Iraq can invest in these sectors better than oil

[blueskyline]

http://oneiraqnews.com/index.php?aa=news&id22=5660......

New study: Iraq can invest in these sectors better than oil

 

 

 

 
Wen said

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2018/7/9 04:06:09 PM 

Iraq is committed to implementing a stable macroeconomic framework driven by strong growth potential in the oil and gas sector, as well as non-oil industries, a recent study said. 

 

Iraq, as a leader in emerging markets, offers unlimited investment opportunities and requires more than $ 30 billion in foreign direct investment per year, according to Frost & Sullivan's latest study, Unexploited Opportunities in Iraq: A Path to Prosperity. 

 

After three years of combat, the end of the war in Iraq encourages investment in the country's reconstruction and economic reform. According to the study, investment in Iraq provides an attractive law for greater protection for foreign investors, and investment in the country is expected to achieve the highest rates of cash returns. 

 

In 2018, governments from more than 76 countries, international organizations and investors pledged $ 30 billion in loans to invest in Iraq and rebuild the country. 

 

Apart from FDI, the initial opportunities areas for global companies also include technology development and improved manufacturing in all industries. 

 

Most industries operate on older technology systems that prevent access to the latest technology. Therefore, Iraqi companies seek to partner with international companies to take advantage of their best practices in manufacturing processes.

 

"As a national development plan, Iraq aims to boost its economy through privatization, oil and gas development as well as minerals throughout the year," said Ali Mir Mohammad, senior adviser and business development director at Frost & Sullivan. 

 

"The plan is not only to privatize state-owned enterprises, but also to support small and medium enterprises, tax breaks and financial incentives," he said. Overall, FDI inflows are expected to help the Iraqi government achieve its goal over the next five years.

 

Mineral oil, natural gas and phosphate deposits are among the most important natural resources in Iraq, which require huge investment opportunities along the value chain. Large amounts of mineral reserves remain untapped. This, if exploited, offers enormous opportunities for drilling and mining. Thus, opportunities are great for mining companies, equipment suppliers and investors.

 

Expansion opportunities are likely to be available to private investors, particularly in sectors that are in dire need of reconstruction and development such as banking, metals, renewable energy, telecommunications, landfills, e-commerce, recycling, water and sanitation, food and tourism.

 

"Thanks to the possibility of achieving greater security stability, Iraq has registered more than 212 projects ready for investment in more than 10 sectors," he said. He pointed out that "these sectors, after oil is, industry, health, education, energy and agriculture."

 

To attract foreign investors, the Iraqi government has provided a list of guarantees and privileges, including 10-year tax breaks that can be extended to 15 years. The right of ownership and seizure of investment projects and the right to deal with the Iraqi stock exchange and the leasing of agricultural land. 

 

 With a population of around 40 million, Iraq has emerged as one of the most important consumer markets in the Middle East, which relies primarily on imports for the sale of crude oil.

 

The latest study, "Unexploited Opportunities: The Road to Prosperity," highlights the potential for growth in the following markets, investment in cereals, food, beverages, medicines, beauty, skin care, furniture, household appliances, footwear, textiles, clothing, medical devices, consumer electronics and plastic products.

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Source: gdnonline

Translation: Wan News

 

 

 

 

 

 

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[Christoph]

Cheers for the post, skyline. I think Iraq is definitely attractive to outside investors and the potential for growth is huge. 

I just want the RV to happen to reflect that!

[yota691]

 

Iraq offers huge investment opportunties says study

10 hours, 52 minutes ago DUBAI, The government of Iraq is committed to implementing a stable macroeconomic framework driven by significant growth potential in the oil and gas sector as well as non-oil industries, said a recent study.

A potential leader in emerging markets, Iraq offers unlimited investment opportunities and requires over $30 billion of foreign direct investment (FDI) per annum, according to Frost & Sullivan’s recent study – ‘Iraq’s Untapped Opportunities; Path to Investment Boom’.

After three years under combat operations, the end of Iraq’s war against the Islamic State (ISIS) encourages the country’s reconstruction and economic reformation. As a result of healthy foreign international reserves, limited restrictions on cross-border fund transfers as well as an attractive legal framework that provides greater protection and incentives for foreign investors, investments in the country is expected to generate the highest rate of returns, said the study.

In 2018, governments from over 76 countries, global funds, organisations and investors pledged $30 billion in loans and investment to rebuild Iraq, it added.

Apart from FDI, primary opportunity areas for global companies also include technology upgrades and manufacturing process improvement across all industries. Most industries operate on obsolete or old technologies as wars and earlier sanctions prevented access to latest technologies. Therefore, Iraqi companies seek to partner with global companies to benefit from their best practices in manufacturing processes.

