Iraq CMC Update: New Licensing Regulations for GPS Tracking Systems

Iraq CMC Issues New rEGULATIONS and Instructions for Licensing and Use of GPS Tracking Systems The Communications and Media Commission (CMC) of Iraq has issued new regulations and instructions regulating the licensing, use, and operation of Global Positioning System (GPS) Tracking Systems in Iraq. These instructions fall within the CMC’s regulatory authority over telecommunications and technology-based services that involve tracking, monitoring, and positioning systems.   Licensing and Regulatory Requirements Under the newly issued regulations, companies providing or operating GPS tracking services are required to obtain prior licensing and approval from the CMC. The regulation applies to entities offering GPS-based services for vehicle tracking, asset monitoring, fleet management, and other location-based applications. Any company engaging in such activities must ensure that its operations are properly licensed and compliant with the CMC’s regulatory framework.   Data Protection and System Use The instructions emphasize the importance of compliance with technical, security, and data protection standards, particularly where GPS tracking systems involve the collection, processing, or transmission of location data. Unauthorized use of GPS technology or operation without the required license may result in regulatory measures, including suspension of activities or other legal consequences.   Scope of Application These instructions are relevant to companies operating in sectors such as logistics, transportation, security services, fleet management, and technology solutions, as well as any business using GPS tracking systems as part of its operational or commercial activities.   Compliance Considerations Companies are advised to assess whether their business activities fall within the scope of the GPS tracking regulations and, where applicable, to initiate the necessary licensing procedures with the CMC. Internal policies and operational practices should be reviewed to ensure alignment with the new regulatory regulations.   How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Iraq Call Center Regulation Update: Registrar Issues New Licensing Instructions

Iraq Call Center Regulation Update: Registrar Issues New Licensing Instructions The Companies Registration Department, in coordination with the Communications and Media Commission, has issued new regulatory instructions governing companies operating in the call center services sector in Iraq. Key Regulatory Updates New instructions regulate the operation of call center services The instructions apply to all companies providing call center services in Iraq Companies are required to review and regularize their legal status in accordance with the new regulatory framework   Licensing Requirement Companies must approach the Communications and Media Commission (CMC) to: Obtain the required licenses Correct their legal and regulatory status The deadline for compliance is six (6) months from the official publication date of the regulatory instructions Companies operating without the required license will not be granted any extensions   Enforcement Measure Any company continuing call center activities without obtaining the required license: Will be considered non-compliant May face regulatory action or suspension of activities   Scope of Application Call center service providers Customer support and telemarketing companies Outsourced contact center operators Local and foreign companies providing call center services in Iraq   What Companies Should Do Review whether their activities fall under call center services Examine the newly issued regulatory instructions Initiate licensing procedures with the Communications and Media Commission Complete compliance within the prescribed six-month period How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Labour-Intensive Companies Required to Submit Anti-Human Trafficking Declarations

Iraq – Labour-Intensive Companies Required to Submit Anti-Human Trafficking Declarations In line with Iraq’s annual action plan to combat human trafficking, the registrar of companies issued a new compliance obligations have been introduced for companies operating with labour-intensive activities. Key Regulatory Updates The requirement is issued pursuant to the 2025 national plan to combat human trafficking in Iraq Companies that employ manual or labour-intensive workforces are required to submit an official declaration The declaration must confirm the company’s adoption of corporate social responsibility policies aimed at preventing human trafficking   Required Declaration Must Confirm: Commitment to protecting workers’ rights Monitoring and oversight of supply chains Non-involvement in any exploitative or abusive labour practices Implementation of clear internal procedures to prevent human trafficking risks   Reporting Obligation The declaration must be submitted annually Submission is required to the competent government authority Documentation may be reviewed as part of compliance or inspection procedures What Companies Should Do Review current labour practices and internal policies Adopt or update anti-human trafficking and CSR policies Prepare the required formal declaration Ensure timely annual submission to the competent authority How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Iraq Proof of Payment of Government Utility Fees Now Mandatory

Iraq Companies Registration Update: Proof of Payment of Government Utility Fees Now Mandatory The Companies Registration Department has issued a new announcement imposing additional compliance requirements on all companies in relation to outstanding government utility fees. Key Regulatory Updates The announcement is issued pursuant to an official directive from the General Secretariat of the Council of Ministers The directive is based on Article (18) of the Federal General Budget Law for the years 2023–2025 Companies are required to submit proof of payment for: Water service fees Electricity service feesowed to government entities   New Enforcement Measure Companies must provide evidence that all outstanding utility bills have been settled Failure to submit proof of payment will result in: Suspension of transaction processing No transactions will be completed starting from the following week if proof is not attached How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Iraq Security & Transport Update: Mandatory Approval for Transport of Hazardous Materials

Iraq Security & Transport Update: Mandatory Approval for Transport of Hazardous Materials A new directive issued pursuant to a decision of the Iraqi National Security Council introduces mandatory compliance requirements for companies engaged in transport activities involving hazardous materials.   Key Regulatory Updates The directive is issued pursuant to National Security Council Decision No. (3) adopted in session (3/2024) All companies engaged in transport activities are required to Contact and coordinate with the General Company for Land Transport The purpose is to obtain initial approvals required for Transport of hazardous materials Companies transporting hazardous materials are to be treated as national carriers of hazardous materials under the decision   Scope of Application Companies engaged in land transport activities Logistics and transport companies handling hazardous or sensitive materials Companies involved in supply chains requiring movement of regulated materials   What Companies Should Do Review whether their activities involve transport of hazardous materials Coordinate with the General Company for Land Transport Obtain the required initial security and regulatory approvals Ensure internal compliance with transport and national security requirements How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Iraq AML Update: Companies Required to Disclose Shareholders Holding 10% or More

