Russia Won't Be Compensated on Failed Iraq Deal: Analyst

Russia is unlikely to receive any compensation if Iraq has scrapped a $4.2 billion contract to buy weapons, Ruslan Pukhov, head of the Center for Analysis of Strategies and Technologies in Moscow, said today.

The contract, which would have made Russia the second-biggest arms supplier to Iraq after the U.S., has been canceled, said Hakim al-Zamili, a lawmaker on the Iraqi parliament’s defense and security committee.

“Russia gained nothing from this deal and lost nothing, except for face,” Pukhov said by phone. “Round one went to Moscow, round two has been won by the Americans, but there will be many more rounds before this match is over.”

The weapons deal for Russian MI-28 attack helicopters and anti-aircraft systems was perceived as a challenge to Iraq’s military ties to the U.S., Pukhov said. Russia’s government announced Oct. 9 it signed the weapons deal with the Middle Eastern country.

Before it's here, it's on the Bloomberg Terminal. LEARN MORE