Iraq Yields $100 Mn in Revenues after Expelling Militias from Frontier

Iraqi Prime Minister Mustafa al-Kadhimi at Mandali border crossing between Iraq and Iran (Reuters)
Iraqi Prime Minister Mustafa al-Kadhimi at Mandali border crossing between Iraq and Iran (Reuters)
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Iraq Yields $100 Mn in Revenues after Expelling Militias from Frontier

Iraqi Prime Minister Mustafa al-Kadhimi at Mandali border crossing between Iraq and Iran (Reuters)
Iraqi Prime Minister Mustafa al-Kadhimi at Mandali border crossing between Iraq and Iran (Reuters)

Iraq's Border Ports Authority announced record financial revenues from customs duties as a result of the measures taken by the government of Prime Minister Mustafa al-Kadhimi at all border crossings to combat customs corruption, impose order and expel armed factions from the country's frontier.

Head of Iraq's Border Ports Authority Omar al-Waeli said the revenues amounted to $100 million in July despite customs exemptions on several goods and closure of the outlets due to the coronavirus pandemic.

He indicated that the revenues came from seven or eight crossings out of Iraq’s 21, stressing that the authority intends to achieve more revenues to support the state treasury in light of the country’s financial issues.

During his visit to Mandali crossing with Iran last month, Kadhimi vowed to pursue the “ghosts” who were transporting cargo trucks across the border without paying customs fees.

He ordered a team from the Emergency Response Division to take over the crossing, saying they are authorized to use live fire to stop anyone from attacking people working at the border.

Meanwhile, an informed source at the Ports Authority confirmed that the measures taken by the government have made a total difference in terms of increasing the financial revenues achieved and imposing the law.

Speaking to Asharq Al-Awsat, the source said that units of the armed factions were present at the ports under the pretext of supervising religious groups arriving from Iran during the pilgrimage season, but their presence became permanent.

They used the ports for trade operations, customs clearance, and illegally imposing fees and royalties, he added.

The source said that the government recently expelled all the factions and groups working outside the customs area, and dismissed several employees cooperating with those groups.

He also said he expects the revenues to increase in the coming months compared to previous years, noting that over half of the border ports are shut due to the COVID-19, and operating crossings are not at full capacity.



Ukraine Receives First 3 Bln Euro Tranche of G7 Loan from EU

An explosion of a drone after it hit an apartment building is seen in the sky during a Russian drone strike, amid Russia's attack on Ukraine, in Kyiv, Ukraine January 10, 2025. REUTERS/Gleb Garanich
An explosion of a drone after it hit an apartment building is seen in the sky during a Russian drone strike, amid Russia's attack on Ukraine, in Kyiv, Ukraine January 10, 2025. REUTERS/Gleb Garanich
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Ukraine Receives First 3 Bln Euro Tranche of G7 Loan from EU

An explosion of a drone after it hit an apartment building is seen in the sky during a Russian drone strike, amid Russia's attack on Ukraine, in Kyiv, Ukraine January 10, 2025. REUTERS/Gleb Garanich
An explosion of a drone after it hit an apartment building is seen in the sky during a Russian drone strike, amid Russia's attack on Ukraine, in Kyiv, Ukraine January 10, 2025. REUTERS/Gleb Garanich

Ukraine received its first 3 billion euro ($3.09 billion) tranche of the European Union's portion of the Extraordinary Revenue Acceleration (ERA) loan agreed for Ukraine by the G7 group of countries, its prime minister Denys Shmyhal said on Friday.

It was the first tranche of EU loan secured by profits from frozen Russian assets, Shmyhal wrote on the Telegram app.

G7 leaders in October agreed to provide some $50 billion in loans to Ukraine via multiple channels.
"Today, we deliver €3 billion to Ukraine, the 1st payment of the EU part of the G7 loan. Giving Ukraine the financial power to continue fighting for its freedom – and prevail," European Commission President Ursula von der Leyen said on social media platform X.

In other economic news, Ukraine's steel output rose by 21.6% in 2024 to 7.58 million metric tons, its producers union said late on Thursday, though fighting that is closing in on the country's only coking coal mine threatens to slash volumes this year.

Steel production has already suffered since Russia's invasion on Feb. 24, 2022, which has led to the destruction of leading steel plants.

Ukraine, formerly a major steel producer and exporter, reported a 70.7% drop in output in 2022 to 6.3 million tons. It fell to 6 million tons in 2023.

The steelmakers' union said in October the potential closure of the Pokrovsk mine, Ukraine's only coking coal mine, could cause steel production to slump to 2-3 million metric tons in 2025.
Advancing Russian forces are less than 2 km (1.24 miles) from the mine, Ukrainian military analyst DeepState said on Friday.
The mine's owner, steelmaker Metinvest BV, said last month it had already halted some operations at the mine and two industry sources said it was operating at 50% capacity.
Producers have said they hope to find coking coal from elsewhere in Ukraine should the mine be seized by Russian troops, but imports would inevitably be needed which would raise costs.