Al-Sudani: Investments in Iraq reached $100 billion in two years.

Shafaq News – Prime Minister Mohammed Shia al-Sudani said on Saturday that the government he heads truly believes in restructuring the Iraqi economy, which has been damaged by the wars and conflicts the country has witnessed. He emphasized that the volume of foreign and local investments has reached $100 billion in the past two years.

In a speech during the celebration of the Partnership Day between the International Finance Corporation and the Iraqi government, Al-Sudani said, “Since the beginning of this government’s work, we have been keen to strengthen our projects by utilizing international consulting expertise in planning and consulting for various projects. This certainly does not negate our national competencies in planning, implementation, and consulting, as much as it requires support.”

He added, “Our government truly believes in restructuring the Iraqi economy. Iraq cannot continue to rely solely on revenues to support the annual budget. We live in a world of change across all sectors: economics, politics, security, and even citizen demands, which have become a determining factor in the stability of any regime or state. We cannot delay meeting citizens’ needs, especially after years of delays due to wars and conflicts.”

Al-Sudani continued, “Our partner in realizing this vision is the private sector. It is the supporting partner in realizing our vision of restructuring the economy and enhancing its capabilities. We proudly say that our country is distinguished by the presence of distinguished capabilities from the private sector, which has proven an effective presence in many projects, enduring various conditions represented by bureaucracy, corruption at times, and obstruction. He emphasized that the private sector was present even in the presence of terrorism.”

He pointed out that the government’s measures to support the private sector and improve the investment environment were clear and led to the attraction of many international and regional companies to work on various projects. He added that the volume of foreign, Arab and local investments, the licenses granted and the companies that have begun implementing these investment projects have reached $100 billion in the last two and a half years.

The Prime Minister concluded his remarks by saying that the private sector has jobs equivalent to two ministries, and as a result, we rely on the private sector to provide job opportunities in Iraq.

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To boost its reserves, Iraq revives an oil well that has been absent for three decades.

Shafaq News – Sources in the North Oil Company, affiliated with the Iraqi Ministry of Oil, revealed on Saturday that drilling operations had begun on the first oil and gas well in the Kifri A field, for the first time in more than three decades. This is a step that will boost the company’s crude oil and gas production capacity .

The sources told Shafaq News Agency, “The North Oil Company has started drilling the first new well in the Kifri A field after a hiatus of more than 30 years,” indicating that “the field is one of the company’s untapped assets and represents part of its discovered oil well stock .”

She added, “The company’s Projects Department has completed the first phase of opening the road leading to the field site, located on the Kirkuk-Baghdad-Diyala road, in preparation for securing the arrival of equipment. Housing sites will later be prepared for the technical and engineering crews that will oversee the installation of drilling rigs and commence implementation operations .”

The Kifri A field is classified as one of the “important oil fields in the region, and its operation is expected to contribute to raising the North Oil Company’s oil production rates in the coming years,” according to the sources .

The Iraqi Ministry of Oil announced in early June the signing of an exploration contract for the “Kafri A” exploration well, as part of a program to drill 15 exploration wells over several years, with the goal of maximizing Iraq’s oil and gas reserves .

According to the sources, the contract includes the Iraqi Drilling Company, the Oil Exploration Company, and the North Oil Company, and actual drilling operations for the well are expected to begin within about two months of the contract signing date .

She explained that “the goal of the (Kafri A) well is primarily exploratory, meaning to discover potential oil or gas at the site, and not simply to develop existing oil resources .”

The Kifri A field is expected to contribute to increasing Iraq’s oil and gas reserves, boosting production in the medium and long term if the presence of good hydrocarbon deposits is confirmed .

The signing of the contract comes within the framework of the Ministry of Oil’s strategy to maximize national production, utilize discovered but untapped resources, and enhance Iraq’s ability to meet the needs of the domestic and foreign markets for oil and gas .

In addition, oil expert Ali Abdullah said, “The commencement of drilling operations for the first oil and gas well in the Kifri A field will contribute to enhancing the production capacity of crude oil and gas in Iraq .”

