Iraqi Stock Market: High-Risk High-Reward Market
Investors who invest in emerging markets, frontier markets or beyond understand risks and that is what actually attracts them to Iraq. There is a risk perception and the risk in these markets is usually mispriced.
Iraq is a country with practically very little debt, 30+ million people, 60% of the population below the age of 20... Iraq might have the second or the third largest hydrocarbon reserves in the world. Plus other strengths: Mesopotamia used to feed the region - an enormous potential for agriculture.
Investors that come to Iraq ask: "What shall we invest in in Iraq?" - Mr. Taha believes "there’s a long answer to that question because you can invest in everything, the better question would be: `What should I not invest in?` because everything else is a fair game."
"Today, there are very few countries positioned like Iraq where the growth over the next 5, 10 or 20 years is quite substantial, the country has a good expansion potential. Thus, ones who are coming to invest here are trying to get in on the bottom floor of investment and they want to ride the wave."