Iraq, Kuwait Sign Strategic Partnership to Build Telecom Corridor to Europe

Iraq and Kuwait signed a strategic partnership contract to establish a telecommunications corridor. (Iraqi News Agency)
Iraq and Kuwait signed a strategic partnership contract to establish a telecommunications corridor. (Iraqi News Agency)
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Iraq, Kuwait Sign Strategic Partnership to Build Telecom Corridor to Europe

Iraq and Kuwait signed a strategic partnership contract to establish a telecommunications corridor. (Iraqi News Agency)
Iraq and Kuwait signed a strategic partnership contract to establish a telecommunications corridor. (Iraqi News Agency)

Iraq and Kuwait signed a strategic partnership contract to establish a telecommunications corridor that links the Gulf to Europe.

The new partnership aims to strengthen Iraq’s strategic position in the region, the Iraqi Ministry of Communications said, noting that the ministry’s General Company for Communications and Informatics signed a strategic contract for the establishment of an international telecommunications corridor to Europe via Iraq passing through Turkiye, through temporary transit with the Kuwaiti Al-Zajil Telecom.

Iraqi Minister of Communications Hiyam Al-Yasiri said that the agreement “comes to strengthen Iraq’s strategic position in the region, and to maximize financial revenues, in implementation of the government program and the general federal budget law.”

She added that the agreement was the first of a number of contracts and projects for submarine and transit cables, aimed at establishing communication movement from the Gulf countries to South and West Asia up to the European continent, via Iraqi sea and land ports, passing through Turkiye.

Al-Yasiri continued: “This plan and other similar projects that are currently underway will make Iraq a safe land corridor that competes with the only international sea route in the region that passes through the Suez Canal.”

She also indicated that the ministry will sign other similar contracts, including an agreement with Saudi Arabia to set up a third submarine cable to Iraq in the Al-Faw region (located in the south of the country), pointing to initial approvals to connect the UAE to Al-Faw, as well as other agreements with Oman and Bahrain



Gold Eyes Best Quarter in over Eight Years

A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)
A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)
TT

Gold Eyes Best Quarter in over Eight Years

A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)
A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)

Gold halted its record run on Friday but remained on track for its best quarter since 2016 after a rally catalysed by an outsized US Federal Reserve interest rate cut, while markets braced themselves for a crucial inflation report due later in the day.

Spot gold was down 0.1% at $2,666.50 per ounce as of 1115 GMT, below the all-time peak of $2,685.42 hit in the previous session. It is heading for its best quarter since the first three months of 2016.

US gold futures fell 0.2% to $2,688.90, Reuters reported.

"The market at this point in time has priced in all the good news and there's also some hesitancy from fresh buyers to get involved at these record high levels," said Ole Hansen, head of commodity strategy at Saxo Bank.

Bullion has risen 29% so far this year, hitting successive record peaks after last week's half-percentage-point cut by the Federal Reserve and the stimulus measures announced by China earlier this week.

Silver prices surged, tracking bullion's strong performance, though some analysts warn that the rally may fade.

"Overall, industrial demand is still supportive for silver. But we need to have a stronger economic performance in China as well as in other developed countries," said ANZ commodity strategist Soni Kumari.

The surge in silver prices is more a spillover impact from gold, Kumari said.

Spot silver eased 0.1% to $31.98 per ounce, after hitting its highest since December 2012 at $32.71 on Thursday. It is set for a third straight week of gains.

"I do believe silver will continue to outperform gold. But as we all know, wherever gold goes, silver tends to go, but faster," Hansen added.

Both gold and silver serve as safe-haven investments, but the latter has more industrial applications, so tends to underperform during recessions and outperform when economies expand.

Inflows into gold exchange-traded funds, particularly from Western investors, are set to rise in coming months, adding yet more positive stimulus for already record high bullion prices. Some banks expect gold to rise towards $3,000.

In other metals, platinum was up 0.5% at $1,012.40 but palladium fell nearly 1.5% to $1,031.75.