Iraqi oil rises to highest level in five‑month high

Iraqi oil prices recorded a noticeable rise in global markets today Wednesday, amid a lack of official clarifications on the impact on the general budget.

According to available data, the average Basra crude price reached $60.29 per barrel, while heavy Basra crude reached $57.99 per barrel, recording an increase of 4.91% for each.

Despite the rise, neither the Ministry of Oil nor the Ministry of Finance has issued any statement regarding adjusting expected revenues or allocating the potential surplus for spending on basic services.

It is noted that Iraqi oil prices had remained below the $60 threshold for weeks, prompting the government to adopt conservative scenarios in the 2026 budget. The recent rise raises questions about the extent to which the budget can benefit from the surplus, especially in light of rising domestic debt and delays in infrastructure projects.

In the background of global market prices, British Brent crude recorded $85.29 per barrel, while US West Texas Intermediate crude reached $79.22 per barrel, with increases of 1.13% and 1.04% respectively. Although the global rise supports Iraq's revenues, the lack of clear plans to exploit the surplus raises fears of repeating the scenario of past years, when price increases went to an unspecified item in the budget.

The Ministry of Oil has not yet commented on the direct causes of the rise, or whether it will review oil revenue estimates for the fourth quarter of the current year.