July 4, 2007 UNCLASSIFIED D E P A R T M E N T Iraq Weekly Status Report O F July 4, 2007 S T A T E Bureau of Near Eastern Affairs US Department of State 1 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Table of Contents D E P A R T M E N T This report provides weekly updates in the eight key areas identified as pillars of U.S. government policy for victory in Iraq. SECTION SLIDE Highlights 3 1. Defeat the Terrorists and Neutralize the Insurgents 5 2. Transition Iraq to Security Self-Reliance 8 3. Help Iraqis to Forge a National Compact for Democratic 10 Government 4. Help Iraq Build Government Capacity and Provide Essential 13 Services O F S T A T E 5. Help Iraq Strengthen Its Economy 16 6. Help Iraq Strengthen the Rule of Law and Promote Civil Rights 24 7. Increase International Support for Iraq 25 8. Strengthen Public Understanding of Coalition Efforts and 27 Public Isolation of the Insurgents Sources and Contact Information Notes and Source Citations 28 29 2 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Highlights D E P A R T M E N T O F S T A T E 1. Defeat the Terrorists and Neutralize the Insurgents Coalition Forces (CF) are increasing the pressure on extremists, simultaneously applying more force in Baghdad and in the belts around the city. These operations have had several recent successes: CF killed a significant senior al-Qaida in Iraq (AQI) leader -- Abu Abd al-Rahman al-Masri June 29. He had an extensive history with AQI and worked directly for Abu Ayyub al-Masri, the AQI leader, facilitating communications throughout the region. Also, earlier in June, Iraqi Army and CF killed Kamal Jalil Bakr Uthman, also known as Said Hamza, who was the AQI military emir of Mosul and who had planned, coordinated and facilitated suicide bombings. Uthman also facilitated the movement of more than 100 foreign fighters through safe houses in the area. 2. Transition Iraq to Security Self-Reliance Hundreds of volunteers from area tribes willing to fight against al-Qaida, turned out for a screening to become Iraqi Police candidates in Baghdad’s Nasir Wa Salam and Abu Ghraib neighborhoods, starting June 25. The three-day recruiting drive by the Ministry of Interior saw more than 600 men participate. During the recruiting drive, potential candidates were screened for identification, health, and fitness. 3. Help Iraqis to Forge a National Compact for Democratic Government Prime Minister Maliki’s Cabinet of Ministers unanimously approved a draft oil law on July 2 with 24 of the cabinets 37 members present. Cabinet members from the Sunni Accord Front and the Shiite Sadrist Movement boycotted the meeting due to separate political disputes with Maliki. The draft, crucial to regulating how wealth from Iraq's huge reserves will be shared by its sectarian and ethnic groups, was originally approved by the cabinet in February but faced stiff opposition from Kurds, who felt they were getting a bad deal. 4. Help Iraq Build Government Capacity and Provide Essential Services In excess of 35,000 patients per year will receive outpatient healthcare from the completed al-Thani Public Health Clinics which can treat up to 100 patients per day. 3 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Highlights D E P A R T M E N T O F 5. Help Iraq Strengthen Its Economy U.S. Government-funded micro-finance providers hit a milestone this week, with total loan disbursements since the inception of the program in August 2003 surpassing $100 million. 6. Help Iraq Strengthen the Rule of Law The Central Criminal Court of Iraq (CCCI) convicted 99 individuals from May 20 - June 2 for violations of the Iraqi Terrorist Law, Penal Code and Coalition Provisional Authority (CPA) Orders enforced by the Iraqi judiciary. 7. International Support for Iraq South Korea has delayed a decision on when to pull its 1,200 remaining troops out of Iraq, raising the possibility that it could extend the mission for another year. South Korean troops have been stationed in northern Iraq on a reconstruction mission since 2003. 