Exclusive: Baghdad seeks to establish a new economic era with Washington

Iraqi government spokesman Haider al-Aboudi confirmed on Tuesday that Prime Minister Ali al-Zaidi’s visit to the United States represents a pivotal moment in Iraqi-American relations, considering it the most important visit for an Iraqi government since 2003, because it moves the relationship between the two countries from managing security files and crises to building a long-term economic and investment partnership. Regionalnews updates

Al-Aboudi told Shafaq News Agency that the government views this visit as the beginning of a new phase based on investment, energy and economic development, noting that this path represents the real guarantee for the sustainability of relations between Baghdad and Washington, far from being limited to military or security cooperation that characterized relations during the past two decades.

He added that the government seeks to capitalize on the current political momentum to transform the relationship with the United States into a productive partnership that opens the door for major American companies to participate in strategic projects within Iraq, particularly in the oil, energy and infrastructure sectors.

He explained that a number of major American companies have shown a clear response to the government’s vision, stressing that some of them have already entered into understandings with the Iraqi side, and that the results of these agreements, which are based on common interests, will be announced during the official visit to Washington.

Regarding the issue of restricting weapons to the state, Al-Aboudi stressed that the government has placed it among its top priorities since day one, not only as a security issue, but also as one of the necessary conditions for creating a stable environment capable of attracting foreign investments and stimulating economic growth.

He stressed that the current government has moved in this matter from the stage of pledges to practical implementation, unlike what previous governments witnessed, considering that the steps taken so far reflect the state’s seriousness in imposing its sovereignty and strengthening internal stability.

He pointed out that Iraq’s success in establishing security and extending state authority sends a reassuring message to investors and international companies, and lays the foundation for stronger economic relations with international partners, foremost among them the United States, which will reflect on development opportunities and create a more attractive environment for capital.

Iraqi Prime Minister Ali al-Zaidi arrived in Washington, D.C., on Monday, leading a high-level delegation that included a number of ministers, officials, investors and business owners, for an official visit that will last seven days.

Shafaq.com

Documents reveal that the judiciary has ordered an investigation into the fate of $140 billion in Iraqi revenues.

Member of the Legal Committee in the Iraqi Parliament, MP Mohammed Jassim Al-Khafaji, announced on Tuesday that an official move has been made by the Public Prosecution to open a judicial investigation into suspicions of the disappearance and fate of $140 billion of the country’s revenues. Regionalnews updates

According to official documents obtained by Shafaq News Agency, the legal action came in response to an official request and notification submitted by MP Al-Khafaji on June 27 to the head of the Public Prosecution Service, demanding the opening of a proper investigation based on recorded statements (on a CD) by the former Undersecretary of the Ministry of Finance, Masoud Haider, who spoke about not knowing the ways in which $140 billion of Iraq’s revenues were spent over three years.

Documents issued by the Public Prosecution Office (Legal Division) and signed by the Deputy Public Prosecutor, Dhari Jaber, showed an official directive addressed to the “Second Karkh Investigation Court”, ordering the referral of the Deputy’s letter and its attachments to take urgent legal action regarding the subject of the report.

MP Al-Khafaji confirmed in a post on social media, Facebook, that he was in the capital, Baghdad, to follow up on the case.

Shafaq.com

Iraq leads OPEC declines… Basra crude drops $35 in June

Data from OPEC’s monthly oil market report for July 2026 showed that Basra Medium crude recorded the largest monthly decline among OPEC’s basket crudes during June, after it fell by $35.12 per barrel on a monthly basis, to reach an average price of $85.10 per barrel, compared to $120.22 in May . News

On an annual basis, the report showed that the average price of Basra crude oil during the first six months of 2026 was $93.57 per barrel, which is higher than the average for the same period in 2025 of $71.39 per barrel, an increase of $22.18 per barrel .

The value of the OPEC reference basket also declined during June by $24.80 per barrel compared to May, settling at $89.75 per barrel, but it remained higher than the 2025 average of $72.04 per barrel .

