Conditional alliances and oil under scrutiny: How will Al-Zaidi rearrange the priorities of the Iraqi economy?
Conditional alliances and oil under scrutiny: How will Al-Zaidi rearrange the priorities of the Iraqi economy?
5-2-2026
Information/Baghdad…
Prime Minister-designate Ali al-Zaidi faces a real test in outlining his government program, amid escalating parliamentary and political demands for a “revolution” in the management of oil wealth. While the prime minister-designate embarks on political tours to finalize his cabinet, the issues of “export alternatives” and “oil smuggling from the Kurdistan Region” emerge as the biggest challenges that could determine the shape of future alliances.
Hormuz Scenarios: Calls to Secure the “Economic Lifeline”
Amid Escalating Regional Tensions. Members of Parliament believe that Iraq’s continued dependence on a single waterway constitutes “economic suicide.” MP Mohammed al-Baldawi, in a statement to Al-Maalomah News Agency, stressed the necessity for the prime minister-designate to prioritize “securing alternative export routes” in his ministerial program.
Al-Baldawi stated that “total reliance on the Strait of Hormuz, given the American escalation and ongoing threats, places Iraq’s budget in grave danger,” noting that “diversifying funding sources and activating strategic alternatives is the only guarantee to shield the country from the repercussions of international conflicts.
” Al-Zaydi’s “Veto”: Ending Smuggling in Exchange for Participation.
Regarding alliances, it appears the prime minister-designate has decided to play his cards openly with the Kurdish forces. Political analyst Atheer al-Sharaa revealed to Al-Maalomah News Agency that al-Zaydi intends to raise the issue of “oil smuggling networks” as a prerequisite for Kurdish parties to join the government.
Al-Sharaa explains that “Al-Zaydi carries a firm message to the Kurdistan Region: (No partnership while smuggling continues),” indicating that “the prime minister-designate will proceed with the option of excluding those who do not demonstrate seriousness in resolving this issue, in an effort to impose full state sovereignty over oil wealth and dry up sources of illicit gain.”
The marathon of ministerial portfolios… the criteria of influence and competence
on the ground: The countdown to finalizing the ministerial distribution has begun. MP Riyadh Adai confirmed to Al-Maalouma News Agency that the prime minister-designate has launched his official rounds of meetings with political forces, noting that “the negotiations revolve around a delicate balance between political entitlement (electoral weight) and the criterion of professional competence.”
Adai points out that “the intensive dialogues aim to establish broad guidelines that ensure the cabinet’s passage through parliament without obstacles, with a focus on ensuring that the selected figures are capable of implementing the (strategic) program that Al-Zaydi aspires to.”
Caught between the hammer of international threats to oil routes and the anvil of internal corruption and smuggling, the anticipated al-Zaydi government appears poised to become a quintessential “oil crisis government.” Its success will hinge on its ability to open new export routes and establish central control over northern oil, free from the political favoritism that characterized previous administrations.
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