Prime Minister Mustafa Al-Kadhimi has denied allegations that his government obstructed the implementation of Iraq’s oil for infrastructure agreement with China inked in mid-2019.

A report by Iraqi news website Shafaq News on a meeting of the council of ministers on Tuesday quoted the PM as saying that among the accusations levelled against his government over the last two years was trying to obstruct the agreement with the Chinese government wherein Chinese firms would undertake projects in Iraq in exchange for crude oil supply.

Al-Kadhimi questioned how the government could be accused of obstruction when it has laid the foundation stone for building 1,000 schools as part of the same agreement, adding that results on the ground attest to his governments efforts on the economic growth front.

"We are continuing with this project in its first phase, and the second phase also includes the construction of 1,000 schools and will also include all governorates. Education is of great importance, and the advancement of societies depends on education,” he said.

In May 2022, Zawya Projects reported that two Chinese companies were awarded a contract to build 8,000 schools in Iraq as part of the landmark agreement.

In April 2022, Al-Nasiriyah International Airport in Dhi Qar governorate became the first project to be initiated under the oil for infrastructure pact.

In February 2022, Zawya had reported that investments under China's Belt and Road Initiative (BRI) saw a major shift towards Middle East and Africa, with Iraq being the largest beneficiary with about $10.5 billion in construction contracts.

(Writing by Majda Muhsen; Editing by Anoop Menon)

(anoop.menon@lseg.com)