All roads lead to Beijing, Iraq and the Belt and Road: A Closer Look

Abstract

This paper explores Iraq’s evolving role in China’s Belt and Road Initiative (BRI), a topic that 

has received limited attention compared to other countries like Pakistan or Iran. While much has 

been written about China’s presence in the region, Iraq’s case stands out because of its oil-

backed approach to infrastructure cooperation, which differs significantly from the debt-financed 

model seen elsewhere. 

Using PowerChina’s projects in Iraq as a case study—and drawing comparisons with the China–

Pakistan Economic Corridor (CPEC)—this research looks at how energy and infrastructure 

partnerships are shaped by local context. Iraq’s model, based on oil-for-infrastructure deals and 

partial yuan-based trade, has avoided some of the financial stress and public resistance seen in 

other countries. 

The paper draws on field experience, informal interviews, and a mix of academic and policy 

sources. It uses Energy Diplomacy Theory and Political Economy frameworks to understand 

what Iraq’s experience says about the BRI more broadly. The goal is to offer insights for both 

Chinese and Iraqi policymakers, and to encourage more attention to Iraq’s role in China’s 

regional strategy. 

Keywords: BRI, Belt and Road Initiative, China-Iraq relations, PowerChina, infrastructure diplomacy, oil-for-infrastructure, CPEC, China, silk road, China-Iraq, Iraq

JEL Classification: O53, H54, F21, P45, D74, F35, O19, Q43