8. Strengthen Public Understanding of Coalition Efforts and Public Isolation of the Insurgents In a tacit admission of the troubles between Iraq’s two largest Shiite political parties, their respective leaders signed an agreement this week to work together and back appointments to the cabinet and other posts based on professional experience rather than party allegiances. S T A T E 4 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [1.] Defeat the Terrorists and Neutralize the Insurgency Focused Operations Against al-Qaida and al-Qaida Affiliates: D E P A R T M E N T O F • Coalition Forces (CF) and Iraqi forces are increasing the pressure on extremists, both in Baghdad and in the belts around the city. These operations have had several recent successes: • CF killed a significant senior al-Qaida in Iraq (AQI) leader -- Abu Abd al-Rahman alMasri June 29. He had an extensive history with AQI and worked directly for Abu Ayyub al-Masri, the al-Qaida leader of Iraq, facilitating communications throughout the region. • Earlier in June, Iraqi Army and coalition forces killed Kamal Jalil Bakr Uthman, aka Said Hamza, who was the AQI military emir of Mosul and who had planned, coordinated and facilitated suicide bombings. Uthman also facilitated the movement of more than 100 foreign fighters through safe houses in the area. S T A T E 5 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [1.] Defeat the Terrorists and Neutralize the Insurgency Operations Targeting Secret Cells and Special Groups: D E P A R T M E N T O F S T A T E • Coalition Forces (CF) are also targeting extremist elements known as Secret Cells or Special Groups who are destabilizing the security situation in Iraq. These “Special Groups” (militia extremists) are funded, trained, and armed by external sources, specifically by Iranian Revolutionary Guards Corps Quds Force operatives. • In the past few months, Iraqi and CF have conducted a range of operations against these Special Groups. The following slide shows 27 of the higher level operatives that have been detained or killed since February of this year. The majority are in detention but three were killed when they took hostile action against CF. These individuals played key roles in the planning and execution of bombings, kidnappings, extortion, sectarian murders, illegal arms trafficking, and other attacks against Iraqi citizens, police, army and CF. • Interrogations of these Special Group members have revealed how Iranian Quds Force (IQF) operatives are training, funding, and arming Iraqi Special Groups as well as how Iranian operatives are using Lebanese surrogates to create Hizballah-like capabilities. Multi-National Forces-Iraq reports CF have also learned: • The IQF goal is to develop the Iraqi Special Groups into a network similar to the Lebanese Hizballah. • Funding and training of the Special Groups started in 2004. • The IQF supplies Special Groups with EFPs, machine guns, rockets, sniper rifles, rocket propelled grenades and IEDs. • Iraqi Special Groups are trained in one of three training camps inside Iran and are operated by the IQF and supported by Lebanese Hizballah operatives. 6 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Central Iraq • Hakim al Zamili – 9 Feb • Abu Zaynab – 21 Feb • Raydih Hashin Yashir – 20 Mar • Abu Rusl – 03 Apr • Abu Mustafa – 05 Apr D• Abu Liqa – 11 Apr E• Abu Sha’lan – 13 Apr P• Abu Yasir al Sheibani – 20 Apr Basem – 28 Apr A•• Abu Abu Zaki – 04 May R• Abu Zahrah – 05 May T• Abu Musa – 13 May • Azhar Dulaymi – Killed 19 May M • Husayn Abu Abdullah – 30 May E• Abbas – 31 May N• Allawi – 4 Jun 2007 T• Asa’ad – 5 Jun • Abu Karrar – Killed 9 Jun • Abu Tiba –16 Jun 07 27 Special Group Members Captured or Killed since Feb. 9, 2007 O FSouthern Iraq • Juma’a Diwan – 18 Feb • Ali Mussa Daqduq – 20 Mar S• Qayis Khazali – 20 Mar T• Layith Khazali – 20 Mar A• Captain Qays – 20 Mar • Sheikh Adnan – 22 Mar T• Muhammad Tahir – 4 May E• Wisam Abu Qadir – Killed 25 May Accused Terrorists 7 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [2.] Transition