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Country and Regional
Experiences
Poverty Reduction Strategy in Iraq
Dr. Mehdi Al‐Alak
Deputy Minister of Planning
Deputy Minister of Planning Head of Central Organization for St ti ti i I
Statistics in Iraq COSIT
COSIT
Poverty Reduction
Strategy in Iraq
• It is government commitment.
• Integrated with the 5-yr National Development Plan
2010-2014 and the Annual Budget.
g
• Viewing poverty as a multi-sectoral phenomenon;
policies.
• Requires integration of policies
• Rectify and enhance the efficiency of safety nets
e.g.
e
g tthe
e pub
public
cd
distribution
st but o syste
system.
• Achieve balance between the immediate aid and
the p
poverty
y alleviation on the long
g term.
Poverty Reduction Strategy
in Iraq..
Iraq continued
• Diversify economic growth
growth.
• Involve the parliament in all stages of the strategy
preparation.
• Coordinate with various institutions of the state.
• Emphasis the need for international support in
funding and expertise areas.
• Highlight the need for capacity building
• Implement periodic monitoring and evaluation
system.
y
Strategy's Principles
1. Creating income-generating opportunities:
creating employment and jobs for the poor, which requires
combined efforts by government, the private sector and civil
society.
society
2. Empowerment: Empowering the poor to exercise their
economic social and political rights
economic,
rights.
3. Capacity Building: building the capacities of the poor to
work and increase their productivity to enable them to
satisfy their needs.
4. Social safety: To establish an effective social safety net
i which
in
hi h th
the private
i t sector
t and
d civil
i il society
i t ttake
k part.
t
Linking with 5-year National
D
Development
l
t Pl
Plan (2010
(2010-2014)
2014)
 The 5
5-yr
yr planning methodology as an alternative
mechanism to the annual work within the state's
general budget.
 Achieve growth of GDP between10-11% through:
g in a wide spectrum
p
of sectors estimated
 investing
between 200-250 billion US dollars>
 Government contribution around 50-60%.
Linking with 5-year National
Development Plan (2010-2014)
 Increasing productivity in various economic
sectors.
 Doubling
g oil p
production
 Reduce unemployment rates by one third of their
present levels ((18%).
p
)
 Increase the participation of women.
p y
in the p
public sector.
 Decrease underemployment
Addressing impacts of
economic reform




Transition towards market economy.
Stabilizing Iraqi currency (Iraqi Dinar).
Eliminating prices distortions in Iraqi local market.
Restructuring public expenditure in favor of capital
investment.
 Enhance the role of private sector in Iraq’s
economy.
Major Indicators of Poverty in
I
Iraq
2007
Indicator
Value
Poverty line
US$ per capita per
month
th
National
Food
N f d
Non-food
Total
Urban
Rural
Total
Urban
Rural
Total
Urban
Rural
Poverty rate (%)
Number of poor
(million population)
Poverty gap (%)
$65
$29
$36
22.9
16.1
39.3
6.9
35
3.5
3.4
4.5
2.7
9.0
le i
m
an
i
Ka ya
rk
ou
k
Sa Er
la h b il
ud
d
Al in
A l -Na
-Q jaf
ad
isi
Th y a
i -Q
M ar
iss
a
Ba n
sr
a
Du h
h
Ba o uk
gh
d
N i ad
ne
v
Al eh
-A
nb
ar
Di
a
Ke la
rb
al
a
Al
B
-M a b
il
ut
ha
nn
a
W
as
it
To
ta
l
Su
Poverty gap by governorates
20
18
16
14
12
10
8
6
4
2
0
Strategy Outcomes
gy
•
•
•
•
Higher income for poor people from work.
Improved health status of poor people.
people
Improved education system for poor people.
Impro ed housing
Improved
ho sing environment
en ironment for poor
people.
• Effective social safety net for poor people
people.
• Reduced gender gaps.
The Strategy's Linkages and
M it i F
Monitoring
Frameworkk
Options for the Public
Di t ib ti S
Distribution
System
t
(PDS)
• 1st Option :
Direct Cash Transfers :
• 2nd Option :
Di t ib ti the
Distributing
th Ration
R ti
C d to
Card
t those
th
who
h live
li
under the poverty line only.
3rd Option :
Electronic food cards with 3 alternatives of
food baskets.
Current Status
 63 programs outt off the
th 87 activities
ti iti off the
th Strategy
St t
are underway.
 Extra budget of $0.5
$0 5 billion has been allocated
mainly for the following :
 Small loans,
loans
 Reconstruction of 450 mud schools mainly in
rural areas.
areas
 Improvement of the rural roads network.
 Expected increase in the annual allocation in the
coming years.
Poverty
y Reduction
Strategy in Iraq
www.cosit.gov.iq
g q
Th k
Thank you