Iraq Weekly Status Report

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1 27 ctober 2004 Iraq Weekly tatus eport UCLII

2 2 UCLII able of Contents 27 ctober 2004 CI LI() 1.0 Highlights olitical ffairs 2.1 Governance conomic ffairs 3.1 conomy ssential ervices il and ower econstruction 4.1 I inancial tatus ecurity 5.1 ecurity and tability General Information 25

3 3 UCLII Highlights 27 ctober 2004 olitical/governance ational lections: he voter education campaign conducted by the Independent lectoral Commission of Iraq (ICI) and planning for Iraq s national elections in January continued to advance this week with voter registration scheduled to begin ovember 1. conomic/ssential ervices ne-year nniversary of ew Iraqi inar: he one-year anniversary of the ew Iraqi inar (I) was celebrated the week of ctober 22. ince the I s introduction, exchange rates have remained stable. Global ffort to radicate olio: uring the first three days of the five-day polio eradication campaign, 70% of the 4.7 million children to be immunized had been vaccinated.

4 UCLII Governance Iraq lections imeline 27 ctober 2004 / Jun 04 Jun Iraqi Interim Government (IIG) nnounced and Governing Council dissolved lection Commission established 28 Jun ransfer sovereignty from C to IIG 15 ug 31 Jan arly ug 15 ct 15 ec 31 ec ational Conference convenes and selects Interim ational Council lections for the ational ssembly complete: L 31 Jan 05 Iraqi ransitional Government takes power ational ssembly completes draft of permanent constitution eferendum for permanent constitution lections for government completed lected government assumes office 4 hase I (Interim Government) hase II (lected Government)

5 UCLII Governance evelopments 27 ctober 2004 lanning Iraq lections Continues: he Independent lectoral Commission of Iraq (ICI) is moving ahead with preparations for January elections and has begun to distribute informational pamphlets on voter registration procedures. Baghdad Governorate Council: he Baghdad Governorate Council plans to set up a national elections committee to educate citizens on the January elections. Women s ole in the lections: he Local Governance rogram (LG) recently supported two workshops that covered many of the current challenges faced by Iraq s local governments from the perspective of women. leven female members of Baghdad district councils and Iraqi Gs attended the workshops. / 5

6 UCLII Governance evelopments 27 ctober 2004 Iraq emoved from List of tate ponsors of error: he U has officially removed Iraq from the list of state sponsors of terrorism to reflect the country s fundamental changes in leadership and policies, as well as to show support for Iraq's Interim Government (IIG). Iraq was first placed on the list in eptember Iraqis broad Voting ights: he Iraqi oreign inistry is considering whether or not Iraqis living outside of Iraq will be able to vote in the upcoming national election. / 6

7 UCLII Governance evelopments 27 ctober 2004 Capacity Building: UI continues to implement Local Governance rograms (LGs) in 18 governorates, increasing Iraqis understanding of democratic principles and the political process. orty-two local government representatives from ahuk participated in a LG sponsored management training project. articipants included officials from the inistries of griculture and Construction, the Governor s office and the local university. Workshops included topics such as leadership skills and managerial skills. he tate epartment is promoting capacity building and democracy through Ubased programs for Iraqis. ublic ffairs: he rt of ngaging and Informing the eople International Visitor rogram (ctober 16 ovember 6): he nine-person group coming from various Iraqi ministries, the rime inister s office and the Baghdad City Council will be receiving extensive hands-on training at the tate epartment and at other agencies on the public affairs function. lections International Visitor rogram (ctober 23 ovember 13): he six person group of Iraqi journalists and G leaders will observe the U electoral process up close, before, during and immediately after the ovember elections. / 7

8 UCLII conomy 8 27 ctober 2004 il Update: Crude il prices in world markets for the week ending 22 ctober closed with Kirkuk Crude at $40.73/barrel, Basra Light at $43.79/barrel, and the C basket at $45.89/barrel. mployment Update: umber of Iraqis employed by UG-administered projects in each sector ector Iraqis last week Iraqis this week % Increase on week Buildings, Health & ducation 4,680 5, % lectricity 2,707 * 2, % il % ublic Works & W ater % ecurity & Justice 6,020 6, % ransportation & Com m unications % C ffice taff % I 13,400 13, % C Weekly urvey L 28,582 29, % ata as of 22 ct 04 UI 51,680 37, % ILC L % G L 80,923 67, % * last week s reported lectricity number (3,477) included UI labor

9 9 UCLII conomy (cont.) 27 ctober 2004 Iraq ecurities xchanges: t the ew Iraqi inar (I) auction on ctober 26, the settlement price was 1,460 dinars per U. total of 16 banks traded. he inistry of inance auctioned I 150 billion (about $102.7 million) in -Bills on ctober 25; the settlement yield was 2.5 percent. U.. reasury arks ne-year nniversary of ew Iraqi inar: fter one year of the ew Iraqi inar in circulation, the exchange rate has remained steady, price stability has been restored, and economic growth this year is 50 percent, one of the highest rates in the world. emand for the new currency has been strong. he Iraqi government has earned $5 billion in seignorage (the capital gain generated by the creation of reserve money) during the past year.