to Security Self-Reliance – Iraqi Security Forces D E P A R T M E N T Iraqi Citizens Volunteer to Join Iraqi Police: • Hundreds of volunteers from area tribes, willing to fight against al-Qaida, turned out for a screening to become Iraqi Police candidates in Baghdad’s Nasir Wa Salam and Abu Ghraib neighborhoods, starting June 25. The three-day recruiting drive by the Ministry of Interior saw more than 600 men participate. During the recruiting drive, potential candidates were screened for identification, health, and fitness. O F S T A T E 8 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [2.] Transition Iraq to Security Self-Reliance – Iraqi Security Forces D E P A R T M E N T O F S T A T E Ministry of Interior Forces COMPONENT TRAINED & EQUIPPED POLICE ~135,000 NATIONAL POLICE ~ 26,300 OTHER MOI FORCES ~32,900 TOTAL ~194,200* Ministry of Defense Forces COMPONENT OPERATIONAL ARMY ~156,900*** AIR FORCE ~900 NAVY ~1,100 TOTAL ~158,900** Total Trained & Equipped ISF: ~353,100**** * Ministry of Interior Forces: Unauthorized absence personnel are included in these numbers ** Ministry of Defense Forces: Unauthorized absence personnel are not included in these numbers *** Army numbers include Special Operations Forces and Support Forces **** Does not include the approximately 144,000 Facilities Protection Service personnel working in 27 ministries 9 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [3.] Help Iraqis to Forge a National Compact for Democratic Government PM Urges Sunni Bloc to end Boycott: D E P A R T M E N T O F • Iraqi Prime Minister Nuri al-Maliki urged Sunni lawmakers to end their boycott of his cabinet, insisting that the case of a Sunni minister accused of terrorism is a purely judicial matter. The Tawafuq Party (the main Sunni parliamentary bloc) announced that its six ministers would suspend participation in the government to protest the attempted arrest of Culture Minister Asad Kamal al-Hashimi. Cabinet Approves Draft Oil Law: • Prime Minister Maliki’s Cabinet of Ministers unanimously approved a draft oil law on July 2 with 24 of the cabinets 37 members present. Cabinet members from the Sunni Accord Front and the Shiite Sadrist Movement boycotted the meeting due to separate political disputes with Maliki. The draft, crucial to regulating how wealth from Iraq's huge reserves will be shared by its sectarian and ethnic groups, was originally approved by the cabinet in February but faced stiff opposition from Kurds, who felt they were getting a bad deal. Sadr Canceled Planned Protest March in Samara: S T A T E • Iraqi Shiite cleric Muqtada al-Sadr has cancelled plans for his followers to march on a destroyed Shiite mosque in the Sunni city of Samarra next week. Asad al-Ansari, a Shiite imam and Sadr loyalist, cited the government's refusal to secure the route as one of the reasons for the delay. 10 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [3.] Help Iraqis to Forge a National Compact for Democratic Government Provincial Iraq Elections to Proceed as Planned: D E P A R T M E N T • According to PM Maliki, Provincial Iraqi elections will be held in 2007 as planned. “We are determined to hold the provincial elections this year,” he said in a statement after meeting the Independent Electoral Commission of Iraq. Maliki gave no date for the elections but added that he had asked the Commission to find a way to make sure Iraqis can vote even if they have left the country, or have moved to another part of the country. O F S T A T E 11 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [3.] Help Iraqis to Forge a National Compact for Democratic Government - Iraqi National Unity Government President D E P A R T Minister of M Agriculture * E of N Minister Education T Khudayyir al-Khuza’i O F S T A T E Deputy President Jalal Talabani Deputy President (F) = Female Tariq al-Hashimi ‘Adil ‘Abd al-Mahdi * Vacant Prime Minister Deputy Prime Minister Nuri al-Maliki Deputy Prime Minister Barham Salih Salam al-Zawba’i Minister of Communications Minister of