Fair distribution of wealth
After years of conflict, Baghdad and Erbil turn the page on oil disputes with a comprehensive agreement. What next? - Urgent
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After more than 18 years of disputes over the oil file between Baghdad and Erbil, Prime Minister Mohammed Shia al-Sudani and Kurdistan Regional Government (KRG) President Masrour Barzani announced a historic agreement under which the federal Ministry of Oil will hand over full control of the region's exports to the federal Ministry of Oil, which will be exported through the State Oil Marketing Organization (SOMO). This announcement, described by al-Sudani as a long-awaited achievement and by Barzani as a historic step that will restore the region to global markets, sparked widespread reactions, with experts viewing it as a fundamental shift in the management of national wealth and a reshaping of the relationship between the central government and the region.
Oil and economic expert Ahmed Askar told Baghdad Today, "The announcement of a historic agreement between the federal government in Baghdad and the Kurdistan Regional Government regarding the transfer of the region's oil exports to the federal Ministry of Oil represents a fundamental shift in the management of national wealth." According to economic analysis, the agreement goes beyond regulating the export mechanism, but also lays the foundation for a long-term partnership between Baghdad and Erbil based on the constitution and applicable laws.
Prime Minister Mohammed Shia al-Sudani described the agreement in a tweet on Twitter as an achievement Iraq has been waiting for for 18 years, emphasizing that it includes "the fair distribution of wealth, diversification of export outlets, and investment encouragement." He emphasized that it opens the door to a new phase of unified oil decision-making and increased federal revenues.
For his part, Kurdistan Regional Government Prime Minister Masrour Barzani affirmed that the agreement is a "historic step" that removes one of the most significant obstacles to securing financial dues for the people of Kurdistan. He noted that it restores the region to global markets and emphasizes the need to adhere to constitutional rights. These statements reflected a rare consensus in rhetoric between Baghdad and Erbil on an issue that has remained a symbol of chronic disagreements for years.
Askar explained that "this agreement opens the door to addressing one of the most complex issues that have remained unresolved for many years between the central government and the region, and establishes a new phase of cooperation based on the constitution and applicable laws, ensuring a fair distribution of revenues and protecting the rights of all Iraqis." Historically, Kurdish oil has been a source of conflict since 2005, with the region insisting on its right to export independently via Turkey, while Baghdad rejected this route as an encroachment on the central government's authority. The 2023 international arbitration ruling to halt exports via Ankara constituted a major pressure point that prompted the acceleration of negotiations that led to the current agreement.
Askar added, "Unifying oil policy will contribute to strengthening financial and economic stability, increasing Iraq's negotiating power in global markets, and enhancing trust between Baghdad and Erbil, which will positively impact the investment environment and the national economy in general." Research estimates indicate that the absence of a unified position has cost Iraq significant losses in its negotiating power with international partners, while the current agreement opens the door to an Iraq better able to attract investment and ensure longer-term financial stability.
However, Askar stressed at the same time that "the serious and transparent implementation of this agreement will be the true measure of its success. This requires strong political will and careful professional oversight to ensure that oil resources are a tool for state-building, not a source of renewed controversy." Comparative experience shows that any oil agreement of this type remains at risk of failure unless it is implemented with high professionalism and protected from political manipulation.
It becomes clear that the recent oil agreement between Baghdad and Erbil is no longer merely a technical settlement, but rather a political and institutional transformation that reorganizes the relationship along constitutional lines and establishes a long-awaited national oil partnership. Statements by al-Sudani and Barzani confirmed that the political will is present, but the real challenge lies in transparent implementation and ensuring the equitable distribution of wealth. If the experiment succeeds, the agreement could mark the beginning of a new phase of economic and political stability in Iraq. However, if it falters, the issue will return to the cycle of disputes that have plagued the country since 2005.
SOMO Director: Kurdistan oil export agreement will ensure implementation of budget law and its amendments
The State Oil Marketing Organization (SOMO) confirmed that the mechanisms of the upcoming agreement to export the region's oil will ensure the implementation of the budget law and its amendments.
