The European Bank for Reconstruction and Development (EBRD) launched its first investment in Iraq, providing a $100 million trade finance facility to the National Bank of Iraq, the country’s largest private bank, the EBRD said. The money will help boost import and export activities, supporting NBI’s trade finance operations by issuing guarantees to confirming banks and offering cash advances for imports, exports, and the local distribution of goods under the EBRD’s Trade Facilitation Programme.
The facility will also promote greater trade integration in Iraq by extending guarantees and credit lines to reduce political and commercial payment risks tied to international transactions. The investment will improve access to finance for micro, small, and medium-sized enterprises and make intra-regional trade easier. It will also help NBI diversify its correspondent banking relationships and strengthen trade finance links with other EBRD countries.
EBRD Head of Iraq Catarina Bjorlin Hansen said the bank is proud to sign its first investment in Iraq and partner with the National Bank of Iraq.
“This facility represents a major milestone in supporting the country’s economy by expanding access to trade finance, fostering integration with international markets and strengthening the resilience of local businesses,” Hansen said. Ayman Abu Dhaim, CEO of the National Bank of Iraq, said the partnership marks a pivotal moment for NBI and Iraq’s financial landscape. “Through this facility, we aim to strengthen the flow of trade, empower Iraqi businesses, especially MSMEs, and open new channels that connect Iraq to global markets with greater confidence and stability,” Abu Dhaim said.
The EBRD Trade Facilitation Programme was launched in 1999 to promote international trade through guarantees and short-term loans to selected banks and factoring companies. NBI is Iraq’s largest private bank with activities in retail, SME and corporate banking, trade finance, and treasury services. Established in 1995, it’s majority-owned by the Capital Bank of Jordan, an EBRD client since 2015. The EBRD began operations in Iraq in September 2025, focusing on the private sector to unlock access to finance, promote local businesses, and foster sustainable growth.
