Iraq Reconstruction and Investment

Plan Type: National Development Plan

Member State: Iraq

Coverage Period: -

Document Language: English

GOAL 1: No Poverty GOAL 2: Zero Hunger GOAL 3: Good Health and Well-being GOAL 4: Quality Education GOAL 6: Clean Water and Sanitation GOAL 7: Affordable and Clean Energy GOAL 8: Decent Work and Economic Growth GOAL 9: Industry, Innovation and Infrastructure GOAL 10: Reduced Inequalities GOAL 11: Sustainable Cities and Communities GOAL 12: Responsible Consumption and Production GOAL 13: Climate Action GOAL 14: Life Below Water GOAL 15: Life on Land Goal 16: Peace, Justice and Strong Institutions

Iraq Reconstruction and Investment (2018-2030)

January 2018

The Reconstruction and Development Framework is guided by the following vision: the recovery and reconstruction of governorates affected by terrorist and military operations as well as the reconstruction and development of indirectly affected governorates is a national mission and cause and is necessary to enable the Iraqi State to recover and flourish, to prevent the re-escalation of conflicts and relapse into violence, and to consolidate sustainable peace in a secure and stable environment for all Iraqis.

Pillars & Objectives

Pillar: Accountable and Responsive Institution
  • Repair and rebuild the damaged and destroyed buildings (such as governorate and municipality office buildings, police stations, fire stations, etc.) following the clearance of explosive hazards
  • Develop and implement the Iraqi Financial Management Information System in four pilot ministries and two pilot governorates
  • Develop and gradually implement the federal procurement e-portals
  • Develop a mechanism for real-time disclosure of information on public expenditures for operation, reconstruction and development budgets
  • Modernize and strengthen public procurement system
  • Develop the existing public investment databases (namely the Iraq Development Management System and the Kurdistan Development Management System) to capture all stages of the new public investment management framework
  • Support the implementation of the Government’s Security Sector Reform programme, including reforms of the civilian and local police services and related criminal justice systems
  • Devise a comprehensive anti-corruption strategy that streamlines the roles of accountability institutions and invites civil society to play a role in reinforcing the culture and practice of accountability
  • Complete the Iraqi Financial Management Information System rollout to the federal level
  • Establish e-Government, e-procurement and complaint mechanisms and processes
  • Review and establish capacity standards in governmental agencies
Pillar: Equity and fairness
  • Improve inclusive local governance, participatory identification, planning of community needs (including returnees and internally displaced persons, youth and women) and monitoring of activities
  • Focus on the effective operation of power and other public services, prioritize reconstruction and safety, and ensure the sustainable return of internally displaced persons
  • Resolve the administrative and financial ambiguity between federal ministries and local governments by adding clarity to Law 21 on Provincial Powers
Pillar: Cultural heritage
  • Develop a strategy and methodology for heritage protection and rehabilitation
  • Implement cultural programmes that reinforce connection between local community and heritage sites to promote heritage protection
  • Rehabilitate key historical sites that promote shared cultural heritage and conduct studies on their history, architecture, and construction materials
  • Develop heritage projects across all governorates including developing conservation and management plans, and implementing key interventions that promote shared cultural heritage and values
Pillar: Security and justice
  • Prevent violent extremism programmes
  • Improve the security and justice sectors through the reasonable delivery of security and justice services so that communities can feel safe and protected
  • Promote disarmament, demobilization and reintegration of ex-combatants
Pillar: Trust and reconciliation
  • Invest in activities that build trust and reconciliation among communities, such as community-led small projects, cash-for-work programmes, youth-led activities, rehabilitation of centres where groups can interact, mediation mechanisms, conflict resolution training, etc.; engage the participation of youth and women in local reconciliation processes; and improve mediation and grievance redressal mechanisms by considering lessons learned from other conflicts on issues of trauma and gender
  • Support the sustainable reintegration of the displaced persons in a way that benefits returnees, host communities and vulnerable groups
  • Set up local governance and grievance redressal mechanisms to meet community needs
  • Support youth programmes for both men and women to create social and economic opportunities for young people
  • Improve inclusion and social cohesion through education and other policy reforms by breaking stereotypes and encouraging cross-ethno-sectarian cooperation
  • Encourage diversification of livelihood opportunities so that returnees and host communities have long-term incentives to stay and perceive a peace dividend
Pillar: Social protection
  • Maintain and strengthen the provision of poverty-targeted cash transfers to the most vulnerable households
  • Create safety nets and implement social assistance schemes in the liberated areas, and provide sustainable livelihoods through microfinance
  • Promote investment in human capital by scaling up conditional cash transfer programmes
  • Leverage the Social Fund for Development by improving service delivery in community-driven interventions and supporting the provision of financial and non financial services to micro and small enterprises
  • Build a unified social registry and phase out subsidies to provide more sustainable social support
