The International Finance Corporation (IFC), a member of the World Bank Group, has approved a financing package of up to $120 million to support the expansion of the container terminal at Umm Qasr Port in southern Iraq. The funding will be used to procure new handling equipment, including four ship-to-shore cranes and ten rubber-tyred gantry cranes, significantly enhancing the port’s operational capacity.
Officials said the investment will increase the annual container handling capacity at the dedicated terminal from about 550,000 TEUs (twenty-foot equivalent units) to roughly 830,000 TEUs, an increase of more than 50 per cent. This expansion is aimed at meeting growing demand for container traffic and strengthening Iraq’s key maritime gateway to global trade.
Umm Qasr, located around 70 km south of Basra, is Iraq’s primary deep-water port, handling the majority of container and non-container cargo entering and leaving the country. The improved capacity is expected to boost trade flows, reduce vessel turnaround times, and improve the port’s competitiveness in the region.
The financing arrangement includes a direct loan from IFC’s own account as well as co-lending components under its Managed Co-Lending Portfolio Programme (MCPP). The project builds on earlier IFC support for port infrastructure, aligning with broader efforts to develop Iraq’s transport and logistics sectors and support economic growth.
Local authorities and trade groups welcomed the announcement, noting that the enhanced terminal capacity could attract more shipping lines and encourage investment in downstream logistics services, further integrating Iraq into global supply chains.
