Policy brief: Women’s economic situation in the Kurdistan Region of Iraq

Executive Summary

Over the past ten years, women have played an active social and economic role within the Kurdistan Regional Government's economic system. This system is based on neoliberal principles, emphasizing a free market and a semi-private sector. However, the increased participation of women does not necessarily indicate an improvement in their overall economic status.

According to the Kurdistan Regional Statistical Board, women constitute only 14% of the labor force. Moreover, their representation in key sectors remain both imbalanced and inefficient when compared to that of men. This disparity is largely attributed to the absence of modern labor laws, a lack of employment and social security, and numerous social, cultural, and institutional barriers. 

This policy summary outlines several recommendations aimed at increasing women’s economic participation in the Kurdistan Region. Key recommendations include:

• Legal Reform: The current weakness in labor laws hinders the creation of equitable employment opportunities for both sexes. The masculine foundation embedded in the global neoliberal economic model and perpetuates gender disparities can be addressed through reform.
• Gender-Responsive Budgeting: The current budgeting process fails to adequately consider women’s socio-economic roles and contributions. To address this, a dedicated section on Gender-Responsive Budgeting should be incorporated.
• Policy Gap: The absence of a clear and inclusive policy remains a significant barrier to women’s economic participation. Developing a fair and equitable policy for both the public and private sectors—along with establishing government-supported centers for women’s vocational training and employment services—is essential to promoting economic justice for women.
• Structural Exclusion: Within the current neoliberal and private sector framework in the Kurdistan Region, women are largely excluded as recognized socio-economic actors. Expanding job opportunities for women is a critical step.
• Workplace Harassment and Injustice: Despite the scarcity of job opportunities, women in both the public and private sectors often face sexual harassment. Safeguarding mechanisms are needed to protect women in the workforce.

Introduction

Women’s Economic Participation in the Kurdistan Region Post-2003: Structural Challenges and Policy Gaps

Following the collapse of the Ba’ath regime in 2003 and the subsequent transition to a semi-democratic political system, Iraq also experienced significant economic transformation. The state-controlled, centralized economy began to shift towards a neoliberal economic model. In tandem with these changes, Iraq—particularly the Kurdistan Region—witnessed sociocultural shifts, notably the increasing participation of women in employment.

Despite these developments, the Kurdistan Region of Iraq (KRI) has faced considerable economic challenges over the past decade. These have directly impacted the economic engagement of women and the stability of institutional frameworks.1 Key contributing factors include the emergence of ISIS, the COVID-19 pandemic, irregular public sector salary payments, and disputes with the federal government in Baghdad regarding the region’s share of the national budget. 

Importantly, these events are not root causes. The fundamental challenges lie in the absence of a coherent vision, policy, and strategy from successive governments—particularly since 1992. 

Beyond rhetorical commitments to women’s empowerment, effective policies must address not only economic and institutional barriers but also the entrenched patriarchal norms and the gendered impacts of neoliberal restructuring. Structural discrimination has marginalized women in the workforce, despite demographic evidence—such as the 2024 Iraqi census—indicating near parity between the male and female population. Nevertheless, women’s participation in the labor market remains minimal, inefficient, and underrecognized.

Women’s Empowerment in Various Industries in the Kurdistan Region: Trends, Barriers, and Prospects

When women participate economically and achieve financial autonomy, they gain strength, pursue social justice, and are better positioned to claim rights. Failing to harness women’s full potential contributes to heightened unemployment, particularly among women, and deepens socio-economic insecurity.2

Despite a global trend toward enhancing women’s economic participation, the COVID-19 pandemic reversed many of these gains. Women worldwide experienced increased domestic violence, reduced working hours, and were forced to take on unpaid care work due to the closure of childcare and educational institutions. These regressions were especially apparent in economies following a neoliberal model, such as the Kurdistan Region.

Beyond temporary crises, the root causes of gendered economic disparities are embedded in poverty, systemic inequality, and a persistent lack of access to quality education, employment, and leadership roles. A recent global report indicated that, at the current progress rate, it may take up to 130 years from 2030 for women to achieve economic parity with men—a projection that reflects conditions in the Kurdistan Region as well.3

Much of the inequality women in the Kurdistan Region face is perpetuated by both the neoliberal economic model and deep-rooted patriarchal norms. Beyond political quotas or representation, empowerment is primarily a social and institutional challenge. 

