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Iraqi -German Joint commission

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Presentation on theme: "Iraqi -German Joint commission"— Presentation transcript:

1 Iraqi -German Joint commission
Berlin 29th September 2015

2 FACTS Population: 35000000 ap. Area: 435052 sq. km
Oil production: mbd Average importing value: 40$Billion /year Energy sector consumes:40%Of Budget 1 € = 1326 ID

3 Doing Business, Why Iraq?
Potential development in all sectors Huge demands and needs Long term investments Natural resources Prime location Human resources Political issues

4 Business partner, Why Germany?
Strong economy Advanced technology Excellent quality Heavy industry / production lines Iraqi Public endorsement To strengthen Eco-political ties

5 Being in Iraq Advantages
Low taxes No custom Free money movement Cheap fuel Less competition Local partner availability High profitability

6 Being in Iraq Disadvantages
Security % of Iraq is safe Corruption Serious steps are taken Banking system improvement needed

7 How to make it work Public bidding contracts (regulation 2/2014)
Direct investment (law 13/2006) Private partnership (law 21/1997) Joint venture (laws 21or 22 / 1997) Public Private partnership PPP (law 22/1997) Defer payment (budget law 26 and cabinet approval)

8 P. P. P. 100s of state owned companies & 1000s of state owned factories
Privet Sector Machine Factory High Tech. Super Business Opportunity P.P.P Evaluation Con. &Gov. support Land & loc L. Mart H. Res SOE

9 P.P.P. We offer Government’s support Assets (land, machineries)
Local knowledge Local market Human resources Clean companies (no loans, no legal dispute, no masked unemployment)

10 P.P.P. We need Upgrade, expand, and rehabilitate production.
Introduce new products. Develop sales and marketing skills. Build capabilities to assess market needs pricing strategy, etc. Upgrade technical and R&D capabilities. Resize labor force and introduce systematic training. Improve quality control systems. Introduce modern accounting processes and systems.

11 Defer payment Sovereign Guarantee available ($5b)
Interest rate not to exceed 6% Grace period more than 2 years Repayment instalments more than 4 years Energy, infrastructure, industrial & Health Ready to negotiate

12 Improving Iraqi Economy
Central bank of Iraq injected 6 Trillion ID equivalent to €4.5 billion into the market as soft loans (4% Int.) to the Private sector as follow: €1.5 billion to improve manufacturing sector through industrial bank €1.5 billion to improve agricultural sector through agricultural bank €750 million to improve housing sector through housing fund and mortgage bank €750 million to privet loans through Private banks

13 Improving Iraqi Economy
5 years loans No cash, LCs only to avoid misuse of the loans Reduced unemployment Equal opportunities Quality control

14 Projects on Defer payments basis
Location Ministry Rehabilitation of sprinkles irrigation system Pro. L. Babylon I&M Tractor pro L.40% manufacturing M V A transformers pro L. Dyala Middle tension cables Pro L. Nasirya Medical gazes Pro L L/h Baghdad

15 project Location Ministry
Fertilizer plant Phase 3 Basra I&M Radial tyres for trucks Pro L. Najaf Solid waste treatment project producing elect and brick 4000 t/d Baghdad Solid waste treatment project producing ethanol 1000 t/d Kerbala Dewanya 8 irrigation Projects 6 Dams rehabilitation South & East W R

16 project Location Ministry
Modern tech to estimate water reserve in dams and lakes General W R Installing measuring device for water flow and quality Limiting salty area in Shat Alarab Basra water project Basra 11 Concrete sailo of tons and tons Kerbala Dewanyageneral Trade 2 metal sailo of tons Salahdin

17 (16 projects from oil ministry to be distributed)
Location Ministry 30 power station 132 KV General Electricity 5700 km of high tension line 400 KV 2300 km of high tension line 132 KV 10000 housing units 10 provenance C& H , M Water and sewerage 8 provenance (16 projects from oil ministry to be distributed)

18 See you in Iraq Thank you


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