Iraqi Parliament Speaker floats free-trade zone on visit to Kuwait

ERBIL, Kurdistan Region — Mohammed al-Halbousi, the speaker of Iraqi parliament, discussed strengthening of economic ties with Kuwait including the establishment of a free-trade zone on their borders while meeting with his southern counterpart Marzouq al-Ghanim on Monday. 

Halbousi led a parliamentary delegation with a “keenness” from Iraqi’s three presidencies — the prime ministership, presidency, and parliament leadership — to “strengthen relations with Arab neighbours, including Kuwait,” said a readout from Halbousi’s office. 

“The talks dealt with ways of enhancing joint cooperation between Kuwait and Iraq in all fields, especially parliamentary and economic, and the results of the Kuwait International Conference for the Reconstruction of Iraq, as well as discussing the establishment of a free-trade zone between the two countries to facilitate transition of goods and businessmen,” the readout added. 

Kuwait hosted a conference in February 2018 to raise funds to help rebuild war-torn Iraqi cities like its second-largest of Mosul. Donors from 76 countries, international funds, and global organizations pledged around $30 billion — about one-third of what former Iraqi Prime Minister Haider al-Abadi’s government was requesting. 

Halbousi’s office said on Monday that Kuwait Emir Sheikh Sabah al-Ahmad al-Jaber al-Sabah has “directed the executive and legislative authorities in Kuwait to expedite the transfer of funds allocated at the International Donors Conference to concrete projects on the ground.”

Iraq’s relations with some neighboring countries like Kuwait were harmed during Saddam Hussein’s regime. The dictator often referred to the country as the 19th province of Iraq and invaded the energy-rich nation on the Persian Gulf in 1990 following the war with Iran.

A US-led coalition drove the Iraqis out of Kuwait as Saddam’s forces set Kuwaiti oilfields ablaze, but the short conflict harmed Iraq’s international relations and many other countries, particularly in the West and Saudi Arabia, withdrew their diplomatic staff from Baghdad. Some have returned. 

Since Saddam’s regime fell in 2003, Iraq and Kuwait have improved relations. Baghdad has been repaying billions of dollars in debts to Kuwait City for the Gulf War. Additionally, both countries are working to repatriate bodies of Kuwaitis killed by Saddam’s forces which are believed to be buried in mass graves in southern Iraq.