Press Release

Iraq Moves Closer to a National SME Policy: Validation Workshop Held in Baghdad

07 August 2025

On 6 August 2025, the Ministry of Planning (MOP), with support from the International Labour Organization (ILO) and funding from Italy through the Italian Agency for Development Cooperation (AICS), hosted a national validation workshop in Baghdad to review and endorse the first draft of Iraq’s National Policy for Small and Medium Enterprise (SME) Development.

The event convened key government institutions   including MOLSA, MOT, MOHE, MOA, CBI, IFI, and the Private Sector Development Council alongside private sector stakeholders and international partners, fostering national dialogue on SME development priorities.

In her opening remarks, Hana’a Al-Asady, Undersecretary of the Ministry of Planning and Administrative Affairs, emphasized: “This policy is a foundation for economic resilience, supporting innovation and job creation across Iraq.”

Maha Kattaa, ILO Country Coordinator, reaffirmed the ILO’s commitment, stating: “We are proud to support Iraq’s efforts to build an inclusive SME ecosystem that promotes decent work, green transformation and sustainable development.”

The workshop featured two interactive sessions:

  • Policy Alternatives Discussion Participants reviewed legislative and institutional options, including reforming Law No. 10 of 2012 and establishing a national SME authority.
  • Implementation Planning Groups validated strategic tracks such as regulatory reform, access to finance, skills development, market development and diversification, and innovation, identifying priorities and timelines for implementation.

Feedback gathered during the group sessions and plenary discussions provided valuable insights and practical recommendations, which will be integrated into the final version of the policy document to ensure it is responsive, feasible, and inclusive, preparation for its official approval and launch.

This milestone falls under the ILO’s project: “Towards more and better employment through enhanced support to private sectors in southern Iraq – with a focus on green business”, funded by the Italian Ministry of Foreign Affairs and International Cooperation through the Italian Agency for Development Cooperation (AICS).

The workshop affirmed a strong national commitment to an enabling policy environment for SME growth, inclusive entrepreneurship, and green transition.

Raghda Muhi

ILO
Communications and Outreach Officer

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ILO
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