Women in the Kurdistan Region spend over six more hours than men on unpaid domestic labor. Meanwhile, their participation in the formal labor market remains around 14%.4 Despite some post-2003 advancements—such as improved visibility of women in public life—women remain largely marginalized in various sectors.5

Another structural issue is the informality of the labor market in the Kurdistan Region. Approximately 7% of workers are employed informally—outside the tax system and legal protections. High public sector dependency, political instability, and the absence of a diversified economy slowed private sector growth, disproportionately affecting women. Additionally, restrictive laws and a lack of labor protections present barriers to formalizing small and medium-sized enterprises and guaranteeing workplace security.6

Drawing on data from the Kurdistan Region Statistics Board (2012–2021), evidence reveals that women’s economic participation has remained consistently low, unequal, and unstable. These findings call for urgent and integrated policy interventions.7

Graph 1 presents the labor force participation rate and the unemployment rate in the Kurdistan Region from 2012 to 2021, based on data from the 2021 Labor Force Survey conducted by the Kurdistan Region Statistics Board (KRSB).

The data illustrates a significant gender disparity in labor force participation in the Kurdistan Region, with a female participation rate of only 14%. Throughout the period from 2012 to 2021, the unemployment rate for women remained consistently higher than that of men, with the gap between male and female unemployment averaging approximately 20%.

Chief among several structural factors contributing to this imbalance is the neoliberal restructuring of the economic system, which has prioritized profit maximization over equality, inclusive development, and social justice. 

Men dominate high-level positions and sectors such as real estate, oil, and commerce. This gendered division of labor is further reinforced by institutional biases, cultural constraints, and social norms.

Moreover, while women are increasingly participating in the workforce, they often do so under precarious conditions, sometimes facing exploitation under the guise of employment. 

Graph 2 illustrates the labor force participation rates of males and females across various age groups, providing insight into gender-based disparities in employment throughout different stages of working life.

Labor force participation rates in the Kurdistan Region follow an inverted U-shape, with the male participation curve consistently higher than the female curve across all age groups. Female participation rate exhibits two peaks—one in the 35–39 age group and another in the 45–49 age group. The dip between these two peaks likely corresponds to women temporarily leaving the workforce for childbirth and early childcare.

Many employers—particularly in the private sector—offer fewer job opportunities to women, citing marriage, pregnancy, and childcare responsibilities as rationales for exclusion. This is exacerbated by the neoliberal economic orientation in the Kurdistan Region, where profit maximization and capital accumulation are prioritized.

Factors such as education levels, age at marriage, presence of young children, and restrictive social norms significantly shape women’s economic engagement. This intersection of patriarchal values and neoliberal labor dynamics impacts women’s sustained participation in the workforce.

Figure 3 presents the workforce participation of both males and females in 2021, disaggregated by educational certification levels. 

Highest labor force participation rates for both men and women are among university degrees holders. However, the gender gap in labor force participation is most pronounced at this level of educational attainment.

Moreover, the graph implies that women with lower education levels or no formal qualifications encounter limited access to economic opportunities. 

Figure 4 illustrates the distribution of male and female labor force participation across the three main economic sectors: services, industry, and agriculture.

The classification of the three economic sectors in Figure 4 is defined as follows:

• Agricultural Sector: Includes agriculture, forestry, fisheries, and livestock.
• Industrial Sector: Comprises mining and quarrying, manufacturing, water, electricity, gas, steam, and ventilation supply, sewage and waste management, and construction.
• Service Sector: Encompasses retail and wholesale trade; auto and motorcycle repair; transportation and storage; accommodation and food services; information and communication; financial and insurance services; real estate activities; professional, scientific, and technical services; administrative and support services; public administration and defense; education; healthcare and social work; as well as arts, recreation, and other welfare-related activities.

Graph 4 illustrates the distribution of male and female labor force participation across the three main economic sectors: services, agriculture, and industry. Women’s participation is highest in the agricultural sector (12.6%, compared to 7.1% for men). In contrast, men dominate the industrial sector, with a participation rate of 19.0%, while women’s highest engagement outside of agriculture is in the service sector at 15.8%.

Women’s overall participation across sectors remains lower than men’s. While the agricultural sector provides relatively higher access for women, their presence in the industrial and service sectors remains weak. 

Figure 5 illustrates variations in male and female participation across three employment categories: self-employment, business ownership, and wage labor. 