Iraq AML Update – Shareholder Disclosure Requirements Recent regulatory correspondence requires joint stock companies to provide the Companies Registration Department with updated information on shareholders holding not less than 10% of the company’s shares.   Key Update Highlights Companies must submit the names of shareholders owning 10% or more of company shares The requirement applies to joint stock companies The purpose is to support sectoral risk assessment updates The measure aims to mitigate risks related to: Misuse of legal entities Money laundering Terrorist financing   Regulatory Objective Enhancing transparency of ownership structures Identifying beneficial owners Strengthening AML/CFT compliance frameworks   What Companies Should Do? Review current shareholding structure Identify shareholders meeting the 10% threshold Ensure accurate and up-to-date disclosure to the Companies Registration Department Align internal records with AML/CFT requirements   Why This Update Matters: Failure to maintain accurate ownership disclosures may expose companies to regulatory scrutiny, compliance risks, or penalties, particularly in the context of AML/CFT enforcement. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Iraqi Official Gazette: Legal Enforceability of Laws in Iraq

Iraqi Official Gazette: Legal Enforceability of Laws in Iraq The Iraqi Official Gazette (Al-Waqa’i Al-Iraqiya) is the sole official publication for laws, regulations, instructions, and decisions in Iraq. As a matter of law, no legislation is legally enforceable unless it is published in the Gazette. For companies and investors, the publication date determines the effective date of legal obligations, compliance deadlines, and penalties. Courts, government authorities, and regulators rely exclusively on the Gazette as the authoritative legal reference. Monitoring the Iraqi Official Gazette is therefore essential for businesses operating in Iraq to ensure regulatory compliance and avoid legal exposure.

Production Fee Requirements for Manufacturing Companies in Iraq

Production Fee Requirements for Manufacturing Companies in Iraq The General Commission of Customs, under the Ministry of Finance, has issued an official notice concerning the collection of production fees applicable to certain manufacturing and production activities in Iraq. According to the referenced correspondence issued by the Customs Affairs Department and the Production Fees Division of the Middle Region Customs Directorate, companies whose licensed activities include the production of specific goods are required to review the competent customs authority for the purpose of completing production fee assessment and payment procedures. Affected Activities: The requirement applies to companies engaged in the production of, including but not limited to: Petroleum products Vegetable oils Pharmaceutical manufacturing Ready-made garments Automotive manufacturing Cigarettes and tobacco products Electronic industries Local sugar production Alcoholic beverages Food industries Cement Light industries Products of the General Company for Industrial Gases   Compliance Requirement: Companies operating in the above sectors must coordinate with the relevant customs authority to ensure proper assessment and settlement of production fees in accordance with applicable customs and fiscal regulations. Failure to complete the required procedures may expose companies to administrative measures, penalties, or delays in customs clearance and regulatory approvals.   How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Parent Company Continuity Requirements for Foreign Company Branches in Iraq

Parent Company Continuity Requirements Foreign companies operating in Iraq through registered branches are required to maintain updated records confirming the continuity and legal standing of the parent company, in line with the requirements of the Iraqi Companies Registrar and the Regulation of Branches of Foreign Companies No. (2) of 2017 (as amended). To facilitate compliance procedures, branches of foreign companies must submit official documentation evidencing that the parent company remains active and continues to conduct its business operations. This requirement aims to ensure regulatory transparency and the ongoing legal validity of foreign company branches operating in Iraq. Accepted Documentation: For compliance purposes, one of the following documents must be provided: A duly issued and legally authenticated document from the parent company confirming its continuity; or An official confirmation letter issued by a competent governmental authority in the country of incorporation, duly authenticated, confirming that the parent company remains active and operational.   All documents must be authenticated in accordance with applicable legal procedures and submitted within the timelines specified by the competent Iraqi authorities. Regulatory Importance: Failure to submit the required documentation may result in regulatory measures, administrative penalties, or restrictions on the branch’s legal status in Iraq. Foreign companies are therefore advised to proactively review their compliance position and address any outstanding requirements without delay. How Etihad Law Firm Can Assist? Etihad Law Firm provides comprehensive legal support to foreign companies operating in Iraq, including: Assessment of branch compliance status Preparation and legalization of corporate documents Liaison with the Iraqi Companies Registrar Ongoing corporate and regulatory advisory services

Foreign Companies Required to Update Legal Status in Iraq – Official 60-Day Compliance Notice

Foreign Companies Required to Update Legal Status in Iraq – Official 60-Day Compliance Notice Etihad Law Firm would like to draw attention to a recent announcement issued by the Iraqi Companies Registrar, identifying a number of foreign companies operating in Iraq that are required to update their legal status in accordance with the Regulation of Branches of Foreign Companies No. (2) of 2017 (as amended). According to the Registrar’s notice, foreign companies included in the announcement must complete the required compliance procedures within sixty (60) days from the date of publication. Under the notice, affected companies are required to take one or more of the following actions within the specified timeframe: Submit updated legal and corporate information confirming the company’s status and activities in Iraq; Settle any accumulated fines or penalties, where applicable; or File an official application for branch liquidation if operations in Iraq have ceased.   Non-compliance within the statutory period may result in further regulatory action, financial penalties, or restrictions imposed by the competent Iraqi authorities.   How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.