Culture Minister of Defense Minister of Displacement & Migration Minister of Electricity Muhammad Tawfiq Allawi * Abdul Qadir Muhammed Jasim Abd al-Samad Rahman Sultan Karim Wahid Minister of Environment Minister of Finance Minister of Foreign * Affairs Minister of Health Minister of Higher Education Narmin ‘Uthman (F) Bayan Jabr Hoshyar Zebari * Abd Dhiyab al-Ajili Minister of Human Rights Minister of Industry & Minerals Minister of Interior Minister of Justice Minister of Housing & Construction Minister of Labor & Social Affairs Wijdan Mikha’il (F) Fawzi al-Hariri Jawad al-Bulani Safa al Safi (acting) Bayan Daza’I (F) Mahmud Muhammad Jawad al-Radi Minister of Oil Minister of Planning Minister of Trade Minister of Science & Technology Minister of Municipalities & Public Works Minister of Transportation Husayn alShahristani Ali Baban Abd al-Falah alSudani Ra’id Fahmi Jahid Riyad Ghurayyib * Minister of Water Resources Minister of Youth & Sports ‘Abd al-Latif Rashid Jasim Muhammad Ja’far Minister of State for Foreign Affairs Minister of State for Governorates Affairs Rafi Hiyad al-Isawi * Minister of State for Civil Society Wijdan Mikha’il (acting) Minister of State for Tourism and Antiquities * 12 Minister of State for National Dialogue Affairs Minister of State for National Security Affairs Akram al-Hakim Shirwan al-Waili Minister of State for Women’s Affairs Fatin Abd al-Rahman Mahmud (F) Minister of State for CoR Affairs Safa al-Safi UNCLASSIFIED July 4, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Financials from Iraq Relief and Reconstruction Fund (IRRF) 1 and IRRF 2 Apportioned D E P A R T M E N T O F S T A T E Committed Obligated Disbursed Sector Apportion Last Week Current Change Last Week Current Change Last Week Current Change Security and Law Enforcement $5,004.79 $4,978.21 $4,978.21 $0.00 $4,975.17 $4,975.17 $0.00 $4,797.45 $4,797.45 $0.00 Electricity Sector $4,216.87 $4,171.28 $4,171.28 $0.00 $4,046.30 $4,046.30 $0.00 $3,322.85 $3,322.85 $0.00 Oil Infrastructure $1,724.70 $1,623.09 $1,623.09 $0.00 $1,572.42 $1,572.42 $0.00 $1,456.14 $1,456.14 $0.00 Justice, Public Safety and Civil Society $1,304.15 $1,302.73 $1,302.73 $0.00 $1,296.75 $1,296.75 $0.00 $1,092.52 $1,092.54 $0.03 Democracy $998.35 $997.98 $997.98 $0.00 $997.91 $997.91 $0.00 $934.51 $934.51 $0.00 Education, Refugees, Human Rights, Governance $410.06 $399.91 $399.91 $0.00 $399.90 $399.90 $0.00 $369.56 $369.57 $0.01 Roads, Bridges and Construction $333.60 $327.80 $327.80 $0.00 $320.73 $320.73 $0.00 $227.06 $227.06 $0.00 Health Care $816.22 $770.75 $770.75 $0.00 $758.81 $758.81 $0.00 $668.79 $668.79 $0.00 Transportation and Communications $456.72 $455.45 $455.45 $0.00 $447.17 $447.17 $0.00 $354.39 $354.39 $0.00 $2,115.79 $2,006.53 $2,006.53 $0.00 $1,963.12 $1,963.12 $0.00 $1,614.27 $1,614.27 $0.00 Private Sector Development $809.26 $808.91 $808.91 $0.00 $808.91 $808.91 $0.00 $789.24 $789.24 $0.00 Admin Expense (USAID, STATE) $211.05 $210.48 $210.48 $0.00 $210.48 $210.48 $0.00 $188.19 $188.44 $0.25 $18,401.56 $18,053.11 $18,053.11 $0.00 $17,797.66 $17,797.66 $0.00 $15,814.98 $15,815.27 $0.29 IRRF II Construction - $10,341.46 $10,341.46 $0.00 $10,090.24 $10,090.24 $0.00 $8,656.77 $8,656.77 $0.00 IRRF II Non-Construction - $6,713.68 $6,713.68 $0.00 $6,709.52 $6,709.52 $0.00 $6,223.70 $6,223.99 $0.29 IRRF II Democracy - $997.98 $997.98 $0.00 $997.91 $997.91 $0.00 $934.51 $934.51 $0.00 IRRF I Total $2,473.30 $2,473.30 $2,473.30 $0.00 $2,232.3 $2,232.3 $0.00 $2,139.00 $2,139.0 $0.00 Grand Total IRRF I & II $20,874.86 $20,526.41 $20,526.41 $0.00 $20,029.96 $20,029.96 $0.00 $17,953.98 $17,954.27 $0.29 Water Resources and Sanitation Total As of June 26, 2007 13 This week’s data was received after the WSR was finalized. If you need the updated data, please contact NEA-I-IPOG@state.gov UNCLASSIFIED July 4, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Electricity Overview D E P A R T M E N T Daily Electricity Supplied and Estimated Demand in Iraq Since January 2004 Daily Supply 7-Day Average Supply Estimated Demand 250,000 200,000 150,000 100,000 O F 50,000 6/14/07 3/16/07 12/16/06 9/17/06 6/19/06 3/21/06 12/21/05 9/22/05 6/24/05 3/26/05 12/26/04 9/27/04 6/29/04 3/31/04 1/1/04 0 S T Date A T E • For the week of June 27-July 3, national electricity supply was 6 percent below the same period in 2006. 