Iraq’s PM meets US delegation, signs energy and trade MoUs

Shafaq News/ Iraqi Prime Minister Mohammed Shia al-Sudani met on Wednesday with a delegation from the US Chamber of Commerce, including investors and corporate executives.

According to a statement from the Prime Minister’s office, the meeting, also attended by the US Chargé d’Affaires in Iraq, focused on reforms to Iraq’s business environment, and discussed economic cooperation and potential investment opportunities.

Al-Sudani outlined measures to simplify company registration, revise investment laws, and provide incentives to foreign investors.

Iraq has issued investment licenses worth $88 billion across sectors including energy, housing, industry, and agriculture. “Iraq’s geographic location and labor force as potential advantages for investors,” al-Sudani emphasized.

Iraq produces around 4 million barrels of oil per day and holds reserves of natural gas, sulfur, and phosphate. The government has signed agreements with international companies aimed at reducing gas flaring by early 2028.

Officials also promoted the “Development Road” project, which aims to create a commercial corridor connecting Asia and Europe via Turkiye.

Memoranda of Understanding Signed

Following the meeting, Iraq signed three memoranda of understanding with US partners covering energy and trade cooperation, a separate statement said.

The first agreement, signed under al-Sudani’s supervision, outlines a cooperation framework with GE Vernova to develop combined-cycle gas power plants with a planned capacity of 24,000 megawatts. The project may be financed by international banks, according to the statement.

A second agreement was signed between Iraq’s Ministry of Electricity and UGT Renewables to develop a 3,000-megawatt solar power project, with battery storage systems of up to 500 megawatt-hours. The plan includes upgrades to Iraq’s electricity grid, including 1,000 kilometers of high-voltage direct current infrastructure, along with a two-year program for technology transfer, training, and operations support.

The project is expected to be financed by the US Export-Import Bank, UK Export Finance, and JPMorgan, which is acting as the lead arranger.

A third memorandum was signed between the Iraqi Chambers of Commerce and the US Chamber of Commerce to expand private-sector cooperation. The agreement outlines efforts to enhance communication between businesses and institutions in both countries, with an emphasis on supporting small and medium-sized enterprises.

Iraq has sought to attract foreign investment in energy and infrastructure as part of broader post-conflict economic development plans.