Arab News, Mon, Apr 08, 2024 | Ramadan 29, 1445
Iraq signs 12 MoUs with Saudi Arabia in investment push
Saudi Arabia:
Economic ties between Saudi Arabia and Iraq are poised to strengthen further
with the signing of 12 memorandums of understanding for quality investment
projects.
The Kingdom’s Ministry of Investment announced on
‘X’ that this agreement with the Iraq Development Fund and Saudi companies will
enhance cooperation in various investment projects with Baghdad.
These MoUs were signed in the presence of Saudi
Minister of Investment Khalid Al-Falih, Iraq’s Deputy Prime Minister and
Minister of Planning Muhammad Ali Tamim and Mohammed Al-Najjar, chairman of the
Iraq Development Fund.
“The memorandums of understanding signed between
Saudi companies and the Iraq Development Fund came with the aim of enhancing
cooperation in a number of qualitative investment projects in Iraq,” said Iraq’s
Ministry of Planning in a statement.
In December 2023, Saudi Arabia and Iraq signed a
partnership agreement to encourage industrial investments in the private
sector.
In the same month, Mohammed Shia’ Al-Sudani, the
prime minister of Iraq, confirmed the contract between the Iraqi company
Al-Diyar and Saudi Arabia’s Northern Region Cement Co.
This partnership in the cement industry also
marked the first collaboration between the private sectors of Iraq and Saudi
Arabia.
Al-Sudani added that such alliances will foster
future cooperation between Iraqi businesses, companies, and their Saudi
counterparts.
He highlighted that these initiatives will also
strengthen the private sectors of both countries, create more job opportunities,
and promote sustainable development.
In May 2023, Saudi Arabia’s sovereign wealth fund
created a unit with a capital of $3 billion to invest in industries across
Iraq.
The investment unit seeks to explore funding
opportunities in infrastructure, mining, and agriculture, as well as real estate
development and financial services, among other areas.
In June 2023, Saudi Arabia signed a contract with
Iraq to establish a commercial project worth $1 billion in Baghdad.
Dubbed Baghdad Avenue and located near the city’s
international airport, the undertaking is expected to become the largest
shopping mall in Iraq, encompassing coffee shops, restaurants and commercial
offices.
Additionally, it will also house 4,000 apartments
and 2,500 villas.