Economic Model and Oil Dependency - Iraq's economy is heavily reliant on oil, with current Brent crude prices around $60 per barrel, which is below the fiscal break-even price of approximately $90 per barrel [1][2] - The government acknowledges the vulnerability of the economy at these prices and aims to diversify away from this mono-discipline economic model [2][6] Economic Reforms and Diversification Efforts - The current government is focused on reforming the economy by supporting sectors such as industry, agriculture, trade, and communications, utilizing oil revenues for investment in these areas [4][5] - There is a commitment to continue reforms to achieve a diversified economy, leveraging Iraq's natural resources and geographical location for trade [5][9] Financial Challenges and IMF Concerns - The IMF has indicated that Iraq is at a critical financial juncture, highlighting rising spending and unsustainable wage bills [6] - The government is working on transforming the taxation and customs systems to increase non-oil revenue and address inherited economic challenges [8][9] Regional Partnerships and Investments - Iraq is strengthening ties with Gulf States, particularly Saudi Arabia and the UAE, to facilitate economic reforms and attract investment [10][12] - Significant investments from Qatar have exceeded $5 billion, with ongoing projects in various sectors, including energy [12][13] Energy Sector and OPEC Relations - Iraq, as a founding member of OPEC, is seeking a review of its oil production quotas to better align with its financial needs for reconstruction [16][17] - The government is committed to maintaining stability in energy markets while advocating for its interests within OPEC [17] Power Supply and Infrastructure Issues - Iraq faces major power outages due to inadequate investment in oil and gas assets, leading to reliance on gas imports from Iran [19][22] - A clear plan has been developed to eliminate gas flaring by early 2028, aiming for self-sufficiency in gas supply and reducing imports [21][23] Oil Exports and Regional Relations - Iraq has resumed oil exports to Turkey from the Kurdistan region after resolving long-standing disputes, marking a significant achievement for the government [24][26] - The government expresses confidence in the Kurdish leadership to honor agreements related to oil and gas, emphasizing the technical and legal nature of the issues involved [27]