Projects include the construction of power plants that will reduce Iraq’s reliance on Iran for its energy needs.
Three Qatari companies and Iraq’s National Investment Commission have agreed to develop $9.5bn worth of projects in Iraq, including the construction of a pair of power plants that will generate a total of 2,400 megawatts.
UCC Holding and the investment commission on Thursday signed a 25-year, public-private partnership linked to the two power plants, which will cost $2.5bn to build, according to a statement issued by UCC Holding on Sunday.
The power plants will help reduce Iraq’s reliance on neighbouring Iran for its energy needs.
Iraq imports electricity and gas from Iran, which in total makes up between a third and 40 percent of its power supply, especially crucial in the sweltering summer months when temperatures can top 50C (122F) and power consumption peaks.
Iraq’s investment commission and Doha-based Estithmar Holding also signed deals worth $7bn to manage hospitals, develop two “new comprehensive cities” and build a series of new five-star hotels totalling 10,000 rooms, a statement issued by Estithmar said.
“The cities … will include residential complexes, villas, schools, commercial complexes, entertainment centres, and other facilities and services, in addition to all the infrastructure needed to build these cities,” Estithmar Vice Chairman Ramez Al-Khayyat said in the statement.
It is unclear how much money either the Qatari companies or Iraq’s investment commission will commit to these projects.
The agreements were signed during a visit to Baghdad by Qatar’s Emir Sheikh Tamim bin Hamad Al Thani on Thursday, when he pledged to make a $5bn investment in Iraq.