The economic architecture of Iraq is substantial, anchored by a Gross Domestic Product (GDP) of approximately $250.84B
2023
. This places it as the 51st largest economy out of 191 countries measured, underscoring its significance on the world stage. On a per capita basis, GDP stands at $5.57K
2023
, while its GDP adjusted for Purchasing Power Parity (PPP) is estimated at $635.87B, offering a clearer picture of the population's domestic purchasing power. The economy is facing headwinds, marked by a contraction of -2.9%
2023
, while managing moderate inflation, with a CPI of 4.4%.
2023
On the global stage, Iraq's trade and financial dynamics reveal a complex interplay of international and domestic factors. The country maintains a strong export-oriented economy, reflected in a significant trade surplus, with exports representing 44.6% of GDP compared to imports at 24.3%
2022
. The investment climate attracts significant Foreign Direct Investment (FDI), with inflows constituting -2.14% of the economy
2023
. This performance positions the country 173rd globally out of 186 nations, confirming its status as a competitive destination for foreign capital. Furthermore, personal remittances from its diaspora are a vital component of the economy, amounting to a substantial $1.16B annually
2023
. The government operates under fiscal constraints, with a limited tax base that generates revenue equivalent to only 1.3% of GDP.
2019
The socio-economic landscape is characterized by a Gross National Income (GNI) per capita of $5,640
2023
, ranking the nation 104th out of 190. This figure provides a comprehensive measure of the average income per person, reflecting the nation's overall economic well-being. The country confronts significant labor market challenges, evidenced by a high unemployment rate of 15.5%.
2024
A key feature of the workforce is its concentration in the services sector, which accounts for 64.2% of total employment
2023
. Despite its economic standing, poverty remains a salient issue, with 18.9% of the population living below the national poverty line
2012
. The country achieves a relatively equitable distribution of income, reflected in a low Gini index of 29.8.
2023
In the environmental and energy sectors, the nation's policies and outcomes reflect its developmental priorities. Energy consumption per capita stands at 1,411.589 kg of oil equivalent
2022
, a metric that often correlates with industrial activity and living standards. The energy portfolio remains heavily dependent on conventional sources, with renewables contributing a modest 1.1%
2021
. This commitment places it 16th among 190 countries, highlighting its relative progress in decarbonization. Total greenhouse gas emissions were last recorded at 362.78K tonnes of CO2 equivalent
2023
, a key factor in its national climate strategy and international obligations.

Key Economic Insights

Macroeconomic Health

Economic stagnation combined with high unemployment points to deep structural challenges requiring significant policy intervention.

Trade & Investment Profile

The orientation towards global trade and foreign investment is a defining feature of the economic landscape.

Social Equity & Distribution

Ensuring equitable distribution of economic gains is fundamental for long-term social and political stability.

Energy & Sustainability

A heavy dependence on fossil fuels poses significant long-term risks, including exposure to price volatility, energy insecurity, and climate change impacts.

More About This Country

Neighbors & Regional Peers

Note: The information on this page has been compiled from authoritative sources. While every effort is made to ensure accuracy, please note that some figures may not be current or entirely precise.