The National Investment Commission has issued regulations for the amendment of investment licenses as follows:

First: Granting Additional Periods:

To grant additional periods for investment projects, the following is required:

1. Submission of a request by the investor for the granting of the additional period, provided that the request includes reasons beyond their control that justify granting the additional period and its duration, along with a copy of the investment license.

2. The total additional periods granted to investment projects must not exceed the project's implementation period as stipulated in the investment license, taking into account cases of force majeure or emergency circumstances according to the contract provisions.

3. Obtaining approval from the land-owning entity and the activity-regulating entity for the extension request.

4. Submission of a report by the technical committee in the concerned commission, accompanied by a technical inspection and a report from the accredited consulting office confirming the achievement rates and stating the reasons that justify granting the additional period and its duration. This includes previous extensions granted to the investor, the date of granting the investment license, the date of commencement, the implementation period, the proposed recommendation of the technical committee to grant the additional period, and presenting it to the license amendment committee in the concerned commission. The minutes of the license amendment committee must be approved by the head of the concerned commission.

Second: Assignment

1. Submission of a request by the investor to assign the project and the license, accompanied by a copy of the investment license.

2. Submission of an assignment record authenticated by the person authorized with notary public authority in the licensing commission, provided that the record includes a clause stating that all rights and obligations of the assignor transfer to the assignee.

3. Obtaining approval from the land-owning entity and the activity-regulating entity for accepting the assignment request.

4. Providing confirmation of no financial obligations of the assignor towards the state and banks through direct communication exclusively with the Central Bank of Iraq.

5. Submission of the technical committee's report along with a technical inspection and a report from the accredited consulting office confirming the achievement percentages in accordance with Article (10/Third) of the amended Investment Law No. (13) of 2006.

6. Submission of the financing plan and financial competence of the assignee, accompanied by a guarantee from the financing entity for the remaining works of the project. This does not include projects completed at a rate of (100%) as per the technical committee's report mentioned in paragraph (5) above.

7. If the assignee is a company, attach the company's documents endorsed by the Companies Registration Department and confirmation of the authenticity of those documents from the aforementioned department, as well as the company's legal and financial status from the Companies Registrar if it is local. In the case of a foreign company, provide the foreign company's documents, its legal and financial status, and authentication of their issuance endorsed by the Iraqi Ministry of Foreign Affairs.

8. Observing the circular of the National Investment Commission No. 1205 dated 19/1/2018, Appendix No. (1), regarding approval for the sale of shares of Iraqi companies holding investment licenses.

9. Observing the provisions of Article (19/Second) of the Investment Law when granting the investment license to the assignee.

10. The minutes of the License Amendment Committee in the concerned commission must be accompanied by the approval of the head of the concerned commission.

Third: Expansion (Increasing Design Capacity)

1. Submission of a request by the investor for the expansion of the project, along with a copy of the investment license.

2. The expansion request shall not be processed unless an actual completion percentage of no less than 25% of the investment project has been achieved.

3. Submission of the prepared timeline for implementing the expansion.

4. Submission of the opinions of the Legal Department, Economic Department, Technical Department, and One-Stop Shop Department in the licensing authority regarding the expansion request.

5. Submission of the minutes of the Technical Committee indicating the achieved completion percentage, along with a technical inspection and a report from the accredited consulting office, details of the expansion, specifying the project's capital, implementation period, and the investment period after expansion, to be documented in the investment license after its amendment.

6. Submission of the financing plan and financial capability specific to the expansion, guaranteed by the financing entity, along with the economic feasibility study and preliminary designs for the expansion, and providing the opinion of the concerned department on the acceptability of the financing plan, economic feasibility study, and preliminary designs.

7. Obtaining approval from the land-owning entity and the sectoral entities for the expansion request.

8. Submission of the opinion of the concerned department confirming the fulfillment of the provisions of Article (17/Second) of the amended Investment Law No. (13) of 2006, and the increase of the project's design capacity for goods, services, or materials by amounts exceeding 15%, taking into account the circular of the National Investment Commission No. (A.D/3086) on 11/4/2021, attached with a copy of the letter from the General Secretariat of the Council of Ministers No. (Q 7777/1/2) dated 30/3/2021 (Attachment No. 2) regarding not adding or incorporating an area to the project without advertising it as an investment opportunity.

9. Observing the jurisdiction of the concerned commission in light of the provisions of Article (4/First and Second) of the amended Investment Regulations No. (2) of 2009 in case of project expansion if the cost or capital of the project exceeds the authority of that commission.

