The European Bank for Reconstruction and Development (EBRD) has launched its first-ever project in Iraq by partnering with the National Bank of Iraq (NBI). This agreement is worth $100 million in total. The partnership aims at strengthening the financial system of the country and providing much-needed support to local businesses.

The funding will also be used to boost import and export activities. Under the EBRD’s Trade Facilitation Programme, the money will provide guarantees to other banks and offer cash advances.

A main outcome of this project is to help micro, small, and medium-sized businesses (MSMEs). By reducing payment risks, the investment makes international transactions safer and easier. It also helps the National Bank of Iraq build better relationships with other banks around the world, connecting Iraq to global markets with more confidence.

This is a big step for Iraq since the EBRD only began operating there in September 2025. The bank is focusing on the private sector to help local businesses grow and create sustainable progress. Leaders from both banks believe this partnership will make Iraq's financial system stronger and more stable for the future