Nearly 20,000 housing loans approved as demand for interest-free financing rises

BAGHDAD — Iraq’s Ministry of Construction and Housing announced Thursday that nearly 20,000 housing loan applications were approved in 2025 out of more than 27,000 submitted to the Housing Fund, as demand for interest-free loans continues to rise.

Ministry spokesperson Nabil al-Saffar said work is ongoing to process electronic applications submitted through the Ur platform.

He said 1,026 loan applications were approved electronically in January 2026, with Dhi Qar recording the highest number at 266 approvals, followed by Diwaniyah with 157, Maysan with 154, Wasit with 130 and Diyala with 111.

“The total amounts disbursed for the loan installments for previous applicants across all governorates during January 2026 alone reached about 62.5 billion Iraqi dinars ($41.7 million),” Saffar said, covering approximately 3,014 transactions.

He said the fund “contributes, even if modestly, to addressing the housing crisis by granting citizens financial loans to build residential units or add extensions, according to specific conditions and through a transparent electronic mechanism.”

Saffar noted that “the Housing Fund witnesses increasing demand each year, as these loans are granted without interest and based on a points system.”

He said work continues to process remaining applications after review, with priority based on eligibility points. Processing will continue until all previous applicants are completed before registration reopens.