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Press release from Ministry for Foreign Affairs

Government phasing out bilateral development aid with Iraq

Published

The Government has decided to begin a phase-out of Sweden’s strategy for development cooperation with Iraq. This phase-out will be done responsibly, and the Swedish International Development Cooperation Agency (Sida) and the Folke Bernadotte Academy (FBA) have been tasked with concluding operations by 30 June 2025.

“Sweden has provided both humanitarian and development aid to Iraq for many years. Conditions have changed and Iraq is now a middle-income country with adequate resources to look after its own population. Instead, we see an opportunity to broaden our relationship with Iraq through cooperation within areas such as trade, the environment and migration,” says Minister for International Development Cooperation and Foreign Trade Johan Forssell.

“Sweden and other parts of the world are facing large and steadily increasing funding needs. This is thus a step in the process of ensuring that Swedish tax revenues are used for the most prioritised purposes, and we believe that measures like these strengthen Sweden’s ability to focus our efforts and resources where they do the most good,” says Aron Emilsson, foreign policy spokesperson for the Sweden Democrats. 

The Government has instructed Sida to transfer migration, return and environment and climate activities to other strategies as far as possible and appropriate.

The Government intends to continue cooperation with Iraq at the intersection of development aid and trade promotion, for example to promote a green transition. 

Strategy for Sweden’s development cooperation with Iraq

Sweden’s current bilateral Iraq strategy for 2022–2026 comprises a total of SEK 1.2 billion for Sida and SEK 45 million for FBA.

Following a decision on a new level of development cooperation appropriation, the strategy has amounted to approximately SEK 190 million per year since 2023. Under the strategy, the amounts for 2025 will be SEK 100 million for Sida and SEK 4 million for FBA.

Press contact

Anna Ståhlgren Nislander
Political Adviser to Minister for International Development Cooperation and Foreign Trade Johan Forssell
Phone +46 8-405 10 00
Mobile +46 76-1089971
email to Anna Ståhlgren Nislander
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