Monday, October 2, 2023
Turkey Signals Potential Resumption of Iraq’s Critical Oil Pipeline, Easing Global Market Tensions, 2 OCT
Turkey Signals Potential Resumption of Iraq’s Critical Oil Pipeline, Easing Global Market Tensions, 2 OCT
Turkey Signals Potential Resumption of Iraq's Critical Oil Pipeline, Easing Global Market Tensions
After months of contention, Turkey might resume operations of a critical pipeline carrying oil from northern Iraq to the Mediterranean.
The pipeline, which transports nearly half a million barrels of crude oil per day, has been offline since March because of a payment dispute between Ankara and Baghdad. The shut-off has caused losses close to $5 billion for producers and the government, and its resumption could help alleviate pressure on the global oil market. However, the issue is not as straightforward as it seems.
The Crux of the Dispute
The roots of this dispute stretch back years, with the pipeline at the heart of a legal battle between Turkey and Iraq. The stalemate began when an arbitration ruling by the International Chamber of Commerce (ICC) ordered Turkey to pay $1.5 billion to Iraq. This ruling was the result of Turkey allowing oil from fields in areas controlled by the Kurdistan Regional Government (KRG) to be exported without Iraq’s consent, violating a 50-year-old pipeline transit agreement. Despite the ruling, Ankara has refused to pay the damages and has instead asked the KRG to cover the cost. Since the ruling, Ankara has blocked about 500,000 barrels per day from the KRG in northern Iraq headed to global markets through its port in Ceyhan.
Implications for the Oil Market
The shutdown of this pipeline holds significant implications for the global oil market. The pipeline was carrying about 10% of Iraq’s overall exports, which amounts to approximately 0.5% of global production. The immediate consequence of the halt was a surge in global oil prices above $70 a barrel. As the blockade continues, it is helping to drive oil prices higher, particularly impacting the European Union, which had increased its imports of Iraqi oil to replace Russian gas. Now, with the KRG oil flow cut off, Europe finds itself in a precarious situation with no quick resolution in sight.
The Regional Fallout
The dispute’s effects are not confined to the global oil market. A prolonged embargo could devastate northern Iraq’s economy and potentially lead to the collapse of the semi-autonomous KRG. For years, the KRG economy has been struggling with budget cuts from the Iraqi federal government, and the loss of oil revenues could result in a disruptive wave of migration, with tens of thousands of Iraqi Kurds already having migrated to Europe. The financial fallout could also lead to catastrophic instability in the region, potentially fueling further destabilization and providing opportunities for militant groups such as the Islamic State.
Looking Ahead
While there’s some optimism following an agreement between Erbil, the KRG’s regional capital, and Baghdad in early April, progress has been slow. The stakes are high, as a continued dispute risks economic destabilization, the collapse of U.S. investments in Iraq and leaves a geopolitical vacuum that Russia and Iran could potentially fill. As the crisis drags on, Iraq’s reputation among investors could suffer. Moreover, the KRG, which is heavily reliant on oil revenues, could collapse, triggering a bureaucratic conflict between the two main rival factions, the Patriotic Union of Kurdistan (PUK) and the Kurdistan Democratic Party (KDP), and potentially escalating into a full-blown civil war.
In conclusion, the Turkey-Iraq oil pipeline dispute is more than just a regional issue. It has significant implications for the global oil market, regional stability, and geopolitical dynamics. While a resolution is needed urgently, the complex nature of the dispute and the high stakes involved make finding a quick and agreeable solution a challenging task.
Iraq and Iran Continue to Implement Groundbreaking Security Agreement, 2 OCT
Iraq and Iran Continue to Implement Groundbreaking Security Agreement, 2 OCT
A key meeting between the Supreme Committee for the implementation of the security agreement between Iraq and Iran recently took place in Tehran, marking a significant step in the ongoing positive relations between the two nations. The importance of this security agreement, which is the first of its kind since 1991, was emphasized by National Security Adviser Qasim Al-Araji who pointed out that Iraq highly values Iran’s security.
According to Al-Araji, the Prime Minister of Iraq is closely following the implementation of the security agreement with Iran, highlighting the importance and high-level attention this agreement is receiving. The ultimate goal of the agreement is to ensure that Iraq’s territories are not used as a launch pad to destabilize the security of any neighboring countries, including Iran.
