Trade ties in focus as Iran's Rouhani visits Iraq, SaskiaODonoghue reports
BAGHDAD - Iraq and Iran signed several preliminary trade deals on Monday, Iraqi officials said, as Iranian President Hassan Rouhani began his first visit seeking to bolster Tehran’s influence and expand commercial ties to help offset renewed U.S. sanctions.
Rouhani and Iraqi Prime Minister Adel Mahdi signed several memorandums of understanding, Abdul Mahdi’s office said in a statement. They included agreements on oil, trade, health, and a railway linking the southern Iraqi oil city of Basra and the Iranian border town of Shalamcheh. Those ties “cannot be compared to Iraq’s relations with an occupying country like America, which is hated in the region,” the semi-official Mehr news agency quoted Rouhani as saying before he flew to Baghdad. “One cannot forget the bombs that Americans dropped on Iraq, Syria and other regional countries.”
Iraq relies on Iranian gas imports to feed its power grid and has asked for extensions to a U.S. waiver to continue importing Iranian gas since U.S. President Donald Trump restored sanctions on Iran’s vital energy sector in November.The slump in Iran’s economy since Trump’s decision last May to pull out of the 2015 nuclear deal between Iran and six major powers has pushed the Islamic Republic to try to expand commercial ties with neighbors.
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