27 January 2020
Iraq is planning to build a new city in the central Babylon governorate at a cost of nearly 1.5 trillion Iraqi dinars ($1.25 billion), media reports said on Monday.

The project will be financed through an oil-for-projects fund created as a joint venture with China in 2019, Aliqtisad News said, quoting governor Hassan Al-Quraishi.

He provided no details of the "New Babylon City" but said it is one of four strategic projects to be presented to the government within the Chinese fund.

The other projects include a motorway linking the governorate with the capital Baghdad and other provinces, phase 2 of a water sewage project in Hillah city, and a new sewage network project at a cost of 1.2 trillion dinars ($1 billion), he added.

OPEC member Iraq and China signed the fund agreement in Sept 2019 providing for the supply of 100,000 barrels per day of crude oil in exchange of execution of projects in infrastructure and other sectors by Chinese firms.

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.

© Thomson Reuters Projects News 2020