Iraq-Pakistan business forum promotes expanded trade and defense links

BAGHDAD — The Iraq-Pakistan Business Forum was held at the Al-Mansour Melia Hotel in Baghdad to enhance trade and investment collaboration between the two nations. Pakistani Ambassador to Iraq Mohammad Zeeshan emphasized the importance of strengthening both civil and military cooperation during the forum but declined to comment on specific defense industry partnerships.

“Last year, we provided Iraq with training aircraft, and in the coming days, we hope to see even closer cooperation with Iraq,” Zeeshan told 964media. “Our Ministry of Defense is collaborating with the Iraqi Ministry of Defense, and we are offering training courses. While I don’t have specific details about arms, I can confirm the delivery of training aircraft last year.”

Zeeshan highlighted the role of Pakistani companies already operating in Iraq, such as Najmat Al Samawa Cement Industry and the Baron Hotel in Karbala. He noted that Pakistani businesses have contributed to sectors like electrical fans and hospitality, and they plan to expand further.

“Currently, there are few Pakistani products in Iraq, such as electrical fans and food items,” he said. “We aim to develop this trade, and our delegation to this year’s Baghdad International Fair includes experts from pharmaceutical, surgical, sports, and other industries. We hope this visit will yield fruitful results in collaboration with our Iraqi counterparts.”

The ambassador also touched on the challenges hindering trade, particularly issues related to financial transfers between the two countries, but expressed optimism about overcoming these barriers.

“Trade between Pakistan and Iraq is limited due to challenges like money transfers, but we are working to resolve these issues,” Zeeshan said. He added that key Iraqi exports to Pakistan include crude oil and dates, which are vital components of the bilateral economic relationship.

Iraq has taken steps to reduce its reliance on the U.S. dollar in international trade by expanding foreign currency transfer options for local banks. The Central Bank of Iraq has added the Jordanian dinar and Saudi riyal to the list of currencies available for external transfers. Additionally, Iraqi banks are now permitted to finance trade with Turkey in euros, a practice previously limited to transactions with European Union countries. These currencies join the existing options of the U.S. dollar, UAE dirham, Chinese yuan, and Indian rupee.

For Pakistanis, Iraq holds religious and cultural significance, the ambassador emphasized. “Iraq is a sacred place for Pakistanis, with around 200,000 visiting annually during Arbaeen and Muharram. We appreciate the Iraqi authorities for facilitating visas and entry procedures for our pilgrims,” he said.

On the sidelines of the Baghdad International Fair, economic expert Ikram Abdul Aziz praised the forum for bolstering trade relations. “The Federation of Chambers of Commerce has taken an excellent step in solidifying commercial ties between Iraq and Pakistan,” she said. “Pakistani companies from various sectors, including medical, engineering, sports, and technology, represent an opportunity to exchange ideas and strengthen trade relations.”