The International Finance Corporation (IFC) announced $1 billion in new investments and partnerships for Iraq during an IFC Partnerships Day in Baghdad, marking two decades of the World Bank Group member’s operations in the country.
The investments will target energy, infrastructure, agribusiness and finance sectors as part of IFC’s commitment to Iraq’s private sector development, the corporation said. Iraqi Prime Minister Mohammed Shia’ al-Sudani patronized the event.
“Iraq is ready to embrace Arab and foreign partnerships like these ones,” al-Sudani said, calling the agreements with IFC “important” given the institution’s prominence in financial advisory and investment.
Since 2005, IFC has invested and mobilized more than $2.5 billion in Iraq, creating over 28,000 jobs including 5,000 for women through infrastructure, finance access, manufacturing and food security projects.
The new partnerships include a mandate for IFC to lead a second $500 million loan for Basrah Gas Company, building on 2021 financing for one of the world’s largest gas flaring reduction projects aimed at capturing gas for energy use and reducing emissions.
Infrastructure investments include a $120 million partnership with Aloreen Company for Investment to expand container handling equipment and yard capacity at Iraq’s Umm Qasr Port, developed with Terminal Investment Limited Holding, a Mediterranean Shipping Company subsidiary.
IFC will also invest $200 million through Nomu Holding to strengthen Iraq’s construction materials industry, and $65 million with Hiwa Rauf for Investment and Development for Iraq’s first certified sustainable mixed-use real estate project in Sulaymaniyah.
Additional partnerships focus on food security through agricultural feasibility studies with Tiryaki Agro, healthcare infrastructure development for a teaching hospital at American University of Iraq in Baghdad, and expanded trade finance through a $10 million facility with Bank of Baghdad.
“Iraq’s private sector is agile, resilient, and capable of driving sustainable growth,” said K. Aftab Ahmed, IFC Director for the Middle East, Pakistan and Afghanistan, emphasizing alignment with Iraq’s Vision 2030 development goals.