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By John Lee.

Prime Minister Mohammed S. Al-Sudani oversaw the signing of a Memorandum of Understanding between the National Investment Commission (NIC) and Egypt's Talaat Moustafa Group for Real Estate Development (TMG) to develop part of the economic zone in Al-Rafeel [Rafael] City, west of Baghdad.

The agreement involves Iraqi-Egyptian-Saudi investment and includes participation from Saudi Arabia's Al Muhaidib Group.

The MoU aims to attract investments across multiple sectors and was accompanied by a presentation of city plans, covering land allocation, infrastructure, schools, hotels, and service facilities.

Al-Sudani reiterated the government's commitment to facilitating investment and accelerating strategic development initiatives. Talaat Moustafa Group CEO Hisham Talaat Moustafa confirmed readiness to initiate implementation procedures.

(Source: Media Office of the Prime Minister)

By John Lee.

Talaat Moustafa Group Holding (TMG Holding) has confirmed that it is in advanced negotiations with Iraq's National Investment Commission (NIC) to develop a large-scale mixed-use project southwest of Baghdad, marking a major step in its regional expansion.

The project, spanning approximately 14 million square metres [14,000 donums; 1,400 hectares], is expected to comprise around 45,000 mixed-use residential and commercial units. The company says the project aims to replicate TMG's integrated city model successfully implemented in Egypt and Saudi Arabia, incorporating sustainability, smart technologies, and comprehensive infrastructure.

In a statement to the Egyptian Stock Exchange, TMG said it estimates the project will generate total sales of around $17 billion, with annual recurring revenues exceeding $1.5 billion once fully operational. The group anticipates receiving the land allocation from the Iraqi authorities by year-end.

This initiative, to be developed through TMG Saudi, aligns with the company's strategy to boost foreign exchange earnings, hedge against local currency volatility, and reinforce its leadership in exporting real estate and tourism models to regional markets.

TMG Holding stated that it will continue to update shareholders on any material progress regarding the Iraq project, in line with Egyptian Stock Exchange disclosure requirements.

(Source: TMG Holding)

By John Lee.

Iraq's Ministry of Industry and Minerals has announced the signing of a strategic agreement between Iraq's State Company for Glass and Refractories and Saudi-based Ajial Company to develop the largest integrated industrial complex in the region based on silica as a core raw material.

The deal was signed under the patronage of Minister Prof. Eng. Khaled Battal Al-Najm.

The complex, to be located in Anbar province, will support a wide range of future industrial projects, including the production of flat glass, bottles and jars, ceramic sanitary ware, ceramic wall and floor tiles, glass electrical insulators, sodium silicate, and other silica-based products.

According to the Ministry, this initiative marks a major step forward in Iraq-Saudi industrial collaboration and is expected to deliver substantial economic benefits. The facility will utilise Iraq's abundant silica resources to boost industrial output, create job opportunities, and reinforce economic sustainability.

Minister Al-Najm highlighted that the agreement aligns with the Ministry's vision to enhance Iraq's industrial capabilities and diversify income sources through the utilisation of local raw materials. He described the deal as a turning point in bilateral industrial cooperation and a critical contribution to strengthening the industrial base in Iraq.

(Source: Ministry of Industry and Minerals)

By John Lee.

Minister of Electricity Ziyad Ali Fadel held what he described as a productive meeting with representatives of ACWA Power of Saudi Arabia, one of the world's leading renewable energy companies, to finalise contracting procedures for the establishment of a 1,000-megawatt solar power plant in Najaf.

The two sides agreed on a roadmap to expedite the completion of this strategic project, seen as a major step towards diversifying Iraq's energy sources and leveraging the country's significant solar potential to meet rising electricity demand.

Minister Fadel noted that the Najaf Solar Power Plant forms part of a broader package of strategic initiatives, which also includes the 1,000-megawatt "Shams Basra" project being developed by Total of France in Basra, and another 525-megawatt project in Babil and Karbala being implemented by a local company [Al-Bilal Group].

These projects are expected to significantly strengthen Iraq's electricity network and support long-term energy sustainability.

Minister of Oil, Hayan Abdul-Ghani, also met with a representative of ACWA Power at the weekend, during his visit to London.

(Sources: Ministry of Electricity; Ministry of Oil)

From the United Nations Development Programme (UNDP). Any opinions expressed are those of the author(s), and do not necessarily reflect the views of Iraq Business News.

Fresh solutions: youth tackle tomato waste in Iraq

When Zaid, a veterinarian and university lecturer, decided to enter a hackathon to dream up innovations in agriculture, he turned to the past to find a name for his team. He chose the name NABU to honour the ancient Mesopotamian deity, revered as the god of wisdom, agricultural prosperity and abundant harvests. With this inspiration, the team was determined to tackle a pressing issue facing farmers in the Ninewa region of Iraq: tomato waste.

