Turkiye: Development Road with Iraq to connect Basra to London
Shafaq News/ On Tuesday, Turkiye’s Minister of Transport and Infrastructure Abdulkadir Uraloğlu announced that the “Development Road” project will establish a seamless transportation route from the Iraqi port of Basra to London, spanning road and railway networks and facilitating uninterrupted trade with European countries.
Uraloğlu stated, “The signing of a quadripartite memorandum of understanding for cooperation on the Development Road project by Turkiye, Iraq, Qatar, and the UAE in Baghdad was made under the auspices of Turkish President Recep Tayyip Erdogan and Iraqi Prime Minister Mohammed Shia Al-Sudani.”
Highlighting Basra’s pivotal role as a transit hub, Uraloğlu emphasized that the project will significantly reduce travel time between Asia and Europe through Turkiye.
“The Development Road projectwill enable uninterrupted transport to all European countries via a road and railway from the Basra port to London, leveraging Turkiye’s strategic location and the world’s growing trade volume.”
Anticipating a 15-day reduction in travel time compared to the Suez Canal route, Uraloğlu affirmed that the project would open new avenues for regional trade and bolster economic integration.
Earlier, Iraqi Prime Minister Al-Sudani underscored the project’s significance as a global trade corridor for goods and energy, encompassing railway lines, road networks, and energy pipelines. The project’s multi-phase approach, including capacity expansions and infrastructure enhancements, is poised to stimulate economic growth, create jobs, and attract global investments.
With an estimated value of $17 billion, the Iraq Development Road project signifies a strategic shift in regional transportation infrastructure, positioning Iraq as a vital transit center bridging Asia and Europe and fostering economic prosperity across the region.
When in Washington, DC he [Al-Sudani] met with the chair of the governing board of the JP Morgan Development Finance Institution (DFI), Daniel Zelikow. Prime Minister Al-Sudani received Mr. Jamie Dimon, the CEO of JPMorgan Chase, and his accompanying delegation on Wednesday during his visit...In Davos, Iraqi Prim Minister al-Sudani with Mr. Khaled Haballah, the regional CEO of JPMorgan Chase for the Middle East and North Africa...
Al-Sudani met with the Iraqi community in Washington DC and other American states on the sidelines of his official visit to the United States.
Al-Sudani conveyed gratitude to the Iraqi communities in the US and throughout the world, emphasizing that Iraq is for all Iraqis and that the country needs the knowledge, experiences, opportunities and initiatives of Iraqis in the U.S.
The prime minister indicated the Iraqi government is working on establishing a department for expatriate affairs to be able to communicate effectively with the Iraqi community around the world...
On April 15th President Joe Biden will hold Prime Minister Al-Sudani of Iraq at the White House. This meeting is a crucial opportunity for the United States and Iraq to discuss common priorities and strengthen their bilateral partnership.
Al-Sumaria News-Economy Attention was directed towards the visit of Turkish President Recep Tayyip Erdogan to Iraq, with great interest, to resolve many outstanding files, including the resumption of the export of Kurdistan oil and thus Kirkuk oil also through the Turkish port of Ceyhan, but nothing of this happened, in a file that was resolved internationally, but it cannot be solved locally so far, and that Turkey is no longer a party to this problem since it announced months ago that the pipe is ready to resume export, but Iraq has not resumed exports yet.
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The spokesman for the Iraqi government in the name of Al-Awadi, said on the sidelines of Erdogan’s visit in statements to reporters, that the return of oil exports fromKurdistanToTurkeyAcross the pipeline, which has been closed for more than a year, it will take longer as negotiations with the territorial government and oil producers continue.
Al-Awadi added that the conversations between companies andthe Iraqi Ministry of OilIt is likely to take some time, especially sinceBaghdadIt is working to establish a direct relationship regarding production quantities, exports and prices, explaining that there is no specific time frame to resolve negotiations with foreign oil companies in the region.
It turns out that the problem is completely limited to only two parties, notTurkeyand not a governmentKurdistanThe problem is limited betweenBaghdadAnd foreign companies operating inKurdistan, where these companies are demanding to adjust the budgeted production cost amounts.
Head of governmentMohammed Shia Al-SudanHe said a few days ago, that the cost of producing the barrel is inIraqIt’s $8, while it cost it inKurdistan$26
He explained that “we have put forward two solutions, the first to amend the contracts of oil companies inKurdistanAnd the commitments turn intoBaghdadBut it was rejected by the companies and the territorial government, so we put forward the second solution, which is to amend the budget law and amend the cost of production and the receivables of foreign companies, and that was rejected by parliament.”
Okie had some positive news earlier today, thought we would hear some indication of the new rate when the Premier returned to his country from his visit to the US, the banker is assisting his hospitalized wife in CA so very little news from him so I guess we wait for FOREX to open, but again sports fans we appear to be very close, so say your prayers tonight.
This may be a little longer post than usual as the powers that be do not wish to get anyone''s hopes up only to be disappointed when the RV does not come in. Well I spent 40 years in the investment banking and financial planning industry which allows for a slight advantage in researching certain areas of the acknowledged resources regarding money and securities. Those areas being the IMF, FOREX, WTO, etc, etc.
The Prime Minister returned to his country on this past Monday, he turned over to the head of the CBI to announce the pending revaluation of his nations currency. The CBI provided the new rate to the IMF who in turn provided this rate to the FOREX which by policy has 72 hours from receipt to post for universal recognition which will be sometime between now and Wednesday 4/24/2024 by 7:00 PM.
