Category: World Bank

Posted on

$25m agreement for Medical Waste Management in Iraq

Ministry of Health and UNDP partner to address medical waste management challenges under $25m agreement

The United Nations Development Programme (UNDP) in Iraq has signed a US$25 million agreement with Iraq’s Ministry of Health (MoH) to strengthen medical waste management in the country.

The agreement is part of the $100 million Iraq Covid-19 Vaccination Project (ICVP), a loan financed by the World Bank to support the Government of Iraq’s rollout of the COVID-19 vaccine.

Under the agreement, UNDP will procure and install approximately 180 shredder autoclaves which convert medical waste – largely from COVID-19 vaccinations – such as syringes, ampules, dressings and personal protective equipment like masks and gloves into ordinary waste for safe disposal. These efforts support MoH’s safe deployment of the vaccine throughout Iraq.

“We confirm the ongoing partnership between the Federal Ministry of Health and all local and international supporting bodies for their technical support, and for developing infrastructure to strengthen the provision of health services across all levels of government and the Kurdistan Region. We are grateful for all the efforts supporting the Federal Ministry of Health and its departments in addressing health sector challenges.” says the Federal Minister of Health, Dr. Hani Musa Badr Al-Uqabi.

“As the development partner of choice, UNDP is proud to have been selected by the Ministry of Health and the World Bank to implement this critical project.  The established and successful mechanisms UNDP Iraq has in place ensure agility, adaptability, flexibility, and transparency in our delivery.” says Resident Representative of UNDP Iraq Ms Zena Ali Ahmad.

“We also welcome the new collaboration with the World Bank who has provided the funds for this much-needed support for medical waste management in the country,” she adds.

(Source: UN)

The post $25m agreement for Medical Waste Management in Iraq first appeared on Iraq Business News.

Posted on

Iraq’s Economic Update — April 2022

Iraq’s economy is gradually recovering from the twin shocks of the pandemic and collapse in oil prices in 2020. Both oil and non-oil growth are on track to reach their pre-pandemic levels as oil production increases and the easing of COVID-19 restrictions restores domestic economic activity.

Fiscal and external deficits are back to surpluses as oil prices continue to surge. Growth in the medium term is projected to be driven by the oil sector as OPEC+ production cuts are phased out. The outlook remains subject to significant risks including uncertainties relating to the impact of geopolitical tensions, the ongoing pandemic, security challenges, and climate change.

Recent Developments

Iraq’s economy is gradually rebounding following the deep economic strains of the COVID-19 pandemic. Real GDP is estimated to have edged up by 1.3% in 2021, after a sharp contraction of 11.3% in 2020. The rebound was mainly driven by the non-oil sector which grew by 6% in 9 months of 2021-2021 year-on-year (y/y), underpinned by a strong performance of the high contact sectors including transport, accommodation, and retail sectors.

However, agriculture and construction contracted by 17.5% and 36.8% respectively, following severe droughts, energy outages, and the rising global price of inputs. In 9M-2021, oil GDP contracted by 4%(y/y) as Iraq adjusted its oil production as per the OPEC+ agreement. Headline and core inflation edged up to an average of 6% and 6.6%(y/y) in 2021, respectively, following the 23% devaluation in December of 2020 and the gradual recovery in domestic demand.

Outlook

The turnaround in oil markets has significantly improved Iraq’s economic outlook in the medium term. Overall growth in 2022 is now forecast at 8.9% as OPEC+ quotas end and Iraq’s production surpasses its pre-pandemic level of 4.6 mbpd. Growth in the outer years is projected to remain modest at 3.7% on average as oil production moderates.

Non-oil GDP growth is projected to converge to its long-term potential growth trend in part aided by higher investments that would be financed through the oil windfall. However, growth is forecast to remain constrained by the economy’s limited absorptive capacity and other inefficiencies.

Click here to download the full report.

(Source: World Bank)

The post Iraq’s Economic Update — April 2022 first appeared on Iraq Business News.