The Director General of the State Oil Marketing Organization (SOMO), Ali Nizar, said in a statement to the National Iraqi News Agency ( NINA ), that "there are great efforts by the Ministry of Oil to conclude the oil agreement with the Kurdistan region, and this is not a new agreement, but it guarantees the establishment of an effective mechanism for implementing the general budget law and its amendments." He pointed out that "the Ministry of Oil and Natural Resources in the region is also making efforts to complete this mechanism, and implementation is proceeding quickly."
He explained, "The government will soon announce the launch of the mechanisms after the official signing of this agreement, and everything is ready for us, awaiting the pumping of oil to be exported through the Turkish port of Ceyhan. We are also optimistic that these mechanisms will lead to the pumping of oil from the region under the supervision of SOMO."
He added, "The recent Cabinet decisions outline a clear mechanism to guarantee the rights of producing companies and Iraq's revenues from this export, which is awaiting permission to begin pumping," indicating that "all the procedures by the Ministry of Oil, the Oil Marketing Company, and the Ministry of Natural Resources in the Kurdistan Region, and the strict mechanisms put in place to implement the budget law and its amendments, would have begun the pumping process a long time ago."
Highlights from Iraq’s Address to the 80th Session of the UN General Assembly
Iraq has regained its rightful place in the international community and in its relations with neighbors, chairing the Arab League summit and the Group of 77 and China, while maintaining an active role in regional and international organizations. Parliamentary elections — the sixth since 2003 — will take place in the coming weeks, reaffirming the peaceful transfer of power and the consolidation of constitutional institutions, a remarkable achievement in the region. With the support of its partners, Iraq defeated the most dangerous terrorist threat of our time and is now working to erase its remaining traces through national unity, development strategies, and forward-looking policies. Efforts continue to return displaced families to their homes after liberation from terrorism, with international support needed to rebuild devastated towns and reassure communities such as Yazidis and Christians who endured genocide, enslavement and displacement. Iraq is pursuing sustainable economic and social development by unlocking its vast potential, reducing dependence on oil and diversifying the economy through agriculture, industry and renewable energy. Significant investment opportunities are available in water, electricity and infrastructure projects, with a call for international partnerships. Cooperation is also sought to recover funds stolen and smuggled abroad. A national population census — the first in decades — showed Iraq’s population exceeds 46 million and grows by nearly one million annually, presenting both opportunities and challenges. Iraq is among the countries most affected by climate change, facing desertification, water scarcity as an existential threat and intensifying dust storms. The country is responding with renewable energy projects, improved water management, reduced carbon emissions and expanded green zones. The principle of “common but differentiated responsibilities” remains essential in addressing climate change, particularly in the fair management of shared and transboundary rivers. While recognizing pressures from climate change and population growth, Iraq calls on Turkey and Iran to avoid measures that harm Iraq, through which the Tigris and Euphrates flow from north to south. The killing, starvation, displacement and destruction inflicted on Palestinian civilians represent a disgrace to humanity and must be stopped immediately. A just and lasting resolution of the Palestinian issue — rooted in UN resolutions and culminating in an independent Palestinian state — remains the only path to peace and stability. Aggressions by the Zionist entity in Syria, Lebanon and most recently Qatar are condemned as clear violations of international law and the UN Charter. Iraq renews its call for a Middle East free of weapons of mass destruction, while affirming the right of all states to peaceful nuclear energy and demanding international inspections of all facilities, including those of the Zionist entity. Iraq supports Syria’s sovereignty, stability and territorial integrity, seeks stronger cooperation in counterterrorism and urges respect for pluralism, coexistence and freedom of worship. Unauthorized use of Iraqi airspace for military operations is firmly rejected as a violation of sovereignty and a threat to citizens’ safety. Diplomatic initiatives to restore dialogue between Iran and the international community are welcomed, with the aim of securing an agreement that safeguards Iran’s right to peaceful nuclear energy within international obligations. Full support is expressed for the peace process in Turkey and for the Kurdistan Workers’ Party’s decision to abandon armed struggle, with a call for a political and legal framework enabling peaceful participation. Since 2003, Iraq has upheld a principled policy of good neighborliness with Kuwait, strengthening bilateral ties and working to resolve all outstanding issues left by the former dictatorship.
The region deposits 120 billion dinars into the federal finance account in preparation for the release of salaries.
