Heading: Saudi Arabia and UAE Commit $6 Billion for Trade and Investment in Iraq
Saudi Arabia and the United Arab Emirates (UAE) have pledged to allocate $6 billion to expand international trade and investment in Iraq, according to the Iraqi News Agency. This commitment comes as the Federation of Iraqi Chambers of Commerce announced the establishment of business councils from both countries in Iraq.
Heading: Boosting Trade and Investment in Iraq
The FICC President, Abdel Razzak Al-Zouhairy, stated that Saudi Arabia and the UAE have each deposited $3 billion to support trade and investment activities in Iraq. Al-Zouhairy also highlighted Iraq’s unique geographical location, which gives it a competitive advantage in becoming a key player in global trade, particularly in trade routes between Europe and Asia.
Heading: Integrated System for Commercial Activities
Al-Zouhairy emphasized Iraq’s aim to maintain an integrated system for commercial activities to keep up with the development of global trade, especially in the customs domain of entry and exit of goods. This focus on improving customs processes will contribute to facilitating smoother trade operations.
Heading: “Made in Saudi” Trade Mission
Last month, the Saudi Export Development Authority organized a trade mission to Iraq under the theme “Made in Saudi.” The event showcased the authority’s commitment to developing non-oil exports from Saudi Arabia and providing export opportunities to local exporters. Over 37 Saudi companies and 100 Iraqi firms from various sectors participated in the trade mission, including construction materials, food products, and packaging.
Heading: Baghdad Avenue – A $1 Billion Commercial Project
In June, Saudi Arabia signed a contract with Iraq to establish a commercial project worth $1 billion in Baghdad. Known as Baghdad Avenue, this project is expected to become the largest shopping mall in Iraq. It will feature coffee shops, restaurants, commercial offices, 4,000 apartments, and 2,500 villas. This investment will contribute to the development of Iraq’s infrastructure and boost its economy.
Heading: Saudi-Iraq Investment Co. Venture
The Kingdom’s Public Investment Fund announced its plan in May to create a venture with a capital of $3 billion to invest in various industries across Iraq. The Saudi-Iraq Investment Co., headquartered in Saudi Arabia, will seek funding opportunities in infrastructure, mining, agriculture, real estate development, and financial services. This venture aims to further strengthen economic ties between the two countries.
Heading: Boosting Economic Cooperation and Special Economic Zone
During the fifth session of the Saudi-Iraqi Coordination Council in Jeddah in May, Saudi Arabia and Iraq signed multiple agreements to enhance economic cooperation and develop a special economic zone. These agreements aim to identify economic opportunities that will boost bilateral trade and investments across various sectors.
Heading: Conclusion
Saudi Arabia and the UAE’s commitment of $6 billion to expand trade and investment in Iraq demonstrates their confidence in Iraq’s potential as a key player in global trade. With ongoing projects such as Baghdad Avenue and the establishment of the Saudi-Iraq Investment Co., both countries are actively working towards strengthening economic ties and promoting growth in Iraq. These initiatives will not only benefit Iraq’s economy but also contribute to regional economic stability and development.