Abdullah confirmed to Shafaq News Agency that “the field constitutes part of the discovered oil reserves and potential reserves in the region,” noting that “the goal of the exploratory wells is to discover potential oil or gas, and is part of the Iraqi Ministry of Oil’s plan to maximize oil and gas reserves in Iraq .”

The oil expert pointed out that “Kafri A field is considered one of the important fields, and its operation is expected to contribute to raising the North Oil Company’s oil production rates and enhancing oil and gas reserves in the medium and long term, if drilling operations result in good hydrocarbon reservoirs .”

This step represents part of Iraq’s efforts to maximize its oil and gas production, while leveraging the province’s existing infrastructure and supporting sustainable local energy development,” according to the oil expert .

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Al-Abadi to Shafaq News: We did not boycott the elections and we support Al-Sudani’s second term.

Shafaq News – Victory Coalition leader Haider al-Abadi confirmed on Saturday that his coalition was not boycotting the elections, nor would it field any candidates. He also revealed his support for Prime Minister Mohammed Shia al-Sudani to win a second term.

Al-Abadi told Shafaq News Agency, “The Victory Coalition did not boycott the elections, nor did it field candidates in the coalition’s name in the legislative elections. Some members of the Victory Coalition participated in the elections as part of the State Forces Alliance, and we will support them with votes.”

He added, “The legislative elections will be held on the scheduled date, and we are close to implementing Prime Minister Mohammed Shia al-Sudani’s directives and supporting him in securing a second term.”

He continued, “Al-Sudani is the first prime minister from within Iraq, not from abroad, and that he gradually rose to this position, from mayor to governor, then minister before becoming a member of parliament, and finally becoming prime minister.”

The Victory Coalition announced at the end of June that it would not participate in the upcoming parliamentary elections, and would instead support the National State Forces Alliance. The coalition also considered the elections to be based on “political money and lacking in strictness in enforcing legal controls to prevent manipulation and vote-buying.”

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Iraq moves to exploit its geographical location in the digital world to connect three continents

Shafaq News – The Iraqi Ministry of Communications unveiled new plans on Saturday to leverage Iraq’s unique geographic location, making it a key link between Southeast Asia and Europe via the Indian Ocean, the Arabian Sea, and the Gulf.

Basra Communications Director Mohammed Helou told Shafaq News Agency, “Iraq has a strategic location that allows for the efficient reception and transmission of digital capacities. Currently, there are submarine cables in service, such as FALCON and GBI, that transmit data from Southeast Asian countries and India to Europe. These existing projects are a first step towards investing in the Iraqi corridor for global communications services, and they represent the foundation upon which larger projects currently under implementation are being built.”

According to Al-Helou, “The past period included the signing of four contracts to install new submarine cables, the most prominent of which is the Toferica project, which is the longest in the world at 45,000 kilometers. This cable starts from Europe and descends to Africa via the Atlantic Ocean, then passes through the Horn of Africa and reaches Southeast Asia, before branching out to Iraq via the Arabian Gulf outlet.”

He explained that “work is expected to commence during the last quarter of this year, with the possibility of it entering service next year, marking a qualitative leap that will strengthen Iraq’s position on the international data map.”

Other projects, according to Al-Helou, include the Fiber In Gulf cable, which was signed last March with Ooredoo, and which represents a qualitative leap from a technical standpoint, as it consists of 24 fibers (optical fibers) with a massive transmission capacity of up to 720 terabits, and the total length of the route is 1,900 kilometers. Iraq is a key part of this project, which is currently in the stage of demarcating the route and obtaining the necessary approvals.

He pointed out that “the contract for the 27,000-kilometre North Gulf SMW cable is already in place, in addition to the Warlink cable, which is intended to connect databases.”

He considered these projects to be sovereign and would enhance Iraq’s position in the region, as the capacities would be unloaded at the Faw Port and later transferred to Europe via the national system, thus contributing to shortening the distance and solving the problem of delayed and weak data.

