Iraq has signed 18 memorandums of understanding with several American companies, covering various fields, the most important of which are energy, electricity, and the banking sector, according to the Iraqi News Agency (INA).

Focus on the Banking Sector

This memorandum comes after the United States blacklisted 14 Iraqi banks, preventing them from dealing in US dollars due to accusations of money laundering and transferring funds to Iran and Syria.

In response to these sanctions, the affected banks issued a joint statement urging the Iraqi government to intervene and warned that these restrictions would lead to negative impacts on the exchange rate of the dollar and hinder foreign investment in the country.

Cooperation with the US Treasury Regarding Sanctions

On Thursday, the Governor of the Central Bank of Iraq, Ali Alaq, announced an understanding with the US Treasury Department to review the sanctions imposed on some Iraqi banks.

He mentioned meetings held with US officials to discuss the possibility of rehabilitating the banks that are subject to these sanctions to achieve compliance with international standards, in cooperation with the Iraqi bank.

Strengthening Cooperation Between Baghdad and Washington

On the governmental level, four memorandums of understanding were signed, including one between the Iraqi Ministry of Electricity and General Electric, another between the Iraqi Ministry of Oil and Halliburton, in addition to a memorandum between the Iraq Development Fund and the American company Mack.

Private Iraqi companies also signed 14 agreements with their American counterparts in fields including medicine, oil field development, gas processing, technology, and automation in the oil sector.

Results of the Meeting Between Sudani and Biden

The Prime Minister of Iraq, Mohammed Shia' Al-Sudani, met with US President Joe Biden at the White House on Monday, where a joint statement was issued affirming both sides' commitment to enhancing financial and banking cooperation between the two countries.

The statement emphasized the importance of reforming the financial sector in Iraq and linking it to the global economy, in order to boost trade and protect the Iraqi people from the effects of corruption and money laundering.

The statement also noted that these reforms would help improve the investment environment in Iraq, contributing to attracting foreign investments and boosting economic growth.

The United States and Iraq reaffirmed their commitment to combating money laundering, terrorism financing, and corruption, and their support for the Central Bank in ending the electronic auction system for financial transfers by the end of 2024, as part of efforts to integrate Iraq into the international economic framework.

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