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Iran war squeezes Iraq's economy as oil revenues fall and prices rise

Original: Iran war squeezes Iraq’s economy as oil revenues fall and prices rise

Iraq's economy is coming under pressure as the conflict involving Iran hits the country's finances. Oil revenues, the backbone of Iraq's budget, are falling amid the fighting, while consumer prices are rising inside the country. The squeeze leaves Baghdad facing both shrinking income and higher living costs, deepening economic strain for households dependent on state spending funded largely by crude exports.

Why now: The regional conflict is directly affecting Iraq's oil-dependent economy and everyday prices, raising concern about wider economic fallout.

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