Posted on

$100m to Support COVID-19 Vaccination in Iraq

By John Lee.

The World Bank has approved a new US$100 million project to scale up Iraq’s health sector response to the COVID-19 pandemic.

The Iraq COVID-19 Vaccination Project will support the rollout of COVID-19 vaccinations to priority population groups and strengthen the institutional systems needed to enable the safe and effective distribution and use of COVID-19 vaccine at scale.

It aims to help the country procure COVID-19 vaccines, improve its capacity to manage health care waste, and raise public awareness on the importance of vaccination against the virus.

The project builds on existing support the World Bank and other development partners have given the Government of Iraq for its COVID-19 response under the Iraq Recovery, Reform, and Reconstruction Fund (I3RF) and the Emergency Operation for Development Project.

Iraq has been one of the countries hardest hit by COVID-19 in the Middle East and North Africa (MENA) region, recording almost 2 million COVID-19 cases and more than 21,000 deaths to date.

The government began its COVID-19 vaccination campaign in March 2021 and has been able to increase coverage rapidly in the past month. More than 7 million doses of COVID-19 vaccine have been administered, with about 11% of the population having received the first dose and 7% fully immunized with two doses.

A comprehensive, well-coordinated vaccination campaign is key to a country’s future recovery from the impact of the COVID-19 pandemic on its economy and public health. The new project will play a critical role in ensuring affordable, equitable access to COVID-19 vaccines in Iraq, extending coverage to 3 million of the country’s population.

“Improved access to vaccination is needed to limit the spread of the disease and lessen the burden on the already weak health system in Iraq,” said Saroj Kumar Jha, World Bank Mashreq Regional Director. “The new project will support Iraq in its acquisition and deployment of COVID-19 vaccines, which are essential to protect lives, enable the country to reopen safely, and kickstart economic recovery.”

The Iraq COVID-19 Vaccination Project falls under the COVID-19 Strategic Preparedness and Response Program (SPRP), using a Multiphase Programmatic Approach (MPA) that was approved by the World Bank’s Board of Executive Directors in April 2020, as well as additional financing agreed to last October. It includes a I3RF grant for vaccine delivery.

The I3RF was founded in partnership with the Government of Iraq in 2018 and is funded by Germany, the United Kingdom, Canada and Sweden. It provides a platform both for financing and strategic dialogue for development and reconstruction, with a strong focus on targeted national reforms and public and private investment in socio-economic recovery and reconstruction. The fund seeks to be a strategic platform for development coordination and dialogue, and it aims to support the climate change agenda of the country, gender equality, peace building, and citizen engagement.

World Bank financing will complement activities conducted by other development partners, filling in critical gaps to ensure the deployment of vaccine is successful. The World Bank is committed to continue supporting Iraq’s efforts to address the COVID-19 pandemic and improve the resilience of its health system to future shocks.

(Source: World Bank)

The post $100m to Support COVID-19 Vaccination in Iraq first appeared on Iraq Business News.

Posted on

Iraq Borrows $360m to Reduce Gas Flaring

The International Finance Corporation (IFC), a member of the World Bank Group, is investing in Basrah Gas Company (BGC) to support one of the largest gas flaring reduction projects in the world, helping to improve energy access, prevent associated greenhouse gas (GHG) emissions and support a more resilient, sustainable energy sector in Iraq.

BGC is an Iraqi joint venture created to treat and process associated gas that would otherwise be flared. The project is expected to increase BGC’s processing capacity, thereby avoiding more unnecessary flaring and associated GHG emissions by around 10 million tons per annum. It will support Iraq’s transition to a lower carbon path and improve access to a domestic energy source, helping the country meet its growing power needs.

IFC is the lead arranger of the five-year, $360 million loan to BGC.

Ihsan Abdul Jabbar Ismail, Minister of Oil for Iraq, said:

“Signing the loan agreement reinforces the collective efforts to increase investment in associated gas flaring reduction using world-class technologies. It is in line with our objectives of turning flared gas into cleaner valuable energy and reducing the impact of the Green House Gas emissions on the environment.

