IMF: accelerated economic growth and “serious structural weaknesses” in Iraq

IMF: accelerated economic growth and “serious structural weaknesses” in Iraq

The time on Saturday, 23 March / March 2013 07:58 | |

Washington / agencies

IMF welcomed accelerating the pace of economic growth in Iraq, thanks to oil exports, but expressed concern about the points of “serious structural weaknesses” accumulated there, ten years after the US-led invasion of the country in 2003.

The IMF said in a statement issued in Washington after the conclusion of an assessment mission carried out in Iraq, “despite political and security environment is difficult, Iraq succeeded in maintaining the stability in terms of economic sectors in the last two years.” He pointed out that record economic growth of 8% last year, and will see a greater acceleration this year to a rate of 9%, driven by increased production of oil, the largest of the country’s natural wealth, despite the violence and corruption of the administrative and financial.

Iraq currently produces 3.15 million barrels of oil per day, only 2.5 million barrels. The proven reserves are estimated at 143.1 billion barrels of crude oil which is among the highest in the world.

And saw the International Monetary Fund that the country, however, still suffer from “serious structural weaknesses” in area Alguetsada, especially high unemployment and a bad business climate and the weakness of the non-oil sector. “The Iraq should face significant challenges in the medium term to create a climate strong and lasting growth is necessary to improve the conditions of life of its inhabitants.” He called on the Iraqi authorities also to “strengthen the financial control mechanisms in order to ensure that oil revenues are used effectively and in a transparent manner.” The “determination to continue” its cooperation with it after it ended previous help plan for Iraq worth U.S. $ 3.6 billion in the month of February.