Oman and Iraq have signed 24 agreements covering multiple investment sectors, a landmark step that marks a new phase in the strategic and economic relations between the two countries. The deals were signed during a visit to the Sultanate by Iraqi Prime Minister Mohammed Shia Al-Sudani.
By the Numbers
The agreements are set to significantly boost economic cooperation and trade:
- 24 Agreements: The number of Memorandums of Understanding signed between the two countries.
- 10 Million Barrels: The capacity of the new crude oil storage facility to be built in the Omani port city of Duqm.
- $622 Million: The trade volume between the two countries in the first six months of 2025, a 1.2% increase from the same period in 2024.
A New Phase in Strategic Relations
A key deal signed was between Oman’s state-owned energy company OQ and Iraq’s State Oil Marketing Organization to build a 10-million-barrel crude oil storage facility in Duqm. The broader agreements cover a wide range of sectors, including energy, double taxation, tourism, logistics, mining, banking, smart city development, and the defence industry.
“The MoUs mark the beginning of a new phase in strategic relations between the two countries that will further deepen bilateral ties and pave the way for long-term cooperation,” said Oman’s Foreign Minister Badr Al Busaidi.
Strengthening Bilateral Ties
To ensure the implementation of the new agreements, an Oman-Iraq Joint Committee will be established in the near future. The deepening ties are also reflected in the launch of two weekly flights to Muscat from Baghdad by Iraqi Airways, starting from September 6th. The main sectors for bilateral trade currently include logistics, building materials, pharmaceuticals, agriculture, and fisheries.
Source: AGBI
