Baghdad – INA
The Development Fund announced on Tuesday that investment opportunities worth an estimated $40 billion are available to manufacture goods domestically instead of importing them.
The Fund’s President, Mohammed Al-Najjar, told the Iraqi News Agency (INA) that “the money held by the Fund is investment capital and is not intended for use in state budgets.” He explained that “most budget expenditures are expenses that are not expected to generate returns for the state, whereas the Fund’s resources are directed toward investment projects that generate profits and benefits for the government, with those returns subsequently reinvested in additional projects.”
He added that “the Fund represents one of the most important instruments for sustaining the development of a diversified economy, particularly in light of the absence of an approved budget for this year, the ongoing war-related challenges facing Iraq, and the suspension of oil exports. Therefore, the Fund can serve as the spearhead of this approach.” He noted that “the state budget is focused on spending, while the Fund is focused on investment, representing a significant difference in both approach and mindset.”
Al-Najjar stated that “the Fund’s Board of Directors consists of the Ministers of Finance, Planning, and Construction and Housing, and is chaired by the Prime Minister. However, the Board has not yet held its first meeting since the current government took office, as the previous Board ceased operating following the change in government.” He explained that “the Board is responsible for setting or approving the policies submitted by the Fund’s executive management.”
He confirmed that “these policies have already been prepared and are awaiting approval at the Board’s first meeting. They are fully aligned with the government’s strategy to develop alternatives to the rent-based economy.”
He further explained that “investment opportunities can be measured by the volume of Iraq’s annual imports,” noting that “Iraq currently imports most of its domestic needs, which creates an opportunity to produce a large share of these goods locally, with the exception of certain products.”
He emphasized that “there are investment opportunities worth approximately $40 billion to produce goods inside Iraq instead of importing them.”
Al-Najjar concluded that “if these imports are replaced by local factories and investments, supported by international investment, this will reduce the burden of imports and, more importantly, create jobs and drive genuine economic development,” stressing that “Iraq needs investment across all sectors.”