The Kurdistan Regional Government's Council of Ministers decided on Wednesday to deposit 120 billion dinars of non-oil revenues into the federal Ministry of Finance's account, paving the way for the payment of salaries to the region's employees for July. The region's oil exports are expected to resume within the next 48 hours.
An official statement received by Al-Masry said, "The Kurdistan Regional Government's Council of Ministers discussed, during its meeting today, the tripartite agreement between Erbil, Baghdad, and the oil companies operating in Kurdistan, which aims to resume the region's oil exports."
He added that "the meeting also discussed the latest developments in the classification of non-oil financial revenues and determining the federal budget's share," stressing that "it was also decided during the meeting to deposit 120 billion dinars of the region's non-oil revenues into the account of the federal Ministry of Finance, in preparation for Baghdad to release the salaries of the region's employees for last July."
The statement stressed that "salaries will be released immediately upon receipt of the full amounts," confirming that "the region's oil production capacity has reached 234,000 barrels per day," noting that "the regional government has officially addressed the State Oil Marketing Organization (SOMO) to receive the oil produced by the region, and we expect to resume oil exports within the next 48 hours."
Vietnamese, Iraqi Presidents hail development of bilateral ties
President Cฦฐแปng affirmed that Viแปt Nam always treasures and wishes to strengthen multifaceted cooperation with Iraq, particularly in the areas of economy, trade, culture, tourism, and people-to-people exchanges.
Vietnamese President Lฦฐฦกng Cฦฐแปng and his Iraqi counterpart Abdul Latif Rashid praised the progress of their countries’ long-standing friendship during a meeting in New York on the morning of Wednesday (local time).
The event took place on the sidelines of the High-Level General Debate of the 80th Session of the United Nations General Assembly and bilateral activities in the US.
President Cฦฐแปng affirmed that Viแปt Nam always treasures and wishes to strengthen multifaceted cooperation with Iraq, particularly in the areas of economy, trade, culture, tourism, and people-to-people exchanges.
He proposed increasing delegation exchanges, especially business missions, to explore cooperation opportunities in potential sectors and boost access to the Halal market.
He also expressed his hope that Iraq will create favourable conditions for Vietnamese enterprises to invest in areas aligned with Iraq’s reconstruction needs.
For his part, the Iraqi leader expressed admiration for Viแปt Nam’s achievements in national development, stressing that Iraq views Viแปt Nam as an important partner and wishes to advance cooperation in economy, trade, investment, water management, agriculture, and infrastructure development serving its reconstruction.
Both sides agreed to further improve the effectiveness of existing bilateral cooperation mechanisms, and consider the establishment of new ones and the signing of agreements in potential sectors.
On this occasion, the two leaders also consented to step up cooperation and mutual support at multilateral forums.
President Cฦฐแปng extended an invitation to President Abdul Latif Rashid to visit Viแปt Nam and attend the signing ceremony of the United Nations Convention against Cybercrime in Hร Nแปi next month.
The Foreign Minister reveals Iraq's losses from the halt in Kurdistan's oil exports and the date for their resumption.
"Iraq has lost between $22 and $25 billion as a result of the halt in oil exports from the Kurdistan Region," Hussein said in a press statement.
Hussein expected the region's exports to resume "this week."
This figure represents an increase from previous estimates of losses of $19 billion until last February.
This comes at a time when the region and most of the operating oil companies have signed an agreement to resume exports, but it still requires formal approval from the federal government in Baghdad, according to a statement from the Ministry of Natural Resources in the regional government.
The ministry stated that it is still awaiting a response from the federal oil ministry, while the national oil marketing company (SOMO) said the agreement is in its "final stages."
KRG spokesman Peshwa Hawrami indicated that exports could begin within 48 hours of the full agreement being concluded.
The resumption of pumping through the pipeline linking Kurdistan to Turkey is expected to lead to an initial flow of about 230,000 barrels per day to global markets, amid fears of an oil glut in light of the increased production of the OPEC+ alliance.
The region was pumping about 500,000 barrels per day before exports halted in March 2023, following an arbitration ruling requiring Ankara to pay Baghdad $1.5 billion, prompting Turkey to halt use of the pipeline.
