Iraqi Labor Ministry announces 100 loans for returnees from displacement

BAGHDAD – In a bid to facilitate the reintegration of individuals returning to Iraq, the Minister of Labor, Ahmed Al-Asadi, has announced the allocation of 100 loans with streamlined application and acquisition procedures.

The directive, disclosed on Thursday, aims to support returnees in completing necessary legal procedures and project submissions.

According to a statement from the Ministry of Labor, obtained by 964media, Minister Al-Asadi has extended the period for loan applicants to submit their transactions from three to six months.

This decision was made during a meeting between Al-Asadi and the Board of Directors of the Small Projects Support Fund on March 28.

Al-Asadi further directed the allocation of 100 loans specifically for young returnees from displacement, enabling them to initiate income-generating projects.

Emphasizing the need for modernization, the minister urged the adoption of a new electronic program in line with the amended loan law, aligning the loan amounts with the scale of borrowers’ projects.

Under the revised program, loans now range from 20 to 50 million dinars [around $15,000 to $38,000], a significant increase from the previous range of 8 to 10 million dinars [$6,000 to $7,500].

Distribution across provinces will be determined based on population and employment seeker ratios registered at the ministry.

The meeting also addressed mechanisms to ensure effective loan utilization, including provisions for social security coverage based on the loan amount. Project inspection procedures were also discussed, underscoring the potential for projects to evolve from modest beginnings to substantial employment generators.