Since both the Gazette and the IMF rate schedules are published on Wednesday each week we can assume should there be a revaluation we should receive that news during this window. Don't get excited or make any serious decisions but please stay calm and watch the next few days as we seem to be this close. GOD Bless
Texas Snake, [04/22/2024, 10:25:30 p. m.]:
About 10 more minutes then I need to close
Will try to illistrate that tomorrow
Yes he uses a CBI Debit card to purchase items in Beeville and he discovered the exchange rate on a recent purchase equaled $3.90 US for his Dinar value up substantially from before the in country RV
Well folks will come back with anything new GOD Bless
Iraqi central bank governor reveals banking system reform plan, talks ‘sanctions’, 24 APRIL
Economy News – Baghdad
The Governor of the Central Bank of Iraq, on Monday, indicated the plan to reform the banking sector in Iraq, and while he touched on the issue of sanctions on Iraqi banks, he stressed that these measures did not threaten the Iraqi economy.
The Governor of the Central Bank, Ali Al-Alaq, said in a televised interview followed by “Economy News”, that “the current Iraqi government is very focused very much on the dimension and economic renaissance, and the expansion of infrastructure and services,” noting that “this requires the existence of an active and effective financial sector that can keep pace, activate, organize and finance; Therefore, this file goes hand in hand in hand with the government’s plan within the framework of economic reform.”
He added, “Iraq has a very large financial relationship with the United States of America, considering that the oil resources that form the basis for the Iraqi state’s budget come from the export of oil through the dollar, and this is what is agreed upon globally,” pointing out that “the first stop of Iraqi funds is in the Federal Reserve, and then the Central Bank deals with these funds by investing them in multiple fields inside and outside the United States in central banks of other countries.”
The Governor of the Central Bank continued, “There is a diversity in the nature of these reserves such as the geographical and qualitative diversity in these investments, which are in the form of bonds, gold, goods and others.”
On the issue of financial reform in Iraq, Al-Alaq explained that “Iraq has a multi-pronged program in this framework, as the first aspect is harmony, adaptation, the adoption of international standards in financial transactions and the application of compliance rules and laws related to combating money laundering and terrorist financing,” stressing “the existence of great Doll interest and focus regarding the freeess of transactions from any excesses or irregularities and issues involving suspicions.”
He adds: “Sinceving that the financial relationship with the United States of America is wide and large; it is necessary to protect the Iraqi financial system as well as the system in America and prevent the entry of any money laundering or terrorist financing operations,” noting that “there is coordination and common understanding that has been ongoing, over the past years in order to achieve this goal, which includes the existence of wide plans and programs based on international consultations and contracting with the largest offices specialized in this field, with which the Central Bank is organizing these matters in order to achieve the great goal, which gives positive messages to financial institutions all the world.”
As for the second matter, he showed, “This matter revolves around the reform of the banking sector itself, which revolves around many details in the presence of plans being worked on, starting with government banks such as Al-Rasheed, Rafidain, Industrial and Agricultural, which constitute 80% of the Iraqi banking sector,” but saying: “If we want to think about the reform process, we must start from the most part, as it was agreed in direct coordination with the Prime Minister, the government and the Central Bank on the reform of these banks, through a large plan now being contracting with one of the major international companies, which includes restructuring.”
He continued, “There is a great focus on targeting structuring to upgrade these banks through the introduction of strategic partners from outside Iraq, who have accumulated experience in this field,” stressing that “there are clear wishes from some internationally accredited banks, in this field, and we are still considering the study of the company in charge of this matter in order to attract investors from inside Iraq as it will be like public shareholding companies that absorb capital from inside the country, in addition to the need for a strategic partner to modernize the departments of government banks in a way that lives up to the advanced level.”
He pointed out that “government banks have been long delayed because of the circumstances that the country has gone through, and it is necessary to keep pace with the process of major changes,” explaining that “the detailed study of this project will be submitted by the eighth month, and then there will be clarity of the road map and the next steps so that appropriate measures can be taken in this regard.”
“This is one of the things that was discussed during the meeting with the US Treasury, and is very welcomed by all parties not only in the United States, as it is the existing and continuous question by the parties to international institutions,” Al-Al-Alaq said.
Regarding the US sanctions on Iraqi banks, he said: “We have a close relationship with the US Federal Bank, and what happened is the appearance of a list of bank names, as the issue was not the imposition of sanctions on these banks, or their inclusion in the list of sanctions, but rather the denial of them from dealing in dollars only,” pointing out that “the Central Bank seriously stood on the merits of the issue, and how future measures, and this is part of the dialogue that took place, whether in the presence of the Prime Minister with the US Treasury, or even during the meetings held by the Central Bank with the US Federal Reserve.”
He pointed out that “violations in the banking sector exist, and they may occur, and this is the work of the Central Bank continuously, as we have a committee specialized in fines and penalties, and receives the reports of inspectors, and these fines are expected continuously according to the law on money laundering and combating terrorism.”
On the repercussions of this suspension on the Iraqi economy, Al-Alaq stated that “this suspension is certain to have negative effects, but will not threaten the Iraqi economy, especially as the external transfers and the exchange rate continue normally.”
As for the fictitious companies that sell the dollar, the Governor of the Central Bank said that “these phenomena exist in other countries as well, and by virtue of the technical developments and dealing through the sites, it is an opportunity to circumvent at the same time, and the Central Bank has a thorough follow-up of these matters and are reported in the judiciary, considering that the use of these means to follow others and warn of them.”
Al-Alaq touched on government debt, explaining: “The current government focused on the external debt, which is below, reaching $9 billion for multiple parties, which is the lowest during the past years due to continuous repayments, but with regard to the local debt, it reached about 70 trillion dinars.”