According to the report, Arab Light crude fell to $96.89 a barrel in June, compared to $73.65 during 2025, while Iran Heavy crude reached $90.77 compared to $72.27 last year .

Globally, Dated Brent crude fell to $85.17 a barrel in June, compared to an average of $71.65 during 2025, while West Texas Intermediate crude reached $81.66 compared to $67.73 .

The report indicates that the sharp decline in June prices came after high levels recorded by crude oils in May, while prices during 2026 remained higher than the levels of 2025, reflecting the continued impact of supply factors and geopolitical tensions in global oil markets .

Shafaq.com

Exclusive: Chaldeans hand al-Zaydi a comprehensive working paper and promises to remove obstacles to their return to Iraq

On Tuesday, Ghazwan Elias, director of the Iraq office of the Chaldean American Community Foundation in Michigan, revealed details of the meeting that brought together a delegation from the community with Iraqi Prime Minister Ali al-Zidi, confirming that he handed over a comprehensive working paper that included the most prominent demands and rights of the Christian component, while the delegation received governmental promises to work on addressing them, in addition to an official invitation for Christian emigrants to return to Iraq . Financialnews subscription

Elias told Shafaq News Agency that the meeting with the Prime Minister was “very positive and fruitful,” explaining that the Chaldean community in Michigan is one of the largest and most influential Iraqi communities in the United States on economic, political and social levels, with more than 200,000 members, while the number of Iraqi Christians of Chaldean, Assyrian and Syriac descent throughout the United States is estimated at more than half a million .

He added that the delegation handed the Prime Minister a comprehensive paper that included a number of demands related to the administrative, political, cultural and religious rights of the Christian community, as well as strengthening its representation in state institutions and government jobs .

He explained that the paper focused on the need to activate the constitutional and legal texts that guarantee the rights of Christians, in addition to accelerating the reconstruction of towns and villages that were destroyed, especially in the Nineveh Plain, and launching service and development projects that contribute to the stability of the population and encourage the return of families who left the country during the past years .

Elias noted that the delegation also called for increased opportunities for Christian talent to participate in state institutions, and for them to be given the opportunity to assume administrative and executive positions, reflecting the principle of equal citizenship and enhancing the presence of all components in state institutions .

He stressed that the Prime Minister showed great understanding of what was stated in the paper, and considered that the demands presented were based on the constitution and the law, and represented national entitlements that contribute to strengthening national unity and consolidating the principle of partnership among Iraqis .

He added that Al-Zaydi pledged to work on overcoming the obstacles facing the Christian community, and to take steps to address a number of outstanding issues, in line with the government program aimed at consolidating stability and strengthening social cohesion .

Elias revealed that the Prime Minister, through the Chaldean community delegation, sent a message to Iraqi Christians in the diaspora, calling on them to return to their homeland, invest in Iraq, and participate in the process of building and development .

He concluded that Al-Zaydi affirmed that Iraq is “a homeland for all its sons,” and that the government is working to provide a more stable and secure environment, which will encourage Iraqi talents abroad to return and contribute to building the country, based on the principle of complete equality in rights and duties, and consolidating the inclusive national identity that accommodates all components .

Earlier today, during a meeting with Iraqi businessmen in the United States, particularly members of the Christian community, Al-Zaydi called for investment in the education, health, and oil industries, and participation in the reconstruction of the Nineveh Plain region .

Al-Zaidi’s invitation came during his reception, at his residence in the American capital, Washington, on Monday evening, of a number of representatives of the Iraqi Christian community and Iraqi businessmen residing in the state of Michigan .

Community representatives and businessmen expressed their readiness to enter the Iraqi market and establish partnerships between American companies and the public and private sectors in Iraq, in order to support the diversification of the economy and expand cooperation in various fields .

Shafaq.com

With a deficit of 8.9 trillion dinars, Shafaq News publishes early warning indicators for the Iraqi economy.

