Iraqi Parliament: SOMO has agreed with Türkiye to resume Kurdistan Region oil exports.

Shakhwan Abdullah, Deputy Speaker of the Iraqi Parliament, stated on Sunday that the national oil company SOMO had reached an agreement with the Turkish side to resume oil exports from the Kurdistan Region after a halt that lasted more than two years.

In a statement to reporters today, Abdullah said that the regional government had reached an agreement with the federal government on oil and non-oil revenues, adding that SOMO had also agreed with Turkish companies to resume Kurdistan’s oil exports.

Abdullah continued by saying that what remains is for the Iraqi government to legally and morally abide by these agreements and begin, in the coming days, disbursing the salaries of July and August to public sector employees and workers in the Kurdistan Region.

Kurdistan Regional Government Prime Minister Masrour Barzani confirmed on Saturday that oil companies operating in the region and the federal government had reached a preliminary understanding regarding financial dues for crude oil extraction costs, in preparation for a final agreement to resume the region’s oil exports via the Turkish port of Ceyhan.

“Our discussions with the federal government regarding the budget and the provision of monthly salaries for employees in the Kurdistan Region are ongoing,” Masrour Barzani said in a speech he delivered during the inauguration ceremony of the Shekhan-Lalesh road in Duhok Governorate. He added, “There are no obstacles from us, but obstacles and pretexts are created by others in the process of understandings, and we are always trying to remove them and provide financial dues to the citizens of Kurdistan.”

He added, “In recent discussions between us and Baghdad, as I was told, there is some understanding between the oil companies operating in the Kurdistan Region and the federal government to reach solutions to the contentious issues between the two sides.” He considered this understanding “an important step towards reaching a final agreement to resume oil exports.”

Masrour Barzani continued, “I hope this agreement will be realistic and acceptable to all, and that the federal government will commit to the rights of Kurdistan’s citizens.” He emphasized the importance of not subjecting salaries to bargaining and not making them a daily headline in the media.

Kurdistan Regional Government Prime Minister Masrour Barzani said in early September that the regional government had no issues impeding the resumption of the region’s oil exports, stressing that what remained was to resolve the dispute between oil companies operating in Kurdistan and the federal government on the matter.

Meanwhile, Ali Nizar, Director of the State Oil Marketing Organization (SOMO), confirmed that the resumption of Kurdistan Region oil exports depends on the producing companies.

Nizar told Shafaq News Agency, “The agreement between the federal Ministry of Oil, the Oil Marketing Company, and the Ministry of Natural Resources in the Kurdistan Region established strict mechanisms for implementing the budget law.”

He added, “We are optimistic about the agreement and the mechanisms, and we hope to proceed with pumping oil from the Kurdistan Region via the Turkish-Ceyhan pipeline, as this is in Iraq’s best interest and will boost its financial revenues.”

He stressed that “the timing of resuming oil exports depends on the oil-producing companies.”

Reuters reported on Friday that the Iraqi government had given “in principle” approval to a plan to resume oil exports via the pipeline from the Kurdistan Region to Türkiye.

The agency quoted sources familiar with the talks as saying that “Iraq, OPEC’s second-largest oil producer, has given preliminary approval to a plan to resume oil exports via pipeline from the semi-autonomous Kurdistan Region via Turkey, after delays in the hoped-for resumption.”

The agreement between the Iraqi federal government, the Kurdistan Regional Government, and international oil companies could add at least 230,000 barrels per day of new supplies, as OPEC producers increase production to regain market share.

Turkey halted flows on the pipeline, which transports oil from the Kurdistan Region of Iraq to the Turkish port of Ceyhan, in March 2023 after an arbitration court ordered it to pay approximately $1.5 billion in compensation to Iraq for transporting oil without Baghdad’s approval. Ankara refused to pay the fine at the time and demanded that Erbil pay it.

The pipeline closure halted Iraqi oil exports by approximately 500,000 barrels per day. The resumption of oil flows from Kurdistan may mitigate some of the impact on markets due to reduced shipments from Iraq, the main source of crude.

