Iraq weighs OPEC exit if quota not raised

Iraq is threatening to consider all available options, including a potential exit from OPEC, if the oil producer group does not grant it a significant increase in its production quota. The warning from a senior Iraqi oil ministry official, reported on Thursday, June 25, 2026, underscores the severe economic pressure on Baghdad following the Iran war and highlights growing tensions within the organization.

Iraq, OPEC's second-largest producer and one of its five founding members, argues that its quota should better reflect its production capacity and population. The country aims to increase its oil production capacity to seven million barrels per day in the coming years. Officials stated that while the preferred plan is to remain within OPEC and negotiate a higher allocation, failure to secure a substantial increase would compel Iraq to explore alternative paths. The official described the need for a quota hike as an urgent economic necessity due to a critical financial crisis exacerbated by the conflict.

The dispute emerges at a sensitive time for OPEC, following the departure of the United Arab Emirates earlier this year. An Iraqi exit would represent a far more significant...