Economic Developments – Baghdad
Mohamed Sahib Al-Daraji, the technical advisor to Prime Minister Mohamed Shia Sudani, announced on Thursday that Iraq’s total investments stand at approximately $60 billion, alongside a noteworthy reduction in the nation’s external debt, which now totals $9.8 billion.
In a detailed statement, Al-Daraji highlighted that “Iraq’s gross domestic product has surpassed $260 billion, resulting in an extremely low ratio of external debt to GDP.” He explained that this situation paves the way for a new era of external financing under prudent conditions. He noted, “Iraq’s external public debt has seen a substantial decline from $20.9 billion to $9.8 billion.”
Emphasizing the strategic direction of financing, Al-Daraji remarked, “It is imperative to direct funding towards productive projects capable of repaying their debts rather than focusing on consumer or non-viable initiatives.”
On the topic of current investment volume, he stated that “the aggregate of local and foreign investments in Iraq is around $60 billion, with a significant concentration in the real estate and housing sectors, which is a positive development.” He stressed the need to bolster the role of Iraqi investors and support them in diversifying their investment portfolios.
Al-Daraji further pointed out the existence of a large monetary bloc among citizens that remains outside the banking system, rendering it economically inactive if merely hoarded. He called for the transformation of these funds into investment projects that generate assets, thereby supporting the national economy and fostering sustainable development.
