Official: All $10 Billion of Iran’s Frozen Assets Released by Iraq

By Staff, Agencies

An Iranian official confirmed that the Iraqi government has released all of Tehran’s frozen assets, amounting to $10 billion worth of energy debts.

The funds have been deposited into an account at the Trade Bank of Iraq [TBI] and will be utilized for the purchase of goods that are not subject to US sanctions, Chairman of Iran-Iraq Joint Chamber of Commerce Yahya Al-e Eshaq  announced on Monday.

Consequently, Iraq is no longer hindered in settling its debt arrears or conducting financial transactions with Iran, he noted.

The outstanding $10 billion debt owed by the Iraqi government was primarily for imports of natural gas and electricity, Al-e Eshaq explained.

The funds had been blocked as a result of US banking sanctions on Iran. Washington has previously issued several waivers to Baghdad, enabling it to release the funds.

Highlighting Iran's significant regional standing, Al-e Eshaq affirmed Tehran's commitment to capitalizing on trade opportunities with neighboring Iraq.

He said Iran and Iraq have the potential to double their trade volume to $20 billion in the coming years, up from its current level of just over $10 billion.

Furthermore, the chairman emphasized the pivotal role that the private sector could play in achieving $10-$11 billion in bilateral trade with Iraq, covering various fields other than gas exports, electricity, and technical-engineering services.