UAE to name ambassador to Baghdad

Al-Maliki chided his Arab "brothers" at an April conference of Iraq's neighbors in Kuwait, saying he found it "difficult to explain why diplomatic exchange has not taken place."

"Many foreign countries have kept their diplomatic missions in Baghdad and did not make security excuses," al-Maliki said at the time.

The United Arab Emirates, with a population of about 5 million, is well-positioned to make the first move. It is a major regional financial center with close ties to Iran, the United States and its fellow Arab states.

Its decision to establish full diplomatic ties could give UAE companies an advantage in exploiting Iraq's vast economic potential, including the world's third-largest oil reserves.

Al-Maliki said Thursday that he hoped UAE companies would invest in Iraq "to enhance cooperation between the two countries, especially in the economic and investment levels."

Also Thursday, the country's Industry and Minerals Ministry said it would open 22 state-run companies to outside investment.

Deputy Minister Adel Karim told reporters Iraq is looking for investors to rehabilitate and manage industrial plants according to production-sharing agreements. The companies are spread over five fields: engineering, reconstruction, textiles, chemical and petrochemical and food and medicine.

Investors have until July 10 to submit their proposals, Karim said.

More from msnbc.com Racist webcam? TheGrio's test says no View an interactive, HD panorama of N.Y.'s 30 Rock Scoop: No Tiger cub on way for Rachel Uchitel Census workers wanted, local roots preferred Cosmic Log: Decades of future science Answer Desk: Gold may be riskier than it seems Send your holiday pictures to troops

MORE FROM MIDEAST & N. AFRICA

Mideast & N. Africa Section Front

Iran security forces clash with protesters Ahmadinejad dismisses nuclear deal deadline Report: Seized weapons were heading to Iran Ex-UK royal harpist handled stolen goods General: No trials of pregnant soldiers in Iraq   Hamas: Mediator in prisoner swap enters Gaza First Jesus-era house found in Nazareth Newsweek: Montazeri’s death rallies opposition World Blog: ElBaradei rattles official Egypt Mideast & N. Africa Section Front   Add Mideast & N. Africa headlines to your news reader: