Dear Investor,

Investment opportunities in today’s Iraq vary in terms of type, size, scope, purpose and sector structure… Investors will find the way open for them to establish, operate or develop projects that they want, and that will meet the diverse and growing needs of the Iraqi population.

The location of Iraq at the center of the world’s trade routes gives it a significant advantage combined with the diversity of unique natural resources that help provide a decent standard of living. This feature creates many opportunities for investors, suppliers, transporters, developers, producers, manufacturers and financiers who will find many tools that will help them build relationships and establish new projects, develop markets and establish mutually beneficial business connections.

In this document, we provide an overview of detailed information about Iraq and many economic indicators and laws that benefit the investor, how to invest in Iraq, and the privileges the investor earns. As we put this document at your disposal, we are pleased to know your opinions and suggestions, and we are pleased to work together to find ways that are constructive and fruitful to attract investors who want to positively contribute to the economic prosperity of Iraq and its people.

With sincere appreciation…

Dr. Sami Rauf al-Araji

Chairman of the National Investment Commission

INTRODUCTION

Iraq: Promising Investment Opportunities

Iraq is characterized by the presence of the requirements attracting capitals and investments, depending on the availability of natural resources such as oil and gas, human resources and lands in their various uses, as well as the large size of the Iraqi market and geographic location. These provide opportunities for the production, export and import. All the foregoing is represented in the existence of various elements that reflect the multiplicity and diversity of investment opportunities for various economic sectors.

In the face of the transformation witnessed by Iraq in its economic philosophy, the goals and reasons set out in Investment Law No. 13 for the year 2006 as amended may have contributed to the promotion of investment in terms of focusing on the need to bring in technical expertise and scientific support for the process of establishing investment projects in Iraq, expand and develop various fields and grant privileges and exemptions for these projects.

The legislating of investment laws has been done for the purpose of attracting and encouraging foreign investments in Iraq that are in line with the required goals, and it is now possible to get different guarantees.

I invite you to look at Iraq as one of the important places where there is such a size of investment opportunities in new fields. There is no sector in Iraq without an urgent need for investment. So, think of the great potentials and the markets of neighboring countries. More importantly, think of our real desire to welcome you in Iraq, and our desire to work together to bypass any obstacles.

Dr. Sami al-Araji

Any Qualified Investment Project will enjoy the Following Privileges and Guarantees:

• Exemption from taxes and fees for a period of 10 years from the date of commencement of commercial operation.
• Increase of the years of exemption from taxes and fees with the increase in the rate of participation of Iraqi investors for up to 15 years./li>
• Hiring foreign workers when needed.
• Getting customs exemptions for a period of 3 years for imported assets for the investment project.
• Ensuring the non-confiscation or nationalization of the investment project covered by the provisions of the investment law, in whole or in part.
• The foreign investor enjoys additional benefits according to international bilateral agreements between Iraq and his country or multilateral international agreements that Iraq had joined.

Nowadays, all Iraqis can take advantage of the resources and wealth of their country, but there are significant challenges facing the country in how to provide opportunities for investors to establish an economic investment partnership.

Among the basic objectives sought by the government are:

• Rebuilding the economy in order to ensure a dignified way of life for all people.
• Rebuilding roads, bridges, houses and the entire infrastructure.
• Re-establishing water and energy sources.
• Developing the oil and gas fields and the infrastructure of oil pipelines, refineries and the oil derivatives industry.
• The stability in Iraq will make winning all these goals and long-term projects achievable.

The Main Factors that Support this Stability are:

• Sgnificantly improved levels of security make it possible for foreign businesspeople to travel safely all over the country.
• Stronger Iraqi security forces and government guarantees provide long- term security for businesses.
• Successful elections in Iraq have demonstrated the gradual rooting of the democratic process.
• Economic stability, with a successful policy of limiting inflation, is delivering high rates of annual growth.

A fundamental shift is occurring in Iraq. For over 30 years, Iraq was a highly centralized economy with little investment from the private sector. Today the country and economy are transitioning to a market driven business environment with substantial potential for growth. The Iraqi government has publicly stated its need for the participation of foreign investors to achieve its objectives. Regulations, security, and incentives are in place. Iraq is now open for business.

Indicators of the Iraqi Economy

The Iraqi economy varies in terms of natural and human resources and spatial as well as its economic and sectoral structure representing an attractive economic environment for investors and this can be inferred through the following economic and social growth indicators: