Iraq Economic News and Points To Ponder Tuesday Morning 2-24-26
The Minister Of Oil Reassures Employees: Incentives Are Fixed And The Rights Of Sector Employees Will Not Be Affected.
Money and Business Economy News – Baghdad Oil Minister Hayyan Abdul Ghani affirmed the ministry’s commitment to maintaining the incentive levels received by employees of the oil sector, stressing that there is no intention to tamper with them, in light of what has been circulating regarding government measures related to reducing some privileges.
The minister explained that the gatherings witnessed at the gates of the Ministry of Oil were peaceful demonstrations organized by a number of affiliates after news circulated about the possibility of reducing incentives, indicating that the ministry attaches great importance to the stability of the conditions of workers in this vital sector.
Abdul Ghani pointed out that the ministry is working to raise crude oil production rates from 3 million and 400 thousand barrels per day to more than 3 million and 450 thousand barrels per day, in addition to the quantities exported through the Ceyhan port, noting that the quantities of oil received from the Kurdistan Region amounted to 210 thousand barrels per day.
He added that the oil sector personnel played a key role in increasing the production of oil derivatives and achieving self-sufficiency, as well as the remarkable development in the gas sector and the investment of extracted quantities to operate gas stations.
The minister stressed that the ministry, with the support and follow-up of the Prime Minister, is keen to ensure the stability of the financial privileges of employees, in line with the importance of the oil sector and its pivotal role in supporting the national economy. https://economy-news.net/content.php?id=66028
The Dollar Rises Slightly Against The Turkish Lira.
Money and Business Economy News - Follow-up The exchange rate of the US dollar against the Turkish lira recorded a slight increase in trading on Tuesday, reaching 43.86 Turkish lira, an increase of 0.03 lira from yesterday's close, equivalent to a change of 0.06%, amid continued pressure on the Turkish currency.
This move comes at a time when market indicators point to a clear gap between official rhetoric and monetary policy on the one hand, and investor behavior on the other. Despite more than two years of monetary tightening aimed at curbing inflation, which has fallen to around 31%, the cost of these policies on economic activity and purchasing power has limited any improvement in confidence in the lira in the near term.
The dollar had earlier touched a new record high of 43.16 lira, reflecting continued pressure in the exchange market and reinforcing questions about the ability of current monetary policy to restore monetary balance and support currency stability in the coming period. https://economy-news.net/content.php?id=66032
The Crisis In Iranian Exports To Iraq: Customs Tariffs Reduce Khuzestan's Trade By 50%
Money and Business Economy News – Baghdad The head of the Ahvaz Chamber of Commerce, Shahla Amouri, stated that the value of non-oil exports from Iran’s Khuzestan province to Iraq, one of Iran’s most important strategic trading partners, has decreased by about 50%, and attributed this “sharp” decline to customs pricing policies.
Amouri stated that comparative customs data showed a significant decrease in shipments to Iraq. Exports from Khuzestan to Iraq amounted to $2.167 billion in the first nine months of the last Iranian year, but fell to $1.219 billion in the first ten months of the current year, marking a decline of approximately 50% in the value of exports to this strategic trading partner.
She pointed out that the main challenge lies in the way customs authorities calculate the value of exported goods, stressing that officials still rely on reference prices set by the state, which are significantly different from market reality and competitive prices in export markets.
Amouri explained that when an exporter sells goods in the competitive Iraqi market for $100, customs authorities may record the value at $150 based on internal calculations and guidelines. As a result, the exporter is required to repatriate foreign currency equivalent to the higher declared value.
According to the head of the Ahvaz Chamber of Commerce, this approach has created what she described as a "false commitment to foreign currency," where the government and the central bank expect traders to bring $150 back into the local economic cycle, even though they only receive $100 from the buyer.
She noted that this discrepancy forces exporters to seek the shortage in the open market to meet their foreign currency obligations, leading to increasing losses and, in many cases, to companies exiting the target markets.
Amouri added that exporters also face significant additional costs to circumvent sanctions and transfer funds into the country, expenses not accounted for by customs authorities or the central bank. Nevertheless, traders are required to repatriate the full amount declared in customs documents, even if this figure exceeds the actual value of the transaction.
She went on to say that increasing financial pressures have prompted many exporters in Khuzestan to withdraw from the Iraqi market, warning that unless the customs authorities review their evaluation methods, raising the ceiling on foreign currency transfers will only further penalize exporters and accelerate the erosion of what remains of the province's trade.
The Iraqi government raised customs duties by percentages ranging between 5% and 30%, distributed across brackets starting from 5%, 10% and 15%, up to the maximum limit of 30%.
These ratios cover the entire customs tariff register consisting of 99 chapters containing approximately 16,400 customs items, which are the items adopted globally in trade. https://economy-news.net/content.php?id=66021
Iraq Asserts Its Maritime Rights At The United Nations... A Sovereign Move That Faces Kuwaiti And Gulf Objections!
