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Erdogan's Visit to Iraq Postponed: ‘Time is Not Right’

Turkish President Recep Tayyip Erdogan (AP)
Turkish President Recep Tayyip Erdogan (AP)
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Erdogan's Visit to Iraq Postponed: ‘Time is Not Right’

Turkish President Recep Tayyip Erdogan (AP)
Turkish President Recep Tayyip Erdogan (AP)

Officials in the Iraqi government denied reports that the upcoming visit of Turkish President Recep Tayyip Erdogan had been canceled, confirming that its date has not yet been determined.

Informed sources told Asharq Al-Awsat that the visit has become unlikely because the two parties have disagreed on resolving disputes over oil exports, water, and security.

Last month, Turkish Foreign Minister Hakan Fidan held discussions in Baghdad, aiming to pave the way for Erdogan's visit.

However, the sources said the talks were unencouraging for a visit, explaining that perhaps Turkish officials felt the visit needed more suitable conditions to ensure its success.

-Escalating dispute

According to Iraqi lawmakers, Türkiye sent indirect messages that the escalating dispute between the governments of Baghdad and Erbil over the budget, salaries, and oil exports does not provide a suitable political climate for Erdogan's visit.

Nevertheless, a senior Iraqi official confirmed to Asharq Al-Awsat that Baghdad continues to prepare for Erdogan's visit.

The sources indicated that the dispute over exporting oil has not been resolved with Türkiye yet.

Last March, Iraq won the case against Türkiye after a years-long struggle over oil exports from the Iraqi Kurdistan region. At that time, the Turkish port workers banned any cargo ship carrying oil from the Kurdistan region, according to Reuters.

-Exporting oil

The Turkish government stipulated that Baghdad must relinquish the case and exempt Ankara from the $2.6 billion compensation to resume exporting oil.

Türkiye filed a lawsuit demanding other compensation from Baghdad amounting to more than $900 million.

Iraqi sources described the issue as very thorny, and the two parties could not resolve it even after Minister Fidan visited Baghdad.

Baghdad is not in a position that allows it to continue to stop oil exports due to financial obligations, so it is trying to find common ground with Turkish officials to resume the export of Kurdish oil.

However, the sources said Erdogan's visit is closely linked to solving this issue.

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Syrian Caretaker Government to Hike Public Sector Salaries by 400% Next Month

Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)
Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)
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Syrian Caretaker Government to Hike Public Sector Salaries by 400% Next Month

Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)
Graffiti of the Syrian revolution flag is painted on a mosaic of former Syrian President Hafez al-Assad after the ousting of President Bashar al-Assad, in Damascus, Syria January 2, 2025. (Reuters)

Syria's finance minister said on Sunday the government would hike salaries for many public sector employees by 400% next month after completing an administrative restructuring of ministries to boost efficiency and accountability.

The increase, estimated to cost 1.65 trillion Syrian pounds, or about $127 million at current rates, will be financed by existing state resources plus a combination of regional aid, new investments, and efforts to unfreeze Syrian assets held abroad.

"(This is) the first step towards an emergency solution to the economic reality in the country," Mohammed Abazeed, the finance minister in Syria's caretaker government, told Reuters, adding that this month's wages for public sector staff would be paid out this week.

These measures are part of a broader strategy by Syria's new caretaker government to stabilize the country's economy following 13 years of conflict and sanctions.

Salaries of Syria's public sector employees under toppled President Bashar al-Assad's regime were around $25 a month, putting them below the poverty line, along with the majority of the country's population, Abazeed said.

The hike would follow a comprehensive evaluation of up to 1.3 million registered public sector employees to remove fictitious employees from the payroll and would affect those with sufficient expertise, academic qualifications, and the necessary skills for reconstruction.

Syria's state treasury is facing liquidity challenges emerging from a war. The majority of money available in the central bank is Syrian currency, which has lost much of its value. However, the new government was promised assistance from regional and Arab countries, the minister said.

"The launch of investments in the country in the near future will also benefit the state treasury and allow us to finance this salary increase," he said, adding the central bank currently has sufficient funds to finance the next few months.

The government expects to retrieve up to $400 million in frozen Syrian assets abroad, which could co-finance the initial government expenses.

Syria's caretaker government is also discussing exempting taxpayers, as much as possible, from penalties and interest and working on overhauling the tax system within the next three months to achieve tax justice for all taxpayers, with a first draft expected within four months.

"By the end of this year, we expect having a well-designed tax system that takes the interests of all taxpayers into account," he added.