In Baghdad, new recreational venues highlight the transformative role of real estate in the city’s post-conflict revival.
Falah Hassan, the CEO of one venue, calls Iraq “fertile ground for investments.”
After defeating ISIS in 2017, Iraq experienced a construction boom. Prime Minister Mohamed Shia al-Sudani is eager to rebuild.
Yet, challenges like security and bureaucracy remain.
Hassan confirms that multiple steps are needed to obtain a permit. Nonetheless, young investors opened a new park along the Tigris River in 2022.
The World Bank, however, has raised concerns about Iraq’s business environment.
To improve this, the government aims to attract Gulf investors. Last August, Sudani launched a major Qatari-funded luxury project.
He states that battling corruption is a priority. But experts suggest that some new projects may involve dirty money.
Within a year, Sudani has started essential utility projects in poorer areas.
The World Bank reveals that annual investments will triple by 2023-2025, reaching $37 billion.
These investments are possible due to Iraq’s abundant oil wealth and large reserves.
In Baghdad’s outskirts, construction crews lay pipes and clear debris. Engineer Abdel Razzak Abd Mhessein leads a $150 million infrastructure project.
This effort targets over 1,000 underprivileged neighborhoods.
Residents have mixed feelings about these changes. While some welcome them, others like Ahmed Radi, a public servant, remain skeptical.
“We come home tired. There’s no water or electricity. How long will this last?” he wonders.
Background
Iraq’s situation starkly contrasts stable regions where real estate thrives without such challenges.
However, places like post-war Beirut also saw a construction boom amid recovery.
Baghdad’s progress isn’t just a local phenomenon; it reflects a broader Middle Eastern trend.
Internationally, infrastructure investment often follows conflict. Take Rwanda, for instance.
After the 1994 genocide, the country saw a similar construction and foreign investment rush. Yet, the motives and risks differ.
In Iraq, the promise of oil wealth fuels investor interest. This differs from countries like Singapore, which attract investment through policy and stability.
Thus, Iraq’s development model holds its own risks and rewards.
While foreign investment grows in Baghdad, other cities like Kabul face declining interest due to ongoing conflict.
Hence, the relative peace in Baghdad offers unique opportunities for growth. Still, local skeptics remind us that infrastructure alone doesn’t meet everyday needs.
What Baghdad illustrates is a universal truth. Investment often follows stability, but it also demands it.
As Iraq tackles its internal issues, its capital becomes an interesting case study in post-conflict reconstruction.
Finally, the world watches as Baghdad tests whether rapid development can sustainably coexist with ongoing challenges.
Its lessons may well inform other recovering cities in the years to come.
With information from AFP
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