The #iraqi Ministry of Planning issued new #regulations No. 6 of 2023, related to the classification of construction companies covering the requirements for granting the excellent grade and its mechanism. The required documents to grant construction companies an excellent degree include strict conditions. The company’s capital must be no less than 7 billion IQD, the company must obtain a legal consultant, a full-time accountant, a shareholder or full-time engineer with the rank of consultant, with the approval of the bar, accountant, and engineering unions.
The company is obligated to provide 100% completed work, and final delivery must be after the maintenance period, in exchange for an amount not less than 25 billion IQD for one contract, or 15 billion IQD for each of two companies, or 35 billion IQD for three companies. It is also emphasized that the completed work must be of the type of the required specialization to amend the grade to excellent at a rate of not less than 70% of the value of the completed work. Construction companies must submit completed and finally delivered projects for each specialization at the time of submitting a request to amend more than one specialization at the same time.
It also required that the companies to submit certified financial statements for the last 2 years, as well as to submit the amount of money that was paid to the Ministry of Finance and the General Commission of Taxes during the last 2 years. In addition, it is mandatory to have at least 15 machines and equipment, submit a conformation letter issued by the Ministry of Labor and Social Affairs regarding social security clearance. The original documents, which include the identification documents of the company owner, the general manager, shareholders, company’s establishment documents, and the classification identity of the company whose grade is to be modified, must be submitted a period of time before receiving the company ID to ensure its match with electronic records.
Classification of Construction Companies
