<p>Basra is one of the oldest Islamic cities, which was established during the  Islamic conquest in 625 A.D. Prophet Mohammed (PBUH) 's companion, Utba Bin  Gazwan, chose the city site in 14 A.H (636A.D) and the city was planned and  built by Abu Musa Al- Asha'ari six months prior to the building of Kufa city  upriver.<br /><br /><strong>Why Invest in  Basra?</strong><br /><br /><strong>Location</strong><br /><br />Basra is strategically  located within Iraq and is home to all six of Iraq's ports including its only  deep-water port; and as such, is a major transportation nexus in the southern  part of the country. In fact, Basra has the only marine transportation point in  Iraq. Further, Basra is easily linked to the Iraqi capital, Baghdad by a  railway.<br /><br /><strong>Oil and other Resources</strong><br /><br />Basra has an  abundance of energy sources especially in oil and natural gas. Assured oil  reserves in Basra amount to more than 67.8 billion barrels. This is about 59% of  all oil reserve of Iraq. A great deal of Iraqis oil is exported through Basra's  ports.<br /><br />Furthermore, some of largest oil fields (Rumaila, Majnoon and  Rumaila south) are located in the Basra province <br />Additionally, there is an  abundance of crude material for some industries, with the capacity to extract  such materials; as well as an enormous agricultural  potential.<br /><br /><strong>Local Market</strong><br /><br />Basra has a vast local  market built upon 3 million people and it acts as a gateway to the rest of  Iraq.&nbsp; Basra is ideally placed to provide goods and services through its  promising market to some 31 million individuals within Iraq.<br /><br />The existing  infrastructure can further attract and facilitate investment. Basra Airport, Um  Qasser harbor, FAO harbors, existing railway lines and the road network  connecting Basra with other Iraqi provinces as well as with neighboring  countries, all contribute to ensuring the greatest possible output from  investments. Similarly, there are several power stations that can be developed  to meet local and foreign investment requirements.<br /><br />Finally, there is  further potential for expanding tourism as the security situation in Iraq  continues to be stabilized and with Basra being one of the oldest cities in the  world; it consists of an array of archeological, traditional and religious  locations and sites that attract people from all over the  world.<br /><br /><strong>Investment Laws</strong><br /><br />Investment in Basra is  supported by clear laws and simple processes to obtain an investment license. To  further encourage investment in Iraq, the Iraqi government introduced a number  of legislative measures (including Investment Law No. 13 of 2006, Investment  Regulation No.6 of 2010 and the First Amendment to Investment Law No. 7 of 2010)  which greatly simplifies and assists the investment process. <br /><br />Firstly,  the laws provide for the freedom of transferring profits and revenues in and  outside of Iraq, as well as the right to open banks in and outside Iraq.  Further, they provide a number of exemptions and privileges (including certain  tax and custom fee exemptions) for investors who have obtained an investment  license.&nbsp; <br /><br />The one-stop-shop in the National and Provincial Investment  Commissions further assists investors, by facilitating the process of obtaining  the investment License, allocating land, securing a number of tax exemptions for  investors, as well as facilitating the entry and exit of investors and their  employees.<br /><br />The aforementioned Commission also provides guidance to  investors, through issuance of an Investment Map which lists a number of  investment opportunities in Iraq, including a geographic description at the  different provinces where investment in sought. Similarly, an Investor Guide is  provided, which contains necessary information for investors, such as mechanisms  to facilitate entry and exit procedures to and from Iraq and how to enjoy the  many benefits of the Investment Laws.<br /><br />It is worth mentioning that First  Amendment No. (7) of 2010 (which came into force in February 2011), allows for  the ownership of land by certain housing projects, as well as establishing the  conditions for leasing lands for other projects.&nbsp; <br /><br />The Amendment assists  investments in four main ways; first, by providing for allocation of land  without land speculation, which greatly encourages foreign investments by  cutting down on costs, and making it easier for investors to determine fees they  are subject to. Under the housing field, the Amendment provides for the sale of  the housing unit at a price to be set in accordance with offer and demand in the  free market; as well as providing that the government shall provide the land to  the investor for development of housing a unit only, and which shall be  determined in accordance with location of land. <br /><br />The implementation of  the aforementioned Investment Laws is a great step further encouraging  investment in Iraq in general, and in Basra in particular; and is felt by many  to be a vital base for launching the investing wheels in Iraq.</p>