Skip to main content

Iraq agrees to provide Lebanon with fuel for another year

Lebanon’s fuel crisis is showing no signs of letting up, but an exchange with Iraq is keeping one source flowing.
Marwan Tahtah/Getty images

Lebanon and Iraq renewed their fuel agreement today. Lebanese Prime Minister Najib Mikati said in a statement that the agreement has been renewed for one year, with the same conditions as the previous deal. 

Iraq and Lebanon signed an agreement last July for Iraq to provide Lebanon with 1 million tons of fuel for a year. Lebanon, in turn, agreed to provide Iraq with medical expertise. 

Why it matters: The fuel shortage is one of the most painful aspects of Lebanon’s continuing economic crisis, and the lack has led to soaring prices. The situation has gotten so bad that some Lebanese are now cooking over firewood, Al-Monitor reported last month. 

The crisis is the result of a myriad of factors. Some vendors have been hoarding fuel in order to jack up prices. Some of the country’s fuel is also smuggled to Syria, and the Lebanese government has difficulty buying fuel abroad due to it draining the country’s cash reserves

A particularly harrowing incident occurred last year when more than 20 people waiting to receive fuel died when a tank exploded. 

Know more: Lebanon and Iraq have cordial relations and signed a defense agreement last September. 

Iraq has been somewhat immune to the high fuel prices in the region this year, in part due to its national oil production. 

Join hundreds of Middle East professionals with Al-Monitor PRO.

Business and policy professionals use PRO to monitor the regional economy and improve their reports, memos and presentations. Try it for free and cancel anytime.

Free

The Middle East's Best Newsletters

Join over 50,000 readers who access our journalists dedicated newsletters, covering the top political, security, business and tech issues across the region each week.
Delivered straight to your inbox.

Free

What's included:
Our Expertise

Free newsletters available:

  • The Takeaway & Week in Review
  • Middle East Minute (AM)
  • Daily Briefing (PM)
  • Business & Tech Briefing
  • Security Briefing
  • Gulf Briefing
  • Israel Briefing
  • Palestine Briefing
  • Turkey Briefing
  • Iraq Briefing
Expert

Premium Membership

Join the Middle East's most notable experts for premium memos, trend reports, live video Q&A, and intimate in-person events, each detailing exclusive insights on business and geopolitical trends shaping the region.

$25.00 / month
billed annually

Become Member Start with 1-week free trial

We also offer team plans. Please send an email to pro.support@al-monitor.com and we'll onboard your team.

What's included:
Our Expertise AI-driven

Memos - premium analytical writing: actionable insights on markets and geopolitics.

Live Video Q&A - Hear from our top journalists and regional experts.

Special Events - Intimate in-person events with business & political VIPs.

Trend Reports - Deep dive analysis on market updates.

All premium Industry Newsletters - Monitor the Middle East's most important industries. Prioritize your target industries for weekly review:

  • Capital Markets & Private Equity
  • Venture Capital & Startups
  • Green Energy
  • Supply Chain
  • Sustainable Development
  • Leading Edge Technology
  • Oil & Gas
  • Real Estate & Construction
  • Banking

Start your PRO membership today.

Join the Middle East's top business and policy professionals to access exclusive PRO insights today.

Join Al-Monitor PRO Start with 1-week free trial