Flooding Kills More Than 20 People in Morocco and Algeria 

A desert area is flooded after a heavy rainfall in Tazarine, Zagora, southern Morocco, Sunday, Sept. 8, 2024. (AP)
A desert area is flooded after a heavy rainfall in Tazarine, Zagora, southern Morocco, Sunday, Sept. 8, 2024. (AP)
TT

Flooding Kills More Than 20 People in Morocco and Algeria 

A desert area is flooded after a heavy rainfall in Tazarine, Zagora, southern Morocco, Sunday, Sept. 8, 2024. (AP)
A desert area is flooded after a heavy rainfall in Tazarine, Zagora, southern Morocco, Sunday, Sept. 8, 2024. (AP)

Torrential downpours hit North Africa's normally arid mountains and deserts over the weekend, causing flooding that killed nearly two dozen people in Morocco and Algeria and destroyed homes and critical infrastructure.

In Morocco, officials said the two days of storms surpassed historic averages, in some cases exceeding the annual average rainfall. The downpours affected some of the regions that experienced a deadly earthquake one year ago.

Meteorologists had predicted that a rare deluge could strike North Africa’s Sahara Desert, where many areas receive less than an inch of rain a year.

Officials in Morocco said 18 people were killed in rural areas and 56 homes collapsed. Nine people were missing. Drinking water and electrical infrastructure were damaged, along with major roads.

Among the dead in the region, where many tourists go to enjoy desert landscapes, were foreigners from Canada and Peru.

Rachid El Khalfi, Morocco’s Interior Ministry spokesperson, said in a statement on Monday that the government was working to restore communication and access to flooded regions in the “exceptional situation” and urged people to use caution.

In neighboring Algeria, which held a presidential election over the weekend, authorities said at least five died in the country's desert provinces. Interior Minister Brahim Merad called the situation “catastrophic” on state-owned television.

Algeria’s state-run news service APS said the government had sent thousands of civil protection and military officers to help with emergency response efforts and rescue families stuck in their homes. The floods also damaged bridges and trains.



Iraq Faces 2025 Fiscal Squeeze Amid Oil Price Decline, Adviser to PM Says 

A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)
A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)
TT

Iraq Faces 2025 Fiscal Squeeze Amid Oil Price Decline, Adviser to PM Says 

A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)
A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)

Iraq faces a budget crunch in 2025 due to the slump in the price of oil, the overwhelming source of government revenue, a top economic adviser to Prime Minister Mohammed Shia al-Sudani said.

"We don't anticipate major problems in 2024, but we need stricter financial discipline for 2025," Mudher Saleh told Reuters in an interview late on Monday.

Iraq, OPEC's second-largest producer, is heavily dependent on oil revenues. The hydrocarbons sector accounts for the vast majority of export earnings and some 90% of state revenue.

This huge reliance on oil makes Iraq particularly vulnerable to fluctuations in global crude prices.

Still, Iraq increased its budget in 2024 even after record spending in 2023, when more than half a million additional employees were hired into the already-bloated public sector and a capital-intensive nationwide infrastructure revamp began.

The 2024 budget rose to 211 trillion dinars ($161 billion) from 199 trillion dinars ($153 billion) in 2023, maintaining a projected deficit of 64 trillion dinars, Saleh said.

The budget assumes an oil price of $70 per barrel in 2024, around $6 less than the likely average price this year.

Saleh said that paying salaries and pensions on time remain a top priority. They account for 90 trillion dinars ($69 billion), or over 40% of the budget, and are a key factor of social stability in Iraq.

"The government will pay salaries even if it costs everything. Salaries are holy in Iraq," he said.

Infrastructure development, meanwhile, could be refocused on the most strategic projects - such as key road and bridge works in the capital Baghdad - if the state finds itself in a financial crunch, he said.

To bolster finances, Iraq is focusing on increasing non-oil revenues through improved tax collection but is not exploring any new levies, Saleh said.

He estimated that Iraq loses up to $10 billion annually due to tax evasion and customs-related problems.

Concerns for the 2025 budget reflect a challenging global oil market. Oil prices have been on a downward trend since mid-2022, with Brent crude, the international benchmark, falling from over $120 per barrel to below $75 in recent days.

This decline is largely attributed to weakening global demand, particularly from China, the world's largest oil importer, as its economic growth slows down.