Oil and challenges of economic reform in Iraq

Abstract EN

The continuation of declines in oil prices and the inability of the government to provide alternative financial resources to support the budget and the economy, the dilemma of the Iraqi economy widens.

The decline in oil prices, the increase expenditures to sustain momentum against ISIS, rehabilitation, reconstruction of liberated areas and production ceilings imposed by the new oil agreement on the Iraqi oil pumps, are all indicators confirm the bad consequences behind the current phase.

With the absence of oil, there is a necessity to deal with the issue seriously by the economic decision-makers.

The causes of the recent financial and economic crisis lie in the failure of the government's efforts to create an environment conducive to the emergence and growth of the private sector and the disengagement from the public sector.