Economy News – Baghdad
Iraq is progressing towards finalizing studies for significant tourism projects aimed at attracting local and international investment. This initiative aligns with the country’s goal of welcoming one million tourists to its rich array of archaeological sites in the near future, as stated by Nasser Ghanem, the head of the Tourism Authority in Iraq.
Ghanem highlighted that the proposed developments encompass comprehensive tourist resorts offering hotels, restaurants, and entertainment facilities in various districts of Baghdad, including Radwaniya, Aqarouf, and Al-Madaen. He emphasized the Iraqi government’s commitment to enhancing archaeological sites across multiple cities, including Baghdad, Mosul, Babylon, and Ur.
The focus is not only on attracting religious tourism—both Islamic and Christian—but also on revitalizing archaeological tourism. Given Iraq’s status as a premier archaeological destination, the Tourism Authority is preparing a proposal to be presented to the Ministry soon, with the objective of attracting one million tourists to these historical sites over the next five years.
Hotel Capacity Requirements in Baghdad
According to Ghanem, the capital city requires an additional 30,000 hotel rooms in the four- and five-star categories to meet its ambitious tourism targets. Ongoing construction projects, including hotels such as Movenpick, Rexus, and Heart of the World, are attracting over $200 million in investments. These hotels are expected to be managed by established international hotel chains.
Additionally, the ministry has received proposals to develop existing hotels in Baghdad, including the Palestine, Al-Mansour, Al-Sadir, and Ishtar hotels. The completion of these upgrades is anticipated to revitalize approximately 1,300 hotel rooms, reintroducing them to the market.
Investment Initiatives in Iraq
The Iraq Fund for Development recently launched an initiative called “Civilization,” aimed at forming an investment company in collaboration with both Iraqi and foreign investors to develop tourist resorts in Iraq’s archaeological regions. Muhammad Al-Najjar, the advisor to the Iraqi Prime Minister for Investment Affairs and Executive Director of the Iraq Fund for Development, noted that the country holds around 12,500 UNESCO-registered sites that have yet to be utilized.
Al-Najjar expects the fund to help attract $1 billion in investment flows to Iraq’s tourism sector within this year. He indicated that while the sector possesses substantial potential, it requires significant financial input to fully operationalize.
Part of Iraq’s strategy to diversify its economy away from oil dependency includes planning for 21 tourism projects. This initiative is also timely, as Baghdad has been designated the capital of Arab tourism for 2025 by the Arab Tourism Organization.
