The industrial segment in Iraq is predominantly managed by (as of 2022) 176 state-owned enterprises (SOEs). These SOEs, which are often characterized as high-cost and low-quality output providers, are not only the primary providers of essential services such as electricity and water but also play a significant role in producing consumer goods and industrial inputs. Collectively, SOEs are the largest employers in the country after the national government, with an estimated 600,000 individuals on their payrolls. Given Iraq's high levels of unemployment and under employment, the job opportunities provided by SOEs are generally regarded as their most significant benefit.

However, there are signs that Iraq is gaining momentum with the privatization of certain segments. For instance, Iraqi authorities recently invited bids from international private sector companies for the expansion and operation of Baghdad’s international airport after years of neglect in the conflict-scarred country.

Last year, the Iraqi government signed an agreement with the World Bank’s International Finance Corpo-ration (IFC) to invite private companies to upgrade Iraq’s main airport. According to the official press release, “Iraq is launching a two-stage public tender to select a private partner to rehabilitate, expand, finance, operate, and maintain Baghdad International Airport under a long-term Public-Private Partnership (PPP) contract.” This is the first time that the Iraqi government, in cooperation with the IFC, has opened its airports to private international investment. As the country awaits significant investments in the near future, we are delighted to publish our yearly special issue dedicated to the business leadership community in Iraq. Do let us know your thoughts.