Key Points

Export operations began at 6 am local time (0300 GMT) with high efficiency and complete fluidity, reflecting the success of the joint efforts between the Iraqi federal government and the Kurdistan Regional Government, the ministry said in a statement.

"This development represents a significant step towards strengthening the management of national wealth in a spirit of partnership and high-level coordination, contributing to ensuring the sustainability of oil exports and supporting the national economy," it added.

On Thursday, Prime Minister Mohammed Shia' al-Sudani announced a deal under which the federal Oil Ministry will receive crude oil produced in the Kurdistan region and export it via the pipeline through Turkey.

The Kurdish authorities had previously sold oil independently through the Turkish port of Ceyhan without Baghdad's approval, Xinhua news agency reported. The pipeline had been shut since March 2023 after an international arbitration ruling in Iraq's favour in a dispute with Turkey over the Kurdish regional government's independent oil sales.

Oil exports account for more than 90 per cent of Iraq's state revenues, making the resumption a vital step in supporting the country's economic recovery.

Last week, Iraqi Prime Minister Mohammed Shia' al-Sudani announced the launch of a national development vision, stressing that the country "cannot continue relying solely on fossil fuels as the cornerstone of its national economy."

According to a statement by al-Sudani's media office, the Prime Minister attended a launching ceremony of the Iraq Vision 2050 for Development and the Future on Saturday, an event also joined by senior government officials, diplomats, and private sector representatives, among others.

The vision aims to diversify Iraq's economy, reduce oil dependency, and increase private sector participation through structural reforms, read the statement.

Key projects include positioning Iraq as a transit hub for 20 per cent of Asia-Europe trade through the Al-Faw Grand Port and the Development Road project, which is expected to create 1.5 million jobs, read the statement.

The vision also targets 70 per cent self-sufficiency in food, water and energy through sustainable green initiatives, read the statement, adding that an upcoming development roadmap for the vision will be submitted to the Council of Ministers for approval.

As technological transformations and artificial intelligence are reshaping global economies, "Iraq aspires in the coming decades to be liberated from oil dependency, with a diversified and stable economy," al-Sudani said.

"Iraq Vision 2050 represents a unifying national orientation, with the participation of state institutions, the private sector, universities, civil society, and youth," he said.

- IANS