'We wanted to address the massive food waste during peak tomato seasons, where farmers often discard excess tomatoes,' said Zaid. 'Our goal was to transform these surplus tomatoes into valuable products.'

A meeting of minds at the hackathon

The team's journey began at the EU-funded hackathon in February, where they came together to create something that could solve a real-world problem.

'Some of us had backgrounds in agriculture, while others were involved in different initiatives, but the hackathon was where it all clicked,' said Isen, a team member with deep agricultural roots. It was here that NABU's core idea took shape: turning surplus tomatoes into dried food products.

Each item is crafted from surplus tomatoes, showcasing a practical and sustainable solution to seasonal food waste in Iraq. Photo: © UN in Iraq

'We were inspired to create value-added products that could provide both a sustainable solution for farmers and a nutritious option for consumers,' said Huda, a member with a diploma in finance and a current student in management information systems.

The products they envisioned included dried tomato slices, tomato powders, and tomatoes preserved in olive oil-natural products that could be sold locally and eventually internationally.

Turning vision into reality

During the hackathon, the team refined their idea and expanded it.

'We realized that drying wasn't enough-we needed to add more value,' said Zaid. 'That's when we introduced different forms of tomato powder and even began to explore the potential health benefits of tomatoes, like extracting lycopene, known for its anti-aging and anti-cancer properties.'

Collaboration during the event was crucial.

'The hackathon provided a competitive and dynamic environment that pushed us to think critically about how to turn our idea into a viable business,' said Islam, a young journalist.

Participants brainstorm ideas during the Agri Hackathon, where young minds came together to tackle local farming challenges. Photo: © UN in Iraq

By the end of the competition, NABU had refined a business model that set them on the path to becoming local food innovators.

Expanding the vision: Rabiyan, the local brand

After winning first place and receiving a grant of 2.5 million Iraqi dinars (about $1,900), NABU began investing in product development.

'We used the grant to scale our production process, making sure our products were fully packaged and ready for the market,' said Saja, who has a degree in physics and was instrumental in turning the vision into a tangible product. 'We're actively looking for additional funding to grow our business and increase our reach,' Isen added.

Winning team showcases their tomato-derived creations, developed to transform surplus crops into valuable goods. Photo: © UN in Iraq

Their brand, Rabiyan, was named after a region in Mosul known for its high tomato production. 'Rabiyan is synonymous with tomatoes in our community,' said Zaid. 'By naming our brand after this place, we wanted to highlight the local nature of our products.' The team was determined to push forward, knowing that the road to success wouldn't be easy. 'We've faced challenges, especially in terms of customer trust and market penetration, but we believe in the quality and health benefits of our products,' said Noor, who has a background in veterinary medicine.

Building customer trust and looking to the future

The team has been working on building customer trust in their products, especially since dried tomato products are new to the Iraqi market.

'People are interested, but we need to work harder to convince them that our product is of the highest quality,' Huda said. They have been using social media, local exhibitions, and even offering free samples to increase awareness and customer confidence.

After securing first place at the Agri Hackathon and winning a grant of 2.5 million Iraqi dinars, the team behind NABU began transforming their vision into a growing product line. Photo: © UN in Iraq

Looking ahead, NABU aims to expand the Rabiyan brand across Iraq and into Gulf countries, with a focus on markets such as Saudi Arabia, where demand for high-quality, locally produced products is steadily increasing.

'Believe in your idea. Even if it seems small or crazy at first, keep pushing. You never know where it can lead you,' Zaid added.

NABU's journey from a hackathon idea to a growing business is a testament to the power of collaboration, innovation, and perseverance. With a strong local foundation and an eye on international markets, the team is poised for continued success. 'We started with just one tomato,' said Huda. 'Now we have four products-and we're just getting started.'

The agricultural hackathon was organized by the International Trade Centre in partnership with Mosul Space under the EU-funded SAAVI project.

(Source: UNDP)

From the Iraq Britain Business Council (IBBC):

How Iraq is Modernising and Diversifying its Growing Economy

For the last three years Iraq has enjoyed relative stability, good oil prices and a growing economy. For those who invested in the Iraqi stock market, returns of over 100% are common and GDP in 2025 is estimated to be up to 5%.