During the meeting, Ali Akbar Ahmadian, Secretary of Iran’s Supreme National Security Council, called for the agreement to be implemented in a thorough and precise manner. Ahmadian’s emphasis on the preciseness of the implementation further demonstrates the significance of this agreement for the security of both nations.
Unprecedented Security Agreement
This security agreement, signed in late March, serves as a roadmap for eliminating insecure elements in the two countries and the region. The agreement commits both nations to safeguarding the principles of good neighborliness and protecting the common border. It specifically addresses the illegal presence of anti-Iranian armed groups and elements affiliated with the Zionist regime in the Iraqi areas adjacent to Iran’s northwestern border regions.
Under the agreement, Iraq agreed to disarm Kurdish groups deemed by Iran as terrorists and based in the Arab country’s Kurdistan Region, and relocate them to an alternate camp by the expired deadline of Sept. 19. Ahmadian stated that the agreement has helped guarantee security along the Iran-Iraq common border, serving as a suitable roadmap for eliminating insecure elements in the two countries and the region.
Furthering Bilateral Relations
The two leaders also touched on established deals in other fields and discussed the two countries’ capacities and potential for improving relations. Al-Araji reaffirmed the commitment of the Iraqi government and its national security establishment to fully execute the security agreements reached between the two nations. He added that Iraq will seize every opportunity to develop and deepen relations between Tehran and Baghdad.
Furthermore, both leaders discussed the various agreements between Iran and Iraq, especially in the economic field, stating that there are significant opportunities to comprehensively improve bilateral relations across different sectors. This can be achieved through joint and intensified efforts, leading to an era of sustainable security and paving the way for further economic benefits for both nations.
Successful Implementation
Since the agreement’s inception, significant strides have been made in its implementation. The Iraqi Border Guards Command announced the securing of about 1500 kilometers of its border area with Iran. This marks a significant step towards the successful execution of the security agreement and the enhancement of stability in the region.
Ahmadian stressed the need for the full and accurate implementation of the security agreement, stating that it guarantees the security of the common border and serves as a rational and appropriate roadmap to eliminate the factors that create insecurity in the two countries and the region.
With the implementation of the security agreement to a large extent, Iran and Iraq appear to be heading toward an era of sustainable security which is expected to pave the way for further economic benefits for both nations.
Advisor Mazhar Saleh: Sovereign guarantees encourage the business environment in Iraq, 2 OCT
Advisor Mazhar Saleh: Sovereign guarantees encourage the business environment in Iraq
The financial advisor to the Prime Minister, Mazhar Muhammad Saleh, explained that the sovereign guarantees relate to covering the issue of default by sectoral entities, stressing that these guarantees are one of the factors of stability and encouraging the business environment in Iraq in a sustainable manner.
Saleh said that the sovereign guarantees granted by the state to various contracting parties express the government’s guarantee that the obligation between the contracting parties will be fulfilled in the event of the primary debtor’s failure to pay.
He added that sovereign guarantees are related to covering the issue of default on the part of sectoral entities, specifically government entities benefiting from the processing, contracting and construction work for investment projects with a strategic dimension. Sovereign guarantees can also cover all types of obligations and pledges in extensive detail, pointing out that sovereign guarantees are before they are granted in the law. The general budget is considered an integral part of financing by borrowing, and one of the components of public debt, in accordance with the international standard in describing government debt and the method of calculating it.
He pointed out that the granting of sovereign guarantees is carried out with great precision by the executive authority and in accordance with the strategic importance of guaranteeing major development projects and encouraging major companies and the business sector to work in our country.
He continued: Therefore, the sovereign guarantees granted by the state to the entities that prepare or implement projects constitute one of the factors for stabilizing and encouraging the business environment in Iraq in a sustainable manner, and removing obstacles and risks that impede development and economic progress, according to the strategic priority that requires granting sovereign guarantees or guarantees.
Prime Minister, Muhammad Shiaa Al-Sudani, confirmed earlier, during his meetings in New York, that the government will provide sovereign guarantees in the budget law to establish industrial and agricultural projects in Iraq. link
Jordan and Iraq are discussing enhancing economic and banking cooperation, 2 OCT
Jordan and Iraq are discussing enhancing economic and banking cooperation
Jordanian Prime Minister Bisher Al-Khasawneh discussed, on Sunday, with Ali Al-Alaq, Governor of the Central Bank of Iraq, who is visiting Amman, the strengthening of economic and banking cooperation between the two countries.
