Iran has praised Iraq for its position during the ongoing conflict in the region and for backing what it called Iran’s “just cause.”
An Iranian official, Ibrahim Zolfaghari, said Iraq has been exempted from restrictions on ship movement in the Strait of Hormuz. He described this as a big opportunity for Iraq to increase its oil exports through southern ports and bring in more money, especially as oil prices could rise sharply due to the war.
Former MP Baqir al-Saadi said there is already an emergency plan in place to boost oil shipments to global markets through the strait. He explained that several tankers are waiting in southern ports, and there is close coordination between Baghdad and Tehran to make sure they pass safely.
He added that some shipments have already gone through in the past two weeks, and more are expected soon. According to him, getting Iraqi oil to global markets will help increase state revenues, since oil is the main source of income for the country and covers most government spending.
Al-Saadi also said shipments are likely to grow over time, which should ease pressure on the state budget.
Economic researcher Diaa Abdul Karim said allowing Iraq to freely use the Strait of Hormuz could strongly boost its revenues. He noted that many Asian countries are likely to increase their purchases of Iraqi oil under these conditions.
He also pointed out that Iraq’s budget was based on oil at $70 per barrel, while current prices are already above $100. This difference could bring in much higher income.
He explained that Asian countries are the biggest buyers of Iraqi oil, and easier access through the strait will allow their tankers to reach ports in Basra more smoothly, increasing exports.
At the same time, tensions remain high. Iran’s Revolutionary Guard said the situation in the Strait of Hormuz has changed permanently, especially for the United States and Israel, and that it is continuing preparations to reshape control in the Gulf.
Iran has also said it may fully reopen the strait, but only after recovering losses from recent attacks, possibly through a new transit system.
