Summary
Iraq Oil Production Exceeds Quota
Iraq has consistently exceeded its OPEC+ production quota, leading to concerns about the stability of its oil revenues. As the second-largest oil producer in OPEC, Iraq’s overproduction has been a significant factor in the country’s economic vulnerability, especially given that more than 90% of its government revenue comes from oil.
The Iraqi Parliament’s finance committee is now exploring alternative revenue streams to mitigate the risks posed by volatile oil prices. This move comes as Iraq has pledged to reduce its crude oil exports to comply with OPEC+ supply cuts, which have been implemented to stabilize global oil prices. In August 2024, Iraq’s oil exports were reduced to approximately 3.3 million barrels per day, down from higher levels earlier in the year. Despite these efforts, Iraq’s reliance on oil revenues continues to expose its economy to fluctuations in the global oil market, prompting the government to seek new investment strategies and improve non-oil revenue collection to ensure a more stable financial future.
Reuters Poll Shows OPEC September Output At Yearly Low
Oct. 3 / Oil Price / Covers OPEC's declining output, with a particular focus on Iraq's continued overproduction. While it provides essential statistics, it may feel less engaging due to its reliance on data without deeper analysis. “ By Charles Kennedy for Oilprice.com
Volatile Oil Prices Force Iraq to Explore Alternative Revenue Streams
Sep. 23 / Oil Price / Highlights Iraq's urgent need to diversify revenue sources amid fluctuating oil prices, featuring insights from a key parliamentary figure. It effectively underscores the vulnerability of Iraq's economy. “ OPEC’s second-largest oil producer, Iraq, is looking at alternative revenue streams as the volatility in international crude oil prices makes its budget...
Saudi Arabia to Ramp Up Oil Production in Blow to Putin
Sep. 26 / Newsweek / Explores Saudi Arabia's strategic shift in oil production, impacting global prices and rival economies like Russia. The analysis of geopolitical implications adds depth, though it lacks direct ties to Iraq's situation. “ Saudi Arabia is set to ramp up oil production in a blow to Russian President 's war machine and his invasion of Ukraine. Saudi Arabia is prepared to abandon...
Oil Prices Slide After FT Report On Saudi Production, Russia Denies OPEC+ Shift
Sep. 26 / Zerohedge / Discusses the volatility in oil prices tied to OPEC+ decisions, with a focus on Saudi Arabia's abandonment of price targets. While informative, it may detract from the specific context of Iraq's production issues. “ Is there something about $70 WTI that 'the powers that be' are afraid of? Source: Bloomberg A month ago, Reuters reported, citing the usual anonymous...