- Iraq’s emerging role as a connectivity hub is gaining momentum with key fibre-optic transit links and international partnerships driving digital infrastructure expansion.
- These developments could broaden economic diversification beyond oil, expanding internet access, digital services and opportunities for local innovation.
What happened: New fibre-optic transit routes, subsea cables and international partnerships are on the way
Iraq is increasingly being positioned as a linchpin in regional and global digital connectivity, driven by strategic infrastructure projects and new commercial partnerships that aim to expand data transit capacity and domestic digital capabilities. The country has become central to initiatives linking Asia and Europe via high-capacity fibre networks, such as the Silk Route Transit Network, a project that builds on Iraq’s geographical advantage to host quality fibre-optic cable routes between continents.
Iraq’s participation in the Gulf Fiber Optic (FIG) submarine cable landing project is an important step in this direction, as part of the agreement between the Ooredoo Group and the Iraqi Telecommunications and Postal Company (ITPC). This fiber optic cable, expected to be completed in 2027, will provide ultra-high capacity (24 pairs of fibers, up to 720Tbps) and low latency connectivity, connecting Iraq with Gulf countries including Qatar, Oman, the United Arab Emirates, Bahrain, Saudi Arabia, and Kuwait.
Alongside international transit enhancements, Iraq is also working domestically to strengthen its infrastructure. Partnerships with global technology firms like Nokia will establish the country’s first government-owned data centres in Baghdad to support secure data storage and e-government services under Iraqi management.
These network expansions are complemented by a growing digital population — with internet penetration surpassing 80 per cent of the population as of late 2025 — and rising mobile and online engagement.
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Why it’s important
These developments mark Iraq’s transition from a historically oil centric economy to an important digital transportation and service hub in the Middle East. With its advantageous geographical location, Iraq is able to attract international data traffic and infrastructure investment, thereby stimulating the local market and promoting the development of the digital ecosystem. The FIG submarine cable and Silk Road network not only improve connectivity, but also indicate to global operators and cloud service providers that Iraq welcomes high-capacity investment, which may have a chain effect on digital service innovation and economic diversification.
The improvement of infrastructure and data center capacity is the cornerstone of e-government, fintech, education, and startup ecosystems, which is expected to create employment opportunities and reduce dependence on oil revenue. In addition, Iraq has a young and actively engaged population in digital technology, and its enhanced digital backbone network can promote development opportunities for the private sector and enhance regional competitiveness in technology services.
