Market snapshot
Iraq has one of the largest construction pipelines in the region. Around $96bn of projects are in planning and pre-execution, including about $69bn of construction and $27bn of transport work, and the construction sector is forecast to grow by around 4.8% a year from 2025 to 2028.
Housing is the biggest driver. The government is tackling a shortfall of around three million homes by partnering with private developers on more than 21 new cities. At the same time, national projects such as the Development Road and Grand Faw Port aim to turn Iraq into a trade corridor linking the Gulf with Türkiye and Europe.
| Indicator | Figure |
|---|---|
| Project pipeline | About $96bn in planning and pre-execution |
| Construction growth | Around 4.8% a year, 2025–2028 |
| Housing shortfall | Around 3 million homes |
| New cities planned | 21+, delivered with private developers |
| Main contractors | Korean, Chinese, Egyptian, Turkish and Gulf firms |
Major projects driving hiring
| Project | Value | What it involves |
|---|---|---|
| Development Road | Around $17bn | About 1,200 km of railway and highway from Grand Faw to the Turkish border; first phase targeted for 2031 |
| Bismayah New City | $10bn+ | A new city of 100,000+ homes south-east of Baghdad |
| Ali Al-Wardi City | Multi-billion | More than 100,000 homes south of Baghdad, with infrastructure under way |
| Baghdad smart city | Not disclosed | 12.8m sq m with around 43,000–45,000 homes, malls, offices and hotels over 16 years |
| Palm City, Basra | Not disclosed | A 120,000-home city delivered by Egyptian, Chinese and Iraqi partners |
| Grand Faw Port | Multi-billion | A deep-water container port and immersed tunnel, with the first phase targeted for 2026–2028 |
| Baghdad International Airport | $764m | A PPP expansion awarded in October 2025 |
In-demand roles
- Project Directors and Project Managers: for new cities, transport and port projects
- Development and Design Managers: to lead master-planned residential communities
- Infrastructure and Utilities Engineers: roads, water, wastewater and power for new cities
- Rail, Highway and Marine Engineers: for the Development Road and Grand Faw Port
- Commercial, Cost and Contracts Managers: FIDIC-experienced professionals on large public and PPP contracts
- HSE and Quality Managers: to bring international standards to fast-growing sites
Arabic is a strong advantage, particularly for client-facing and stakeholder roles. International contractors also hire English-speaking specialists for technical and leadership positions.
Working and living in Iraq
Safety and travel advice. The UK Foreign Office advises against travel to parts of Iraq, and advice changes often. Employers usually provide security support, secure accommodation and medical cover, so confirm the arrangements before accepting an offer.
Locations. Most activity is in Baghdad, Basra and the Kurdistan Region, where Erbil is a popular base for international professionals.
Packages. Senior roles are often paid in US dollars, with accommodation, transport, medical cover and flights included. Rotation is common on remote and port projects.
Tax. Iraq levies progressive personal income tax from 3% to a top rate of 15%. Check how your package is structured before you accept.
Frequently asked questions
Are there construction jobs in Iraq in 2026?
Yes. New residential cities, the Development Road, Grand Faw Port and airport projects are driving demand for project leaders, engineers and commercial professionals.
What are the biggest construction projects in Iraq?
They include the Development Road, Bismayah New City, Ali Al-Wardi City, Palm City in Basra, a new Baghdad smart city, Grand Faw Port and the Baghdad International Airport expansion.
Do I pay income tax in Iraq?
Yes. Personal income tax is progressive, from 3% to a top rate of 15%.
Do I need to speak Arabic?
It is a strong advantage and often essential for stakeholder roles, but many technical and leadership roles with international contractors are English-speaking.
Is it safe to work in Iraq?
It depends on the location. Check the latest government travel advice and make sure your employer provides security support, secure accommodation and comprehensive medical cover.
Considering a move to Iraq?
One95 Global supports construction and infrastructure professionals and employers across the Middle East. Talk to us about opportunities in Iraq and what a move could mean for you and your family.
Speak to our team or browse our latest roles.
Sources: MEED; GlobalData; The National; Al-Monitor; Iraqi News Agency; AGBI; PwC Worldwide Tax Summaries; UK Foreign, Commonwealth & Development Office. Figures are indicative and change often.