Iraq – Country partnership strategy for the period FY13 …

While past years saw a country in transition, with sectarian violence particularly from 2005-2008, and strong presence of foreign intervention, the situation in Iraq is changing, and Iraqi-led political processes are maturing. The last United States (... + While past years saw a country in transition, with sectarian violence particularly from 2005-2008, and strong presence of foreign intervention, the situation in Iraq is changing, and Iraqi-led political processes are maturing. The last United States (US) troops withdrew in December 2011, marking the end of eight years of the US-led military presence in Iraq. The international donor community, which has been heavily involved in Iraq over the past years, is incrementally withdrawing or shifting from grant-based reconstruction efforts to loans and partnerships. Two elections have been held since 2003, providing for further maturity in national political processes. The latest elections were held in 2010, resulting in a delicately balanced governing coalition. The Government has been organizing itself to develop and agree on complex national compacts at a country and sectoral level: on sharing the country's national resources through the hydrocarbons law; and designing and implementing strategies in key areas such as energy, education, and pensions. Iraq has returned as an active member of the international community, forging long-term engagements with international organizations and re-connecting with the region at large, reflected, for example, by hosting the 2012 Arab Summit. In 2010, the Government prepared the National Development Plan (NDP) 2010-2014, a medium-term development strategy aimed at providing a framework for the country's sustainable development. To support the country's efforts to build stronger government institutions and a more diversified economy that can deliver services to the population and create jobs, the Country Partnership Strategy (CPS) is structured to pivot around three axes: (i) Improving governance; (ii) supporting economic diversification for broadly-shared prosperity; and (iii) improving social inclusion and reducing poverty. The key focus areas which shaped existing programs (i.e. public financial management, strengthening institutions, private sector development, infrastructure, and service delivery) remain relevant in this context.

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