Iraqi travelers face smaller USD allowance

WATCH THIS SPACE #1- Baghdad is setting tighter caps on Iraqi travelers’ USD allowance, with the Central Bank of Iraq issuing a decision on Wednesday reducing the amount Iraqis are able to withdraw ahead of traveling to USD 2k, from USD 3k previously. The move — which is being framed as a way to encourage the use of digital payments — is the latest iteration of the central bank cutting down on travelers’ FX allowance since 2023, when the amount was set at USD 7k. Iraq has a fixed exchange rate of IQD 1,320 / USD 1.

WATCH THIS SPACE #2- Canada is looking to sign a foreign investment promotion and protection agreement with Saudi Arabia this year, International Trade Minister Maninder Sidhu told Bloomberg. The two countries launched talks about the partnership last year during a Saudi visit to Canada. Ottawa hopes this collaboration will pave the way for a future freetrade agreement. Sidhu’s statements come as Canadian Prime Minister Mark Carney is in Saudi Arabia, where he met with Crown Prince Mohammed bin Salman to discuss expanding trade and cooperation across energy, critical minerals, defense, AI, agriculture, and life sciences.

Canada is courting investments from Saudi Arabia even as it reportedly has no shovel-ready projects for the UAE to deploy capital into after pledging USD 50 bn in investments last year.

Rejoining the fold

Syria is being brought in from more cold corners: Syria is set to be removed soon from the US’ list of state sponsors of terrorism, US President Donald Trump told Syria’s Ahmed Al Sharaa in a letter, Reuters reports. Trump’s decision will be up for a 45-day review by Congress before it can take effect, and will pave the way for US businesses to invest in Syria. Meanwhile, Syria regained its voting rights at the Organization for the Prohibition of Chemical Weapons, five years after the rights were revoked as Syrian forces under Bashar Al Assad were using poisonous gases during the country’s civil war, Reuters reports separately.

Delays at the border?

Are goods being moved from the UAE into Saudi facing delays at the border similar to delays in bank payments reported earlier this week? That’s what Semafor suggests, saying that some shipments are held up for anywhere between hours to several days — and in some cases more than a week — as bottlenecks worsen at the Al Batha crossing. Goods caught in the web include building equipment, furniture, spare parts, and fresh flowers. So far, Saudi customs authorities deny any disruption, saying trade remains within normal customs operations and that no complaints or signs of delays have been recorded.

The delays are adding friction to one of the Arab world’s biggest trade corridors. Bilateral trade between the two countries hit USD 25.7 bn last year, up from USD 21.7 bn in 2024, and the delays come as land crossings grew over the past few months due to the Strait of Hormuz blockade and increased reliance on overland routes.