10 10 UCLII conomic evelopment 27 ctober 2004 ebuild Iraq xpo: he 2 nd International rade xhibition for the ebuilding of Iraq xpo will be held pril 4-7, 2005 in mman, Jordan. Last year s exhibition attracted more than 1,400 exhibitors targeting key Iraqi economic sectors, from 48 countries. ebuild Iraq 2005 will give international buyers, manufacturers, suppliers and contractors direct access to Iraqi project directors, government bodies and a variety of decision-makers involved in the economic rebirth of Iraq. xhibitors will also be able to meet and appoint Iraqi, Jordanian, and other iddle ast agents and distributors during the show.

11 UCLII ssential ervices Water and anitation ctober 2004 Water reatment rojects: Current estimates indicate that approximately 40% of the Iraqi population is be served by potable water. he C currently has 648,000 cubic meters of water treatment capacity under construction, and completed the rehabilitation of two water treatment plants in Baghdad last week. UI-sponsored repairs at a major t amim Governorate water treatment plant are 50% complete; repair work is employing 124 Iraqis. Wastewater reatment rojects: recently completed UI sewer repair project in l Basrah will improve wastewater disposal, reduce flooding, and contribute to the improvement of public health in the area. he work covered repairs to 17 pumping stations, cleaning and repairs for approximately 330 kilometers of pipe, and improved the safety of many streets. he work completed on the sewerage network will provide a level of functionality that allows unrestricted flow of sewage and storm water. his project collectively employed over 330 local workers in the Basrah area.

12 12 UCLII ssential ervices ood ecurity 27 ctober 2004 ublic istribution ystem () and -warded Contracts: mbassy officials have received 94 contracts under II, including pulses, tea, infant formula, vegetable oil/ghee, infant cereals and adult milk, which have been compiled into a new draft pipeline report that will be used to track those shipments. he inistry of rade sent a special team to Beirut, Lebanon last week to work on immediate funding of 20 contracts (which include sugar, infant formula, baby food, adult milk, soap and lentils) that were identified for immediate delivery, and the remaining 78 contracts under II. f those contracts, 45 L/Cs have been issued and the inistry of rade plans to complete the remaining 56 L/Cs this week. plans to begin tendering, awarding contracts, and funding L/Cs, for commodities for III during the first quarter of 2005.

13 13 UCLII ssential ervices Health Care Global ffort to radicate olio in Iraq: 27 ctober 2004 he worldwide effort, that began in 1988, is now close to realizing its goal of a polio-free world. he polio eradication campaign has been the largest nonmilitary, global enterprise ever, involving dozens of organizations, scores of Governments and thousands of health workers worldwide. UI, though its implementation partners UIC and the World Health rganization, in conjunction with Iraq s inistry of Health, launched a polio immunization campaign throughout Iraq in eptember. uring the first three days of the five-day campaign, the inistry of Health reported that 70 percent of the 4.7 million children to be immunized had been reached and vaccinated. Current Construction rojects: Construction has commenced on 12 new primary health care facilities. enovation of the ajaf eaching Hospital is 50% complete and scheduled to open on ecember 1.

14 14 UCLII ssential ervices ducation 27 ctober 2004 UI s H rogram: UI s Higher ducation and evelopment (H) program began in late eptember and continues to install equipment to provide internet access at a major university in northern Iraq. his university had no network to connect the campus buildings, and only 70 of the institution s 1,000 computers had access to the Internet. he new computer network will improve the communication services inside the campus and with other Iraqi universities and institutions. he inister of Higher ducation visits United ations ducational, cientific and Cultural rganization (UC): uring a meeting at UC headquarters on ctober 11, the irector-general of UC and the Iraqi inister of Higher ducation discussed how to strengthen cooperation in the field of higher education between the organization and Iraq. meeting chaired by the UC pecial nvoy for Basic and Higher ducation concluded with an agreement to implement four projects which will be financed by the Qatar oundation for ducation, cience and Community evelopment. hese projects will provide textbooks for higher education institutions, books for the four main university libraries, and laboratory equipment for medical related and engineering faculties. he agreement also provides for the creation of fellowships for University students and teaching staff.

15 15 UCLII ssential ervices elecommunications 27 ctober 2004 he Iraq elecommunications and ostal Commission (IC) has made significant progress restoring basic telecommunications services. ome accomplishments to date include: uditing more than 1,200 km of the fiber optic backbone network and performed emergency repairs, reconnecting 20 cities and 70% of the population. econstituting Baghdad area phone service by installing switches with 240,000 lines at 12 sites. Installing 13 new switches, and fully integrated them with the 14 existing switches. eactivating more than 213,000 subscriber lines through the inistry of Communications. Installing a satellite gateway system at Baghdad s largest telecom exchange and restored international service. raining IC engineers and technicians in the operation and maintenance of the satellite gateway system and the new switches.

