Iran pushes deeper economic ties with Iraq to boost exports
Shafaq News – Tehran
The parliamentary Iran–Iraq Friendship Group on Monday described Baghdad as a strategic opportunity for the future of the Iranian economy, calling for the removal of legal obstacles and stronger economic diplomacy.
During a conference on export opportunities to Iraq, Mohammad Taqi Naqdali, the Group’s head, said Iraq’s economic, commercial, and social capacities could play a significant role in expanding Iranian exports and shaping Iran’s future economic outlook. He noted that while Iraqi lawmakers have made multiple visits to Iran and participated in meetings through “friendship groups,” parliamentary committees, and political blocs, progress in deepening parliamentary cooperation has been limited.”
He attributed this to Iraq’s internal political calendar, saying that the approach of Iraqi parliamentary elections and the prevailing political atmosphere “left insufficient time to advance cooperation to a deeper level.”
Naqdali also pointed to what he described as major untapped opportunities in Iran–Iraq relations, particularly in trade-linked sectors driven by religious tourism. Millions of pilgrims travel between the two countries annually during specific periods, mainly for the Arbaeen pilgrimage to Iraq’s Karbala province, “creating significant potential in transportation, financial services, and cross-border commerce.”
Read more: Faith and finances: Religious tourism fuels Iraq’s economy
Last year, trade between Iraq and Iran surpassed $10 billion, with hopes that the volume could rise to $20 billion in the coming period, according to Iraq’s Ambassador to Iran, Naseer Abdul Mohsen Abdullah.
Iran’s economy has been under sustained pressure due to a combination of international sanctions and high inflation. US and allied sanctions have restricted Iran’s access to global banking systems, reduced foreign investment, and increased the cost of trade.