Oil and Gas sales has driven this expansion, but other factors such as sovereign wealth funds are now encouraged by the GOI's stability to invest, such as the Saudis with their Public investment fund, the Qataris ( both government and private sector, and the Gulf states, have driven around $3.5bn investment into infrastructure, housing and the development road initiative, in addition to Iraqis investing in consumer real estate such as cafes and housing  all feeding off economic and political confidence. The government has also pledged up to $400bn of investment into development, infrastructure and the Al Fawr port complex and the new $15bn trade deal with UK for cyber, telco and defence support.

At IBBCs Baghdad conference in February, over 350 business delegates flocked to hear the leading minsters or oil, communications, foreign affairs and key advisors to the Prime Minister, expand on opportunities in Iraq, where the atmosphere was palpably enthusiastic to participate in the new Iraq economy.

Beyond Infrastructure we also see expansion in Schooling and Universities, in more diverse services such as travel, tech and professional services like law and banking. Collaboration with international companies and countries is key to Iraq's evolution, as new skills and technologies are coming into the country, driven by international confidence in Iraq. Iraq needs a more skilled workforce to enable engineering and business expansion, and companies like Unihouse and Mselect are supporting these skills.

Indeed, IBBCs membership mix reflects this diversification, modernisation and internationalisation of the economy: private schools, training and skills companies, tech and media companies, high end added value design, and the establishment of Agritech and marine sector companies bringing expertise into the country like DPD, AL Zaman Group(Marine Shipbuilding company Uk Ltd ) Gold Sponsors, and CJ-ICM.

At our Spring Conference at the Mansion House on June 3rd we will showcase the leaders in these new sectors and explain why they are now investing and establishing in Iraq. You will also meet the best of British expertise, through the sagacity of Lord Howell on energy, Lord Green on banking, Professor Frank Gunter with his report on Iraq Entrepreneurs, and from Iraq the minister of Transport, who will outline the significant infrastructure opportunities, as well as other Iraqi officials soon to be confirmed. Underpinning UK investment the UKEF CEO, Tim Reid, will present how companies can access the £billions in UK trade guarantees, Jon Wilks CMG ( former Ambassador) will articulate his much anticipated geo political insights and dynamics especially with an election looming and developments in Syria, Iran and the Middle East, The IFC on investment initiatives led by Hogan Lovells (Gold sponsor) and with TBI (Gold Sponsor), and key IBBC companies in energy, finance , maritime, agritech, tech and education will be evident on stage. For those wanting more interactive discussion there are roundtables on Entrepreneurship, Growth, Transport (with Sardar, Gold Sponsors), Education and a special Tourism and heritage panel and exhibition. On 2nd June will be a special networking reception at the Mansion house for delegates, and the Tech forum online - covering how AI and Tech support the services sector- including its use in education, investment and Pharma.

To view the latest speaker, line up and to register, please go to this link on IBBCs website.

While the worlds stock markets are in turmoil, for once, Iraq presents a beacon of economic and social stability as it takes the long march towards modernity and diversification of its economy. Come and hear how this is happening and meet the people who are making it happen. Register here for the IBBC Mansion House conference.

Gold sponsors include: Trade bank of Iraq, Sardar Group and Al Zaman Group (Marine Shipbuilding company Uk Ltd), Hogan Lovells International LLP

By John Lee.

Eight key members of the OPEC+ alliance, including Iraq, have agreed to increase production starting in May 2025, citing healthier global market fundamentals and a positive outlook.

At a virtual meeting held on 3 April 2025, the countries reviewed market conditions and confirmed they would implement a 411,000 barrels per day (bpd) production increase in May. This figure comprises three scheduled monthly increments, including the one originally planned for May, and is part of the gradual reversal of the 2.2 million bpd voluntary cuts announced in April and November 2023.

In a statement, OPEC said this adjustment aligns with the decision made on 5 December 2024, reaffirmed on 3 March 2025, to return production gradually and flexibly. The group reiterated that these increases could be paused or reversed depending on evolving market dynamics.

Full statement from OPEC:

Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Algeria, and Oman reaffirm commitment to market stability on healthier oil market outlook and adjust production upward

The eight OPEC+ countries, which previously announced additional voluntary adjustments in April and November 2023, namely Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Algeria, and Oman met virtually on 3 April 2025, to review global market conditions and outlook.

In view of the continuing healthy market fundamentals and the positive market outlook, and in accordance with the decision agreed upon on 5 December 2024, subsequently reaffirmed on 3 March 2025, to start a gradual and flexible return of the 2.2 million barrels per day voluntary adjustments starting from 1 April 2025, the eight participating countries will implement a production adjustment of 411 thousand barrels per day, equivalent to three monthly increments, in May 2025, as detailed in the table below. This comprises the increment originally planned for May in addition to two monthly increments. The gradual increases may be paused or reversed subject to evolving market conditions. This flexibility will allow the group to continue to support oil market stability. The eight OPEC+ countries also noted that this measure will provide an opportunity for the participating countries to accelerate their compensation.

