For these reasons, the Marshall Plan is not implemented in Iraq

Two types of speeches were prepared at the Iraq Reconstruction Conference, held in Kuwait City, to be addressed to Iraqi Prime Minister Haider al-Abbadi and UN Secretary-General Kofi Annan. The first, if the expected figure for reconstruction, and the other in the event of failure to reach this figure.

In fact, Iraq needs billions of dollars to rebuild it again, especially after the defeat of the state. But before the start of the conference, the statements of countries, which were supposed to provide financial support for the reconstruction of Iraq, were confused and unclear. It was also expected that the conference would not reach its destination. As a result, several differences emerged over the final outcome of the conference, and expectations for the amount allocated for the reconstruction of Iraq fell from $ 20 billion to $ 10 billion, and eventually reached $ 5 billion. According to sources familiar with the pre-conference preparations, it was not clear which speeches would be delivered during the conference.

In this regard, the World Bank confirmed that Iraq needs 88 billion dollars for the reconstruction of infrastructure, residential neighborhoods, and vital services completely destroyed. Oil is one of the most important sources on which the Iraqi government will rely to finance the reconstruction project. In the end, the amount allocated for reconstruction suddenly increased at the Kuwait Conference to 30 billion dollars. The rise was due to a combination of loans and investment promises, as well as direct investment. That figure is much lower than the amount set by the World Bank, but was more than expected.

IFC estimated that the Iraqi government alone would bear nearly $ 50 billion in reconstruction funds

The outcome of the conference was reflected in the speech of the Secretary-General of the United Nations, Antonio Guterres, who delivered his address to the audience. "This response to the Conference, and access to this figure, is an exceptional evidence of confidence in the Iraqi Government and in the people of Iraq." In this context, an Iraqi official confirmed that the figure has already reached 30 billion dollars, but the Iraqi government has not received any official documents on these financial pledges.

In the meantime, there is uncertainty about the commitment of some countries to these commitments, especially the Gulf countries that are experiencing financial crises, especially as the amount allocated is large. It is uncertain whether private companies will invest in Iraq after years of war. Next May, the Iraqi elections will be held, and the next government must realize that it will play a crucial role in reconstruction, which will depend mainly on high and stable oil prices.

The IFC estimated that the Iraqi government alone would bear nearly $ 50 billion in reconstruction funds. In this regard, the head of the mission of the International Monetary Fund for Iraq, Christian Goose, that the Iraqi government can actually provide this amount, if oil prices remained relatively stable. "If oil prices fall slightly, it will create a big gap in the financing process," he said during his speech on Tuesday.

However, the outcome of the conference still exceeds all expectations. In this regard, Elizabeth Dickinson, a Gulf researcher at the International Crisis Group, said that "this is an important signal for Iraq and for my own slaves before the elections." With these results, Abadi can return to Baghdad and provide voters with the process of rebuilding the country. In contrast, many foreign officials expected aid to be much lower. As early as December, some stressed that it was difficult to reach the $ 20 billion that the Iraqi government had allocated through international grants.

Many Western diplomats said Saudi Arabia was concerned about the alliance between Abadi and the head of Iran's Badr Organization, Hadi al-Amiri

"We encourage rethinking this, so how can we explain to the Iraqis that we are implementing the Marshall Plan after this conference, through a package of loans and goodwill, without real guarantees?" A Western diplomat told Foreign Policy magazine. Indeed, the Iraqi government has exerted considerable pressure to rally for this conference. The Conference has also been renamed the Donor Conference to the Iraq Reconstruction Conference, in an effort to secure further financial pledges.

Based on the above, much of the lack of funding concerns is due to the fact that pledges by some countries were less than expected, such as Saudi Arabia and the United Arab Emirates. Initially, the Gulf countries were expected to contribute significantly to reconstruction efforts in Iraq, as opposed to being directly involved in fighting state regulation. However, Saudi Arabia, the UAE, Qatar and Kuwait collectively raised about $ 5 billion, much less than hoped.

In this regard, many Western diplomats confirmed that Saudi Arabia was concerned about the alliance between Abadi and the head of the Badr Organization, pro-Iranian Hadi al-Amiri. Although this alliance lasted for only a few days, US and Saudi officials saw it as evidence of Iran's influence within Iraq.

As a result, there were fears of support for a state controlled by Iran in light of the shortfall in the Gulf Cooperation Council (GCC) budget, which relies mainly on oil. The war in Yemen has lost Saudi Arabia and the UAE much of their military and diplomatic capabilities, as well as the losses suffered by these countries as a result of the sharp drop in oil prices.

The United States has not made any direct pledges or funds for reconstruction


Another concern of diplomatic delegations at the Kuwait conference is the uncertainty of elections in Iraq next May. "Many are waiting for elections, because they want to know the shape of the next government," a senior US official told Foreign Policy magazine. In fact, the pledges Iraq has made so far are evidence of a change in the perception of the Gulf states. "The Gulf states, especially Saudi Arabia, Kuwait and the United Arab Emirates, see Abadi as someone who can be understood," Dickinson said.

In addition, it is clear that many potential donors and investors, especially the private sector, which the conference was originally intended to attract, are still apprehensive about the security situation in the country. Although state regulation no longer controls any area in Iraq, the security situation is not at all reassuring.

Despite all these fears, the Iraqi government still hopes for a high level of trade support for the reconstruction of the country, partly reflecting the US influence on Iraq's reconstruction policy. For its part, the United States has made no direct pledges or funds for reconstruction, although it has already contributed to the country's stabilization and has provided many humanitarian assistance. Instead, the United States has focused its efforts on facilitating commercial investment into the Iraqi market.

On the other hand, this strategy has many shortcomings. According to analysts and security advisers at the conference, companies often pay up to $ 10,000 a day for protection services and when they are carrying out operations in certain parts of the country. In the meantime, not all companies can afford this, with the exception of large multinational corporations.

In a related matter, many representatives of the private sector who participated in the Kuwait Conference acknowledged this, while noting that their attendance at the conference, in large part, was aimed at promoting some kind of propaganda and promoting a special bond of solidarity with Iraq and Abadi , And represents an opportunity to create a network of relationships. "The conference lacks actual content, especially since it has organized many similar conferences over the past 10 years," said Tayeb al-Jubouri, the administrative adviser on regional issues.

In the context of the political process, similar motives and motivations were presented. Given the low expectations for the direct donation insurance process, transparency was the mainstay of this "game". For his part, a Western diplomat said, "The theater of political operations in this context represents the most important aspect, as it strengthens the role of Iraq as a sensitive center in the Middle East."

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(Special Thanks to Vernell Washington)