Early warning indicators for the Iraqi economy for the fourth quarter of 2025, issued by the National Accounts Directorate, showed that the gross domestic product at current prices reached 82.1 trillion dinars, amid mixed developments in the oil, trade, banking, energy and stock market sectors. Regionalnews updates

According to the report, which was reviewed by Shafaq News Agency and prepared based on an analysis of trade and financial data, Iraq’s GDP, excluding the oil sector, reached 53.9 trillion dinars during the last quarter of last year, reflecting the size of the non-oil sectors’ activity.

The government report indicated that the state’s general budget deficit reached 8.9 trillion dinars during the same period, while the official exchange rate remained stable at 1,300 dinars per US dollar.

On the financial and banking front, indicators revealed that the total bank credit granted reached 75.6 trillion dinars, while the trading volume in the Iraq Stock Exchange (regular) recorded about 0.1 trillion dinars.

In the trade sector, the report explained that the decline in merchandise exports led to a decrease in the country’s net trade balance, resulting in a trade surplus that stabilized at $4 billion during the fourth quarter of last year. The banking sector also witnessed a decrease in cash assets and a decline in the narrow and broad money supply.

As for the energy sector, the amount of electricity produced locally reached 35,529,823 megawatt-hours, compared to the importation of 295,609 megawatt-hours of electricity to cover the deficit in the national grid during the same period.

Shafaq.com

Trump rolls out the “red carpet” for al-Zaidi, his eye on the factions’ weapons.

Iraqi Prime Minister Ali al-Zubaidi will receive a remarkable welcome on his first official visit to Washington, amid expectations that his talks with US President Donald Trump will constitute a real test of thorny issues, foremost among them the disarmament of Iranian-backed armed factions, an issue that could put the Iraqi government before complex internal challenges. MiddleEast news

According to a report by the Associated Press , translated by Shafaq News Agency, Trump welcomed al-Zaidi, whom he described as a “novice politician,” after supporting him during his selection process for the premiership last April, considering his assumption of the position as “the beginning of a tremendous new chapter between the two countries.”

The report added that Trump’s interest in the Iraqi leadership issue predated the formation of the government, recalling his announcement of opposition to the nomination of former Prime Minister Nouri al-Maliki, and his threat to cut off American aid to Iraq if he took office.

The report suggested that Iranian influence and the future of armed factions would occupy a large part of the White House discussions, in light of increasing American pressure on Baghdad to proceed with the plan to restrict weapons to the state.

He pointed out that a number of Iranian-backed factions carried out attacks targeting American bases and diplomatic headquarters following the American-Israeli war against Iran, while the Iraqi government gave those factions a deadline until the end of September to hand over their weapons, despite some of the main factions announcing their refusal to comply with that.

The agency quoted a Trump administration official as saying, ahead of the Oval Office meeting, that the United States would make its decisions regarding Iraq based on the “actual results” achieved by Baghdad in the disarmament of factions.

The agency quoted Renad Mansour, a researcher at Chatham House, as saying that he expects Washington to exert “significant pressure” on al-Zaidi to push him towards more decisive steps regarding the factions.

Mansour added that al-Zaidi might respond that his government needs American intelligence, military and technical support to accomplish this task, warning that any direct confrontation with armed groups could push them to target the government itself, a scenario that Baghdad fears slipping into.

According to an Associated Press report, al-Zaidi enjoys Trump’s support despite having previously headed the South Islamic Bank, which was among a group of banks that the Central Bank of Iraq banned in 2024 from dealing in dollars, as part of measures taken in coordination with the United States to combat money laundering and limit the transfer of funds to Iran.

The report also addressed the anti-corruption campaign launched by the Al-Zaidi government, considering it to be one of the most prominent issues that the Prime Minister seeks to highlight during his visit to Washington.

He pointed out that the Iraqi delegation accompanying the Prime Minister includes, in addition to ministers and government officials, a number of businessmen, indicating that the visit is not limited to security matters.

