Iraqi Foreign Minister Fuad Hussein disclosed the development during an interview with Al Jazeera, explaining that the arrangement would help the country maintain oil shipments amid ongoing disruptions linked to the conflict involving Iran.
Hussein also revealed that Iraq has suffered an estimated $60 billion in financial losses due to the war and interruptions to its oil exports.
The country’s oil shipments, however, showed signs of recovery in October after experiencing a significant decline in September. Exports increased to approximately 3.5 million barrels per day, compared with 2.65 million barrels per day recorded in the previous month, according to Iraqi energy officials.
The development comes as Iraq continues to face challenges transporting crude oil through the strategically important Strait of Hormuz, a major global shipping route for energy supplies.
Meanwhile, Hussein disclosed that the United States Treasury had requested that Iraq close all but two of its border crossings with Iran as Washington seeks to intensify economic pressure on Tehran.
He explained that implementing such a request would be difficult because Iraq operates numerous official and unofficial crossings with Iran, and shutting them down could negatively affect its economy.
One of the crossings expected to remain operational is located in Iraq’s Kurdistan Region.
The Iraqi government is reportedly still discussing the border restrictions with Washington as it seeks to balance its economic interests with the demands of its international partners.
