World economic news brief: Iraq

World & Vietnam Newspaper reviews some of the latest world economic news in brief.

Iraq-Russia

The Iraqi government has invited Russia's Gazprom Neft to participate in the development of the Nasiriyah oil field in the south of the country.

According to open sources, the Nasiriyah field's reserves are estimated at approximately 586 million tons. Gazprom Neft extracts oil from the field in eastern Iraq with reserves exceeding 409 million tons and is the project operator with a 30% stake.

Through its subsidiary Gazprom Neft Middle East, the company is also involved in oil and gas projects in Iraqi Kurdistan, including the Shakal field (80% stake) and Garmian (40%).

Russia-Finland

Russian Ambassador to Helsinki Pavel Kuznetsov said in an interview with RIA Novosti on February 8 that trade turnover between Russia and Finland has decreased by almost sixfold in the past two years.

Mr. Kuznetsov noted that until recently, Russia was one of Finland's top three trading partners, but has now fallen to 20th place. According to him, severing ties between the two countries would harm the Finnish economy.

Furthermore, according to Ambassador Kuznetsov, Russia views Finland's closure of the border as a step toward breaking off relations.

IMF-Maldives

On February 7th, the International Monetary Fund (IMF) warned Maldives of a high risk of a “debt crisis” amid its increasing closeness to China. In addition to issuing this warning, the IMF also urged Maldives to “urgently adjust its policies.”

In its statement, the fund said: “Without significant policy changes, the overall fiscal deficit and projected public debt of the Maldives will continue to rise.”

According to the World Bank (WB), during the term of former President Abdulla Yameen, Maldives borrowed heavily from China for construction projects. As a result, Maldives owed China approximately 42% of its total foreign debt of over $3 billion in 2021.

Switzerland

*Swiss railway manufacturer Stadler has secured a major contract in Saudi Arabia – an order from Saudi Arabian Railways (SAR) worth approximately 600 million francs (689 million USD).

The announcement, made on February 7th, stated that the supply contract includes 10 units with an option for another 10 units. The associated maintenance contract covers full maintenance and the supply of spare parts for a period of 10 years.

Thus, Stadler has successfully won the international tender. This is Stadler's first order in the Gulf region. The trains delivered will be approximately 175 meters long and are said to be adapted to the desert climate conditions.

UK-Ukraine

On February 8th, the UK announced it would extend duty-free trade with most Ukrainian goods until 2029, further facilitating trade for Ukraine.

According to a statement from the UK Department for Business and Trade, the extension of duty-free trade will apply to all Ukrainian goods, with the exception of the duty-free policy for eggs and poultry, which will only be extended for another two years.

In addition, British businesses will also benefit from the removal of tariffs on goods exported to Ukraine.

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