Boosting Iraqi Economy: TBI and JICA Sign Cooperation Agreement
In a significant step towards boosting Iraq’s economy, the Trade Bank of Iraq (TBI) and the Japan International Cooperation Agency (JICA) signed a cooperation agreement on Monday in Baghdad. The event was graced by the presence of Iraqi Prime Minister, Mohammed Shia Al-Sudani, and distinguished officials including the Minister of Planning, Mohammed Tamim.
Under the auspices of the Iraqi Prime Minister, the agreement is part of a special committee’s efforts to provide sovereign guarantees covered by the general budget law of 2023. Additionally, the government aims to offer sovereign guarantees to the private sector, thus advancing the nation’s economic growth.
JICA’s commitment involves financing projects for the Iraqi private sector, focusing on localizing industries in key sectors such as pharmaceuticals, construction, chemicals, petrochemicals, energy, agriculture, and food. This collaboration is aligned with the government’s strategy to promote vital industries within Iraq.
Initial funding of $200 million from JICA will support small and medium-sized businesses, fostering job creation for youth and launching initiatives to benefit the nation’s people and economy. By reducing dependence on imports, Iraq’s economy is set to witness a positive shift.
The agreement’s objective goes beyond financial support by aiming to elevate Iraqi enterprises to international standards. This will be facilitated through access to foreign banks for funding and quality regulations established through agreements with major industrial countries, paving the way for enhanced global competitiveness.