Geographical analysis of the economic development dimensions of large industries in Basra Governorate

Abstract

Large industries are of great importance to the economies of countries, especially industrial ones. The importance of these industries varies in many forms and shapes, including the contribution they make to the state’s general budgets, as well as supporting the workforce with financial amounts such as salaries, incentives, bonuses, and other forms of support.

The research aims to conduct an analytical study of the developmental dimensions of the large     industries sector, especially (oil, gas, refining, electricity) in Basra Governorate during the period 2018-2024. Therefore, the study came with three axes. The first dealt with the concept and importance of large industries. The second dealt with the developmental dimensions of large industries in Basra Governorate, represented by salaries, bonuses, incentives, and support for the state's general budgets, as well as the size of petrodollar projects, regional development projects and programs, poverty alleviation projects, in addition to operational and investment budget projects, as well as social benefit projects. The third axis dealt with the distribution and spatial variation of these projects at the level of Basra Governorate's districts. The research adopted the survey method, and the study reached a set of conclusions, including:

• The large industries in Basra Governorate are among the most important industries in Iraq that support the general budget of the Iraqi state through exporting and marketing oil to global markets, as the total of these financial revenues for the period 2018-2024 amounted to (591269209150.89) dollars, and the oil sector contributes the highest amount of these revenues, amounting to (94339618525) dollars in 2024, at a rate of 99.2%. The reason for this large contribution is due to the increase in the volume of oil exports from the oil fields of Basra Governorate, amounting to (1225189851) barrels for the year 2024.
• The gas industrial sector in Basra Governorate contributes to achieving financial returns as a result of Iraq’s entry into international markets by exporting liquefied gas derivatives and condensates, which amounted to approximately (671,465,782) dollars in 2024.
• The contribution of both the refining and electricity sectors in achieving financial returns amounted to (429,928,553) and (598,341,191) Iraqi dinars in 2024 is no less important.
• The development dimensions of large industries in Basra Governorate are multiple, represented by salaries, incentives and bonuses, amounting to (2188738616470), (368240582808) and (30572156000) dinars, respectively, for the year 2024.
• Basra Governorate is characterized as an oil-producing governorate by achieving additional development amounts, whether through the ( petrodollar ) project, which amounts to (710,850,000,000) Iraqi dinars for the year 2024, or through the (regional development) project, the total amount of these funds for the year 2024 amounting to (11268,498,120) Iraqi dinars. As well as through (social benefits) projects, especially from foreign oil companies after the licensing rounds, the total financial allocations for the year 2024 amounting to (30,624,302) dollars.
• There is a geographical disparity in the development dimensions of large industries in Basra Governorate, whether at the level of districts and sub-districts or at the level of service sectors, as Basra District accounted for the largest share of projects and financial amounts, especially in ( petrodollar ) projects, with a percentage of 90.2%, followed by Al-Zubair District with a percentage of 4.4%, then Al-Qurna District with a percentage of 2.3%, then Al-Faw District with a percentage of 1.2%, then Al-Deir and Al-Madinah Districts with a percentage of 0.5% each, followed by Abu Al-Khaseeb and Al-Sadiq Districts with a percentage of 3% each, and finally Shatt Al-Arab and Al-Haritha Districts with a percentage of 0.2% and 0.1%, respectively.