16 UCLII WH 140, , ,000 lectricity verview 80,000 60,000 40,000 20,000-3/1/2004 3/11/2004 egawatt Hour roduction (Wh) Goal (Wh) Wh ctual Wh 7 ay vg. re-w ar Wh (st.) 3/21/2004 3/31/2004 4/10/2004 4/20/2004 4/30/2004 5/10/2004 5/20/2004 5/30/2004 6/9/2004 6/19/ ept 15 attack on Baiji oil pipeline junction 6/29/2004 7/9/2004 7/19/2004 7/29/2004 8/8/2004 8/18/2004 8/28/2004 9/7/2004 9/17/ ctober 2004 ownward trend due to all maintenance 9/27/ /7/ /17/2004 n average 791 W of generation capacity was scheduled offline and while 685 W was unscheduled for maintenance. 7 ay verage (18 24 ct): 98,236 Wh

17 17 UCLII lectricity Hours of ower 27 ctober 2004

18 UCLII Crude il roduction 27 ctober 2004 illions of Barrels er ay Goal: 2.5 B 30 ugust - 5 eptem ber 6-12 eptember eptember eptember 27 eptember - 3 ctober Weekly verage (ct 18-24) of 2.52 B roduction 18 arget 4-10 ctober ctober ctober ear erm inistry of il () arget (ec 04): B (re-war Capacity) re-war eak: 2.5 B in ar 03 ost-war eak: 2.67 B

19 UCLII Crude il onthly xport Volume & evenue 27 ctober 2004 evenue ($B) Iraqi xport (B) illions of Barrels er ay $2.00 $1.80 $1.60 $1.40 $1.20 $1.00 $0.80 $0.60 evenue ($Billions) $0.40 $ Jun-03 Jul-03 ug-03 ep-03 ct-03 ov-03 ec-03 Jan-04 eb-04 ar-04 pr-04 ay-04 Jun-04 Jul-04 ug-04 ep-04 ct evenue: $5, evenue: re-ransition: $8,105.2 ost-ransition: $5, $13,446.8 s of 22 ct $0.00

20 20 UCLII efined roducts omestic roduction & Imports 27 ctober 2004 ercentage of onthly arget eached his Week 100% 80% 60% 40% 20% 23% 71% 14% 31% roduction % Import % 37% 68% 44% 46% 0% iesel Kerosene Benzene LG ote: his chart represents the percentage of target reached for the week of ct iesel: 16.9 L of 18 L Benzene: 18.9 L of 18 L Kerosene: 6.7 L of 15 L LG: 3,880 tons of 4,300 tons

21 21 UCLII ational tock Levels 27 ctober 2004 ays of tocks ep-04 ct-04 Goal iesel Kerosene Benzene LG he goal is for all refined products to be over 15 days worth of stocks at maximum consumption rates. his does not represent seasonal change. he numbers given above are monthly averages.

22 UCLII 27 ctober 2004 Iraq elief and econstruction und (I) inancial tatus $ illions ector ecurity and Law nforcement lectricity ector il Infrastructure Justice, ublic afety, and Civil ociety emocracy ducation, efugees, Human ights, Governance oads, Bridges, and Construction Health Care 2207 eport pportion Last Week Committed Current Last Week bligated Current Last Week isbursed Current ransportation and Communications Water esources and anitation rivate ector evelopment dmin xpense (UI, tate) I II UBL 9% CUCI -CUCI CCY I 1 UBL 69% G L I I & II 16% ata as of 25 ct 04 22

23 UCLII Iraqi ecurity orces Update 27 ctober 2004 Iraqi ecurity orces rained/n Hand equired olice 43, ,000 Civil Intervention orce 0 4,920 mergency esponse Unit Border nforcement 14,313 32,000 Highway atrol 589 1,500 Bureau of ignitary rotection rmy 4,507 27,000 ational Guard 40,457 61,904 Intervention orce 1,743 6,584 pecial perations orce 617 1,967 ir orce Coastal efense orce otal *107, ,729 *he military forces continue to receive advanced unit training and may require some equipment ata as of 18 ct 04 23

24 UCLII tability Contributors I 27 ctober 2004 lbania ustralia zerbaijan Bulgaria Czech ep enmark 28 l alvador stonia Georgia Hungary Italy Japan Countries with forces in Iraq Kazakhstan ongolia Korea etherlands Latvia orway Lithuania oland acedonia ortugal oldova omania lovakia onga Ukraine UK L ~ 25,392 orces 29 Countries and (including U) upporting Iraqi tability perations ata as of 21 ct 04 24

25 25 UCLII Iraq Weekly tatus General Information 27 ctober 2004 evelopment, coordination and distribution responsibilities for the Iraq Weekly tatus eport have been transferred from the epartment of efense to the epartment of tate. his brief draws from multiple sources. eferences are cited on the respective pages in the otes age section (View otes age). lease forward all questions and/or comments to (unclassified) -I- or (classified)

Iraq Weekly Status Report

Iraq Weekly Status Report 1 UCLII UCLII Iraq Weekly tatus eport Bureau of ear astern ffairs U epartment of tate UCLII able of Contents his report provides weekly updates in the eight key areas identified as pillars of U government