Iraqi economy up for grabs for Iran

Iraqi economy up for grabs for Iran

Iran is influential in Iraq politically and militarily, put her hand on the economy and plunge the markets Bsalaa control of religious tourism and the theft of joint oil fields.

First Published: 2016-12-20

Middle East Online

Setup - Fatima Badri



The disease began from here

Iraq represents a fertile arena for Iranian influence at all levels, whether political, military or ideological, especially economic. Since the date of 2003 turned the country into a hotbed for the children of Khamenei, the beneficiaries of their relationships with a significant number of Iraqi political figures actors at first, then active especially militias popular crowd, which turned into a formal security structure follows the Ministry of the Interior formally and loyal to Iran's military their arms. Based on this new reality, the Iraqi economy is also becoming available to the Persian state.

After that Iran succeeded in making Iraq policy formulated by agents of its security services in Baghdad, and who worked on the drafting of alliances within the Shiite house the various components, and to raise conflicts and other suppression, and control the results of the elections, support for the candidates, and the formation of coalitions has established ports of major transit towards control of the Iraqi economy, which gradually turned into a savior of the fragile economy and affected by several factors.

Back in the Iranian economy brings many experts as an oil economy is not stable inflation experienced an average of 15 percent, high unemployment, estimated at 22 percent among young people, and lower average salaries and the equation of internal public debt to the size of the national income, as well as the deficit suffered by the oil and petrochemical sector, which needs to be $ 200 billion in the next eight years, also stressed that Iran's oil minister. Of course not to forget the impact of international sanctions and falling oil prices.

All of these factors combined this difficult economic situation push Iran to search for the actual resources to support its economy and find a market for their products, of course, there is no more appropriate than the Iraqi market to get out of this situation, in particular has been able to collect means that facilitates its mission at all levels.

Instead of Iraq to be a strong competitor to Iran as an oil country, turning into mere collectors for their products, and even turned its markets to the spaces for the disposal of Iranian products. Because Iraq imports 72 percent of the total local Iranian goods, also ranks first trade partner of Iran.

According to the annual reports of statistics of the Foundation for Iranian Trade Development that Iran's non-oil exports to Iraq reached in the 2011-2012 fiscal year, about $ 5.1 billion, equivalent to 15.30 percent of the value of total exports, and in fiscal year 2012 to 2013 non-oil exports amounted to $ 6.2 billion a 19.30 percent of the value of total exports. This increase included broad sectors, including energy commodities such as natural gas and electricity, and non-oil goods such as cars and household food materials and accessories, hand-work, technical and engineering services in the energy, housing, health and transport sectors.

And acquires Tehran to 17.5 percent of the imports of the Iraqi market after it had been accounting for only 13 percent before the rise of the organization of the Islamic state, and aimed at the acquisition of 25 percent of the Iraqi market in the coming years.

Saw the trade exchange between the two countries, a rise significantly over the last decade, after that was the lowest before the invasion of Iraq in 2003, amounted to approximately one billion dollars annually in 2004 and 2005, then increased to four billion dollars in 2008, and rose more in 2013 to reach nearly 12 billion, then $ 18 billion in 2015.

Despite the fall in oil prices to lower levels big deficit in the Iraqi state budget, but that did not prevent the rise in trade and even aspires to Tehran that the trade exchange between the two countries up in 2017 to 20 to 25 billion dollars, to maintain a pattern of uneven for the benefit of Iran and Iraq remains a net importer of Iranian president for exports.

And it led all of this to flood the Iraqi market for goods and Iranian goods of low quality and cost, and inculcating a culture of consumption without going to the issue of manufacturing or sent industrial facilities reduce the dependence on foreign market and contribute to providing employment opportunities for a large segment of unemployed Iraqis, who have increased their numbers significantly. But most of the investment projects in Iraq remained under the supervision of the implementation of Iranian companies which accomplish the fictional prices and specifications are very weak, and some of them is a fake projects not see the light.

And it helped agreements between the two countries to deepen this situation. In September of 2014, an agreement Baghdad lowered whereby the tariff and customs in front of Iranian goods to between zero percent and five percent, but in February 2015, Tehran agreed with Baghdad on the abolition of censorship on Iranian exports operations Goods at the border crossings to facilitate the movement of trade. Iraq, which has turned into a real hotbed of Iranian goods of various kinds at the expense of all that is local. As some reports say that the control of Iranian goods in the Iraqi market have led to neglect of some of the vital sectors of the country along the lines of Agriculture.

Control of the religious tourism

In addition to the acquisition of the Iraqi market and put it in the dependency box poor quality of its products, Iran has not overlook the holy cities for Shiite Comeraked imams and others representing religious tourism column in Iraq, especially the provinces of Karbala, Najaf, and the city of Kadhimiya in Baghdad, and Samarra in Salahuddin province, a city known as permanent in receiving thousands of visitors to the Iranians and Gulf and Asians.

As some reports say that Iran and put her hand on the tourism since 2003 until today by "Iranian company Sun," which held the reins of things since the fall of the former Iraqi regime. And imposed on hoteliers in Karbala and Najaf, Baghdad and Samarra put pittance to meet housing Iranian visitors and other visitors coming its way, as the Iranian company has set up kitchens in cities of Najaf and Karbala to control feed visitors for lunch and dinner, while levied on hotels and breakfast, to be in The hotel specific dishes and milk all of Iranian origin.

Thus, Iraq has lost one of the sectors that make up the vital support of the ailing economy for the benefit of Tehran, which has turned into a major player in the country at the sight, and the authorization of Iraq's politicians who Frtoa consciously or unconsciously in such sectors for the benefit of Khamenei's control.

On the other hand and put her hand on a number of border fields between the two countries, as it seeks to invest in joint oil fields with Iraq, and the number of 123 fields illegally in a bid considered by experts and analysts try to control those fields.

It has already been Iranian oil officials admitted that the production of their country of joint oil fields with Iraq amounted to more than 130 thousand barrels per day, and 68 thousand of them are produced in the fields of Iraq could not developed yet, but they added that it is preparing to carry out further excavation work in those wells during the next few days. It reports that Iran openly steal Iraqi oil fields from the border between the two countries, prior knowledge of the former Iraqi prime minister, Nuri al-Maliki.

He warned many observers of this move, but at the official level Iraqi No votes are superior to denounce the matter because the votes actors and the ruling does not have the general Iranian genie who has the leverage that might shake the Baghdad security standing authority and even the security of Iraq compared to the large number of Iraqi militias loyal to Tehran, which is calculated thousands.

That is why the Iraqi economy may maintain its status crisis for years to come as long as it has all the ingredients necessary for the evaluation and turned into a tool to save the Iranian economy is not.

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