Iraq and OPEC+ Plan Output Hike in August

Iraq has reaffirmed its commitment to ensuring oil market stability, aligning with fellow OPEC+ nations during a virtual meeting held on the 5th of July 2025. The session, which included Saudi Arabia, Russia, the UAE, Kuwait, Kazakhstan, Algeria, and Oman, focused on reviewing global market conditions and the short- to medium-term economic outlook.

With global oil demand remaining steady and market fundamentals deemed healthy, reflected in continued low oil inventories, the group agreed to continue the gradual rollback of voluntary production cuts introduced in 2023. In accordance with the decision made on 5 December 2024, the eight countries will implement a production adjustment of 548,000 barrels per day in August 2025, based on July’s production levels. This forms part of the phased return of the 2.2 million barrels per day initially withheld to stabilise the market.

For Iraq, this decision emphasises  its dual role as both a reliable oil producer and a constructive partner in fostering market balance. The phased increases, designed with flexibility, may be paused or reversed in response to market developments,ensuring adaptability in the face of shifting global dynamics.

The participating countries, including Iraq, also emphasised their commitment to compensate for any overproduction since January 2024, reiterating full adherence to the Declaration of Cooperation. These voluntary adjustments are being closely monitored by the Joint Ministerial Monitoring Committee (JMMC), which convened for its 53rd meeting in April 2024.

Iraq, along with the other seven nations, will continue to participate in monthly meetings to assess market conditions, monitor production conformity, and review progress on compensation. The next review session is scheduled for August 2025, when the group will determine production levels for September.

This collaborative approach reflects Iraq’s dedication to energy market responsibility and its proactive role within OPEC+, balancing national interests with broader global energy stability.

Source: OPEC