Sweden's new aid strategy: phasing out Iraq support by 2025

Shafaq News/ On Thursday, the Swedish government announced plans to gradually end development aid to Iraq in 2025, aiming to provide more effective support to fewer countries.

"Sweden has contributed both humanitarian support and development aid to Iraq for many years," Johan Forssell, Minister for International Development Cooperation and Foreign Trade, said.

“Current aid package to Iraq amounts to around 190 million Swedish crowns ($18 million) a year. Next year, the total will be around 100 million, with aid being phased out by June 30,” he added.

Sweden, with 200,000 Iraqis among its population, provides aid to about 100 countries globally.

In this context, “The money was too widely spread to be effective,” Forssell said.

“We are in the midst of a sweeping change in Swedish aid policy. The government has today decided to end Swedish aid to Iraq. Iraq has the world's fifth-largest oil reserves. Last year alone, the country's oil revenues amounted to more than SEK 1,000 billion,” he posted on X.

“As Iraq's economy grows, I see favorable conditions for increased trade between our countries, particularly in communications, infrastructure, and healthcare," he further wrote.

In the last decade, Sweden provided nearly 3 billion kronor ($284 million) in development aid to Iraq.

Relations between the countries became tense in the summer of 2023 due to multiple protests in Sweden involving incidents of Quran desecration.