Ali Mirmohammad, senior consultant and business development manager at Frost & Sullivan, said: “As a national development plan, Iraq aims to boost the economy through privatisation and development of oil and gas as well as minerals along the value chain.”

“The plan is to not only privatise existing state-owned enterprises but also support SMEs with tax holidays and financial incentives. All in all, FDI inflow is expected to help the Iraqi Government to achieve the target within the next five years,” he added.

Mineral oil, natural gas and phosphate deposits are among the top natural resources in Iraq that call for huge investment opportunities along the value chain. Huge volumes of mineral reserves remain untapped. This provides enormous opportunities for excavation and extraction of minerals. Opportunities are thus significant for mineral extraction companies, equipment suppliers as well as downstream investors.

Lucrative prospects are likely present for private investors, especially in the sectors that are currently in dire need of re-building and development such as banking, minerals, renewable energies, telecommunications, landfills, e-Commerce, recycling, water and sanitation, food and tourism.

Mirmohammad continued: “Enabled by the prospect of greater stability and security, Iraq has listed a total of over 212 projects ready for investment across more than 10 sectors.”

“Of these sectors, oil and refineries is the most promising sector for investors followed by industrial and manufacturing, infrastructure, health and education, energy and agriculture sector,” he added.

To attract foreign investors, the Iraqi Government has offered a list of guarantees and privileges including tax holidays for 10 years (extendable to 15 years in some cases), the right of ownership and protection against seizure or nationalisation of the investment project, the right to deal on the Iraq Stock Exchange (ISX), rent or lease lands needed for the project for the term of the investment project, the right to repatriate the capital brought into Iraq and many more.

With a population of nearly 40 million, Iraq is also emerging as one of top consumer markets in the Middle East that primarily depends on imports.

Frost & Sullivan’s recent study, Iraq’s Untapped Opportunities; Path to Investment Boom, highlights the growth potential in the following markets from 2018 to 2022 – Grains, Food & Beverages (8-10 per cent CAGR), Pharmaceuticals (10-12 per cent CAGR), Beauty and Personal Care (8-10 per cent CAGR), Furniture and Homewares (5-6 per cent CAGR), Footwear, Textile and Apparel (5-6 per cent CAGR), Medical Devices (18-20 per cent CAGR), Consumer Electronics (7-8 per cent CAGR) and Plastic Products (9-10 per cent CAGR).  

Iraq plans to focus on the oil and gas value chain, downstream value chain, minerals value chain, and tourism and financial services to move the GDP growth rate by 6 per cent annually in the next eight years. Hence, with a population of over 39 million people as of 2018, Iraq remains an attractive consumer market with potential of over $40 billion, it stated. – TradeArabia News Service

[Pitcher]

Recent study published by Frost & Sullivan market research company shows that the Iraqi government is committed to implement a stable macroeconomic framework driven by significant growth potential in the oil and gas sector as well as non-oil industries.

The study pointed out that Iraq offers unlimited investment opportunities, adding that governments from over 76 countries, global funds, organizations and investors pledged $30 billion in loans and investment to rebuild Iraq after announcing full liberation of Iraqi lands and the end of war against ISIS in December 2017.

“With the end of the ISIS war, Iraq is on the path of reconstruction and economic resurrection that calls for sustained investment to the tune of over USD 900 billion within the next decade”, said the study.

Senior consultant and business development manager at Frost & Sullivan, Ali Mirmohammad said that Iraq aims to boost the economy through privatization and development of oil and gas as well as minerals along the value chain.

Mineral oil, natural gas and phosphate deposits are among the top natural resources in Iraq that call for huge investment opportunities along the value chain.

The study said that Iraq will also focus on construction and infrastructure industries, healthcare, energy, tourism and financial services sectors to move the GDP growth rate by 10% annually within the next decade.

 

http://www.thebaghdadpost.com/en/story/29247/Iraq-offers-huge-investment-opportunities-Frost-Sullivan

 

 

 

[ChuckFinley]

Pitcher, great article, I am just a little concern on the next GOI. If Maliki is anywhere near this I feel that it will hurt both Iraq and this investment. 

[Pitcher]

Yes Chuck, Maliki, is a crook and hasn’t done much for the Iraqi people.  

[skeetdog]

Thanks Pitcher...There's no doubt Iraq has a lot to bring to the table...and has paid their dues and then some for the antics of a madman over a quarter a century ago...With the help of Iran and obummer...Maliki drove the Iraqi train off the tracks and down in the swamp...but with everything Iraq has accomplished and overcome...it still seems there that maliki influence of 'a dollar waiting on a dime'....jmho

[Hotcurl]

13 minutes ago, skeetdog said:

...it still seems there that maliki influence of 'a dollar waiting on a dime'....jmho

I'm sure you meant ' a dollar waiting on .00086 IQD' -  

Semper Fi

GO RV