BAGHDAD – Iraq and Turkey are seeking to reshape a long-running dispute over cross-border rivers into a broader economic partnership, as Baghdad moves to implement a water agreement linking infrastructure investment with energy and trade ties.
Iraq’s cabinet approved activation of the Iraq-Turkey Framework Agreement on Water on Saturday, including the financing mechanism for projects expected to begin from September 1, 2026.
The agreement represents one of Baghdad’s most significant attempts in years to address chronic water shortages through cooperation with Turkey, the upstream country controlling much of the flow of the Tigris and Euphrates rivers.
The accord creates a framework for Turkish investment in Iraq’s water sector, with projects expected to include irrigation development, water infrastructure, technical cooperation and modernisation of agricultural systems.
A central component of the agreement is a financial arrangement under which revenues linked to Iraqi oil exports through Turkey will support water projects implemented by Turkish companies.
The move reflects a broader effort by both countries to deepen economic relations beyond traditional areas of disagreement.
For Iraq, water scarcity has become a strategic challenge. Years of drought, declining rainfall and rising temperatures have reduced agricultural output, accelerated desertification and forced communities in some southern provinces to abandon farming.
The crisis has increased pressure on Baghdad to secure more predictable water supplies while improving domestic management of resources.
Turkey has long argued that water issues should be addressed through cooperation rather than political confrontation, while Iraq has repeatedly called for greater guarantees over downstream flows.
The new agreement attempts to create a more institutionalised approach by establishing mechanisms for joint planning and implementation.
It comes as Iraq seeks to strengthen economic links with Turkey, including cooperation in energy, electricity, transportation and trade.
Prime Minister Ali al-Zaidi’s planned visit to Ankara with a high-level delegation is expected to advance discussions on a package of agreements covering several sectors, including water, energy and commerce.
The timing also reflects wider regional pressures. Climate change has intensified competition over water resources across the Middle East, where shared rivers increasingly influence food security, migration patterns and political stability.
Analysts say the Iraq-Turkey framework could offer a model for managing transboundary water disputes, but caution that political commitments alone will not solve Iraq’s long-term water problems.
Baghdad will still need to invest heavily in domestic reforms, including reducing agricultural waste, upgrading irrigation networks and improving water governance.
The challenge for both governments now is moving from agreement to implementation.
If successful, the partnership could transform the Tigris and Euphrates from a recurring source of tension into a foundation for deeper cooperation between two neighbouring economies.