Foreign countries looking to invest in Iraq could soon be able to get political risk insurance for eligible investments, following the news that Iraq has become a signatory country of the Multilateral Investment Guarantee Agency (Miga). By signing the Miga Convention, Iraq is a step closer to becoming a full member of the multilateral.

Membership of Miga would allow certain investments in the country to apply for Miga-supported cover, which protects against the risks of transfer restriction, expropriation, breach of contract, and war and civil disturbance. Iraqi investors wanting guarantees for investments in other developing member countries would also be eligible to apply for cover.

The signing ceremony took place on Saturday, October 20 at the World Bank headquarters in Washington DC.

Finance minister Baker Jabor Al-Zubaidy represented the Republic of Iraq. He was joined by Miga executive vice-spresident Yukiko Omura, Iraq Central Bank Sinan Al-Shibibi, ambassador Sameer Al-Sumaidaee, World Bank executive director, Merza Hussain Hasan, and Peter Cleary, director and general counsel, Miga.

To become a full member of Miga, Iraq must complete the ratification process and make its initial capital contribution to the agency.