Kirkuk - Jehan and the Road to Development, an economist defining new Iraqi routes to Europe

The disruption of the Strait of Hormuz and its accompanying impacts on energy and trade movements are pushing the countries of the region to look for alternative routes to traditional corridors, at a time when Iraq finds itself faced with the opportunity to re-employ its geographical location, transport and energy projects to strengthen its economic and strategic presence in the region.

Professor of International Economy Noar Saadi, speaking to MMA, says the current developments are beyond the boundaries of confrontation between the United States and Iran or disruption of navigation in the Strait of Hormuz, considering that an important part of them is linked to the conflict over the global economy and the attempt to weaken China's industrial power that relies on the flow of energy and raw materials through sea lanes.

Saadi sees the region heading towards a phase of economic and strategic geographical reshaping, explaining that the importance of the Strait of Hormuz for energy movement may not return to its former glory even if the war is over and navigation returns to normal.

He adds that one of the biggest bottlenecks in global energy trade is a widespread disruption that is pushing countries and companies to re-evaluate their accounts, and start building alternatives and new pathways before the current crises end.

He points out that current developments reflect, in his estimation, the beginning of the formation of new regional arrangements, citing the signing of a joint defense agreement by Saudi Arabia, Turkey and Pakistan, considering that the move reflects the emergence of new security arrangements in the region.

Speaking of Iraq, Saadi pointed to the extension of Baghdad and Ankara's Iraq-Turkey pipeline agreement, with a trend to reactivate oil exports through the port of Gihan.