Helou concluded by saying, “Iraq will be a new hub for global digital development, and international companies will move to open data centers there, strengthening the country’s sovereignty and digital security.”

Shafaq.com

Launch of the Partnership Day celebration between the International Finance Corporation and the Iraqi government

The International Finance Corporation (IFC) and the Iraqi government launched a partnership day celebration a short while ago, under the patronage and attendance of Prime Minister Mohammed Shia al-Sudani. The official agency reported that “the partnership day celebration between the International Finance Corporation (IFC) and the Iraqi government was launched, under the patronage and attendance of Prime Minister Mohammed Shia al-Sudani.”

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Source: Mysterious flight of five US aircraft over Makhmur, northern Iraq

Al-Ma’alouma / Baghdad:  An informed source revealed on Friday the mysterious flight of five US military aircraft over a vital area in northern Iraq.

The source told Al-Maalouma, “Since the early morning hours, intensive flights of five aircraft, most of them Chinook aircraft belonging to the US forces, have been observed in the skies of Makhmur district, north of Iraq, at very low altitudes, without knowing the nature of their activity in that vital area.”

He added, “The data indicates that the aircraft were carrying important equipment or materials, which explains why they were escorted by Apache helicopters as a form of protection.” He noted that “their flight in these conditions raises many questions, especially given the recent escalation in US air activity in the skies over Makhmour.”

It is noteworthy that Makhmur District is considered one of the important geographical areas in northern Iraq due to its vital strategic location.

Almaalomah.me

Economist: Weak refining capacity keeps Iraq dependent on fuel imports.

Al-Maalomah/Baghdad… Economic expert Ali Al-Furaiji believes that Iraq’s weak refining capacity has kept it dependent on fuel imports.

Al-Furaiji told Al-Maalomah, “Despite being the second-largest oil producer in OPEC, Iraq has relied on imported gasoline and kerosene for many years due to weak refining capacity.”

He added, “Domestic gasoline consumption reaches 28-32 million liters per day, equivalent to 176-201 thousand barrels per day, while diesel fuel needs 28 million liters per day.” He pointed out that “operated refining capacity amounts to about 1.3 million barrels per day after the Karbala refinery and Basra expansions come online.” He explained

that “actual gasoline production in 2024 covers about 21-22 million liters per day, leaving a gap that will be filled through imports, while Iraq has achieved near self-sufficiency in kerosene since 2024.”

He explained that “imports declined from 16 million liters per day in 2022-2023 to about 6 million liters per day in 2024, with the estimated cost of these imports amounting to $4.5 billion annually, a financial drain that could have been invested in developing refineries.”

Almaalomah.me

Iraqis cut food spending by a third due to rising living costs.

The Iraqi Ministry of Planning revealed on Friday that food spending by Iraqi families has halved. It used to constitute more than 60% of total income in recent years, and now falls to around 31-32%. This shift reflects a reallocation of resources toward housing, health, education, and other basic services.

The ministry’s official spokesperson, Abdul Zahra Al-Hindawi, told Shafaq News Agency, “In previous years, Iraqi families spent the largest proportion of their income on food, exceeding 60%. Today, however, this percentage does not exceed a third, which is consistent with living priorities and the distribution of spending across various life needs.”

He pointed out that “recent government measures have contributed to achieving relative stability in food prices, despite some slight increases in specific commodities ranging between 0.5% and 3%.”

Al-Hindawi explained that “the ministry’s reports showed a 0.1% monthly decline in inflation during July, reflecting a limited but significant improvement in light of the current economic conditions.”

Expert View

Economic researcher Ali Abdullah believes that the shift in Iraqi household spending from food to other sectors such as housing, services, and education indicates a change in consumption patterns, but it does not necessarily mean an improvement in purchasing power.

