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FINANCIAL NEWS
Iraq says Turkey’s oil deal with Kurdistan may harm bilateral trade ties
16 Jul 2012
(MENAFN) Iraq’s government spokesman, Ali al-Dabbagh, stated that Turkey’s recent unilateral oil agreement with Iraq’s northern autonomous Kurdish region could harm trade ties between the two countries, reported AP.
Al-Dabbagh said that the deal between the Kurds and Turkey, which was inked in May without the consent of Baghdad, allows the Kurdistan region to export oil and natural gas to Ankara in exchange for refined petroleum products.
The deal also includes exporting the products to the international market via pipelines through the Turkish territory.
The spokesman accused Turkey of contributing to the smuggling of Iraqi oil and gas, as it belongs to all Iraqis, and the exports and revenues must be controlled by the federal government in Baghdad which represents all Iraqi people.
It is worth noting that Baghdad and the Kurds reached a tentative deal early last year by which the Kurdish region sends the oil to Baghdad, however, the Kurds stopped the shipments in April, claiming that Baghdad was refusing to give them their share of revenues.
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