In July, the region agreed to hand over its oil to SOMO for international sale, a move to defuse the protracted dispute over oil revenues.
Baghdad also invited the regional government and representatives of foreign oil companies to a new meeting to discuss the details of resuming exports and ensuring the payment of financial arrears.
Companies such as Norway's DNO and General Energy have emphasized their desire for clear guarantees for the payment of overdue dues and clarification of the payment mechanism for future exports.
The list of foreign companies operating in the region includes Gulf Keystone Petroleum, HKN Energy, Shamaran Petroleum, and Hunt Oil.
Prime Minister's Advisor: Slight increases in the exchange rate and positive economic indicators
Saleh told Al Furat News Agency that the annual inflation rate remains below 3%, which he considered "a remarkable success for economic policy over the past three years."
He added that this policy was accompanied by "a decrease in unemployment to approximately 13%," in addition to the launch of "extensive construction projects" that contributed to achieving economic growth consistent with the 2024-2028 National Development Plan, which targets real GDP growth of more than 4%.
He explained that economic policy is proceeding on its three axes (monetary, fiscal, and commercial) to confront any inflationary pressures, stressing that annual inflation rates in Iraq have fluctuated "below 3%" for the third consecutive year, demonstrating the success of economic policy in achieving stability, particularly monetary policy, which considers price stability and maintaining the purchasing power of the dinar as its primary objective.
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The Stock Exchange signs a memorandum of understanding with the Investor Relations Organization.
The Iraq Stock Exchange signed a memorandum of understanding with the Middle East Investor Relations Organization.
The Iraq Stock Exchange announced that by signing this memorandum, it will join a regional network comprising major Arab financial markets.
Chairman of the Board of Governors, Zulfiqar Hafez, emphasized that this agreement represents a strategic step toward enhancing transparency and developing disclosure practices and investor relations in accordance with the best international standards. This will contribute to increasing investor confidence, attracting investments, and supporting the national economy.
The Prime Minister of the Kurdistan Regional Government comments on the oil agreement with Baghdad and the resumption of Kurdistan's exports.
In a statement received by Al-Furat News, the Prime Minister indicated that this step restores the Kurdistan Region's connection to global oil markets, stressing that it removes a major obstacle to securing financial dues for the people of Kurdistan.
He commended the efforts of all parties, especially the resilient Kurdish people, stressing the need to fulfill all constitutional rights of the Kurdistan Region with the resumption of the region's oil exports.
Prime Minister Mohammed Shia al-Sudani announced earlier Thursday a historic agreement to export Kurdistan's oil via Iraq and Turkey.
Al-Sudani said in a tweet on the X platform: "Today, we reached a historic agreement under which the federal Ministry of Oil will receive crude oil produced from fields located in the Kurdistan Region."
He added, "It is exported via the Iraqi-Turkish pipeline, which ensures the equitable distribution of wealth, diversifies export outlets, and encourages investment."
Breakthrough Oil Export Deal in Iraqi Kurdistan: A New Dawn for Crude Flow
International oil companies in Iraqi Kurdistan have reached an agreement with Iraqi federal and Kurdish governments to resume oil exports. The framework, once signed, will allow for the export of 230,000 barrels per day through the Iraq-Turkey pipeline, suspended since March 2023. DNO and Genel Energy are yet to sign.
In a significant development, international oil companies operating in Iraqi Kurdistan have reached a preliminary deal with both the Iraqi federal and Kurdish regional governments to restart oil exports. This move comes after extensive negotiations, according to an IOC statement seen by Reuters.
The agreed-upon framework will enable exports to resume "in the coming days" following its official signing and implementation. However, oil companies DNO and its partner Genel Energy have yet to formalize their participation, as reported by a reliable source with direct information on the matter.
The agreement, once fully executed, will facilitate the flow of approximately 230,000 barrels of crude daily through the Iraq-Turkey pipeline, a crucial artery that has been non-operational since March 2023. Efforts to reach DNO and Genel Energy for comments were not immediately successful.
