PRESS RELEASE : Joint statement by the Iraq Economic Contact Group [October 2022]
The press release issued by the Foreign Office on 14 October 2022.
The UK and Japan co-hosted a meeting on economic reform and climate action in Iraq at the Annual Meetings of the IMF and the World Bank Group.
The Iraq Economic Contact Group (IECG) met today with Iraqi representatives in Washington DC. Representatives from Iraq, the World Bank, International Monetary Fund (IMF) and G7 discussed Iraq’s economic challenges and opportunities and the need for significant economic reform.
Despite some progress achieved under the current government in a challenging context, Iraq continues to face daunting medium and long-term economic challenges which are compounded by the negative impacts of climate change – including water scarcity, desertification, drought, and soaring temperatures. The IECG encourages the Government of Iraq to drive forward an ambitious economic reform agenda and take decisive climate action.
Iraq’s economic reform and recovery, the consolidation of its democracy, and increasing the participation of women and girls in all aspects of the country’s economic and political life, are all key to promoting stability not only in Iraq but also in the region.
Diversifying the economy and building an inclusive and dynamic private sector to complement the hydrocarbon industry will promote macroeconomic resilience and provide opportunities and livelihoods for the people of Iraq. This will require reforms that improve the business environment, modernise the financial sector, strengthen macroeconomic stability and public financial management, and fight against corruption; catalysing growth and creating the building blocks for the private sector to thrive.
Investing Iraq’s oil revenues prudently – through good governance, effective fiscal management, and transparency – will be important to rebuilding and climate-proofing infrastructure and improving basic services, creating the foundations for sustainable growth.
The IECG remains committed to supporting the Government of Iraq to tackle Iraq’s important economic and social challenges.
