15 Billion Dollar Trade Agreement and Defense Contract Between Iraq and Britain

The Prime Ministers of Iraq and Britain announced on Tuesday, January 25, that Baghdad and London have reached an agreement on a trade package worth 15 billion dollars and a bilateral defense contract. This agreement, signed after a meeting between Mohammed Shia' al-Sudani, the Prime Minister of Iraq, and Keir Starmer, his British counterpart, in London, is more than ten times the total trade value between the two countries in 2024. The purchase of British-made electricity transmission systems for the project connecting the networks between Iraq and Saudi Arabia, as well as the plan to upgrade the Al-Qayyarah airbase in northern Iraq, are among the items mentioned in this agreement. According to this understanding, a consortium led by Britain will also assist in providing clean water in the dry southern and western regions of Iraq by creating the necessary infrastructure. Iraq had previously announced that, considering the end of the U.S.-led coalition's mission to combat ISIS in Iraq in 2026, it would expand its military and economic relations with Western countries, including Britain. The Prime Minister of Iraq began his official visit to Britain on Monday, January 24, amidst historic geopolitical changes in the Middle East.