Discussions between Al-Sudani and Al-Mashhadani regarding election preparations and fair distribution of oil revenues.
link this is my favorite oil article today
Prime Minister Mohammed Shia al-Sudani discussed with Parliament Speaker Mahmoud al-Mashhadani the ongoing preparations for the elections on Thursday, stressing the need to achieve a fair distribution of oil revenues
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The Prime Minister's media office said in a statement that "Prime Minister Mohammed Shia al-Sudani received today, Thursday, Parliament Speaker Mahmoud al-Mashhadani, in the presence of the head of the Parliamentary Integrity Committee, Ziyad al-Janabi," indicating that "during the meeting, they discussed the latest developments in the general situation in the country and ways to enhance cooperation and coordination between the executive and legislative authorities, in a way that contributes to supporting the government's steps to complete its service, economic and development files, and stressing the importance of unifying discourse and positions to support political and societal stability."
He added, "The meeting commended the historic agreement to have the federal Ministry of Oil receive oil produced from the Kurdistan Region of Iraq's fields and export it via the Iraq-Turkey pipeline. It also praised the impact of this step on development, diversifying crude oil export outlets, and establishing fairness in the distribution of oil revenues."
He continued: "The meeting also discussed the ongoing preparations for the successful holding of parliamentary elections next November, the results of which will be a true expression of the will of the Iraqi people."
Oil: Agreement to deliver Kurdistan's oil to SOMO and export it via Ceyhan in accordance with the constitution and budget.
The Ministry of Oil confirmed on Thursday that an agreement had been reached to hand over oil from fields located in the Kurdistan Region to SOMO and export it via Ceyhan, Turkey, in accordance with the constitution and the budget .
“As part of the federal government’s keenness to manage national wealth in a way that achieves the highest levels of transparency and efficiency, the Ministry of Oil announces that it has reached an agreement stipulating the start of pumping and delivering all crude oil produced from fields located in the Kurdistan Region - except for the quantities allocated for local consumption - to the State Oil Marketing Organization (SOMO), inside Iraq, so that the company can export it via the Iraqi-Turkish pipeline via the Turkish port of Ceyhan, in accordance with the approved fundamental procedures, the constitution, the provisions of the Federal General Budget Law, and the decisions of the Federal Court, ” the ministry said in a statement received by Mail.
She added, "This agreement is the result of intensive efforts and ongoing discussions over the past months, stemming from a shared national vision aimed at strengthening Iraq's role as a major player in the global energy market, preserving Iraq's sovereignty, and rigorously defending its national interests and the rights of all Iraqis ."
She pointed out that "the agreement includes establishing clear technical and regulatory mechanisms that ensure the smooth flow of exports and a commitment to transparency in oil revenues, which contributes to strengthening the state's public finances and increasing federal budget revenues, which will positively impact the government's ability to implement service and development projects and provide the foundations for economic stability for Iraq and its people from north to south and from east to west ."
The ministry reiterated its "firm commitment to managing oil resources in accordance with the principles of national sovereignty and the country's supreme interest, ensuring a fair distribution of wealth among all Iraqis, in accordance with the constitution."
Source: Early concerns in Al-Sudani's office amid signs of a lack of support for a second term!
An informed political source revealed to the Independent Press Agency today, Thursday, that an atmosphere of growing anxiety prevails behind the scenes of Iraqi Prime Minister Mohammed Shia al-Sudani's office, as the debate over the fate of his second term in office escalates and indications grow of imminent changes that may affect the head of the executive authority in Iraq.
According to the source, who requested anonymity due to the sensitivity and accuracy of the information, a number of senior officials and advisors within the Prime Minister's Office have already begun taking steps to "safely exit" Iraq, in anticipation of any sudden political shift that could disrupt the government landscape after the end of the current parliamentary session.
The source indicated that these employees and advisors believe that Al-Sudani's chances of renewing his term have significantly diminished, due to the escalating disputes between the power centers within the Coordination Framework, on the one hand, and growing popular and media pressure, on the other. This has prompted some of them to close their bank accounts, regularize their legal status, and prepare travel documents in anticipation of any future scenario.
These developments bring to mind what happened at the end of former Prime Minister Mustafa al-Kadhimi's term, when most of his office staff left Iraq after he left power, leaving behind sensitive files, some of which are still under investigation or institutional evaluation.
