The Development Road: Iraq’s Route to Economic Transformation and Regional Power

Iraq's Development Road Project is set to be one of the most ambitious undertakings in the country’s history. Stretching from the Grand Faw Port on the Persian Gulf through key Iraqi cities and into Turkey, the project seeks to position Iraq as a crucial transit hub, linking the Middle East to Europe. By doing so, it hopes to transform Iraq’s economy and boost its geopolitical influence in the region.

The Development Road Project is designed to revitalise Iraq’s economy by creating a faster and more direct connection between Asia and Europe, bypassing the lengthy sea route via the Suez Canal. By linking the Grand Faw Port in the south to Europe through Turkey, Iraq aims to become a major conduit for global trade.

What Does the Project Entail?

The backbone of the Development Road will be a high-speed rail network and a modern motorway system. This dual infrastructure is meant to transport goods and passengers across Iraq’s major cities, including Basra, Baghdad, and Mosul, before crossing into Turkey. Once in Turkey, the road and rail network will merge with Europe’s existing transportation systems, reducing transit time for goods moving between Europe and the Gulf region.

Additionally, the route will feature multimodal transport hubs, enabling efficient transfers between sea, road, and rail. The Grand Faw Port, currently under expansion, will play a key role in receiving cargo from the Indian Ocean and the Arabian Gulf, which can then be swiftly transported overland to Europe.

Competing Corridors

Iraq’s Development Road is not the only project of its kind in the Middle East. Several countries are pursuing similar infrastructure projects, hoping to position themselves as key players in global trade. Here’s how the Development Road compares to some major competitors:

1. India–Middle East–Europe Economic Corridor (IMEC)

Announced at the 2023 G20 summit, the India–Middle East–Europe Economic Corridor (IMEC) is a significant new initiative designed to improve trade connectivity between India, the Middle East, and Europe. The corridor envisions a combination of rail and sea routes linking India to the Gulf states, then extending to Europe via the United Arab Emirates, Saudi Arabia, and Jordan.

• Comparison: While both the Development Road and IMEC aim to bypass the Suez Canal, the IMEC relies on a mix of maritime and rail transport, whereas the Development Road is primarily land-based. IMEC is also multi-regional, involving numerous countries and international partnerships. Iraq’s Development Road, by contrast, is a more concentrated route that offers a quicker overland alternative specifically through Iraq and Turkey.

2. North-South Transport Corridor (NSTC): Iran-Russia New Railway

The North-South Transport Corridor (NSTC) is another critical initiative, linking India, Iran, Russia, and Europe through a series of rail and road networks. This project primarily focuses on connecting the Caspian Sea and the Persian Gulf with Russia and Europe, significantly reducing transport time between India and Europe.

• Comparison: While the NSTC spans multiple countries and regions, the Development Road focuses more narrowly on connecting Iraq to Europe. The NSTC involves key players like Iran and Russia, whereas Iraq’s project depends heavily on its relationship with Turkey and European markets. Additionally, the NSTC provides more access to Central Asia and Russia, whereas the Development Road focuses on European markets.

3. Saudi Arabia’s Land Bridge Project

As part of Saudi Arabia's Vision 2030, the Saudi Land Bridge Project aims to link the Red Sea to the Arabian Gulf via a high-speed railway. Like the Development Road, it seeks to reduce shipping times between Europe and Asia, providing an overland alternative for maritime routes.

• Comparison: The Saudi Land Bridge connects two seas, while Iraq’s Development Road stretches overland across an entire country, linking the Gulf directly to Europe. The Development Road’s strategic position places it closer to both Turkey and Europe, offering a potentially faster route for goods moving westward.

A New Balance of Power

The Development Road is not just an economic project—it carries significant political implications for Iraq and the broader Middle East. Infrastructure projects of this scale often redefine relationships between countries, and Iraq’s new role as a trade hub could alter the political landscape in several ways:

1. Boosting Iraq’s Geopolitical Clout

Iraq has faced decades of instability and underinvestment, but the Development Road could mark a turning point, allowing the country to capitalise on its strategic location. By becoming a key link in global trade, Iraq could strengthen its ties with Europe, Turkey, and Gulf states, thereby increasing its political leverage in the region. The project could also reduce Iraq’s reliance on oil revenues, diversifying its economy and improving long-term stability.

2. Competition with Neighbouring Powers

The Development Road places Iraq in direct competition with other regional powers like Saudi Arabia and the UAE, both of which are also seeking to become global trade hubs. Iraq’s success with this project could challenge Saudi dominance in Gulf trade, while the UAE might face increased competition as a logistics centre.

Additionally, Iran could see Iraq’s growing prominence as both a challenge and an opportunity. While both countries are closely linked, Iraq’s ability to attract international investment and political capital might shift the balance of power between the two nations.

3. Turkey as a Strategic Partner

Turkey stands to gain significantly from the Development Road as it will be the primary gateway between Iraq and Europe. This could strengthen Turkey-Iraq relations, with Turkey becoming a key partner in Iraq’s economic recovery. However, it also positions Turkey as a gatekeeper, potentially giving Ankara significant influence over Iraq’s international trade routes.

A Bold Step for Iraq’s Future

Iraq’s Development Road Project represents a bold and ambitious vision for the country’s future. By creating a faster and more efficient overland trade route, Iraq could transform itself into a vital hub connecting Asia and Europe, reducing dependence on oil and increasing its global economic and political influence.

While the project faces challenges—particularly in terms of funding and security—it offers a path for Iraq to play a pivotal role in the new global trade networks of the 21st century. By comparing it to other projects like India’s Middle East–Europe Corridor and the North-South Transport Corridor, it’s clear that the Development Road has the potential to rival other major initiatives in shaping the future of global commerce and politics in the Middle East.