Armenians and Armenian firms are welcome to operate in Iraq. They are free to work directly with Iraqi state-owned enterprises, to work with international institutions such as the World Bank, the United Nations, and NGOs, to cooperate with Iraqi private enterprise, and to fulfill subcontracts of major United States Government and Coalition Provision Authority primary contracts.

Finding subcontracting opportunities

Primary contractors may choose their subcontractors however they wish, though the largest contractors have competitive bidding procedures in place for subcontractors. Here are some tips to finding opportunities.

Look for primary contractors and contact them directly

U.S. Government reconstruction contracts are issued primarily by the U.S. Agency for International Development (USAID) and the U.S. Department of Defense (DoD) Army Corps of Engineers. Awards and Request for Proposals (RFPs) are located at www.usaid.gov/iraq/activities.html for USAID and www.hq.usace.army.mil/cepa/iraq/contracts.htm for DoD. Also find a list of large subcontractors at www.export.gov/iraq. At these websites you can find out who has won the contracts already awarded and the contracts that are currently offered for tender.

Register with the big subcontractors

USAID has awarded 12 contracts ranging in value from US $5 million to more than US $ 1.5 billion. Of the current primary contractors, three large ones are actively soliciting subcontractors.

• Bechtel has primary contracts for infrastructure and capital construction worth more than US $2.5 billion. Firms interested in subcontracting for Bechtel may register their company at https://supplier.bechtel.com/portal/index.jsp.

• Creative Associates International Inc. has won a US $ 37.8 million primary contract for primary and secondary education projects and is soliciting registration of potential subcontractors at http://www.caii.net/VendorRegistry/default.html

• Research Triangle Institute has a US $ 136 million contract for projects in local governance. They are inviting vendors and subcontractors to register at their website: http://www.rti.org/page.cfm?nav=16

Register with the CPA vendor list

The Coalition Provision Authority keeps a list of all companies looking for opportunities in Iraq. This list is also searchable by other companies looking for partners. http://www.rebuilding-iraq.net/portal

Navigate the Iraqi business Center website

The Iraqi Business center has a search for partners page on which you register your company.
• www.iraqibusinesscenter.org

Destination Baghdad Trade Fair

Destination Baghdad Expo will take place April 5-8, 2004, at the Baghdad International Fairgrounds in cooperation with the CPA, Iraqi Governing Council, and the Federation of Iraqi Chambers of Commerce. For more information visit their website at http://www.dbxexpo.com/ENGLISH/ENGLISH.HTML
Laws and Regulations Affecting Business in Iraq
On September 21, 2003 Iraqi Finance Minister Kamil al-Gailani unveiled a new foreign investment law. The law permits 100% foreign ownership of businesses in all sectors except oil and mineral extraction. Foreign-owned retailing businesses must deposit US $ 100,000 in a licensed bank in Iraq before conducting business. The foreign investment law permits unrestricted, tax-free remittance of profits. Foreigners and foreign-owned companies cannot purchase land, but land can be leased for up to 40 years. Foreigners may purchase insurance for all aspects of investment. Contracts and disputes are subject to Iraqi law. The foreign investment law reiterates the equality of foreigners and Iraqis on all terms of investment.
http://www.cpa-iraq.org/regulations/20030921_CPAORD39.pdf
http://www.iraqcoalition.org/regulations/20031221_CPAORD46-39Amend.pdf
Banking. The new banking law permits up to six foreign banks the right to enter the Iraqi market over the next five years. On January 31, 2003 the Central Bank of Iraq announced the selection of three foreign banks, Hong Kong Shanghai Banking Corporation, National Bank of Kuwait and Standard Chartered Bank, to proceed to the final stage of the foreign bank licensing process. An unlimited number of banks may purchase up to 50% of an Iraqi bank. Foreign banks may enter Iraq as branches, subsidiaries, representative offices, or through partnerships with Iraqi banks.
http://www.cpa-iraq.org/regulations/20030924_CPAORD40.pdf
http://www.cpa-iraq.org/regulations/20030924a_CPAORD40ANNEX.pdf
Taxes. The new tax law provides a maximum marginal income tax rate of 15% for both corporations and individuals.
http://www.cpa-iraq.org/regulations/20030921_CPAORD37.pdf
Tariffs. The new law on trade provides for free trade and a temporary 5% tariff for reconstruction for two years. This tariff will cease no later than January 1, 2006. Food, medicine, clothing, and books are exceptions from this tariff.
http://www.cpa-iraq.org/regulations/20030921_CPAORD38.pdf
Commercial laws. A summary of existing commercial laws under the previous government has been compiled by The Office of General Counsel of US Department of Commerce and is available at http://www.export.gov/iraq/pdf/iraq_commercial_law_current.pdf.