Iraq had been exporting between 400,000 and 500,000 barrels per day from northern fields, including the Kurdistan Region, via the now-defunct pipeline. Oil Minister Hayan Abdul Ghani said earlier this month that Iraq plans to transport at least 300,000 barrels per day of crude oil once operations resume. He added that the Iraqi government has also begun a formal process to persuade the regional government to transfer the oil to the Federal Oil Marketing Organization (SOMO).

Türkiye has repeatedly said that the pipeline is operational and that it is up to Iraq to resume flows, and the United States has also expressed a strong desire to see oil flow through the Iraq-Turkey pipeline.

Shafaq.com

Iraq: Billions of dollars drop in trade balance, oil derivative exports rise

The Iraq Future Foundation for Economic Studies and Consultations reported on Sunday that the country’s trade balance declined to a surplus of approximately $6 billion during the first half of this year, compared to last year.

The institution stated in a report published today that Iraq’s trade balance declined by 33% in the first half of 2025 compared to the first half of 2024, reaching a surplus of $11.7 billion, compared to $17.6 billion in the first half of 2024.

The head of the institution, economic expert Manar Al-Obaidi, attributed this decline to a 7% decline in the value of total exports, with oil exports declining by 11%, falling from $48.7 billion to $43.3 billion.

He pointed out that petroleum derivatives exports increased by 88% to reach $2.1 billion, up from $1.15 billion during the same period in 2024. Non-oil exports also increased by 68%, rising from $1.14 billion to $1.9 billion.

Despite these increases, the decline in the value of exports affected total exports. Meanwhile, the value of imports increased by 7%, rising from $33.3 billion in the first half of 2024 to $35.7 billion in the first half of 2025, according to the report.

Al-Obaidi continued, saying: “With the rise in the value of imports and the decline in the value of exports, the trade balance has declined by this significant percentage. Continued decline in oil prices could lead to a further decline in the value of exports, accompanied by an increase in imports, which could lead to a shift from a surplus in Iraq’s favor to a budget deficit.”

Shafaq.com

Iraq is about to open one of the largest renewable energy projects in the region.

Iraqi Electricity Minister Ziyad Ali Fadhil announced on Sunday that the ministry will soon launch the “Shams Basra” clean energy project.

This came in a speech he delivered during the inauguration of the first phase of the Karbala Solar Power Plant project, the first of its kind in Iraq, in the presence of Prime Minister Mohammed Shia al-Sudani.

In his speech delivered via video link during the project’s inauguration, the minister said, “We have inaugurated the first phase of the project with 39,000 solar panels.” He added, “We will continue working until we install 500,000 panels with a design capacity of 525 megawatts in Karbala and Babylon, which will enhance grid stability, reduce dependence on fossil fuels, and reduce harmful emissions.”

In the south, the minister noted that work is progressing on the “Shams Basra” project, with a capacity of 1,000 megawatts and two million solar panels, making it one of the largest renewable energy projects in the region. The first phase will open soon.

For his part, the Prime Minister said in a speech that solar energy projects are a key option for the current and future phases, and that it is essential to equip the housing units to be distributed among the educational family with solar energy, as is the case with other housing projects.

He pointed out that practical measures have been taken, starting with the agreement with the French company Total, which is currently being implemented. He also noted that the company implementing the project has achieved its position as the first company to produce solar electricity to be integrated into the national grid.

Al-Sudani explained that Iraq is witnessing, for the first time, the production of electrical energy from a solar station, which is currently producing (22) megawatts and will reach (75) megawatts within two months, and that the Ministry of Electricity is proceeding with the strategy of solar energy projects.

He continued by saying that new projects in the field of renewable, clean, and sustainable energy will soon see the light of day, emphasizing the need to ensure harmony with reducing carbon emissions and preserving the environment, which is experiencing negative impacts due to projects that rely on outdated production patterns.

Shafaq.com

A close associate of al-Sadr: The real alternative to boycotting the elections is to replace the current faces “without a trace”

Saleh Mohammed al-Iraqi, a close associate of Shiite National Movement leader Muqtada al-Sadr, revealed on Sunday that al-Sadr is demanding comprehensive reform and the replacement of senior officials in power in exchange for ending his boycott of the upcoming parliamentary elections scheduled for November.