The report concluded that the Iraqi government announced that the visit aims to strengthen economic and development partnerships, attract American investments, and expand the participation of American companies in infrastructure and energy projects, reflecting Baghdad’s orientation towards building a broader relationship with Washington that goes beyond traditional security cooperation.

Shafaq.com

Saleh: The 2027 budget will be ready on schedule in October.

The Prime Minister’s financial advisor, Mazhar Muhammad Salih, revealed that the government will begin preparing the draft federal budget law for 2027 during the month of July, in accordance with the provisions of the Financial Management Law, indicating that “the upcoming budget will differ from its predecessors by adopting an economic vision aimed at stimulating investment, empowering the private sector, and establishing sovereign funds to support infrastructure projects, while continuing to address internal debt and reduce financial waste.” Politicaleconomy blog

On the other hand, Saleh stressed that combating corruption and recovering related funds are a fundamental pillar for enhancing the efficiency of the national economy, reducing investment costs, and supporting the path of sustainable development.

General budget

Saleh told Al-Sabah: “The amended Financial Management Law No. (6) of 2019 requires the Ministry of Finance to begin preparing the draft budget during the month of July, with the draft to be completed in the month of September, and then presented to the Council of Ministers for discussion and approval before being referred to the House of Representatives during the month of October for the purpose of discussion and legislation.”

He added that “the 2026 budget was affected by the economic conditions and challenges that accompanied the developments in the Strait of Hormuz,” explaining that “the deficit is measured by the size of the internal debt, which exceeded 100 trillion dinars, but the government has a clear financial policy to address this issue through reform measures that contribute to strengthening the resource economy and diversifying sources of revenue.”

Saleh pointed out that “Iraq is still facing the effects of accumulated financial waste since 2003,” stressing that “the state is moving towards tightening control over public funds and not allowing the waste of any financial resource in order to enhance financial stability and preserve national wealth.”

He explained that “the 2027 budget will be distinctive because it is consistent with the government’s economic vision, as it will give more space for private sector participation and includes the establishment of sovereign funds dedicated to financing infrastructure projects in a way that supports sustainable development and enhances economic growth during the next stage.”

Combating corruption

Regarding combating corruption and recovering related funds, Saleh stressed that they represent a fundamental pillar for enhancing the efficiency of the national economy, reducing investment costs, and supporting the path of sustainable development, noting that eliminating manifestations of corruption will positively affect the financial and economic performance of the state.

The Prime Minister’s financial advisor stated that “it is difficult to accurately determine the true extent of funds linked to corruption. However, estimates from governance circles within the international business environment point to what is known as ‘Iraq’s cost’ on projects and investments, which in some cases may reach approximately 45% of the implementation cost, due to multiple factors, most notably extortion and bribery, and the resulting decrease in efficiency.”

Administrative procedures.

He explained that “the success of the government’s anti-corruption program will gradually contribute to reducing this unproductive cost, bringing the cost of investment closer to its fair levels based on efficiency and integrity, which will enhance the attractiveness of local and foreign investment and reduce the cost of implementing economic and social development projects.”

He added that “activating the role of oversight and auditing bodies, especially in the planning, implementation and investment spending stages, represents a fundamental pillar for reducing financial waste and establishing standards of transparency and good governance, which supports the path of sustainable development in the country with the lowest costs and the highest returns and benefits for the national economy.”

Saleh pointed out that “some circles estimate the amount of money related to corruption at about $300 billion, distributed between real estate, financial and cash funds inside and outside Iraq,” indicating that “recovering these funds is an important factor in alleviating the current financial burdens.”

He explained that “combating corruption is not limited to recovering funds, but also contributes to improving overall economic performance by reducing costs and increasing the efficiency of implementing economic activities within an environment free from corruption factors, which will positively impact reducing the deficit and public debt directly and indirectly, by enhancing the efficiency of the financial and economic performance of public budgets and the country’s resources in the future.”

