Blair urges UK to invest in Iraq

Former Prime Minister Tony Blair has warned that UK companies will lose out if they don’t invest in Iraq.

Speaking at the fourth London conference of the Iraq Britain Business Council, he said that the country’s reconstruction efforts since the 2003 US-UK invasion presented an ‘enormous opportunity’ for British business.

Tony Blair, whose highly controversial decision to overthrow Iraq came to dominate his term of office, said: “The economy of 2012 in Iraq is several times the size of 10 years ago. Growth this year will be nine per cent and Iraq is set to be one of the fastest growing economies in the world over the next decade.

“A government worker is paid now, on average, around four times what he was 10 years ago in real terms. Oil revenue now stands at $100bn per annum and is set to treble by 2020. Last month Iraq surpassed Iran as exporter of oil. Iraq’s Central Bank now has the biggest reserves in its history.”

Rebuilding infrastructure

In the keynote speech, attended by Iraq’s deputy foreign minister Labid Abbawi Iraq, Mr Blair didn’t downplay how much there is to gain for Western companies in rebuilding the country.

“Basrah, as its Governor recently remarked, is set for major change over the next few years,” he said. “Three new satellite towns of 100,000 homes each; 60 projects for electricity under way to treble power production; and a doubling of the schools and universities. Contracts are also being drawn up for tenders for new roads, bridges and railways.”

Private sector growth

While making references to continued struggles against terrorism and corruption, Mr Blair said Iraq is now very much open to global investment.

“One of the worst aspects of the Baathist philosophy was this almost atavistic belief in state ownership and power. Again, from around the world, one clear lesson emerges. To grow, a country has to encourage its private sector. The more this is done, the faster the results.”