Iraq’s digital surge is connecting millions of young people. The opportunity now is turning that momentum into skills, jobs and real economic opportunity for its youth
In Iraq, technology is no longer just a tool - it has become a driving force for growth, connectivity and progress. In recent years, the country has undergone a quiet but powerful digital transformation. Internet penetration has risen from 44% in 2019 to 83% at the end of 2024, bringing millions of people into the digital economy and reshaping daily life.1
But the challenge now is translating connectivity into opportunity. This is especially urgent given that youth unemployment officially stands at 32%2 in a country where more than 60% of the population is under 25.3 The real story, therefore, begins when a connected nation decides what it wants to do with all that potential. How can Iraq channel youth-led digital activities into a resilient, and inclusive engine of diversification?
Turning access into economic value
In Iraq, the government has taken steps to expand coverage, including the planned roll out of 5G services.4 The next step is translating expanded access into education outcomes, employment opportunities and measurable economic value across the country.
Expanding digital participation will also require increased investment in digital literacy and skills development so that all Iraqis, especially the young, can benefit from technological advancement.5 With a young, dynamic population and a growing entrepreneurial spirit, the country has the foundation to overcome current challenges and position itself as a vibrant hub for technology and innovation.
Building the skills that will power Iraq’s next decade
Digital progress will only deliver long-term value if it is matched by a workforce with the right capabilities. Digital tools can create pathways into freelancing, technology careers and entrepreneurship, but this requires an education system that embeds skills for high-growth sectors such as AI, data analytics and cybersecurity. Signs of progress are emerging. Universities are expanding digital curricula and more graduates are securing roles with global firms.
The priority now is strengthening these programmes, linking them to real work experiences and making practical learning a standard part of digital education. Theory builds confidence. Practice builds careers. Young Iraq can benefit from both.
Creating the ecosystem every digital economy needs
Iraq needs an ecosystem that aligns the private sector, educational institutions and government to turn digital access into job-ready skills, sustainable employment and scalable businesses. Leveraging private-sector commitments and scaling successful models through public support can help ensure digital literacy and practical learning reach every community.
Strong governance is essential. Predictable regulation, secure data systems and investment incentives help attract technology firms and encourage long-term capacity building. When the rules are clear and the ground is steady, investors don’t hesitate – they build.
Global partnerships can further accelerate progress by bringing international expertise to local institutions, while cross-sector collaboration ensures vocational pathways reflect real labour market needs.
Inclusivity must sit at the centre of this agenda. Today, only 10.8% of Iraqi women aged 15 and above participate in the workforce, one of the lowest rates in the world and this rate has declined over the past few years.6
Raising female participation is important to Iraq’s digital economy. With a large share of the educated population currently underrepresented in the workforce, expanding access to skills, training and employment pathways for young women would significantly widen the talent pool, support productivity growth and strengthen long-term economic resilience.
Role of private sector
Businesses have a central role to play in expanding opportunity for all young people. Companies can offer workshops, mentoring programmes and structured internship pipelines that lead to real employment. Employers can change the trajectory by creating routes that take young people from basic training into real work – turning potential into payroll. They can also invest in innovation hubs and digital platforms that help young Iraqis build their own ventures and access regional markets.
Significant training programmes do exist. Examples include UNESCO’s work to equip young Iraqis with digital skills, the United Nations Industrial Development Organization’s coding and entrepreneurship programmes in Mosul and SAP’s Young Professionals Programme.7,8,9
The priority now is to build on these models and extend their reach to more people.
As part of this wider effort, PwC Middle East is committed to growing opportunities for young Iraqis through hiring programmes and digital upskilling initiatives, and broader capability-building efforts. These steps reflect our commitment to creating lasting positive impact and helping young Iraqis build careers, communities and confidence that will shape the country’s future. Because progress doesn’t happen by accident. It happens when institutions choose to make it happen.
A shared agenda for Iraq’s digital future
By equipping its young people with relevant digital skills, Iraq will enable its youth to participate in a technology-enabled economy and build a society where connectivity supports inclusive growth. This outcome is within reach, but it depends on collective intent and sustained action.
With shared purpose, today’s momentum can translate into lasting capability and a digital future where every young person can thrive.
