Iraq has implemented investment laws and regulations to attract domestic and foreign investment, promote economic development, and create a favorable business environment. The key legislation governing investments in Iraq includes the Investment Law No. 13 of 2006, amended by Investment Law No. 2 of 2010, and the Companies Law No. 21 of 1997, amended by Companies Law No. 71 of 2004. The Investment Law provides various incentives to encourage investment in Iraq. These incentives include tax exemptions, customs duty exemptions on imported machinery and equipment, land allocation for investment projects, and repatriation of capital and profits.

The Iraqi Investment Law was approved by the Iraqi parliament at its October 10, 2006 session, which was published in the official media after the president approved it. The conditions and process of local and foreign investment are described in this law. The purpose of this law includes the following:

• Encourage investment and transfer of new technology for economic development and diversified production
• Encourage the Iraqi private sector and foreign investors to invest in Iraq
• Finding a job and creating employment
• Protecting the rights and property of investors
• Expanding the export of goods and increasing the volume of Iraq's foreign trade

Iraq has established mechanisms for dispute resolution, including investment-related disputes. Investors can seek resolution through local courts or international arbitration, depending on the circumstances and agreements in place. Some sectors may have additional regulations and requirements specific to their nature. For instance, the oil and gas sector has its own regulatory framework overseen by the Ministry of Oil, while the banking sector is regulated by the Central Bank of Iraq. About housing and construction projects, the Iraqi and foreign investors have the right to maintain the project lands only for the construction of housing units equal to the tariff determined with the approval of the Council of Ministers. Benefits and incentives for foreign investors include:

• Ensuring national and foreign-invested projects by Iraqi insurance companies or foreign insurance companies
• Possibility of investing and participating in the stock exchange sector
• Lease of land required for projects can be renewed for a period not exceeding 50 years.
• Opening a bank account in Iraqi dinars, foreign currency, or both in Iraqi banks or banks outside Iraq
• Provide residence permits and other facilities to investors who have entered Iraq and intend to live in this country.
• Declaring invested projects inadmissible
• The possibility of transferring the salaries and benefits of non-Iraqi workers abroad
• Exemption from payment of various duties and taxes for 10 years from the date of commencement of projects, which can be extended.
• Also, the equipment and assets required for the development and updating of companies will be exempt from taxes and duties.

Investors are required to obtain an investment license from the NIC or the relevant governorate's investment commission. The license provides legal recognition and benefits under the Investment Law. The licensing process involves submitting an investment application, feasibility study, and other required documents. The Companies Law governs the establishment and operation of companies in Iraq. It sets out the requirements for company registration, including the types of companies, shareholding structure, capital requirements, and corporate governance provisions. Obligations of foreign investors include the following:

• Announce the exact start time of the project
• Proper presentation of company account books to an authorized lawyer for auditing
• Provide design studies and research and technical and economic feasibility studies related to the project
• Record and maintain information on imported raw materials, environmental protection, and quality control system requirements
• Comply with Iraqi law and act according to plans and procedures developed for investors.

The Investment Law guarantees protection for investments, both domestic and foreign. It prohibits nationalization or expropriation of investments, except for reasons of public interest and with fair compensation. It also ensures the right to transfer capital, profits, and other financial entitlements. The National Investment Commission (NIC) serves as the main authority responsible for investment promotion and facilitation in Iraq. The NIC assists investors by providing information, facilitating procedures, and coordinating with relevant government entities. The Iraqi Investment Law authorizes Iraqis and foreigners to invest in all areas except the following:

• Investment in oil and gas extraction and production fields
• Investing in banking and insurance companies
• Investing in land acquisition (except for housing projects); These lands can only be owned by Iraqi nationals, and foreign nationals can only use these lands for 50 years (this period can be extended).

The Investment Law covers various sectors, including industry, agriculture, tourism, housing, infrastructure, and services. Investors can establish projects in these sectors, subject to compliance with relevant laws and regulations. The Investment Law allows for different forms of investment, including establishing new companies, acquiring existing companies, joint ventures, and investment contracts. Investors can choose the appropriate investment form based on their preferences and business requirements.