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Rising oil sales fuel hopes of funding new 2021 budget targets

After passing a budget with a record-setting deficit, Iraq is banking on more months like March to meet spending goals and recover from a financial crisis.
A worker stands at the al-Basra Oil Terminal (ABOT), one of Iraq's major export outlets, February 2010. (BEN LANDO/Iraq Oil Report)

Iraq's nationwide oil exports held steady in March, averaging 3.367 million barrels per day (bpd),* while revenues surged due to strong global crude prices.

The increased revenue is a welcome development for the Iraqi government, which has suffered from a dire financial crisis, and which just passed a 2021 budget law that authorizes 129.99 trillion Iraqi dinars ($89.65 billion) in expenditures. To fully fund that spending with oil sales, given the export levels projected in the budget, oil prices would need to stay well above $60 per barrel for the year.

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