“This loan opens new horizons for cooperation and collaboration that serve common purposes and interests, reiterating Iraq’s commitment to increasing investment in associated gas flaring reduction and to achieving the objectives set by the Paris Agreement.“

Malcolm Mayes, BGC Managing Director, said:

“We are delighted to have successfully signed this loan with IFC, the first loan facility of its kind in the energy sector in Iraq-a milestone to be proud of.

“The agreement demonstrates the strength of Iraqi companies and their ability to attract funding and trust from international banks. The intent of this five-year loan is to support BGC’s growth project and turn the otherwise wasted flared gas into much needed energy for the country. Our strategy is in alignment with the government of Iraq’s vision to power Iraqi homes with electricity and create a more sustainable energy industry.“

Sérgio Pimenta, IFC Vice President for the Middle East and Africa, said:

“This pioneering project has the potential to deliver significant environmental and economic benefits, including lower GHG emissions and increased fiscal revenues, and will improve energy access and lower costs for Iraqi citizens.

“The project comes after years of hard work and strong cooperation by all parties involved. We hope that it will send a strong signal to other investors and help drive more private investments to tackle climate change and support inclusive growth in Iraq.“

IFC’s investment comprises a $137.76 million loan for IFC’s own account, a $180 million loan in which participations were syndicated to eight international banks (Bank of China, Citi, Deutsche Bank AG, Industrial Commercial Bank of China, Natixis, Sumitomo Mitsui Banking Corporation, Société Générale and Standard Chartered Bank), and a $42.24 million loan through IFC’s Managed Co-Lending Portfolio Program, a platform that allows institutional investors to participate in IFC’s loan portfolio. The loan is without recourse to or guarantees from any of the shareholders.

Iraq is endowed with significant reserves of natural gas, mainly produced as a byproduct of legacy oil extraction. However, in the absence of adequate infrastructure to capture and process it, about 70 percent of all natural gas produced in the country is flared. Capturing associated gas for subsequent use can help Iraq reduce overall emissions.

The project benefits from long-standing engagements of the World Bank Group in Iraq’s energy sector. Iraq joined the Global Gas Flaring Reduction initiative in 2011 and committed in 2013 to eliminate all routine natural gas flaring by 2030.

(Sources: IFC, Iraqi Govt)

The post Iraq Borrows $360m to Reduce Gas Flaring first appeared on Iraq Business News.

Posted on

WFP, World Bank partner on Socio-Economic Research in Iraq

WFP and the World Bank partner on socio-economic research in Iraq

The United Nations World Food Programme (WFP) and the World Bank are partnering on gathering key data on the impacts of COVID-19 on households, including people who are displaced, in camps, and those who have returned to their areas, as well as host communities.

The surveys and analysis use WFP’s mobile Vulnerability Analysis and Mapping (mVAM) system; going beyond food insecurity and regularly collecting vital information on labor markets, access to health services and child education, providing up-to-date snapshots of people’s socio-economic status on the ground during the pandemic.

Beside collaborating on the design of the study, the World Bank have contributed financially to sustain the data collection.

“Iraq’s multifaceted crisis has severely impacted the livelihoods of the Iraqi people,” said World Bank Iraq Representative Ramzi Neman. “The continuation of this study will provide a better understanding of the socio-economic impact of the crisis on the living conditions of households and thus better inform social protection programs aimed at bringing immediate relief to the most vulnerable.”

With ongoing economic pressures and the resulting devaluation of the Iraqi currency, prices of some essential food items have risen, and families are further impacted. The research is being used for multiple purposes and provide the government, humanitarian and development communities with information to allow for evidence-based decisions on their pandemic response and support for the most vulnerable families. Additionally, the study supports a sustainable system to help monitor socio-economic changes and household needs.

Once analyzed, the data and findings will also form the basis of key bulletins and reports, such as the ongoing series published by WFP and the World Bank in partnership with the Food and Agriculture Organization of the United Nations (FAO) and the International Fund for Agricultural Development (IFAD).