Reports Economy News – Baghdad In a remarkable diplomatic and legal development, Iraq officially deposited its maritime maps with the United Nations based on the United Nations Convention on the Law of the Sea, which opened the door to a political and legal debate with Kuwait, and broad Gulf solidarity with the Kuwaiti position.
According to an official notification issued by the United Nations (reference MZN172.2026.LOS) dated 18 February 2026, Iraq deposited on 19 January and 9 February 2026 lists of geographical coordinates accompanied by an illustrative map, pursuant to Article 16, paragraph 2, Article 75, paragraph 2, and Article 84, paragraph 2 of the Convention.
The deposit relates to determining straight baselines and baselines originating from island elevations, in addition to measuring the territorial sea, contiguous zone, exclusive economic zone and continental shelf, with the adoption of the World Geodetic System (WGS-84) as a reference for coordinates, and this procedure replaces previous deposits in 2011 and 2021.
On December 3, 2025, Iraq officially deposited its maritime boundary map with the United Nations, pursuant to Cabinet Resolution No. (266) of 2025. This resolution approved the map, which was prepared by an Iraqi technical and legal team that conducted hydrographic studies and measurements to determine the coordinates in accordance with relevant international agreements.
The map also affirms respect for the rights of neighboring countries and guarantees freedom of navigation and the smooth flow of traffic. The Iraqi government reiterated its commitment to the relevant Security Council resolutions concerning relations with Kuwait and its intention to continue the technical and legal process for demarcating the maritime boundary beyond marker 162, as part of its efforts to resolve outstanding issues and build balanced relations with neighboring countries.
The Iraqi Ministry of Foreign Affairs stressed in a statement issued on February 22, 2026, that the decision to deposit the map of maritime zones is a sovereign matter based on national laws, the provisions of the United Nations Convention on the Law of the Sea, and the rules of international law.
It emphasized that the determination of maritime zones came to collect and complete previous legal procedures in one document supported by accurate coordinates, taking into account the development in international law of the sea, including the expansion of the coastal state’s jurisdiction, and noting that no state has the right to interfere in this matter, while Iraq respects the provisions and principles of international law.
In response, the Kuwaiti Ministry of Foreign Affairs asserted that the list of coordinates and map submitted by the Republic of Iraq to the United Nations, as it described it, infringes upon Kuwait's sovereignty over its maritime zones and established and stable watersheds in relation to Iraq, such as Fasht al-Qaid and Fasht al-Aij, over which Kuwait maintains its full sovereignty has never been disputed.
The Kuwaiti Foreign Ministry summoned the Iraqi chargé d'affaires to deliver a formal protest note, urging Baghdad to consider the historical relationship between the two countries and to act responsibly in accordance with the rules of international law, the provisions of the United Nations Convention on the Law of the Sea, and bilateral understandings and agreements.
The UAE, Saudi Arabia, Qatar, and Bahrain announced their solidarity with Kuwait in the measures it is taking to protect its rights and interests, affirming their rejection of any infringement on its sovereignty or claims affecting its maritime zones, and stressing the importance of adhering to international law and the provisions of the 1982 agreement.
Saudi Arabia also affirmed its categorical rejection of any claims by any other party to rights in the submerged divided zone adjacent to the Saudi-Kuwaiti divided zone, noting the need to respect Security Council Resolution 833 concerning the demarcation of the border between the two countries.
On the domestic front, MP Mohammed Jassim Al-Khafaji asserted that the Kuwaiti map of maritime areas demonstrates the extent of the encroachment on Iraqi territorial waters, considering that this explains Kuwait’s strong objection to the new Iraqi map.
He explained that the Iraqi map was prepared by a technical and legal committee of 24 members formed under Diwani Order No. 480 of 2024, and included Iraqi experts along with two foreign experts, one German and the other Lebanese. He indicated that the Kuwaiti map was approved under Amiri Decree No. 317 of 2014, while Iraq completed its map in 2026, after about 12 years, stressing that the file requires follow-up and a strong will to protect sovereign rights.
For his part, Jamal Al-Halbousi, an expert on borders and international waters, confirmed that the preparation of the map of Iraqi maritime areas was done according to a professional technical and legal process with the participation of Iraqi and international experts, and that the joint Iraqi-Kuwaiti committee held 13 meetings and had been aware of the map for several months.
He pointed out that the map was presented in February 2025 to the German expert, Rodger Wolfren, the former head of the Sea Court, who expressed his support for the professionalism of the work, noting that there was what he described as an overreach in the Kuwaiti map issued in 2014.
He explained that a specialized committee within the Department of Marine Sciences at the United Nations studied the map and found it, according to his statement, to be consistent with the provisions of the 1982 United Nations Convention on the Law of the Sea in terms of the measurements and materials used.
He indicated that the map defined Iraq's maritime extent as 86 nautical miles from the baseline, comprising 12 nautical miles for the territorial sea, 12 nautical miles for the contiguous zone, and 62 nautical miles for the exclusive economic zone, noting that some fields share the contiguous and exclusive economic zones. https://economy-news.net/content.php?id=65982