Iraq’s financial advisor confirms oil export flow continues, aiming to maximise state revenue and tackle the budget deficit through multiple routes.

BAGHDAD: Iraq remains committed to maintaining the flow of its oil exports to maximise state revenues and address the budget deficit, according to a senior official.

Financial Advisor to the Prime Minister Mazhar Mohammed Saleh affirmed the country’s heavy reliance on oil revenues, which account for around 90% of public budget income.

He stated that sustained high oil prices could allow Iraq to reduce or eliminate a significant portion of its budget deficit, increase the government’s financial surplus, and bolster the Central Bank’s foreign currency reserves.

Regarding regional developments, Saleh said Iraq maintains alternative export routes to reduce reliance on the Strait of Hormuz, including a pipeline through Turkey to the Mediterranean and shipments from southern ports.

He noted that the country is also considering expanding domestic refining capacity by building new refineries to increase exports of refined petroleum products rather than crude oil.

Saleh added that oil could be transported by road, with the availability of around 20,000 tanker trucks potentially enabling the movement of more than three million barrels per day.

 The Sun Malaysia