The Iraqi Ministry of Tourism and Antiquities is planning a new museum on the derelict site of the former Al-Muthana airport in Baghdad city centre.

Press reports indicate that the project, which is known as the Grand Museum of Iraq, will display objects currently stored at the National Museum of Iraq, alongside new pieces unearthed during archaeological excavations across the country.

According to a spokesman at the Iraqi Cultural Centre, a budget of about $1bn has been allocated to the project, which is envisaged as a tourist centre. The scheme will also include the construction of shops, hotels and a library.

But the spokesman added: “These are just plans. Even the place is not yet confirmed.”

John Curtis, keeper of the Middle East collections at the British Museum (BM), said that the BM, which is working with the Iraqi government on the creation of a museum in Basra, had not been approached about the Baghdad initiative.

“I don’t think it has got much further than being an idea,” he said. “I don’t think that any foreign organisation has been approached.”

The National Museum of Iraq in Baghdad remains closed to the public as restoration work continues.