Investment has always been a key driver in building the foundations of the Kurdistan Region’s economy. Since its establishment, the Kurdistan Regional Government (KRG) has paid focused attention to attracting and deploying investment toward this goal. The Ninth Cabinet, with the direct support and guidance of KRG Prime Minister Masrour Barzani, started working on a strategy to diversify income, achieve self-sufficiency, and strengthen the economy. Prime Minister Barzani’s vision and attention have taken investment to a commendable stage that supports the future of Kurdistan.

The KRG Investment Board has taken important steps to provide opportunities across multiple sectors by facilitating, assisting, and supporting investors. These include the development of economic infrastructure and investments in the industrial, tourism, and agricultural sectors, extending even to districts, villages, and remote areas.

The Ninth Cabinet’s program, led by Prime Minister Barzani, has one central objective: to build a self-sufficient economy, diversify revenue streams, and strengthen the region’s economic foundations. This approach considers the capacity and potential of different geographic areas, resulting in a clear vision for Kurdistan’s investment landscape. Over the past six years, the achievements have impressed both domestic and international observers.

The statistics from the Investment Board are remarkably promising. Despite challenges in recent years, of the 1,539 licensed projects since the board’s establishment in 2006, 48% were approved during the Ninth Cabinet alone, an unprecedented accomplishment.

A unique opportunity in the Middle East

The Ninth Cabinet has also emphasized the importance of projects that form the foundation of the Kurdistan Region’s economic infrastructure. Leveraging the region’s raw materials and its young, skilled, and certified workforce is vital. The government has also ensured that investment projects can benefit from a capable labor force. Licensing decisions have carefully considered the needs of different regions and the types of projects most suitable for local development.

Kurdistan is rich in economic resources that can support development across multiple sectors. The Ninth Cabinet has worked to attract maximum foreign investment in the fields of industry, agriculture, and tourism. The region treats domestic and foreign investors equally under the law, guaranteeing their rights, privileges, and protections. Foreign investors have the right to own projects, repatriate profits freely, and benefit from tax exemptions, which gives them sufficient incentive to come and invest in Kurdistan. Moreover, special incentives exist for joint projects between domestic and foreign investors.

Security and stability in the region have further created a favorable environment for investment. Nevertheless, the next cabinet will need to implement critical measures to advance the region’s economic prosperity. These include updating the investment law, which has been in force for 20 years, and establishing investment banks to mobilize domestic and foreign capital.

The next government should also prioritize projects that form the backbone of economic infrastructure: building dams, establishing railway lines and highways, expanding industrial factories using local raw materials, and further developing agriculture and tourism.

The Investment Board has played a pivotal role in facilitating and promoting investment under the current cabinet. Its achievements are notable, but further progress is essential to ensure a prosperous and sustainable economic future for the Kurdistan Region.