Al-Iraqi said in a post on social media, Facebook, quoting Al-Sadr, that “the real alternative to the boycott is to replace the current faces (stripped and removed), so that the doors of reform may open and the doors of dependency and prostration to the foolish may be closed, and the people may be safe from loose weapons, and from the suppression of voices, and the people may be rid of polluted water, and Iraq’s lost share of water and electricity may be restored, and the borders opened to terrorism and smuggling, and the imposition of foreign agendas that have weakened the sect and the nation.”

He added, “The alternative to the boycott is comprehensive reform, changing faces, and even changing the ‘deaf ears’ to save Iraq through political and legal means without foreign interference. But how can they do that?”

Shafaq.com

SOMO reveals increase in revenues from oil exports

The State Oil Marketing Organization (SOMO) announced on Sunday that it had achieved an increase in its revenues after the voluntary cut was ended. The company’s general manager, Ali Nizar Al-Shatri, told the official news agency that “Iraq has achieved an increase in its oil exports after the voluntary cut was gradually ended by the OPEC and allied countries.”

He also explained that “Iraq has been able to increase its oil production, which has enabled it to raise the volume of its exports, based on a study of the oil market balance by OPEC and non-OPEC experts, who approved the possibility of making this increase.”

He added, “Oil exports are the main source of funding for the general budget, with current prices ranging between $65 and $68 per barrel, and an annual average of approximately $70,” adding, “With an increase in production estimated at approximately 200,000 barrels per day – equivalent to approximately 6,000,000 barrels per month – this will contribute to additional revenues estimated at hundreds of millions of dollars annually, as additional revenues that can be invested to support budget requirements.”

He pointed out that “the Oil Marketing Company, through commercial agreements and profit-sharing projects with foreign companies, is working to generate greater revenues from the sale of conventional oil through ports. This is achieved by reselling a portion of the barrels on global markets when commercial opportunities arise or when certain companies demand it, thus generating additional profits above the official price.”

He also explained that “the company has also activated a mechanism for selling spot shipments, which has enabled the sale of a number of barrels at price premiums commensurate with the volume of demand and opportunities available in the global oil market.”

Burathanews.com

Electoral Commission: “Vote buying is an electoral crime, and any candidate who commits it will be referred to the judiciary.”

The Independent High Electoral Commission confirmed on Sunday that the punishment of the candidate who “buys votes” may occur even after his victory if the crime is proven, while indicating that some candidates deceive voters by intimidating them by saying that they “are able to know where their votes went and who they voted for.” The commission confirmed that “even it cannot know who the owner of the vote is and for whom he voted.” Assistant media spokesman for the Electoral Commission, Nibras Abu Souda, stated that “buying votes is an electoral crime and not a regulatory violation, and the candidate who practices it will be referred to the competent judiciary for investigation and trial. If vote buying is proven, the criminal penalties stipulated in the law will be applied and the candidate will be disqualified from running.”

She explained that, “If a candidate ran in the elections and obtained purchased votes, then upon proof of the crime, those votes will be withdrawn and deemed as if they had never been awarded to him. If the results are ratified and the accused is transferred to Parliament, the accountability mechanisms and dealing with him will remain subject to the provisions of parliamentary law and applicable legislative procedures, and may require subsequent measures taken by the competent authorities.”

She stressed that “the biometric card is a secure card, subject to strict security and protection measures implemented by the Commission at all levels of registration and data, and it is (practically) impossible for another person to use the biometric card because it is linked to its original owner and the biometric measurements stored in it,” according to the government newspaper.

She also explained that “the process of offering money to a voter in exchange for their biometric card does not give the candidate the ability to vote on behalf of the cardholder. Rather, it essentially represents bribery, bribery, or illegitimate influence over the voter’s will by enticing them with money.”

She also pointed out that “the voting process is strictly confidential, and no one, whether an employee of the commission or outside it, can ascertain the will of the voter or know which candidate their vote went to,” explaining that “this process is technically protected, as there is no indication on the ballot paper of the voter, nor does their name, electoral number, or any other indication that could identify them appear. Therefore, it is impossible to know where the voter’s vote went or for whom they voted.”

