News : Economy
- Published: Saturday, 29 June 2013
Saturday, 29 June 2013
INU - According to El-Monitor’s website, quoted today by the clerical government news agency, Tasnim, 72% of Iranian exports are sent to Iraq.
El-Monitor has written that Iran’s trade with Iraq has helped Iran to decrease the effects of international sanctions. Iraq imports from Iran have risen by approximately 15% this year.
The value of Iran's currency has fallen sharply due to international sanctions. America’s new round of sanctions has targeted Iran's automotive industry. However, it is Iraq that is the largest foreign market for Iran’s vehicles.
Ehsan Alshomari, a political analyst in Iraq, told El-Monitor: “Iran has now accepted that Iraq is the only economical opportunity for it. It is very natural, on the other hand, that Iraq consumes large amount of Iranian goods.”
Alshomari believes the "deepening of relations between Iraq and Iran to this extent will eventually damage Iraq's foreign relations, particularly with America."
Alshomari also told El-Monitor: "Iran desperately needs Iraq, especially at this stage, not only to market its goods, but also to export goods through Iraq to other countries and to facilitate the transfer of Iranian funds from Baghdad to Damascus and Beirut. ...Iraq is Iran's economic gateway to the outside world."
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