Gulf countries are better partners right now than Iraq, which has strong ties to Iran — a country the U.S. doesn't trust.

Some people believe Trump left Iraq out on purpose to send a quiet message: Iraq needs to act more independently and stop relying so much on Iran if it wants to be part of big future plans.

At the same time, Trump surprised everyone by meeting Syria’s new president. This could mean Syria is slowly being welcomed back into world politics, while Iraq is being pushed to the side.

Experts say Iraq’s government hasn’t done a good job of balancing relationships with other countries. Because of that, Iraq might miss out on some big deals and be left out of new peace and money partnerships.


✅ Positives in the Article

  • The U.S. is building new partnerships in the Middle East, which could bring more peace and stronger economies to the region.

  • Syria might be slowly coming out of isolation, which could reduce conflict in the future.

  • Trump’s message to Iraq could encourage its leaders to take stronger steps toward independence.


❌ Negatives in the Article

  • Iraq was completely left out of an important U.S. visit — that’s a big deal.

  • It shows the U.S. sees Iraq as too closely tied to Iran and possibly unstable.

  • Iraq may lose chances to join in big regional plans involving peace and trade.

  • This kind of exclusion weakens Iraq’s image as a trusted partner in the Middle East.


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