“WFP thanks the World Bank for its generous contribution towards this important research partnership, which is supporting informed planning and decision-making by key actors in Iraq,” said WFP Iraq Representative Abdirahman Meygag. “Knowing more means being able to do more and do it right. Together our work can help vulnerable families in the most effective way possible.”

WFP and the World Bank both continue to work with the government on social protection efforts as well as the design of major reforms in the sector, to best meet families’ needs now and in the long-term.

(Source: UN)

The post WFP, World Bank partner on Socio-Economic Research in Iraq first appeared on Iraq Business News.

Posted on

Breaking Out of Fragility: Diversification and Growth in Iraq

Breaking Out of Fragility: A Country Economic Memorandum for Diversification and Growth in Iraq

Iraq is at a crossroads. Almost two decades after the 2003 war, the country remains caught in a fragility trap, facing increasing political instability, growing social unrest, and a deepening state-citizen divide.

Amid a multitude of crises (including an oil price shock, the COVID-19 pandemic, and recent protests) as well as a culmination of poor economic policies, a lack of reforms, and an inability to tackle corruption, Iraq is having its worst annual gross domestic product (GDP) growth performance in 2020 since the fall of the Saddam regime.

Instability, a lack of jobs, corruption, and poor service delivery remain among the most important risks to the country’s long-term growth.

With every crisis comes an opportunity to reform. However, Iraq’s path to reform will be challenging and uncertain. Given current oil prices and the persistent drop in global demand for oil because of the COVID-19 pandemic, the country will have a tough time addressing the needs of its people in the short term.

It can, however, embark on a long but much-needed path toward structural transformation and reform, one that could leave its economy less dependent on oil and more driven by private sector activity.

The widespread protests since October 2019, which have called into the question the country’s current political economy, illustrate that such path for reform can no longer be avoided. Nevertheless, as this report shows, this path will demand persistence, and Iraq will face much uncertainty as it tries to address its long-lasting challenges and change the status quo.

This report highlights what Iraq can do to sustain future growth, but it also shows why the country has not yet managed to achieve high levels of diversified growth alongside peace, stability, and a better standard of living for its people.

The report also suggests strategic pathways by which Iraq can break free from this fragility trap, in which peace and stability can create the conditions for people to fulfill their aspirations, find private sector jobs, and thrive.

In this context, the report’s four chapters provide:

  1. an understanding of Iraq’s underlying fragility and political economy challenges and their implications for a diversified growth model;
  2. an analysis of Iraq’s growth characteristics and the country’s potential for and benefits from eco¬nomic diversification;
  3. a trade diagnostic and assessment of Iraq’s potential for trade and regional integration to create growth and stability; and,
  4. a review of Iraq’s agriculture sector, from primary agriculture to agrifood systems, and its potential to support economic diversification, growth, and stability.

Breaking Out of Fragility: A Country Economic Memorandum for Diversification and Growth in Iraq (Full Report in a PDF Format)

(Source: World Bank)

The post Breaking Out of Fragility: Diversification and Growth in Iraq first appeared on Iraq Business News.

Posted on

Complex Impact of COVID-19 on Food Security in Iraq

New report from FAO, IFAD, WFP and the World Bank reveals complex impact of COVID-19 on food security in Iraq

As the COVID-19 pandemic continues to evolve, the Food and Agriculture Organization (FAO), International Fund for Agricultural Development (IFAD), World Food Programme (WFP) and the World Bank have collected and analyzed new data on the impact of the crisis on food security, and made corresponding joint recommendations in the first report of a new regular series, “The Impact of COVID-19 on Food Security in Iraq.”

Many people have been unable to work during the current crisis. Around 4.8 million people (12% of the total population) are using negative coping strategies to meet their food needs, and a large stimulus package will be required to re-start the economy, beyond the current measures to mitigate the impact on households and businesses.