  • Enforce a law on social insurance aimed at unifying pension and social security schemes to create a conducive environment for job creation and private sector involvement
Pillar: Health
  • Conduct comprehensive damage and health-needs assessments, prioritize identified needs, and increase access to primary healthcare services
  • Ensure availability of medicines, vaccines, medical supplies and other essential health technologies
  • Increase the provision of essential public health preventive and curative services such as immunization, promotion of maternal and child health, and prevention of communicable and non-communicable diseases, including mental health and psychosocial support services
  • Expand rehabilitation efforts to improve the preventive and curative sectors and reach rural areas
  • Define and subsidize a package of essential healthcare services, including reproductive health, and maternal and child health services, to the poor, mainly women and children
  • Introduce financing mechanisms to increase demand for health services, such as conditional cash transfers to the poor, and strengthen the supply of human resources through results-based financing mechanisms for service providers
  • Build and strengthen the healthcare system resilience by promoting primary healthcare as a cornerstone of the health system and supporting the Government’s efforts towards universal health coverage
  • Initiate health financing reforms and develop a long-term strategy for improving health coverage by providing health insurance and financing options that are equitable and affordable for the most vulnerable segments of the population
Pillar: Education
  • Rehabilitate or reconstruct school facilities and establish accelerated learning programmes to increase access to education following the clearance of explosive hazards
  • Provide teaching and learning materials and school-level support to enhance learning conditions such as psychosocial support, teachers' trainings, remedial education, etc.
  • Introduce skills formation programmes for out-of-school adolescents
  • Build the capacity of local communities, teachers and central administration to deliver and implement expansive quality educational services in an equitable manner
  • Enhance education management information systems to support decision-making and sector response to emergency and crisis situations
  • Pursue the reform of technical and vocational education
  • Conduct sectoral needs assessment and progress measurement to enhance quality learning
  • Focus on students' learning outcomes, teachers’ performance and curriculum development
Pillar: Environment
  • Measure and assess levels of damage and pollution at the identified hotspots and plan corresponding rehabilitation and clean-up actions
  • Ensure the rapid deployment of capacities, systems and tools to enable local authorities to integrate environmental and disaster risks into local recovery efforts
  • Initiate a coordinated capacity-building process to implement and monitor programmes aimed at managing air, water and land pollution, ecosystem degradation, transboundary water cooperation, and climate risks to enhance environmental living conditions
  • Ensure climate-efficient reconstruction practices
  • Promote the implementation of community-based natural resource management and climate-resilient activities through a set of scalable community livelihood interventions with a focus on agroforestry, afforestation, expanded green belts around cities and affected areas, protection of critical habitats and ecosystems, sand dune stabilization, rain water harvesting, community-based natural resource conflict-sensitive management, pasture rehabilitation, and income-generating programmes such as tree nurseries and planting of multiple-use and drought-tolerant trees
Pillar: Municipal services
  • Perform rapid situation analysis to identify spatial priorities at the city and neighborhood levels and restore municipal services, including activities necessary for citizens' safety on streets
  • Conduct an assessment of debris, including explosive hazard contamination, and develop municipal debris management plans at the city level
  • Implement urban infrastructure and management plans to improve access and facilitate the reconstruction of cities by owners and the private sector
  • Implement community-based debris recovery and recycling livelihood programs with the support of explosive ordnance disposal experts, and develop a legal framework and guidelines for demolition and for debris removal and ownership
  • Implement programmes to strengthen municipal services including a management plan for municipal assets to oversee and enhance financial performance and return on municipal assets, and to identify priority areas of improvement
  • Continue the implementation of sustainable debris management programmes, including by supporting small-scale debris recycling and reuse businesses
  • Conduct capacity-building activities for municipal staff to strengthen the sustainability and inclusion of municipal service delivery through participatory planning, resilient infrastructure design and cost recovery plans
Pillar: Energy
  • Rehabilitate the electricity infrastructure to upgrade power supply and quality following the clearance of explosive hazards
  • Add new on-grid and off-grid generation capacity, including through renewable energy sources
  • Reinforce the electricity network by expanding and upgrading the generation, transmission and distribution infrastructure, and by increasing power system efficiency
  • Improve power supply reliability, reduce losses and mobilize policy incentives for increased investments in renewable energy
  • Operationalize the new electricity law and undertake sector reforms
  • Develop a strategy for international power exchange to promote regional power grid integration
Pillar: Water and sanitation
  • Rehabilitate the partially damaged water and sanitation facilities following the clearance of explosive hazards
