The Iraqi government is on a path to bolster a non-oil-dependent economy by encouraging foreign direct investment and supporting entrepreneurship programs through memberships in EBRD and FEMOZA. Startup business registration reforms are still at the top of KRG’s agenda, with measures to create a more straightforward and less intimidating process.

The year continues with positive developments! Iraq has joined the WTO. The Kurdistan Regional Government (KRG) continues offering encouraging investment incentives. Federal Iraq’s egov plan has moved onto phase two of its four-stage digital transformation plan. Another digital development is the launch of Iraq’s e-visa portal.

The year started with positive market developments! Digital financial transformation is still on top of the Federal Iraq’s government agenda. Additionally, the government is inking import and trade deals with several countries to increase financing international commerce in local currency.

As we approach the end of the year, we continue to witness initiatives and projects positively impacting the startup ecosystem and businesses. Corporate ventures are making a comeback. Digitization efforts are still on a roll, with Federal Iraq and the Kurdistan Regional Government (KRG) working steadfastly to implement their policies.

This month, we witnessed two exciting startup updates, infrastructural developments, and financial inclusion initiatives. One ecosystem-enabling program focused on young entrepreneurs was launched. Meanwhile, government-backed programs continue to roll out, highlighting the drive towards an innovation economy.

In this quarter, we witnessed a lot of startup traction and continued initiatives to help bolster the innovation economy in Iraq. The UAE launched an economic partnership with the International Development Bank, while the Kurdistan Investment Board continues to create cooperation agreements to increase private sector investment.

Regional and international market interest is still going strong. Japan and the GCC continue to support commerce and industry. Meanwhile, government digital transformation initiatives carry on with the KRG’s Unique Personal Number (UPN) launch and the inauguration of Iraq’s National Data Center in Baghdad.

As temperatures rise, ecosystem activities dip. This month we witnessed interesting telecom developments, an unconventional fundraising announcement, and more government initiatives supporting the entrepreneurial ecosystem.

Ecosystem initiatives and updates have started accelerating in Q3 of the year! The entrepreneurial scene has witnessed cross-border partnerships, established startup-friendly legislation, and strong regional investments.

The ecosystem has started heating up! This month we witness various strategic partnerships and synergies in the fintech space. The Kurdistan Region of Iraq continues its quest to digitally transform government operations and agencies. And a dash of new and interesting investor news.

Q2 has kicked off positively: one startup investment and one acquisition. Meanwhile, the government has taken strategic measures to strengthen Iraq’s knowledge economy, entrepreneurship economy, and youth employability

This month, there is a lot of startup news: an imminent startup raise and an exciting discussion on Orisdi’s latest round. The government's digital transformation initiatives continue to roll out. Meanwhile, donor-funded entrepreneurial efforts expand into underserved communities in Iraq. We also noted that Baghdad businesses are on a hiring spree, mainly in the delivery sector…the competition seems to be heating up.

In early March, the Second Annual Erbil Forum kicked off. Five One Invest was busy facilitating a roundtable titled 'Future of Gen Z in the Middle East: Role and Responsibility.'

Digital transformation seems to be the key phrase for this year. Government tech-enabling initiatives continue to roll out, fintechs offer more cross-border payment solutions, and innovation centers are mushrooming in different cities. We also received the inside scoop on the Alsaree3 Group’s latest bridge round.

The year has kicked off on a very positive note. The first investment of the year was announced! The Kurdistan Regional Government (KRG) continues to roll out digital transformation policies, such as the recent electronic business registration. A new fintech solution has entered the market. And plenty of analyses from various entities on Iraq’s entrepreneurial ecosystem.

The year is ending on an exciting note…the ecosystem recently witnessed one investment and one acquisition! The Kurdistan Regional Government (KRG) continues to roll out policies supporting the KRIs digital transformation and entrepreneurial ecosystem.

Historically, the region is known for its lack of access to data and research. However, the times are changing. Every month we curate studies and publications with relevant information to support you in making informed and educated decisions.

With the easing of Covid restrictions, in-person gatherings have witnessed a much welcome boom. In September, Five One Labs organized its first in-person Speaker Series at the offices in Erbil. The ecosystem also witnessed the launch of its latest proptech startup while the AgriNation Startup Cup launched its program. Our special edition entrepreneur Success Stories carries on spotlighting Ahmed Al Kiremli, CEO and Founder of Orisdi.

This has been a hot and slow month. Although investment activity was low, the ecosystem still had its share of updates. A new startup studio was established in Mosul, and an edtech super app launched an extensive set of solutions. Two publications with insights into Iraqi founders’ minds set and the startup scene were issued.

After a slight lull in the entrepreneurial ecosystem, things are back in full swing! This month we witnessed the establishment of a new fund, a six-figure investment, and the publication of a Policy Recommendation Paper advocating for startup policy reforms focused on the Kurdistan Region of Iraq.

This month is very special to us.

In this issue, we celebrate the one-year anniversary of Iraq’s Investment Insider! It’s been a year of exciting entrepreneurial success, new industry players, public policy reforms, corporate venture investing, and much much more.

Last month we announced the passing of a new by-law simplifying the process of business registration in the KRI. This month further regulatory details have emerged where we see that registration times and fees have been cut by more than half! Such steps bolster job creation and enable the entrepreneurial ecosystem.

Organizations such as The Station, TipTop, Careem, Miswag, and Kapita, are actively recruiting. We also note the entrant of new ecosystem players, such as Amal, an Emirati e-commerce company. Such news comes as no surprise when World Bank findings predict that Iraq’s GDP growth rate will be the highest among Arab countries in 2022.

The Iraqi ecosystem is ripe for growth as we note two more significant investments. A recent international entrant into the market has already expanded its offering, coworking spaces in the entrepreneurship scene continue to evolve, and there are new investment readiness programs aimed at both entrepreneurs and investors.

Another exciting month for the Iraqi ecosystem. As Q1 comes to a close, two more investment deals have been announced, one of which is a corporate investment deal. Regional exposure continued with Expo 2020 Dubai and the Global Entrepreneurship Congress (GEC) in Riyadh.

The Iraqi ecosystem is ripe for growth as we note two more significant investments. A recent international entrant into the market has already expanded its offering, coworking spaces in the entrepreneurship scene continue to evolve, and there are new investment readiness programs aimed at both entrepreneurs and investors.

2021 witnessed the most investment activity in Iraqi entrepreneurial history! We envisage more exciting developments over the next few years, such as increased investor appetite in seed-stage funding, international interest in the Iraqi market, and public and private sector support of the entrepreneurial ecosystem.

Although the past two years have been an economic rollercoaster, the Iraqi entrepreneurial scene has persevered. This year the ecosystem witnessed six investment deals, the launch of two institutional funds, accelerator programs, and three SME financial support projects.

As the end of the year approaches, we predict that 2022 will be a stellar year for the Iraqi ecosystem. The good news just keeps on coming! Last month witnessed a 6-figure investment deal, a $10M SME financing loan, and the announcement of a new fund.

After a slow summer, things are picking up. The past month was quite action-packed: two investment announcements, the launch of a digital bank, and the introduction of the latest youth training program. Please read on for more on the past month’s ecosystem developments!

Although it has been a hot and somewhat slow August, we still have exciting updates in this month’s newsletter! including the news of two new investments in local startups.

Iraq’s Investment Insider comes back with a second issue for the month of August 2021. Read more about the investment stories happening in the region.

Five One Invest proudly launches its monthly newsletter. This monthly newsletter is here to demystify the Iraq investment landscape and stay abreast of Iraqi investment activity.