According to a number of observers, this type of early departure from decision-making circles is an indicator of the uncertainty gripping the political elite. This raises questions about the stability of the state's administrative structure at a time when the country is facing mounting economic and security challenges, most notably the three-year budget, pressure from Washington on the government due to armed factions, and escalating tensions in the Kurdistan Region.
Others believe that these moves, even if they appear "individual," reflect a general climate of anticipation and suspicion within sovereign institutions, particularly with the increasing discussion of alternative scenarios that may include the formation of a new government led by a consensus figure, or a return to the option of a caretaker government if the political forces fail to reach a consensus.
In this context, local news websites have circulated unconfirmed reports about alternative names that could be put forward as candidates for the prime ministership, in the absence of an official announcement from any political bloc regarding its support for al-Sudani for a second term. With this continuing vacuum, speculation is growing about the possibility of political surprises in the coming months.
The fate of the current government and the future of the prime ministership remain dependent on fragile understandings between Shiite, Kurdish, and Sunni forces, amid popular concern that Iraq will once again pay the price of political conflict at the expense of internal stability.
Commerce: ITEX Information Technology, Communications, and Artificial Intelligence Exhibition Kicks Off
The official spokesperson for the Ministry of Trade, Mohammed Hanoun Karim, announced the launch of the ITEX exhibition for information technology, communications, and artificial intelligence at the Baghdad International Fairgrounds, with the participation of 250 local, Arab, and international companies and 22 countries. The three-day
event, which was followed by Mawazine News, will feature 250 local, Arab, and international companies and 22 countries. Hanoun stated in a statement followed by Mawazine News that "this event represents an important strategic platform for showcasing the latest innovations in the fields of information technology, cybersecurity, artificial intelligence, and digital transformation solutions," stressing that it is a golden opportunity to strengthen technical partnerships between government institutions and the private sector, which will contribute to the transfer of expertise and the exchange of knowledge.
He added, "The Ministry of Commerce is keen to host and support such specialized events, as they play a vital role in connecting local companies with their regional and international counterparts and open up broad horizons for the Iraqi market to adopt the latest global technologies and employ them in the service of economic development."
The official spokesperson concluded by emphasizing that "hosting such exhibitions reflects the ministry's interest in supporting the business environment and achieving integration between the public and private sectors, leading to the construction of a diversified economy based on knowledge and modern technology."
Miles Caggins: The Kurdistan Regional Government will export 230,000 barrels of oil per day.
Miles Caggins, spokesman for the Kurdistan Region's Petroleum Industry Association (APICOR), said on Thursday that today is a very important day. An agreement has been signed to resume oil exports, and the process is scheduled to begin in the next few days.
In an interview with Kurdistan 24, he added that exports are expected to begin within two or three days.
He pointed out that, according to the agreement, the Kurdistan Regional Government will export 230,000 barrels of oil per day through SOMO, while 50,000 to 60,000 barrels will be allocated for domestic consumption.
In the same context, the Kurdistan Region's Oil Industry Association (APICOR) said on Thursday that resuming oil exports from the region will contribute to strengthening global energy markets.
On the occasion of the tripartite agreement to resume exports, the association commended, in a statement, Kurdistan Regional Government Prime Minister Masrour Barzani and Federal Prime Minister Mohammed Shia al-Sudani.
APICORP emphasized that the resumption of Kurdistan Region oil exports will benefit all Iraqis and will play a role in supporting the position of global energy markets. It is expected that exports will begin within the next few days.
The Federal Ministry of Oil announced today, Thursday, an agreement stipulating the commencement of pumping and delivering all crude oil produced from the Kurdistan Region's fields, except for the quantities allocated for domestic consumption, to the State Oil Marketing Organization (SOMO), which will export it via the Iraq-Turkey pipeline via the Turkish port of Ceyhan.
The ministry indicated that the agreement was concluded in accordance with the approved legal procedures, the constitution, the provisions of the Federal General Budget Law, and Federal Court decisions.
The Ministry reiterated its unwavering commitment to managing oil resources in accordance with the principles of national sovereignty and the country's supreme interest, ensuring a fair distribution of wealth among all Iraqis, in accordance with the constitution.
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