“When 60% of income was spent on food, it was a sign of the fragility of the living situation,” Abdullah told Shafaq News Agency. “Today, despite the percentage dropping to about 30%, the rising costs of housing, energy, and transportation have made the ultimate cost of living more burdensome for citizens. This means that citizens have not actually felt a reduction in the burden, but rather the location of this burden has shifted from food to other elements.”

The Citizen’s Voice

Baghdad resident Wafaa al-Rubaie agrees with the economist’s argument that the cost of living has risen, and that families previously spent most of their income on food. “Now we spend most of what we own on rent and bills.”

“Food prices may be relatively stable, but housing, electricity, and the internet take up the bulk of our salaries,” she told Shafaq News Agency. “Even entertainment has become a luxury we can’t even consider.”

Al-Rubaie added, “For example, my family’s monthly salary is close to 1.5 million dinars, but the rent alone consumes more than 700,000 dinars per month, and electricity, water, and internet bills are close to 300,000 dinars, leaving only a little for food and other necessities. Therefore, we feel our lives are becoming more difficult with every price increase.”

The cost of living is one of the most prominent economic indicators that determines a citizen’s ability to meet their needs, especially with the rise in housing rents. This is especially true given the significant disparity in employee salaries between ministries. There are departments where an employee’s salary does not exceed 600,000 dinars per month (approximately $430).

Service and Transportation Fees

The cost of basic services such as electricity, water, and internet for a small apartment amounts to approximately 150,000 dinars per month ($103), with bills rising during the summer due to the use of air conditioning units. Citizens are calling on the government to subsidize electricity and fuel prices to ease the strain on household budgets.

The price of a liter of regular gasoline is 450 dinars (about $0.40), while the monthly cost of public transportation per person ranges from 40,000 to 50,000 dinars (about $30,000 to $40), which represents an additional burden on household incomes, especially in areas lacking regular public transportation services.

Differences between cities

Figures indicate a clear disparity in the cost of living among Iraqi cities. Baghdad has the highest monthly cost per person, followed by Erbil, the capital of the Kurdistan Region, and Kirkuk Governorate. Nineveh Governorate has the lowest cost. This disparity reflects economic disparities and citizens’ purchasing power between the governorates.

Challenges and Conclusion

Today, Iraqi citizens face complex living challenges. While food expenditures have fallen by a third, the overall cost of living remains high due to increases in housing, energy, and services.

Experts emphasize that price stability for some commodities is not sufficient to achieve economic comfort unless accompanied by government policies that boost purchasing power and improve the quality of services.

According to economic researcher Ali Abdullah, “Iraq needs deeper reforms in fiscal policy and direct support for low-income groups so that citizens can feel a tangible change.”

Citizen Wafaa Al-Rubaie concluded by saying, “We’re not looking for a luxurious life. We just want to live with dignity, and not have most of our income go toward housing and bills.”

Shafaq.com

Parliamentary Defense: The US decision to revoke the authorization for war against Iraq is a recognition of sovereignty.

Karim al-Muhammadawi, head of the parliamentary Security and Defense Committee, affirmed on Friday that the US Congress’ decision to revoke the 2003 Authorization for the Use of Military Force against Iraq represents an explicit recognition of the end of direct military intervention in the country and the return of full sovereignty.

Al-Muhammadawi said in a statement received by Shafaq News Agency, “We followed with interest the US Congress’ decision to revoke the authorization for the use of military force against Iraq, the authorization under which the war was launched in 2003 and opened the door to prolonged foreign interference in Iraqi affairs.”

He continued, “We in the Parliamentary Security and Defense Committee consider this decision a positive step, albeit a late one. However, it represents a clear recognition that the phase of direct military intervention in Iraq has ended, and that Iraq is now a sovereign state, managing its internal and external affairs through independent national decision-making.”

Al-Muhammadawi explained that “this decision reinforces Iraqi national efforts, which have been working for years to end all forms of foreign interference, and is consistent with the demands of Iraqi national forces to expel all foreign forces and regulate relations with the international community on the basis of mutual respect and shared interests.”