On the other hand, food availability has been stable overall, with above-average cereal production in the 2019/2020 season, and the government of Iraq taking a proactive role to keep the food system open despite lockdowns. Food imports have continued, with global trade largely uninterrupted.

Humanitarian, social protection and development responses have stepped up, both from the government (such as “Minha” – “Grant”) and supporting partners. However, global trends have had a cascading impact on Iraq. The fall in oil prices and the slow recovery of the global oil market have had negative implications for the domestic budget, and may affect the government’s ability to continue to fund social protection programmes and agriculture subsidies.

With assistance from Food Security Cluster partners and the Cash Consortium of Iraq, FAO, IFAD, WFP and the World Bank analyzed food availability and access, with a particular focus on vulnerable populations, and jointly made policy recommendations.

“With initiatives to work towards a regional trade integration framework, create an enabling environment for increasing domestic production, invest in productive infrastructure, enhance social protection and monitor food security, vulnerable households can continue to have access to nutritious food. All possible efforts will be made to support the government of Iraq and implement the proposed recommendations,” said FAO Representative in Iraq Dr Salah El Hajj Hassan, IFAD Representative for Iraq Tarek Ahmed, WFP Iraq Representative Abdirahman Meygag, and World Bank Iraq Representative Ramzi Neman, in a joint statement.

The new publication builds on the partners’ weekly reports on COVID-19 and food security, which launched in April and continue to be released.

Download a copy of the new report at: https://bit.ly/2VDbH3a

(Source: UN)

Posted on

IBBC, World Bank introduce Free Training for Iraqi SMEs

You are invited to help IBBC and World Bank to introduce Iraqi SME’s to FREE business training courses

WHEN: 29th June, 6pm to 8pm Iraq time

Please share this free business training initiative and the course registration with any SME in your network, however small, and encourage them to sign up.

Arabic version for sharing with your contacts here
WebEx Link: Join Using WebEx

YouTube Livestream: https://www.youtube.com/watch?v=RxeuaarijuE

The Iraq Britain Business Council (IBBC) has been asked by the World Bank to support them in the promotion of business resilience and training courses for SME’s in Iraq.

The driver behind this initiative is to give Iraqi SME’s support to ride out and survive the business effects of COVID-19 pandemic and the effect it has particularly on the smaller businesses in the economy.

The support is in the form of four free business training courses that SME’s can take via Webex or Youtube, provided they sign up.

As a partner to the World Bank, IBBC is contacting our Chambers of Commerce and Union contacts, and those businesses we can alert.

The courses cover four topics :

  1. Business Planning.
  2. Accessing Finance.
  3. Communicating.
  4. Thriving.

We recognise that your suppliers are most likely to be already well prepared, but if there are some who may be finding the current economic climate challenging, these courses will provide a good sense check to best practice.

Please follow this link for the WebEx how-to manual in English

Please follow this link for the WebEx how-to manual in Arabic

Please let us know if there are any further questions by contacting london@webuildiraq.org

We very much hope that your teams will be able to share these courses with your supplier and business ecology.

(Source: IBBC)

Posted on

World Bank’s Neman: ‘Critical Time’ as Iraq

From Al Jazeera. Any opinions expressed are those of the author(s), and do not necessarily reflect the views of Iraq Business News.

After months of anti-government protests and political uncertainty, Iraq is now grappling with its worst fiscal crisis in decades.

The country’s economy and state budget are heavily reliant on oil income, and have been hit hard by the sharp decline in global oil prices.

The World Bank has projected Iraq’s GDP to contract by 9.7 percent, with the fiscal deficit expected to reach almost 30 percent of GDP. Iraq’s newly appointed government, led by Mustafa al-Kadhimi, is now faced with a challenging task of implementing long-overdue structural reforms, such as reducing public sector employment while also keeping popular unrest at bay.

But what are the root causes of the current economic crisis and what needs to be done to tackle it? And how can the new government overcome entrenched political interests that oppose reform while also winning over a public that has lost all trust in the political establishment?

Ramzi Neman, the World Bank’s special representative to Iraq, talks to Al Jazeera: