Iraq ended a long government vacuum with a new president in April 2026 and Prime Minister al-Zaidi's cabinet in May. Disruption in the Strait of Hormuz makes diversifying oil export routes urgent, and the government has put power expansion and fiscal reform at the top of its agenda.
Government · leader
President Nizar Amidi (elected April 2026) / Prime Minister Ali Faleh al-Zaidi (took office May 2026)
Key national agenda
- Expanding power generation (target to double output in 2027, including 12,000 MW of solar)
- Diversifying oil export routes (Ceyhan, Baniyas, Aqaba) and raising output
- Fiscal reform: IQD 17.8tn of savings within a year, more non-oil revenue
- Government digitisation, including ASYCUDA customs automation
- Security reform: state monopoly on arms and a timeline for foreign troop withdrawal
- Distributing one million residential plots and rebuilding agriculture
Government programmes
Plan to secure 37,000 MW of generation
15,000 MW from GE, 12,000 MW solar, 10,000 MW thermal, overhaul of existing 30,000 MW, privatised distribution
Artawi 1 GW solar (GGIP)
Phase 1 (250 MW) connected March 2026; phase 2 (250 MW) targeted for 8 December
Oil export route diversification
More exports via Ceyhan (Turkey), Baniyas (Syria) and Aqaba (Jordan); MoU with Syria on a pipeline extension
2026 budget bill (power and solar focus)
Government says it will soon send the budget to parliament; spending has run under the 1/12 rule
Customs automation (ASYCUDA)
Electronic customs at all border crossings alongside wider digitisation of state bodies
Business opportunities
Operating-model and billing-system consulting for power distribution privatisation
The government named distribution privatisation and doubling output as core goals.
Ministry of Electricity, regional distribution companies
AI automation for public finance and asset management
Savings targets and a digitisation drive have been announced.
Ministry of Finance, Financial and Monetary Stability Council
Market-entry support for Korean solar and power equipment firms
A plan to buy 12,000 MW of solar has been announced.
Korean power equipment SMEs, local EPC firms
Korean support schemes
- KOTRA Baghdad trade office · KOTRA — Supports entry into Iraq with local procurement information and buyer meetings.
- KOICA Iraq programmes · KOICA — Runs grant aid in reconstruction, public administration and health.
- Overseas construction support · International Contractors Association of Korea (ICAK) — Provides Middle East power and plant bid information and order-winning support.
Official notices
Prime Minister's Media Office of Iraq
- 2026-08-28 Al-Zaidi government's first 100 days report (asset recovery, 2026-2029 programme approved, power plan)
- 2026-08-21 At the Baghdad Dialogue, PM pledges early budget submission focused on power and solar
- 2026-05-14 Parliament approves al-Zaidi's programme and confirms 16 ministers
Disaster · conflict · epidemic
Watch 2026-10-30
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Pro-Iran militia activity; risk of entanglement in the Iran war
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