Iraqi Prime Minister Adel Abdul Mahdi held a series of talks with German Chancellor Angela Merkel in Berlin on Tuesday that culminated in the signing of an electricity agreement.
The Iraqi Ministry of Electricity and Siemens agreed to cooperate in rebuilding Iraq’s power sector.
During a joint press conference with Merkel in Berlin, Abdul Mahdi told reporters that the overhaul project will take place in four stages and could cost up to $14 billion, stressing that German companies have great opportunities in Iraq’s energy map.
Politically, he said they discussed regional developments and Iraq’s important role in this regard.
They also tackled relations between Baghdad and the Kurdistan region.
"The relations between Erbil and Baghdad are excellent, but this does not mean all the complex inherited and historic problems about oil and the disputed areas have been solved,” Abdul Mahdi said.
Abdul Mahdi was accompanied by a delegation that included ministers of foreign affairs, trade, electricity, reconstruction, housing, and municipalities, the national security adviser and a number of officials and advisers.
A source close to the Iraqi government believed that while economic files will be at the heart of talks in Germany, Abdul Mahdi will discuss political issues in France, including French ISIS fighters who are still in Iraqi prisons.
An informed source, who spoke on condition of anonymity, said that the prime minister believes that his political fate depends on the electricity file and that is why a series of energy deals were signed in Germany.
Political Science Professor al-Nahrain University Yazin al-Bakri agreed that the economic sector is a priority for the PM’s visits. He believes that even if the visit only resulted in the electricity contract with Siemens, it would be a successful because this issue is important to the people.
Bakri told Asharq Al-Awsat that the political aspect includes Iraq's attempt to explain its position on the US sanctions on Iran, given that Berlin and Paris, given that they are important players in this issue.