Al Basrah New City (ABNC)

AL Basra New City (ABNC) is a large urban development project¹ located on the opposite side of the old town of Basra, across the Shatt Al Arab River in the province of Basra. This project builds upon Basra’s historical significance as a key hub for the maritime Silk Road and Iraq’s primary trade center, with immediate access to the only port in southern Iraq.² As such, ABNC is envisioned as “Iraq’s Gateway” and a “Complementary City” to Basra, aiming to create a more significant trade center in conjunction with the developing Great Al Faw Port project.^{i 3}
Additionally, being part of the national housing program,^{ii 4} Al Basra New City has two main objectives: to address the high housing demand in Basra by providing essential housing supply and to develop “premium infrastructure” to support modern urban living. Approximately 45% of the ABNC development area is designated for residential purposes to fulfill this objective.⁵

The master plan for ABNC covers an area of 28.2 square kilometers,⁶ divided into six mixed-use towns.⁷ It includes residential areas, commercial and business districts, educational facilities, public spaces, and sports and recreational facilities.^{8 9} Specifically, the new city has the following main components:

• Residential areas with 100,000 housing units for over 600,000 people.¹⁰ These units will be a mix of detached houses, villas, and apartment buildings ranging from 5 to 30 floors, blending traditional Iraqi architecture with modern designs. The project aspires to offer diverse housing options to Basra’s residents.¹¹
• The business and commercial district at the city center aims to establish a new hub for global business and export industries in Iraq.¹²
• Public facilities include an interactive university campus for 5,000 students in Town 2,¹³ a youth center in Town 4, and a medical center in Town 3 consisting of a modern general hospital and a medical and nursing school.¹⁴

Al Basra New City Project has implemented infrastructure plans to ensure reliable energy and water provision. The project has adopted a high-quality water management system that processes water from the Shatt Al Arab River through a five-stage filtration process, followed by a seven-stage sewage treatment system.¹⁵ Additionally, to meet the city’s energy needs, the project includes the installation of a 750MW power plant. This substantial power generation capacity aims to secure a reliable and consistent electricity supply for the entire new city, supporting residential and commercial needs.¹⁶

To ensure affordability, the Iraqi Government has allocated $ 300 million to support the project, funded by the Al Rajhi Bank of KSA and another Emirati Bank. This allocation covers annual interest for Basra residents and contributes to reducing housing unit prices by 40%.¹⁷ Citizens can purchase units for approximately $38.000 each, with a 15-year installment plan and monthly payments of $230 starting after receiving their apartments.¹⁸

The National Investment Commission (NIC) initiated the project in collaboration with Al Basra Governorate¹⁹ and TRAC Development Group, a South Korean real estate developer.^{20 21} The master plan was designed by TRAC Development Group²² following the signing of the Al Basra New City Master Development Plan by the TRAC Consortium and NIC Technical Committee in February 2014 in Baghdad, Iraq.²³ The project commenced with 25,000 housing units of the aspired 100,000 units, implemented by TRAC Development Group.²⁴ The project cost is $16,000 million,²⁵ funded by Al-Rajhi Holding Group.²⁶