He emphasized that “Iraq has effectively begun to fully restore its sovereignty and will no longer allow itself to be an arena of conflict or a sphere of influence for any party. Such international resolutions must be effectively leveraged to enhance the independence of Iraqi decision-making and build partnerships based on full respect for national sovereignty.”

He concluded by saying, “We salute all the national and diplomatic efforts that have contributed to conveying Iraq’s voice to the international community, and we renew our commitment in the Security and Defense Committee to work to complete the sovereignty project and ensure that security and political decisions remain solely in the hands of the Iraqi state.”

Yesterday morning, Thursday, the Iraqi embassy in Washington announced that the US Congress had approved the revocation of the 1991 and 2002 authorizations for the war on Iraq.

The decision to revoke the authorization for war on Iraq is that the US Congress (the House of Representatives or the Senate) votes to repeal old laws that had granted US presidents (George H.W. Bush in 1991, and George W. Bush in 2002) broad powers to wage war on Iraq without having to return to Congress each time.

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“Iranian oil smuggling” puts Iraq in a predicament amid US pressure on Sudan.

The Foundation for Defense of Democracies (FDD) concluded that the Baghdad government has an opportunity to confront Iranian oil smuggling activities through Iraqi ports and waterways, warning of significant sanctions if smuggling is not curbed.

The American foundation stated, in a report translated by Shafaq News Agency, that “Iraqi Prime Minister Mohammed Shia al-Sudani announced on September 6 the formation of a committee to investigate the smuggling of Iranian oil through Iraqi ports and waters, and he affirmed that there would be no leniency in this matter.”

However, the report argued that the record of similar committees in the past, which investigate the activities of Iran-backed groups, indicates that perpetrators may not be held accountable. It noted that Tehran has devised numerous illicit schemes to generate revenue, relying on Iraqi companies, Iranian-backed militias, and government officials.

The report cited a 2024 Reuters report on oil smuggling operations generating between $1 billion and $3 billion annually.

He pointed out that Iranian oil is being smuggled by exploiting the control of government positions in the oil sector by Tehran-backed militias. He noted that the militias, many of which have political wings that form part of the ruling coalition, place their members and allies in key positions that control key elements of Iraq’s oil sector.

The report continued, stating that “in early September, the US Treasury Department imposed sanctions on an Iraqi national for smuggling Iranian oil as Iraqi oil, generating approximately $300 million annually for Iran and others involved in the scheme.”

He added that the ministry also targeted, in early July, a network run by Iraqi national Salim Ahmed Saeed for selling Iranian oil as Iraqi, implicating Iraqi officials. This network is believed to have transported billions of dollars’ worth of Iranian oil.

According to the US report, the idea of ​​forming government-affiliated investigative committees has previously largely failed to hold Iran accountable for a range of “malign activities” in Iraq. This includes, for example, the committee investigating drone attacks on military bases across Iraq last June. The committee concluded that the drones were manufactured outside Iraq, but did not specify the weapons’ country of origin.

As another example, he explained that “an investigation committee concluded, following a clash with members of the Hezbollah Brigades around the Agriculture Directorate, where a policeman was killed, that the militia was condemned and recommended the removal of two leaders from the brigades from their positions in the Popular Mobilization Forces. However, the government did not implement these recommendations, even though al-Sudani had approved them.”

Therefore, the report continued, the United States must pressure al-Sudani to ensure a fair investigation and swift action. It must inform al-Sudani that this committee represents an opportunity to put an end to the widespread illicit activity in Iraq that funds and assists the regime in Tehran. The United States must form the committee to be comprised of impartial experts and provide them with access to oil officials, sites, and associated companies, as well as records.

According to him, the Sudanese government must subsequently swiftly address the problems identified by the committee and implement a campaign of fundamental reforms to limit Iranian influence in the Iraqi oil sector and put an end to its evasion of sanctions.

The report concluded by stating that if this committee instead conducts a formal investigation and the government fails to implement this reform, the United States must expand its sanctions to include Iraqi oil officials who assist Iran and profit from its oil smuggling.

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