Iraq edges closer to finishing Grand Faw Port; issues $600 million tender for Baghdad airport development
Iraq is making significant strides in its infrastructure development, with two flagship projects—the Grand Faw Port and the redevelopment of Baghdad International Airport—progressing towards completion. These projects align with the goals outlined in Iraq's Vision 2030, a strategy that aims to diversify the economy away from oil by bolstering logistics, trade, and tourism sectors.
## Grand Faw Port
Located on the Southern Faw Peninsula, Basra Governorate, the Grand Faw Port is being developed into one of the world’s largest container terminals. Designed to transform Iraq into a regional logistics hub, the port's key milestones include a nearly complete navigational channel (92%), container yard (94%), and access road (100%). The project also includes the construction of five berths, which are expected to be delivered by November 2024. The submerged tunnel, stretching 2,444 meters in total with 1,226 meters underwater, is currently 92% complete, with the third segment already finished, and the fourth in preparation.
The port's management is being finalised, with plans to invite 11 leading international port operators to manage Container Terminal No. 1. Once operational procedures are approved, global operators will compete for the management contract. The port is expected to generate at least 12,000 direct jobs and attract significant global investment.
## Baghdad International Airport Redevelopment
The Baghdad International Airport is set for a $600 million redevelopment aimed at modernising facilities, improving capacity, and service standards. The project, which will be executed under a public-private partnership (PPP), was launched in July 2025. Once tender awards are made, the project will move into the execution phase, with the exact completion timeline yet to be finalised.
The PPP model will see private companies playing a central role in financing, building, and managing airport improvements. This partnership aims to reduce dependence on oil by enhancing the non-oil sector, improving connectivity, and boosting tourism.
## Alignment with Iraq Vision 2030
Both the Grand Faw Port and Baghdad Airport projects are designed to diversify the economy, create jobs, attract investment, and enhance connectivity. The port alone is expected to create over 12,000 direct jobs, with additional indirect employment anticipated. These projects will leverage international expertise and private capital to ensure modern, efficient infrastructure, positioning Iraq as a regional trade and transit hub.
In summary, the Grand Faw Port and Baghdad Airport redevelopment projects are crucial components of Iraq's Vision 2030, working towards the nation's goal of economic diversification, job creation, and improved connectivity. With key milestones achieved and operational phases on the horizon, these projects are set to transform Iraq's infrastructure and contribute significantly to its economic growth.
- The Grand Faw Port, located in Basra Governorate, is being developed to become one of the world's largest container terminals, aiming to transform Iraq into a regional logistics hub.
- The Baghdad International Airport is undergoing a $600 million redevelopment to modernize facilities, improve capacity, and service standards, with the goal of enhancing the non-oil sector, improving connectivity, and boosting tourism.
- Both the Grand Faw Port and Baghdad Airport projects are aligned with Iraq's Vision 2030, aiming to diversify the economy, create jobs, attract investment, and enhance connectivity.
- The Grand Faw Port alone is projected to generate at least 12,000 direct jobs and attract significant global investment, while the Baghdad Airport redevelopment, executed under a public-private partnership, will also reduce dependence on oil and improve the nation's infrastructure.