The spokesperson concluded by saying, “We mention the above because some candidates are trying to mislead voters by claiming that ‘the commission can determine their vote by examining the ballot paper.’ This is false and impossible, and is merely an attempt to intimidate and influence voters.”

Burathanews.com

Iraqi traders discuss developing import and export at the Tradex Summit in Erbil.

The Kurdistan Region Importers and Exporters Union held the Tradex Summit in Erbil Governorate, with the participation of a large number of businessmen, investors, and experts in the field of trade and economics.

The summit, held today, Saturday, aims to develop the digital trade system, strengthen the position of the local market, and connect it to regional and international markets.

A Shafaq News Agency correspondent reported that the summit provided an important platform for discussing the latest innovations and technological solutions in the field of trade, as well as reviewing successful experiences in digital transformation, which contributes to raising the efficiency of the private sector and opening new horizons for investors.

He added that the summit’s activities included extensive discussions on ways to enhance the business environment in the Kurdistan Region and expand trade cooperation networks, thus consolidating the region’s presence on the global economic map and giving it a greater role in keeping pace with rapid economic developments.

Shafaq.com

US report: Iraq needs $95 oil price to balance its budget

S&P Global Commodity Insights revealed on Saturday that Iraq needs an oil price of $92 per barrel to balance its budget this year.

According to the agency’s report on the oil prices needed by the Middle East and North Africa region to balance its national budgets for 2025, which was reviewed by Shafaq News Agency, “Iraq needs an average price of $95 per barrel to balance its national budget.”

He added , “The highest average oil price required by oil-producing countries to balance their national budgets was Iran’s, at $122 per barrel, followed by Bahrain at $107 per barrel, and then Algeria at $93 per barrel.”

She continued, “Kuwait needs an average price of $89 per barrel, followed by Oman at $80, Saudi Arabia at $77, Qatar at $64, and the UAE is the lowest-priced country with an average price of $47.”

According to the agency, “Iraq is selling heavy crude oil at $66 and medium crude oil at $68.”

Shafaq.com

Avoiding a life-or-death choice, Iraqis may lose the blessing of air conditioning and their last hope in the Gulf.

Demand for electricity is doubling in the Middle East, particularly Iraq, threatening to exacerbate social and political unrest. Governments unable to secure a reliable source of electricity to power cooling systems, desalinate water, and keep the lights on during the summer months, risk losing legitimacy with the public.

However, The National newspaper proposes expanding the role of Gulf states in interconnecting electricity with countries in the region experiencing electricity shortages to address these challenges.

The newspaper report, translated by Shafaq News Agency, indicated that in countries where electricity is available 24/7, turning on the lights, cooking a hot meal, or enjoying the cool air are considered normal things. This is in contrast to countries where electricity is rationed, expensive, or unavailable for long periods, where electricity shortages exacerbate a host of other social, political, and economic problems.

He explained that without reliable electricity, critical facilities such as hospitals, water treatment plants, and telecommunications falter. He added that when energy costs rise, the prices of everything from transportation to basic goods increase, creating frustration and sometimes unrest. He noted that industries slow down or shut down during power outages, exacerbating unemployment and poverty.

“Even more damaging is that failure to ensure a consistent supply of energy undermines public confidence in government, as authorities that cannot even keep the lights on risk losing their legitimacy,” the report added. “Many Middle Eastern countries have suffered from this cascading effect, with those experiencing conflict or emerging from war being the most affected. Syria, Iraq, Lebanon, Yemen, and Sudan are among the countries affected.”

Regarding Iraq specifically, the report stated that more than 20 years after the war that toppled Saddam Hussein’s regime, the country remains without a stable energy supply. It noted that in August 2022, the oil-rich city of Basra witnessed days of angry protests after power line failures and a fire at a power plant caused power outages amid temperatures reaching 50 degrees Celsius.