  • Provide key equipment for water and sewerage operation and maintenance
  • Prepare detailed assessments and designs for complicated damages to facilities
  • Complete rehabilitation works for damaged and destroyed facilities
  • Establish safe operating procedures for dams and water structures to save lives and secure livelihoods for vulnerable communities
  • Prepare a governorate master plan for water and sewerage for the next 15 to 20 years
  • Promote the private sector's participation in the water and sanitation sector
Pillar: Housing and accommodation
  • Provide temporary and rapid housing solutions to those who live in unsafe structures, collective centres or spontaneous settlements
  • Support ongoing housing repair programmes following the clearance of explosive hazards
  • Design a national recovery and reconstruction plan, and subsidy scheme for the housing sector
  • Restore the institutional capacity to manage the sector and initiate policy reforms that create the enabling environment for the private sector's engagement in recovery and reconstruction
  • Initiate policy reforms that introduce a land management system to address land tenure issues and resolve land disputes, and tackle the overall housing supply chain including land use planning and regulation
  • Initiate and operationalize building codes to ensure earthquake-resistant and energy-efficient construction practices
  • Initiate a 15-year urban upgrading programme that addresses the needs of low-income social groups living in substandard neighborhoods
  • Institutionalize transparency in land management by introducing a land management information system
Pillar: Transport
  • Identify the transport sector's needs and prepare a masterplan for medium and long-term reconstruction in this sector
  • Mobilize resources and funding
  • Restore technical and institutional capacity to implement the masterplan
  • Reconstruct small and medium-scale transport facilities such as roads, bridges, runways, etc.
  • Reconstruct major roads and bridges, airports and railways
  • Operate and maintain the restored facilities through public-private partnerships and community-based contracting
Pillar: Productive capacities and livelihoods
  • Design and implement irrigation projects, and promote the use of modern and practical technologies in irrigation and disposal of salts
  • Conduct a comprehensive review of the role of the State and the private sector in the agricultural sector
  • Clean and rehabilitate existing irrigation canals and drains which suffered from deferred maintenance
  • Restore agricultural storage facilities and greenhouses
  • Reduce agricultural tax and subsidy distortions
  • Support higher levels of private sector participation in the local agri-food chains
  • Encourage investments in the agri-food and agro-processing sectors
  • Promote integrated agri-food industries
Pillar: Financial strategy
  • Initiate the reconstruction and upgrade of damaged banking and payment systems following the clearance of explosive hazards
  • Develop specialized financing and microfinance to support critical areas for economic recovery and development, such as the infrastructure, agriculture, housing, and small and medium-sized enterprises, with complementary reforms to improve the financial infrastructure including accounting and auditing, credit information, secured transaction and insolvency frameworks, and financial consumer protection
  • Improve the business environment by strengthening governance and providing financial safety nets
  • Revive efforts to restructure the two largest State-owned banks, Rafidain and Rasheed banks, by establishing the appropriate governance structure, conducting appraisal and valuation of assets and liabilities, completing operational audit, and preparing and updating strategies for financial and operational restructuring
  • Improve the regulatory and supervisory framework, implement international supervisory standards, and improve anti-money laundering and combatting the financing of terrorism (AML/CFT) compliance
  • Conduct capacity-building activities throughout the financial sector
Pillar: Commerce and industry
  • Restore businesses, particularly those that can contribute to the country's reconstruction, and provide capital grants and business development services to inject liquidity into the private sector and help companies overcome the challenges facing them in Iraq
  • Promote the private sector's recovery and expansion by strengthening value chains including enhancing transport and logistics, food and agribusiness, and religious tourism, re-open transport corridors to Jordan and the Kingdom of Saudi Arabia, and implement the proposed investments in the port infrastructure around Basra
  • Pursue economic restructuring by transferring State-owned enterprises to the private sector in an equitable and transparent manner
  • Conduct consultations between the Government and key stakeholders on regulations related to the private sector
  • Enhance access to information about procurement opportunities to improve the accessibility of selected tenders to Iraqi firms in the construction sector and to raise the capacity of Iraqi firms to be credible bidders, joint-venture partners, subcontractors, and suppliers of materials
  • Enhance the transparency, predictability and efficiency of land transactions for private investors, and develop frameworks to foster effective competition in the economy
Pillar: Macroeconomic and fiscal framework
  • Control public expenditures
  • Improve oil revenue management
  • Establish a well-managed and clearly defined process of oil revenue sharing across governorates
Pillar: Employment and tourism
  • Complete a labour force survey to allow the design of efficient, flexible and integrated labour market policies, programmes and mechanisms
  • Prepare a strategy for sustainable tourism in Iraq with implementable projects to reconstruct tourism facilities and assets