June 25 (UPI) — The World Bank recently announced a significant $1.3 billion investment aimed at uplifting Iraq, Lebanon, and Syria through essential infrastructure projects. This bold commitment marks a pivotal moment in the region’s progression from recovery to sustainable development.
The most substantial slice of this investment—$930 million—will be directed towards modernization and enhancement of railway infrastructure in Iraq. The World Bank’s Board of Executive Directors has approved this ambitious initiative known as the Iraq Railways Extension and Modernization (IREM) project. Jean-Christophe Carret, the Director of the World Bank’s Middle East Division, emphasized the project’s transformative potential: “As Iraq shifts from reconstruction to development, enhanced trade and connectivity can stimulate growth, create jobs, and reduce oil dependency.” The focus is to enhance railway services that link the southern port city of Umm Qasr with Mosul in the north.
Under the IREM project, approximately 650 miles of existing railway will undergo significant repairs and enhancements. This aims not just to improve the performance of the Iraqi Republic Railways (IRR) but also to streamline travel times and increase freight capacity. The expectation is that these upgrades will provide more reliable transport services, benefiting both individuals and businesses across the country.
Carret elaborated that the IREM initiative is critical for establishing Iraq as a regional transport hub. It aligns with the broader goals of the Iraq Development Road project, which was approved in 2023. This ambitious railway network is envisioned to connect the Gulf region through Iraq to Turkey, eventually extending into Europe. By 2037, IREM aims to enable the IRR to transport millions of passengers and tons of freight across eight provinces in Iraq, while also creating nearly 22,000 jobs annually by 2040.
Turning to Syria, the World Bank has approved a $146 million grant aimed at restoring reliable electricity through the Syria Electricity Emergency Project (SEEP). This initiative comes during a critical time when the Syrian national grid has been severely damaged amidst years of conflict. Finance Minister Yisr Barnieh noted, “Electricity is a foundational investment for economic progress, service delivery, and livelihoods.” He highlighted that this move represents the first World Bank project in Syria in nearly 40 years, indicating a significant step toward long-term recovery and development.
The SEEP project will focus on rehabilitating high-voltage transmission lines and repairing transformer substations in areas heavily impacted by the influx of refugees and displaced populations. The improvements aim to drastically enhance electricity availability, which currently limits usage to only two to four hours per day. This restoration of power is seen as crucial for revitalizing the economy and improving living conditions.
In a similar vein, the World Bank has earmarked $250 million for Lebanon to support the reconstruction of infrastructure and emergency services through the Lebanon Emergency Assistance Project (LEAP). Over the past two years, Lebanon has faced significant challenges due to conflict, resulting in considerable damage to necessary infrastructure in sectors such as education, healthcare, energy, transportation, and water.
Carret emphasized that LEAP provides a viable avenue for development partners to coordinate their support while aligning with the government’s reform agenda. This project aims to expedite recovery efforts and maximize collaborative impact on Lebanon’s long-term reconstruction and stability.