The report also cited Lebanon as another example, explaining that years of intermittent power outages have led to reliance on polluting private generators, which has empowered criminal groups that profit from black market fuel.

He warned that these problems will worsen, pointing to a new report issued by the International Energy Agency, which reveals that electricity demand in the Middle East and North Africa has tripled since 2000 and is expected to rise by 50% by 2035, due to rapid population growth, urban expansion, and industrial growth.

The report quoted the Executive Director of the International Energy Agency, Dr. Fatih Birol, as saying, “Everyone is talking about China and India as the epicenter of global electricity demand growth, but the Middle East and North Africa region is a dark spot in these discussions.”

He continued, “The narrative presented by the IEA report represents a tale of two regions. There are countries in the Gulf that are investing billions in reliable and renewable energy sources such as nuclear power, wind farms, solar power plants, and gas, while nuclear reactors are under construction in Egypt and Iran. But the second story concerns countries that face different challenges in terms of providing energy to meet growing demand.”

The report returned to Iraq, stating that “the International Energy Agency estimates that the energy shortage in Iraq between 2014 and 2020 alone cost the economy more than $95 billion.”

In Syria, according to the report, available power generation capacity in 2022 fell to just 38% of pre-war levels, far below what the country needs. Meanwhile, conflict-affected Libya has suffered similar problems, with power generation capacity halved during the civil war.

Therefore, the report concluded, countries with high electricity generation and transmission capacities can make a difference. It explained that Iraq, for example, has an agreement with its Gulf neighbors to import electricity through the Gulf Cooperation Council’s Electricity Interconnection Authority. It believed that expanding such an agreement could support other countries trying to secure energy supplies for their economies and citizens.

According to the report, these long-term technocratic solutions could replace temporary efforts such as Iraq’s use of power ships, which provide electricity for only weeks, not years.

He continued, “With rising global temperatures, the Middle East is on the front lines of global warming,” stressing that “without a reliable source of electricity to power cooling and water desalination plants, vulnerable populations will suffer.”

The report concluded by saying, “Solutions are present in the IEA report, such as expanding renewable energy options, developing grids to handle increased loads, and investing in energy storage facilities.” He noted that these are worthy ideas, but that it is up to the region’s leading countries to work in partnership with those struggling to reach the stage where running air conditioning in the summer is no longer a choice between life and death.

Shafaq.com

Iraq’s holdings of US bonds have fallen to less than $30 billion.

The US Treasury Department announced on Saturday that Iraq is not among the top 20 countries holding US bonds, while two Arab countries are among the top holders.

The Treasury stated in its latest table for September 2025, which Shafaq News Agency reviewed, that “Iraq did not enter the top twenty largest holders of US bonds, as its holdings declined from $40.8 billion in 2023 to less than $30 billion in 2024.”

She added that both Saudi Arabia and the UAE were among the 20 countries holding the largest amounts of US bonds, with $131.7 billion and $107.8 billion, respectively.

She pointed out that “the countries with the largest holdings of bonds were Japan, with $1.151 trillion, followed by the United Kingdom, which holds $899 billion, followed by China, with $730 billion, the Cayman Islands, with $438 billion, and Belgium, with $428 billion.”

In August 2023, the US Treasury announced that Iraq had dropped one place among the largest foreign holders of US bonds.

The Treasury said at the time that “Iraq dropped one rank despite increasing its bond holdings for June by $300 million, reaching 37th place among the 38 countries with the largest holdings of US Treasury bonds listed in the table,” indicating that “Peru increased its bond holdings to rank 36th, replacing Iraq.”

She added, “Iraq’s holdings of these bonds reached $33 billion in June, a 0.92% increase from last May, when Iraq’s holdings of bonds reached $32.7 billion. However, they increased by 3.12% from June 2022.”

The Treasury also noted that “Iraq is the fourth largest Arab country after Saudi Arabia, the UAE, and Kuwait, while Japan tops the list of countries holding the most of these bonds, at $1.105 trillion, followed by China in second place with $835 billion, the United Kingdom in third place with $672 billion, Belgium in fourth place with $332 billion, and Luxembourg in fifth place with $331 billion.”

Shafaq.com