In 2021, women were significantly more likely to be employed in non-independent roles, with 74.9% working as employees, while an additional 10.1% were classified as participatory domestic workers (including unpaid or informally paid roles within the household or family businesses). By contrast, 23.3% of men are self-employed workers (freelancers) and 5.5% are employers.

Figure 6 presents the participation of both males and females across the public, private, and other employment sectors in 2021.

Women are significantly overrepresented in the public sector, comprising 64.8% of the workforce, compared to 33.5% for men. In contrast, the private sector exhibits a stark gender imbalance, with men making up 65.6% of the workforce, while women’s participation drops to 33.5%.

Figure (7): Unemployment Rate by Gender, Age Group, and Literacy Level in 2021

The unemployment rate in the Kurdistan Region stands at 16.5%, closely mirroring the national rate in Iraq. However, the unemployment rate for men is 13.6%, while for women it rises sharply to 29.6%. When analyzed by age and education, women’s unemployment rates consistently exceed those of men. Women with intermediate-level education face the highest unemployment rates. 

Conclusion

Since 2003, Iraq and the Kurdistan Region underwent significant political and economic changes, including the adoption of a free-market economy and gradual social and cultural transformations. However, shifts have not translated into meaningful improvements in women’s economic participation.

Following the defeat of the Islamic State and amid worsening economic conditions, women’s exclusion from the labor market increased. Household income decline prompted families to limit women’s economic participation. Meanwhile, private sector expansion—evident in the growth of private schools, universities, institutes, hospitals, civil society organizations, and businesses—created limited employment opportunities for women.

Structural barriers include the absence of gender-specific labor laws, a lack of dedicated job centers for women, inadequate protections, and the absence of social security systems. While women are better represented in the public sector, they are concentrated in lower-level positions. 

Recommendations

To address economic challenges facing women in the Kurdistan Region, the following policy recommendations are proposed for lawmakers and relevant stakeholders:

1. Enact a Gender-Inclusive Labor Law

A dedicated labor law should be drafted during the current parliamentary session to specifically address women’s participation in the labor market. This law must include provisions to guarantee women’s labor rights. Key protections should cover maternity leave, pensions, workplace safety, and safeguards against sexual harassment and violence.

2. Guarantee Rights in the Public Sector

Securing women’s rights in the public sector, including paid maternity leave, pension eligibility, job security during and after pregnancy, and measures to prevent gender-based discrimination and abuse in the workplace should be emphasized.

3. Introduce a Minimum Gender Quota

A minimum quota of 30% representation for women should be established across all economic sectors and enterprises. Although not a perfect solution, this quota is both realistic and practical, reflecting recent progress such as women’s 30% representation in parliament over the past four years.

4. Ensure Representation in Government

This 30% benchmark should also be reflected in executive structures, including the formation of the new cabinet, to ensure women’s voices are integrated into policy and decision-making processes at the highest levels.

When formulating budgets, including a Gender-Responsive Budget section aimed at strengthening women’s access to economic resources, employment opportunities, the labor market, and broader social justice is essential. However, the Kurdistan Regional Government has not passed an official budget in parliament for over a decade. This lack of formal budgeting undermines the effectiveness of policy-making.

While the government should take proactive steps to expand job opportunities for women, it is crucial to re-evaluate the current neoliberal economic model in the Kurdistan Region. The government should establish vocational centers or institutes dedicated to preparing women for active participation in the labor market. This should be implemented in collaboration with civil society. 

Additionally, media outlets have a critical role to play in supporting women’s economic empowerment. They should work collaboratively to highlight women’s issues, expose the structural inequalities they face, and promote gender equity. 

Political parties should place women’s issues and economic development at the forefront of their agendas, particularly during election campaigns and in the formulation of the new Cabinet’s priorities. These efforts should be aligned with the United Nations Sustainable Development Goals (SDGs).

In parallel, political parties in parliament must treat economic policy as a priority. A focused, collaborative approach to economic reform—rooted in inclusion and sustainability—will be essential for equitable growth and long-term development in the Kurdistan Region.

Finally, there is a pressing need to strengthen the legal and regulatory framework to prevent sexual abuse, exploitation, and harassment in the workplace. Robust protections must ensure that women are not subjected to violence or mistreatment under the pretext of employment opportunities. Laws and policies should harmonize with international standards to guarantee a safe, fair, and inclusive working environment for women.


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