The eight countries reaffirmed their commitment to the voluntary production adjustments agreed at the 53rd JMMC meeting on 3 April 2024. They also confirmed their intention to fully compensate any overproduced volume since January 2024 and to submit updated front-loaded compensation plans to the OPEC Secretariat by 15 April 2025 which will be posted on the Secretariat's website.

The eight OPEC+ countries will hold monthly meetings to review market conditions, conformity, and compensation. The eight countries will meet on the 5th of May to decide on June production levels.

(Source: OPEC Secretariat)

By John Lee.

Iraq's Minister of Electricity, Eng. Ziyad Ali Fadel, has addressed key energy issues in interviews with Al Arabiya and Al Hadath, outlining government efforts to secure power supply and mitigate potential summer shortages.

Key points include:

• The halt of exemptions has affected 800 MW of electricity imports from Iran, impacting Diyala, Maysan, and Basra.
• The Ministry has not received official notification regarding the suspension of Iranian gas imports, with discussions ongoing.
• Alternative measures include fuel oil (kaz), regional power grid connections, solar power projects, and the establishment of a floating LNG terminal.
• Turkmenistan is being considered as an alternative gas supplier, as it is not subject to sanctions.
• A floating platform for LNG imports will be installed in the Gulf by June to supply power plants.
• Turkey has agreed to double electricity supply via the Iraq-Turkey interconnection to 600 MW starting mid-May.
• Iraq-Kuwait grid connection is 90% complete, with landmine clearance in Fao delaying finalization.
• Renewable energy projects under development:
  • 1,000 MW solar by TotalEnergies (Basra)
  • 750 MW by PetroChina (Muthanna)
  • 500 MW by Bilal Iraq (Babel & Karbala)
  • Additional 15,000 MW planned using combined-cycle and solar technologies.
• Iraq is shifting towards 15,000 MW of crude oil-based power generation, similar to Saudi Arabia's model.
• Major agreements planned:
  • 24,000 MW with GE (USA)
  • 10,000 MW with Siemens (Germany)
• Iraq is executing its largest-ever power grid expansion, upgrading transmission lines and substations to stabilize electricity supply.

(Source: Ministry of Electricity)

By John Lee.

Iraq has improved slightly in the Economist Intelligence Unit's annual Democracy Index.

Rising two places to 126th out of 167 countries, Iraq is classified as "authoritarian", and scores lower than countries such as Jordan, United Arab Emirates (UAE) and Zimbabwe, but higher than Kuwait, Saudi Arabia and Iran.

The report finds that Iraq has a "superficial democratic facade".

The Democracy Index provides a snapshot of the state of democracy worldwide based on five categories: electoral process and pluralism, functioning of government, political participation, political culture, and civil liberties.

Based on its scores on a range of indicators within these categories, each country is then classified as one of four types of regime: "full democracy", "flawed democracy", "hybrid regime" or "authoritarian regime".

The full report can be downloaded here.

(Source: EIU)

By John Lee.

The Iraqi Ministry of Oil has reaffirmed its full commitment to the OPEC+ production agreement, including additional voluntary cuts and compensation for excess production.

In a statemet on Monday, the Ministry will implement necessary measures to ensure compliance, including submitting an updated plan to offset previous overproduction.

This commitment was reiterated during a joint phone call between:

• Hayan Abdul Ghani Abdul Zahra, Iraq's Deputy Prime Minister for Energy Affairs and Minister of Oil.
• HRH Prince Abdulaziz bin Salman Al Saud, Saudi Energy Minister.
• Alexander Novak, Russian Deputy Prime Minister.
• Haitham Al Ghais, OPEC Secretary-General.

According to what the Ministry described as data issued by secondary sources approved by OPEC, Iraq's crude oil production in January 2025 stood at 3.999 million barrels per day (bpd), reflecting adherence to agreed production levels.

Key Developments:

• Iraq will continue efforts to compensate for past overproduction.
• The government is preparing for the resumption of Kurdistan oil exports via the Iraq-Turkey pipeline.
• Iraq remains committed to its OPEC+ voluntary production cut obligations.

The Ministry of Oil emphasised the crucial role of OPEC+ agreements in stabilising global oil markets and highlighted the importance of collective efforts from all member states to maintain market balance.

On Saturday, Baghdad confirmed the completion of procedures for resuming the export of oil produced in the Kurdistan Region through Ceyhan Port, in accordance with the mechanisms outlined in the Budget Law and its amendments and within Iraq's OPEC production quota.

(Source: Iraqi Ministry of Oil)