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Showing posts with the label Economic Strains

Iran’s diplomacy strategy: negotiation as leverage, not concession

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  By Dr. Pshtiwan Faraj | Kurdish Policy Analysis     Tehran’s demands over the Strait of Hormuz raise a larger question: when Iran enters negotiations, is it seeking a settlement—or buying time to reshape the battlefield? Iran’s advocates of diplomacy often present negotiations with Tehran as the obvious alternative to escalation. Their argument is straightforward: pressure creates instability, while dialogue can produce compromise. Yet that argument becomes considerably more complicated when examined against the historical behavior of the Islamic Republic. Iran’s demands over the Strait of Hormuz reveal how Tehran may use diplomacy, coercive leverage and negotiations to divide opponents, extract concessions and buy time.  The central question is not whether Iran is willing to talk. It clearly is.  The more consequential question is what Tehran seeks to achieve by talking . A long record of Iranian engagement with the United States and regional powers suggests ...

KRG Urges Baghdad to Lift Trade Embargo Amid Economic Strains

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  Aziz Ahmad, deputy chief of staff to Kurdistan Region Prime Minister Masrour Barzani, on Sunday called on the federal government to lift the trade embargo imposed on the Kurdistan Region, warning that the restrictions have severely disrupted commerce, halted oil exports, and exacerbated economic and security challenges in the region. Ahmed emphasized that the KRG’s position has been consistent: there is only one request — lift the embargo enforced since January 1, which has effectively blocked formal bank transfers for imports. The embargo has forced businesses to rely on informal trade channels, with importers paying premiums of up to 15% on dollars. Commodity and food prices have risen across Iraq, while the KRG’s local non-oil revenues have declined, undermining its capacity to make the monthly salary transfers to public sector employees in the region. The official highlighted that Erbil has repeatedly offered solutions to Baghdad to safeguard national interests and maximize b...

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