Ghalibaf Visits Iraq as Hormuz Closure Slashes Oil Revenue to $1.2 Billion
Updated
Updated · The Jerusalem Post · Aug 20
Ghalibaf Visits Iraq as Hormuz Closure Slashes Oil Revenue to $1.2 Billion
3 articles · Updated · The Jerusalem Post · Aug 20
Summary
Three days of talks in Baghdad put Iranian parliament speaker Mohammad Bagher Ghalibaf at the center of efforts to reset ties before Iraq’s Sept. 30 militia disarmament deadline.
Iraq’s economic distress is sharpening the urgency: monthly oil revenue has dropped from about $7-$8 billion to $1.2-$1.9 billion after the prolonged Strait of Hormuz closure, delaying salaries in an economy where oil provides 90% of state revenue.
Iraqi parliament speaker Haibat al-Halbousi asked Ghalibaf for a special exemption allowing Iraqi oil exports to pass safely through Hormuz, while Ghalibaf publicly pushed stronger bilateral cooperation and a “new regional order.”
Iraqi sources cited by Asharq Al-Awsat said Iran is pressing a compromise that would let Popular Mobilization Forces keep their weapons if they freeze their use, hide heavy arms or temporarily move them to Iran.
The visit underscores a broader tug-of-war in Baghdad: Washington is pressing militia dismantlement after last month’s attacks triggered a Saudi strike on Iraq, but Tehran still retains strong leverage through allied factions.