Iraq has been facing a lot of economic and political challenges over the past few decades, making it difficult for the nation to rebuild its once-thriving economy. Conflicts and political instability have been persistent issues, and the COVID-19 pandemic and low oil prices have only made matters worse. The World Bank reported a 10.9% contraction in Iraq's economy in 2020, leaving the nation searching for solutions. Additionally, according to the International Labour Organization, the employment rate in Iraq stood at 33% in 2021, indicating that only about one-third of the working-age population (15 years old and over) were employed. The ratio is even lower among women at 7.6% compared to men at 58%, and lower for youth at 17% than for adults at 40.6%. Despite these challenges, there is still hope. Entrepreneurship has the potential to create new jobs and drive economic growth for Iraq. To make this happen, we must work together to develop an entrepreneurial ecosystem that inspires and promotes startups while also supporting small and medium-sized businesses for the long term. Entrepreneurship is central to Iraq's economic resurgence for several compelling reasons. Firstly, it can create jobs and help reduce the nation's unemployment rate. With a predominantly young and growing population, Iraq urgently needs to create new opportunities for its people, and fostering entrepreneurship emerges as a viable and effective solution. Furthermore, startups and small businesses can spark innovation, as they typically display greater agility and adaptability compared to large corporations. This can lead to the development of novel products, services, and industries that contribute to diversifying Iraq's economy and reducing its reliance on the oil sector. Iraq's strategic location and access to global markets further enhance its potential to support entrepreneurship. As the country continues to rebuild its infrastructure and strengthen trade relations, it can leverage its geographical advantages to facilitate commerce and bolster economic ties with neighbouring countries and beyond. Iraq has much to gain by learning from the experiences of other nations that have successfully nurtured entrepreneurship. Countries like Israel, often referred to as the "Startup Nation," can offer valuable insights for building a thriving entrepreneurial ecosystem. By examining the best practices and policies implemented by these nations, Iraq can adapt these strategies to meet its unique needs and circumstances. It's essential to understand that economic recovery won't occur instantaneously. Iraq must demonstrate patience and determination in its pursuit of sustainable development. By fostering a dynamic entrepreneurial ecosystem and harnessing the creative spirit of its people, Iraq can embark on a journey toward a brighter, more resilient future. The nation's most significant asset resides in its citizens, and by unleashing their entrepreneurial potential, Iraq can genuinely start to prosper once again. In order to foster and promote entrepreneurship in Iraq, several crucial steps need to be implemented: 1. Build a nurturing regulatory environment: Developing a solid legal framework is crucial to inspire and facilitate the establishment and expansion of businesses in Iraq. This involves simplifying the business registration process, offering appealing tax incentives, and protecting intellectual property rights. By cultivating a welcoming atmosphere for businesses, Iraq can attract investment from both local and international sources, boosting the nation's economic growth in the process. 2. Boost financial opportunities: budding entrepreneurs in Iraq often face roadblocks when searching for funding, primarily because of the limited financing options available. To tackle this challenge, the government and private sector need to work hand-in-hand to set up venture capital funds, angel investor networks, and microfinance institutions. In addition, the Central Bank of Iraq could inspire commercial banks to offer loans to small businesses, increasing the financial assistance accessible to entrepreneurs and empowering them to transform their aspirations into thriving enterprises. 3. Improve financial accessibility: Aspiring entrepreneurs in Iraq frequently encounter obstacles when seeking funding, mainly due to limited financing options. To address this issue, the government and private sector should collaborate to establish venture capital funds, angel investor networks, and microfinance institutions. Furthermore, the Central Bank of Iraq could encourage commercial banks to provide loans to small businesses, enhancing the financial support available to entrepreneurs and helping them turn their dreams into reality. 4. Foster a spirit of entrepreneurship: Creating a thriving entrepreneurial culture in Iraq requires a comprehensive approach that starts with education. Schools and universities should integrate entrepreneurial lessons into their curriculums, preparing students with the necessary skills and knowledge to launch their own businesses. Moreover, a variety of organizations and initiatives, such as startup incubators, accelerators, and mentorship programs, can offer priceless support and guidance to eager entrepreneurs as they set out on their exhilarating ventures. 5. Champion innovation and technological progress: To keep up with the global competition, Iraqi entrepreneurs need to be at the forefront of technological advancements. By establishing research and development centres, technology parks, and innovation hubs, we can nurture a vibrant culture of innovation that enables entrepreneurs to create trailblazing solutions in their respective fields. 6. Foster collaboration and networking: Building a thriving entrepreneurial ecosystem relies on strong connections among diverse stakeholders, such as the government, private sector, academia, and civil society. We can cultivate this sense of camaraderie and partnership through platforms like industry associations, conferences, and workshops, which bring people together to share ideas and resources, enriching the entrepreneurial landscape. 7. Uplift women and marginalized communities: Women and marginalized groups frequently face distinct hurdles on their entrepreneurial journeys. By offering tailored training programs, mentorship opportunities, and financial assistance, Iraq can unlock the untapped potential of these communities, fostering a more inclusive and diverse entrepreneurial environment for all. By wholeheartedly embracing and implementing these strategies, Iraq has the opportunity to cultivate a flourishing entrepreneurial landscape that nurtures innovation, generates employment, and stimulates economic expansion. This comprehensive and well-rounded approach will empower Iraq to tap into the innate entrepreneurial spirit of its citizens, fostering a vibrant community of trailblazers and problem-solvers. In turn, this will contribute to a more prosperous, resilient, and self-sufficient nation, where individuals from all walks of life can come together to shape a brighter future for generations to come. Rebean Al-Silefanee is an expert in entrepreneurship and economics. He holds a PhD in entrepreneurship and serves as an acting director of the Creativity & Entrepreneurship Centre at the University of Kurdistan-Hewler. The views expressed in this article are those of the author and do not necessarily reflect the position of Rudaw
