IRAQ RECONSTRUCTION OF LIBERATED AREAS CHALLENGES AND OPPORTUNITIES

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1 IRAQ RECONSTRUCTION OF LIBERATED AREAS CHALLENGES AND OPPORTUNITIES Presentation Document September 2017

2 AGENDA Overview of the Liberated Areas from ISIS Overview of the Estimated Reconstruction Needs Reconstruction Efforts and Key Stakeholders 2

3 THE WAR AGAINST ISIS, ACCORDING TO IRAQI GOVERNMENT ESTIMATES, HAS RESULTED IN DAMAGES IN UP TO 90 PERCENT OF AREAS IN ANBAR, 60 PERCENT OF AREAS IN NINEVEH AND 50 PERCENT OF AREAS IN SALAHADIN Iraq ISIS presence in Iraq in 2015 ISIS presence in Iraq in Sep 2017 ISIS control Source : Web search 3

4 AGENDA Overview of the Liberated Areas from ISIS Overview of the Estimated Reconstruction Needs Reconstruction Efforts and Key Stakeholders 4

5 THE IRAQI GOVERNMENT ANNOUNCED THE NEED OF $100 BILLION USD TO RECONSTRUCT CONFLICT-AFFECTED AREAS IN A TEN-YEAR TWO PHASE PLAN THAT WILL START IN 2018 IRAQI GOVT. SAYS $100 BILLION NEEDED FOR RECONSTRUCTION IN CONFLICT-AFFECTED AREAS The Iraqi ministry of planning announced it will approve a plan to reconstruct areas, once fell under the control of the ISIS terror group H.E. Salman al-jumaili, the Iraqi Minister of Planning said the reconstruction will cost the government of Iraq approx. $100 billion USD and will take ten years to rebuild the areas damaged in the fight against the Islamic State (ISIS) Al-Jumaili has announced the adoption of a two-phase reconstruction plan, one of which is set to begin in 2018 and end in The second is set for the period between 2022 and 2028 Source : Press Articles 5

6 THE RECONSTRUCTION FUND FOR AREAS AFFECTED BY TERRORISTIC OPERATIONS (REFAATO) HAS BEEN ESTABLISHED TO COORDINATE THE RECONSTRUCTION EFFORTS ABOUT REFAATO The Reconstruction Fund for Areas Affected by Terroristic Operations (REFAATO) was established in 2015 by virtue of Article 28 of the general budget law for fiscal year The reconstruction fund is organized by a decree No. 237 for 2015 of the cabinet of ministers issuing rules No.(4) for 2015 for the reconstruction fund. REFAATO RESPONSIBILITIES Management of grants from development partners Setting projects priorities,supervision and following implementation of developmental projects in affected governorates Coordination with development partners to support the reconstruction process, and proposing plans and policies to achieve the goals of the state in the reconstruction of the affected areas. Website: www. refaato.iq/en/ Source : REFAATO 6

7 ACCORDING TO REFAATO ASSESSMENT IN MARCH 2017, ANBAR PROVINCE HAS THE HIGHEST ALLOCATION OF TOTAL PROJECTS COSTS OF 42.7% AND NINAWA COMES NEXT WITH 32.1% OF TOTAL PROJECTS COSTS Province USD Million Anbar province Kirkuk Baghdad Belt Diyala North Babil 3% 3% 1% Nienwa province Salahaldin province Salahaldin 11% 7% 43% Anbar North Babil province Diyala province 78.7 Kirkuk province 57.3 Baghdad Belt 32.2 Nienwa 32% Total Volume 2.2 bn USD Source : REFAATO 7

8 ACCORDING TO REFAATO ASSESSMENT, HIGHER EDUCATION SECTOR HAS THE HIGHEST ALLOCATION OF PROJECTS COST WITH 21.6% OF THE TOTAL PROJECT COSTS, NEXT IS ROADS AND BRIDGES SECTOR WITH 16.7% PROJECTS AND THE ESTIMATED COST ACCORDING TO THE SECTORS IN PERCENT OF PROJECT VALUE 5% 3% 4% 4% 5% 4% Source : REFAATO 2% 1% 1% 1% 0% 0% 2% 13% 16% 22% 17% Total Volume 2.2 bn USD Higher Education Sector Roads & Bridges Sector Municipalities Sector/ Vehicles + Equipment + Cleaning Works + Parks and Gardens Electricity Sector Education Sector Water Sector / filtration + wells + Equipment Sewer Sector/ stations + networks + treating Interior Sector / Police + Traffic + Civil Defense stations Health Sector Transportation Sector/ Rehabilitation of stations + bridges and railway arches + equipments Water Resources Sector Telecommunications Sector Religious Endowments Sector/ Religious Schools + Mosques Trade Sector/ Silos + Stores + Mills Environment Sector/ Supervision, Inspection and a remote sensing devices Buildings Sector/ State Departments 8

9 AGENDA Overview of the Liberated Areas from ISIS Overview of the Estimated Reconstruction Needs Reconstruction Efforts and Key Stakeholders 9

10 IRAQ HAS BEEN ABLE TO SECURE FUND FROM VARIOUS PARTIES SUCH AS THE UNDP (MULTI DONOR), WORLD BANK, KFW BANKING GROUP IN THE RANGE OF 1.5 BN USD IN NEGOTIATION Funding body UNDP World Bank KfW Banking Group, Germany Kuwait Government French government Funding Details Twenty-three donors have contributed more than $420 million to UNDP s Funding Facility for Stabilization since 2015 More than 1,100 stabilization projects are completed or being implemented across 23 locations Loan has been provided, the loan shall be repaid within five years The loan shall be used to tackle shortage of water, electricity, health, roads, and bridges Fund agreement has been signed The fund will be used as a credit facility to fund investments aimed at rebuilding Iraqi infrastructure damaged in the war with Islamic State militants Funding amount (in USD) 420 Million 350 million 596 Million (500 MEURO) Kuwaiti Funds is allocated be used to for health sector and others 100 Million + French officials stated that the loan will be given before the end of Million (430 M Euro) Source : Press articles and web search 10

11 EXAMPLE LIST OF CURRENT TENDERS FOR IRAQ RECONSTRUCTION PROJECTS Iraqi Sites REFAATO Ministry of Electricity Ministry of Agriculture Ministry of Oil Ministry of Trade Ministry of Industry and minerals Ministry of Housing and construction Ministry of Health Etc. International UNDP tenders Website for tender site link collection: Source : web search 11

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