Siemens closes in on massive Iraq deal with promise of German ECA support

(Handelsblatt, Berlin, 24 September 2018) German engineering conglomerate Siemens is nearing a massive contract to boost Iraq’s power generation infrastructure. The deal is thought to be worth between €8 and €13 billion ($11.75 – $15.25 billion) and consists of numerous smaller projects. They would involve partnerships with local contractors, which would receive part of the sum. Siemens' chief Joe Kaeser meeting with Iraqi prime minister, Haider al-Abadi, in Baghdad, came after German Chancellor Angela Merkel had put in a special call to Mr. al-Abadi in support of the deal, government sources told Handelsblatt. A senior official in the economics ministry joined Mr. Kaeser to Iraq and Ms. Merkel’s government has also promised extensive export credit guarantees. If successful, the contract will be one of the largest in the company’s history.