Arar Border Crossing Expected to Generate $Bln in Revenues for Iraq

The Arar border crossing is expected to generate one billion dollars in revenues to Iraq.
The Arar border crossing is expected to generate one billion dollars in revenues to Iraq.
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Arar Border Crossing Expected to Generate $Bln in Revenues for Iraq

The Arar border crossing is expected to generate one billion dollars in revenues to Iraq.
The Arar border crossing is expected to generate one billion dollars in revenues to Iraq.

The Arar border crossing between Iraq and Saudi Arabia will help revive the Iraqi economy and generate some 1 billion dollars in revenues in 2021, said the crossing’s director.

In press statements on Sunday, Habib Kadhim al-Ali said the crossing was officially open for trade and will also be open for travelers after coronavirus restrictions on international travel are lifted.

“Relevant departments have completed all their requirements for the full operation of the border crossing, at full capacity and around the clock,” Ali explained.

He said that all material entering through the border must be officially authorized, meaning they must have an official import permit. No material is allowed to enter without a license or certificate of origin.

The border crossing will become a “huge institution and provide great job opportunities for the residents of Anbar and Karbala provinces, in particular, and for Iraqis in general,” he added.

Customs clearance, transportation companies and the establishment of a commercial exchange area will all take place within Iraqi territory, he continued. “This is a unique experience and will be carried out by Iraqi employees, which will increase job opportunities.”

Revenues will be high and will increase in the coming days, Ali noted, stressing that the border crossing will become a gateway for the Arab Gulf states and Egypt to export their products and goods to Iraq.

The State Company for Iraqi Fairs and Commercial Services has launched the Iraqi fairs and import licenses through the Arar border crossing, he said.

The director said the company will start practicing commercial activity and entering the consignments as soon as the goods are shipped from Saudi Arabia, which has been very flexible to avoid any delays and ease the flow of work.



Gold Edges up as Investors Await Fed Jackson Hole Conference

A salesman arranges gold bangles inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Mumbai, India, May 7, 2019. REUTERS/Francis Mascarenhas/File Photo
A salesman arranges gold bangles inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Mumbai, India, May 7, 2019. REUTERS/Francis Mascarenhas/File Photo
TT
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Gold Edges up as Investors Await Fed Jackson Hole Conference

A salesman arranges gold bangles inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Mumbai, India, May 7, 2019. REUTERS/Francis Mascarenhas/File Photo
A salesman arranges gold bangles inside a jewellery showroom on the occasion of Akshaya Tritiya, a major gold buying festival, in Mumbai, India, May 7, 2019. REUTERS/Francis Mascarenhas/File Photo

Gold prices edged up on Tuesday, supported by a softer dollar and Treasury yields, as investors hunkered down for Federal Reserve Chair Jerome Powell's upcoming speech at Jackson Hole later this week.

Spot gold was up 0.2% at $3,335.24 per ounce by 09:38 a.m. ET (1338 GMT). US gold futures for December delivery rose 0.1% to $3,380.10.

The dollar index fell 0.1% against its rivals, while benchmark 10-year yields also slipped, Reuters reported.

"Generally, (traders are) positioning in the futures market ahead of the Jackson Hole meeting... it's going to be pretty quiet up until then," said Jim Wyckoff, senior analyst at Kitco Metals. The Federal Reserve is set to hold its annual symposium later this week in Jackson Hole, Wyoming, with Fed Chair Jerome Powell scheduled to speak on the economic outlook and central bank's policy framework on Friday. US President Donald Trump has continued to urge the Federal Reserve to pursue deeper rate cuts.

"My sense is that (Powell) might lean a little bit more dovish... that would be friendly for gold and silver prices," Wyckoff said.

Non-yielding gold, traditionally considered a hedge during times of uncertainty, also tends to perform well in low-interest rate environments.

Traders see an 83% chance of a 25-basis-point Fed rate cut in September, according to CME's FedWatch tool. Meanwhile, Trump said on Tuesday he hoped Russia's Vladimir Putin would move toward ending the war in Ukraine.

On the data front, minutes from the Federal Reserve's July meeting, set to be released on Wednesday, are expected to shed light on the US economic outlook. UBS on Monday raised its gold price target for end-March 2026 by $100 to $3,600 on persistent US macroeconomic risks, a decline in dollar use, and strong investment demand.

Elsewhere, spot silver fell 0.1% to $37.98 per ounce, platinum was up 1.4% at $1,341.40, while palladium fell 0.1% to $1,122.32.