ERBIL, Kurdistan Region of Iraq - The Iraq Development Fund said on Thursday that it signed an agreement with the German Agency for International Cooperation (GIZ) to expand cooperation in digital transformation and environmental development, as part of efforts to boost job creation and support small businesses. 

The agreement focuses on digital transformation through training and loans for young people in the fields of technology and the environment, Mohammed al-Najjar, head of the fund, told state media, adding that the deal aims to generate additional funding for larger projects with the aim of building a specialized market in Iraq. 

“The agreement represents a serious platform for creating jobs and providing financing in the areas of environment and digital transformation,” Najjar said. “It focuses on training and lending to small and medium-sized enterprises to help them expand their capital.”

He noted that GIZ has spent $1 billion in Iraq since 2014 through grants, as it serves as the executive arm of the German government. The agency later received additional funding and grants from European countries to widen its activities in Iraq.

Najjar added that GIZ’s work focuses on revitalizing the economy, supporting the return of displaced people, and carrying out humanitarian projects across the country.

GIZ has been active in Iraq since the early 2000s, focusing on reconstruction, economic recovery, and long-term development in partnership with the Iraqi government. It supports job creation, start-ups, and small businesses through training, digital transformation, and financial reforms, working closely with Iraq’s Ministry of Finance and Central Bank.

The agency also promotes peacebuilding, women’s participation, and the reintegration of displaced people, while advising the government on improving public services, water management, and climate adaptation through sustainable agriculture and renewable energy projects.