10. In the case of changing or increasing the cost or capital of the project for various reasons, including expansion, an annex to the project's economic feasibility study should be submitted, detailing the reasons for the cost increase and any other requirements, to be presented to the License Amendment Committee to make the appropriate decision, taking into account paragraph (9) above.

11. The minutes of the License Amendment Committee in the concerned commission must be approved by the head of the concerned commission.

Fourth: Development (Replacement of Machines or Equipment or Addition of Production Lines):

1. Submission of a request by the investor to develop the project, along with a copy of the investment license.

2. Submission of the prepared timeline for the implementation of the development.

3. Submission of the minutes of the Technical Committee detailing the development, along with a technical inspection of the project and a report from the consulting office.

4. Obtaining approval from the land-owning entity and the sectoral entity regulating the activity for the development.

5. Determining the project's capital after development, the implementation period, and the investment period, to be recorded in the investment license after its amendment.

6. Submission of the financing plan and financial capability specific to the development, guaranteed by the financing entity, along with the economic feasibility study and preliminary designs for the development, and providing the opinion of the concerned department on the acceptability of the financing plan, economic feasibility study, and preliminary designs.

7. Submission of the opinion of the concerned department confirming the fulfillment of the provisions of Article (17/Second) of the amended Investment Law No. (13) of 2006 by replacing advanced machines with the project's machines wholly or partially, or developing the existing devices and equipment in the project by adding new machines or parts thereof with the aim of increasing production efficiency or improving the development of product or service types.

8. Observing the authority of the concerned commission in light of the provisions of Article (4/First and Second) of the amended Investment Regulations No. (2) of 2009 in case of project development if the cost or capital of the project exceeds the jurisdiction of that commission.

9. In case of changing or increasing the cost or capital of the project for different reasons, including the case of development, an annex to the project's economic feasibility study should be submitted, detailing the reasons for the cost increase and any other requirements, to be presented to the License Amendment Committee to make the appropriate decision, taking into account paragraph (8) above.

10. The minutes of the License Amendment Committee in the concerned commission must be approved by the head of the concerned commission.

Fifth: Inclusion of a Financier and Executor in the Investment License:

It is possible to include one or more financiers and/or executors in the investment license at any stage of the project after obtaining approval from the land-owning entity. They are not considered partners in the project or the investment license, nor does this constitute an assignment of the project until the achievement percentage reaches 40%, in compliance with the assignment provisions stipulated in item (Second) of these regulations.

Sixth: Changing the Project Name:

In case of a request to change the name of the investment project, the Central Bank of Iraq should be approached to provide confirmation of whether there are any financial obligations on the project. Approval from the land-owning entity and the activity-regulating entity must also be obtained. The request is then presented to the License Amendment Committee in the concerned commission to make an appropriate decision regarding the approval of the project name change.

Seventh: Changing the Activity:

Approval must be obtained from the Ministerial Council for the Economy in case of a request to change the activity in investment licenses after the request has been studied by the License Amendment Committee in the licensing authority. The request is submitted along with legal and economic opinions, observing the provisions of Article (23) of the Investment Law No. (13) of 2006 as amended regarding this matter.

Eighth: Project Phases:

If the investment license was issued with a specified implementation period, and the investor submits during execution an annex to the economic feasibility study that includes amending the license to be in several phases, provided it is within the same implementation period, the License Amendment Committee in the concerned commission may consider the request and make an appropriate decision, accompanied by the approval of the economic and technical departments in the concerned commission.

Ninth: Licenses Granted by the National Investment Commission on Behalf:

If the investment license was issued by the National Investment Commission on behalf of the concerned Provincial Investment Commission due to the absence of a Board of Directors therein, in accordance with the provisions of Article (37/Third) of the amended Investment Regulations No. (2) of 2009, the project file is transferred to the concerned commission, and the requirements for amending the license are completed by the Investment License Amendment Committee in the concerned commission.

Tenth: Fees for Amending Licenses:

Service fees for carrying out the mentioned transactions are determined according to regulations issued for this purpose by the National Investment Commission.

In conclusion, being aware of the regulations for amending investment licenses is a fundamental step for every investor aspiring to achieve sustainable success. By adhering to current regulations and laws, you can expand your investments with confidence and security. Embark on a promising investment future and always stay informed of all that is new in the world of investment with a law firm in Iraq.