During the meeting, Al-Khasawneh noted the level of cooperation and relations between the Central Bank of Jordan and its Iraqi counterpart, and the two countries’ banking systems, which are distinguished, complementary and flexible relations, and are characterized by the highest governance controls, in a way that serves their common interests. For his part, the Governor of the Central Bank of Iraq stressed the depth of relations with Jordan in various fields.
It is noteworthy that the Governor of the Central Bank of Iraq began, earlier on Sunday, a two-day visit to Jordan, during which he will hold meetings with the Governor of the Central Bank of Jordan and a number of banking, financial and economic leaders in Jordan and institutions regulating electronic payment.
The visit will also include a Jordanian-Iraqi banking summit. ; To discuss economic relations between the two countries, and ways to strengthen them in the future.” link
JUDY NOTES, 2 OCT
Judy Note: This coming week the Stock Market was set to crash. Cyber Attacks such as recently happened in Las Vegas (though not covered by the Mainstream Media, including the ransom paid to hackers) could easily not only freeze the entire population’s bank accounts, but steal the monies inside them.
To add to our financial woes, Brazil, Russia, India, China, South Africa, Pakistan, India, Malaysia, Argentina, Iran and Iraq were rejecting use of the fiat US Dollar for international trade – which was creating a goods shortage in stores.
Be advised to stock up on cash, food, water and essentials – there’s a cold Winter ahead.
Rumored GCR Recent History:
Walkingstick (an Iraqi citizen and bank owner): “The tender for the currency and coins has been met per request, meaning (requirements) for release of the new Iraqi Dinar exchange rate has been fulfilled.”
Wolverine: “The funds have been released and placed on the Quantum Financial System.”
On Fri. 15 Sept. Iraq was rumored officially RVd their Dinar.
On Fri. 22 Sept. Iraq allegedly announced the new Iraqi Dinar International Rate as $11.90.
On that same Fri. 22 Sept. the Quantum Financial System was rumored to have taken over the Global Financial System.
On Sun. evening 24 Sept. the QFS was allegedly activated, with all funds gold backed.
On Thurs. 28 Sept. Iraq allegedly abolished the dollar in it’s currency auctions. …Central Bank of Iraq
“On Thurs. 28 Sept. a ten day process began of an automatic increase in the value of the Dinar.” …Frank 26
Fri. 29 Sept was a dramatic beginning of the Stock Market Crash. The Chinese Communist Party Defense Minister, plus theCEO of the World’s largest real estate company, the CCP’s Evergrande, have gone missing – that halted Evergrande Shares on a Stock Market that was already in free fall, while odds soared for a US Government shutdown by Sun. 1 Oct. – any, or all of which could easily bring on a Global Financial Crisis that would trigger a Global Currency Reset.
On Fri. 29 Sept. the HCL Oil payments to Iraqi citizens was allegedly being paid with an In-country Rate of $5+
Global Financial Crisis:
The Trigger For The Next Financial Implosion (rumormillnews.com)
Rothschild controlled Central Banks have been lowering the purchase power of currencies around the world for a century so their ‘little club’ becomes more powerful and more powerful.
Sat. 30 Sept. BREAKING: The QFS Warning You Can’t Afford to Ignore! – American Media Group (amg-news.com)
Iran: The US dollar is a tool of US hegemony, and we will no longer use it in our international trade.” – Ebrahim Raisi, President of Iran.
Turkey: We are reducing our dependence on the US dollar and increasing our use of other currencies, such as the Euro and the Chinese yuan.” – Naci AÄŸbal, Governor of the Central Bank of the Republic of Turkey.
India: We are working to promote the use of the Indian rupee in international trade and investment. We want to reduce our dependence on the US dollar.” – Nirmala Sitharaman, Finance Minister of India.
Brazil and Argentina: Brazil and Argentina have agreed to settle trade in their local currencies, the real and the peso, respectively.
India and Malaysia: India and Malaysia have also agreed to settle trade in their local currencies, the rupee and the ringgit, respectively.
China, Russia, India, Pakistan: The Shanghai Cooperation Organization (SCO): The SCO, a security bloc that includes China, Russia, India, Pakistan, and several other Central Asian countries, is also working to develop its own alternative to the US-dominated global financial system.
The BRICS (Brazil, Russia, India, China, and South Africa): The BRICS have agreed to develop their own alternative to the US-dominated global financial system, including a new currency.
The Cabal system is collapsing. The end of slavery, hegemony, taxes, inflation, monarchs. https://x.com/prolotario1/status/1708311075781775394?s=46