Official: Iran signs $4 billion services deal with Iraq

Iran has concluded a $4 billion contract in the field of exporting technical and engineering services with Iraq, board director of the Iranian Oil, Gas and Petrochemical Products Exporters’ Association (OPEX) has said.

According to Press TV, the contract is on course to offset part of the shortfall which has arisen in Iran’s exports to Iraq in the field of technical and engineering services, production and medical treatment over the past year.

“In the eight months of this year [beginning on March 20], exports to Iraq, except for electricity, totaled $4.7 billion, down by $1.4 billion compared to the same period last year,” Hamid Hosseini said.

The official touched on shocks to the Iraqi market and uncertainty over the formation of government in the Arab country last year, saying he expected Iraqi imports to increase in the next four months.

It is expected that Iran exports to Iraq will reach $8-9 billion, Hosseini said.

Iraq’s new Prime Minister Mohammed Shia al-Sudani paid a day-long visit to Iran on Tuesday and was received by President Seyyed Ebrahim Raeisi who expressed hopes of bolstering ties.

Raeisi said banking, finance and wider business topics were also discussed and that talks between the two allies "will help to resolve bilateral problems".

Sudani thanked Iran for its continued deliveries of gas and electricity, which have been in short supply in Iraq, while he also pointed to discussions on a "mechanism" to enable Iraq to pay Iran for these services.

ME