Egypt and Iraq sign 12 MoUs to boost trade, investment

Egypt and Iraq recently signed 12 Memorandums of Understanding in Baghdad, covering economic, trade, communications, transportation, financial regulation, and other issues of mutual concern. The signing took place during the third meeting of the Iraqi-Egyptian Higher Joint Committee, co-chaired by Iraqi Prime Minister Mohammed Shia' al-Sudani and visiting Egyptian Prime Minister Mostafa Madbouly. The Iraqi Prime Minister's Office announced the news in a press release.

The contents of these Memorandums of Understanding include: land transportation of passengers and goods, strengthening competition and combating monopolies, a draft agreement on local development cooperation, and cooperation in financial market regulation. These agreements aim to promote cooperation between the two countries in various fields, laying the foundation for future development.

In his speech at the forum, Prime Minister Sudani emphasized the deep historical and civilizational ties between Iraq and Egypt. He pointed out that the strong social and economic links between the two countries provide a solid foundation for cooperation, particularly in the cooperation between the private sectors of both countries in various economic fields. He also mentioned that economic reforms, including in banking, administration, taxation, and investment, have facilitated the entry of Egyptian companies into the Iraqi market. Sudani expressed his hope to expand cooperation with the Iraqi private sector, while also hoping for more opportunities in Egypt.

Meanwhile, the Egyptian Prime Minister emphasized that both countries share a common commitment at the political and civil levels to strengthen cooperation with Iraq and envision establishing a prosperous industrial, agricultural, economic, and service hub. He also pointed out that the current regional situation requires strengthening economic integration and political coordination to benefit the people of Iraq and Egypt, and promote progress and development. Both sides expressed a positive outlook for future cooperation.

The trade volume between the two countries has fluctuated. Iraq's exports to Egypt have decreased sharply from $615 million in 2017 to only $11.1 million in 2022, an average annual decrease of 55.2%. Additionally, Iraq's main exports to Egypt include tropical fruits, sulfur, and other nuts, with tropical fruit exports amounting to $9.55 million. These figures indicate that there is still room for improvement in the trade relationship between the two countries.