Iraq halts 5G network project after deal with Vodafone

Iraq has suspended its national 5G network project following internal disputes between the Communications and Media Commission (CMC) and the Ministry of Communications, according to Iraqi lawmaker Mohammed Jassim al-Khafaji. The disagreement centers on how the project should be implemented and whether exclusive rights should be granted to the proposed national operator.

Al-Khafaji said the suspension comes despite a €6 million agreement signed earlier between Vodafone and the Ministry of Communications. The deal was linked to Iraq’s plan to establish a national mobile company to operate the country’s first 5G network in partnership with Vodafone.

In March 2025, the Iraqi cabinet approved the creation of the national telecom company, with participation from the Trade Bank of Iraq, the National Board of Pensions, and the Ministry of Communications. The Prime Minister’s Office said the initiative was designed to strengthen Iraq’s telecom infrastructure by allowing local funds to invest alongside international expertise.

Vodafone was officially selected in November 2024 to operate Iraq’s 5G network, which is expected to deliver peak speeds of up to 10 gigabits per second and significantly lower latency. The project is seen as a critical step in Iraq’s digital transformation and its ambition to join the group of countries that have already deployed 5G technology.

The current halt underscores ongoing regulatory and governance challenges within Iraq’s telecom sector, potentially delaying the country’s plans to modernize its digital infrastructure despite strong government backing and international partnerships.