Alsabaah.iq

Al-Zaidi arrives in Washington

Iraqi Prime Minister Ali al-Zaidi arrived in Washington, D.C., on Monday for an official visit, leading a delegation of politicians and businessmen. Dailynews reports

Al-Zaidi left at dawn on Monday, heading to the United States of America, on an official visit. Before leaving the country, he confirmed that he was heading to Washington at the head of a governmental and economic delegation, with the aim of translating the strength of Iraqi-American relations into economic and investment partnerships in a number of vital sectors .

Al-Zaidi said in a tweet on the X website that the delegation seeks to expand cooperation with the United States in the fields of energy, technology, infrastructure, the digital economy, and financing partnerships .

He added that the aim of the visit is to attract investments, transfer expertise, diversify the economy, and create job opportunities, which will enhance the development process and consolidate Iraq’s position as a reliable partner and an active element in the stability and prosperity of the region .

Shafaq News Agency obtained a list of the names of the government delegation accompanying Al-Zidi, which includes five ministers, deputies and advisors .

The dialogues and meetings that will take place during Al-Zidi’s visit to Washington will be based on the Strategic Framework Agreement between Iraq and the United States, and will focus on strengthening cooperation in a number of areas, most notably energy, economy, investment, development and education .

The Iraqi Prime Minister’s meetings will also include meetings with members of the US Congress, in addition to his participation in a Gulf conference in the US capital to discuss the repercussions of the Iranian war.

Shafaq.com

Following the Washington visit, a parliamentary step is expected to complete the Al-Zidi government.

Deputy Head of the Reconstruction and Development Parliamentary Bloc, Mansour al-Baiji, indicated on Monday that the remaining vacant ministerial posts in the government are likely to be approved as a single package in the near future, despite ongoing political disagreements. He emphasized the importance of completing the cabinet to proceed with implementing the government program.

Al-Baiji told the Information Agency, “Political disagreements regarding the vacant ministries persist, but they will not prevent the completion of the cabinet, as it is expected to be approved as a single package in the near future.”

He added, “Completing Prime Minister Ali al-Zaidi’s cabinet is a crucial step towards implementing the government program and addressing service, economic, and security issues.” He noted that “dialogue among political forces is ongoing to reach a final agreement on the remaining ministries.”

Al-Baiji predicted that “the vote on the cabinet will take place after Prime Minister Ali al-Zaidi’s visit to Washington, which will contribute to strengthening the stability of the government’s work and completing its ministerial formation.” Government

Almaalomah.me

Iraqi banks are permitted to disburse their customers’ dollar deposits in cash

The Central Bank of Iraq has issued a new directive to all banks, allowing the disbursement of deposits and incoming transfers in US dollars in cash, according to a document obtained by Shafaq News Agency. News

According to the document, the decision comes in implementation of the objectives of monetary policy, and to enable banks to meet the legitimate needs of their customers in US dollars, and in line with the directives of the government and the Central Bank to enhance confidence in the Iraqi dinar, digital transformation and reducing cash transactions.

The document explained that the instructions included allowing banks to open bank accounts for customers in foreign currencies acceptable to the bank, with the possibility of withdrawing funds deposited in cash or transferred to those accounts in US dollars, according to each bank’s policy.

The directive clarified that the Central Bank will fulfill the private banks’ requests for cash withdrawals of incoming dollar transfers, provided that the amounts of those transfers are deposited into one of the bank’s accounts with its correspondents abroad. These transfers shall include government contracts financed by grants or foreign loans and agreements signed with the federal government, in addition to 40% of the transfers received by Iraqi banks resulting from their exports abroad.

The document stipulated the suspension of the previous circular No. (8587) issued on January 31, 2023, with the decision to be implemented starting from July 15, 2026.

It is worth noting that an informed source revealed to Shafaq News Agency last week that the Central Bank of Iraq issued new directives to reduce the share of foreign currency (dollars) for travelers to 2,000 US dollars instead of 3,000 dollars, within the approved mechanism to meet travel requests.

Shafaq.com