Iraq has recently taken a landmark step towards full digital transformation with the formal launch of its electronic signature system under the framework of Law No. 78 of 2012 on Electronic Signatures and Electronic Transactions, supported by newly issued implementation guidelines as of mid-2025. This development, inaugurated under the patronage of the Prime Minister and the Minister of Communications and Media, will enable government agencies, private companies, and individuals to use digital signatures for official documents, replacing many paper-based formalities.

Legal Framework & Key Provisions

• Law No. 78 (2012) already provided the legal foundation for electronic signatures, electronic documents, and transactions. With the new guidelines, the regulatory, technical, and procedural infrastructure is now being clarified and operationalised.

• The Ministry of Communications has been designated the lead regulatory authority. A General Company for Communications and Informatics is responsible for issuing root certificates, overseeing certification authorities (CAs), and enforcing standards.

• Technical requirements include secure systems, key management (root certificates, private keys), data confidentiality and integrity, and standards recognized internationally.

Impacts on Iraqi Entities & Legal Considerations

1. Validity of Contracts & Documents
   Contracts, administrative filings, agreements, and other official documents signed with electronically certified signatures will have the same legal status as traditional handwritten signatures, provided they meet the legal and technical criteria. Entities must ensure their documents are signed via certified, recognized CAs. This means auditing whether signatures used previously (if digital) meet the requirements to avoid litigation risk.

2. Regulatory Compliance
   All public institutions, private companies, and banks must comply with the new guidelines. Entities offering certification services must be licensed and monitored. Non-compliance may lead to documents being invalid, or to administrative or legal disputes.

3. Transparency & Anti-Corruption
   The move is explicitly aimed at reducing bureaucracy and reducing opportunities for forgery or alteration of documents during manual handling. This could be a useful legal tool in anti-fraud, anti-corruption cases: courts and regulators will likely treat verified electronic signatures as evidence of authenticity.

4. Data Localisation & Infrastructure
   Part of the reform includes establishing domestic data centers (for example in Baghdad) that will store citizen and company data inside Iraq, under government supervision, using high security measures. Entities handling sensitive data must plan for how to meet these infrastructural expectations. This has implications under privacy, cybersecurity, and perhaps cross-border data flows.

5. Contracts & Dispute Risks
   Legal practitioners will need to update contract templates to refer to electronic signatures and certify compliance. Disputes may arise if parties disagree whether the signature mechanism was legal under the new rules, whether the CA used is recognized, or whether the technical standards were satisfied.

Conclusion

Iraq’s move to formally adopt electronic signature operations marks a watershed moment in its legal and digital transformation journey. While the legal foundation has long existed, the recent guidelines and infrastructure developments now give real force to what had been largely aspirational. For Iraqi entities, adapting quickly to this change is not optional, it’s essential. And for legal practitioners, it offers an important area to advise, support, and ensure that institutions, contracts, and transactions are valid, enforceable, and compliant under the new regime.

Sources:

1- Iraqi News Agency

2- Law of Electronic Signatures and Transactions