Real Estate Iraq awards another major project in housing drive By Nadim Kawach February 10, 2025, 4:41 PM Alamy via Reuters A street in the old part of Basra city. The developers of Palm City in the Basra region will bear the cost of the project Palm City development 120,000 units in Basra area Iraq needs 3m houses Iraq has awarded a construction and development contract for a 120,000-unit housing project to two companies, one Egyptian and one Chinese. Egypt’s Mountain View Company and China Railway will partner with Iraq’s Al-Safi Group to build Palm City in the southern Basra area, provincial Governor Asaad Al-Idani said, according to the Iraqi national news agency. In press comments last year, Ali Al-Sanafi, president of the Iraqi Contractors’ Federation, said the war-battered country of nearly 44 million people needs to build at least three million housing units to bridge a supply gap. Idani said Palm City would be built on an “investment basis”, meaning that the developers will bear the cost of the project and sell ready-made units in partnership with the government. Iraq has opted for this model to ease the burden on its deficit-ridden government budget and avoid any financial disputes that may undermine investment sentiment. Mountain View is the second Egyptian company to be awarded such a large residential project in Iraq, which is undergoing a massive post-war reconstruction drive that includes housing, power, oil and other sectors. Iraq’s external debt halves as projects start to pay off Neighbours to supply Iraq with 3GW of electricity this summer Iraq’s fiscal policy under fire over record domestic debt Last month, Iraq awarded construction of a 120,000-unit housing project near Baghdad to Egypt’s Ora Developers, which is owned by the Egyptian tycoon Naguib Sawiris. Government officials have said that more housing projects will be awarded this year, including another near Baghdad and one in the Southern Dhi Qar Governorate.
