UK, Iraq sign £12.3bn trade deal

UK, Iraq sign £12.3bn trade deal
UK, Iraq sign £12.3bn trade deal

British Prime Minister Keir Starmer and Iraqi Prime Minister Mohammed Shia Al-Sudani met in London during Al-Sudani's official visit to the United Kingdom. The leaders signed a landmark Partnership & Cooperation Agreement (PCA) and announced a substantial trade package worth £12.3 billion.

The trade package, which represents a tenfold increase from the previous year's bilateral trade, includes major infrastructure projects across Iraq. Notable initiatives include a £5.3 billion comprehensive water project, a £3.3 billion Basra water project, and a £1.2 billion power grid interconnection between Iraq and Saudi Arabia. Other significant projects involve de-mining operations, airbase rehabilitation, 5G network rollout by Vodafone, and various infrastructure developments.

The leaders signed a Joint Statement on Strategic Bilateral Defence Relationship, marking a new era in security cooperation. They also discussed migration issues, agreeing on principles for a specific returns agreement and enhanced border security measures.

In education and cultural exchange, Iraq announced a scholarship scheme for over 2,000 Iraqi students to study in the UK. The prime ministers also addressed women's rights and peace initiatives, with Iraq planning to launch its third National Action Plan for Women, Peace and Security in March 2025.

Environmental cooperation was highlighted through a Memorandum of Cooperation on Climate Change, with Iraq committing to end gas flaring by 2028. The leaders also agreed to strengthen sports exchange programs between the two nations.

The visit underscores a renewed commitment to strengthening UK-Iraq relations across multiple sectors, including trade, security, education, and environmental protection. The agreements reached during this visit are expected to significantly boost economic ties and cooperation between the two nations while supporting Iraq's development and reform agenda.