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Iraq and Turkey Seal Water-Projects Deal Funded by Oil Sales

A new committee in Baghdad will run tenders for Turkish firms with project payments drawn from oil sold to Turkey.

Overview

  • Iraq and Turkey signed an accord in Baghdad that formalizes how to implement their 2024 water cooperation framework.
  • The mechanism links financing for Turkish-built water infrastructure to revenue from Iraqi oil exports to Turkey, according to officials.
  • Iraq will establish a government committee to oversee the program and invite bids from Turkish companies.
  • The first package is expected to include three water-harvesting dams and three land-reclamation projects, Iraqi water officials said.
  • Detailed financing terms and timelines have not been released as Iraq seeks to tackle severe drought and shrinking Tigris–Euphrates inflows.