14 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Education and Health Education: D E P A R T M E N T O F • The completed, U.S.-funded BE/CERP7/Repair Two Schools project provides a safe and secure learning environment for over 250 schoolchildren. Health: • Area residents of al-Ameen will receive outpatient healthcare from the completed U.S.funded BR03 al-Ameen Public Health Clinics, which can treat up to 100 patients per day. • In excess of 35,000 patients per year will receive outpatient healthcare from the completed BR11 al-Thani Public Health Clinics, which can treat up to 100 patients per day. S T A T E 15 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Oil Update and Job Creation D E P A R T M E N T O F S T A T E Oil Update: • Crude oil price averages in world markets for the week ending April 20 closed with the following prices: – Basrah Light at $66.892/ barrel – Dated Brent at $72.158/barrel – WTI Cushing at $68.726/ barrel – Oman/Dubai at $66.788/barrel Employment Update: Iraqi Employment Per Organization Iraqis Last Week Iraqis This Week % Change Gulf Region District (GRD) (Includes MILCON/OMA) 21,335 21,335 0% US Agency for International Development (USAID) 41,298 43,546 5.44% Commander’s Emergency Response Program (CERP) 4,636 4,636 0% Multi-National Security Transition Command-Iraq (MNSTC-I) 12,502 10,664 -14.7% Iraq Reconstruction Relief Fund (IRRF) Non-Construction 8,986 8,986 0% Grand Total 88,757 89,167 .46% Employment Program CERP employment numbers are representative of Baghdad only. Data as of July 3 16 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy - Banking Sector $100.0 1,500 $90.0 $80.0 1,450 $70.0 $60.0 1,400 $50.0 $40.0 1,350 NID Exchange Rate O F Central Bank of Iraq USD Currency Auction: July 2, 2006 – June 25, 2007 USD Sold (Millions) D E P A R T M E N T Central Bank’s US Dollar (USD) Currency Auction: • The following table shows volume sold of and exchange rates for USD in the Iraqi currency auction since April. Since September, the Central Bank of Iraq (CBI) has slowly appreciated the dinar, as suggested by the IMF, in an effort to rein in galloping inflation. There are early signs that this effort may have begun to bear fruit, as year-to-date inflation is 2.8%, which projects a pace well below the IMF annual target of 30%. However, this decline in the rate of inflation may be temporary, as the CBI has slowed its appreciation of the currency and the rate of inflation (particularly for energy prices) typically picks up in the second half of the year. $30.0 $20.0 1,300 $10.0 $0.0 1,250 Ju Ju l 2 Ju l 9 6 Jul 16 - 1 3 Ju J l 2 - 2 l 3ul 3 - 0 1 26 25 A Au- 3 A ug g 0 u 8 7 A A g1 u u 1 10 g S 3g Seep 0 23 22 6 - S p 1 - Se 29 ep 3 S p e 2 - p 5 S 1 Se 12 ep - S p O 26 ep 19 O ct - 2 c 3 O 5 O t 1 - O ct ct 1 c 2 - t N 19 Oc 10 N ov - O t 1 ov 4 c 8 t 8 - N 29 N N - N ov o o o 7 D v 2v 1 v 1 D ec 9 - 5 - 4 e 6 D c 1 - DDe28 ec 3 e c - c 1 Ja 20 De 12 Ja n - D c 1 n 8 e Ja 1 - J c 28 n 7 - an 6 Ja 23 Ja 1 - n 6 F n 3 Ja 2 e 2 F b 60 - n 2 e F 9 Feb 1 - F eb b 4- eb 5 F 21 Fe 13 eb - b M 28 Fe 20 ar - b 7- Ma 27 M r M ar M ar 6 a M 22r 1 13 ar -M 4a2 A Ap 28- r 20 p r A 7 r 3- p A 10 A r p 2 A r 1 Appr p 7- r 8 r A 1 M 24 p 6 M ay -Apr 2 3 a M y 2- r 3 a 9 M M y -M a 0 ay 16 a y M 2 -M y 18 Juay 3- May 5 J n 30 a 22 Juun e 6 -J y 2 n e 1 -Juun 9 e 7 ne 20 -J e 4 - un 13 Ju e n 19 e 25 S T A T E US $ Sold (Weekly Avg) The New Iraqi Dinar (NID) exchange rate line is calculated as a weekly weighted average (NID/USD) 17 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Securities Markets Trading of Iraqi Bonds on the International Secondary Bond Market: S T A T E Iraqi Commercial Bond Sales June 4, 2006 - July 4, 2007 $70.00 11.00% $68.00 10.50% $66.00 $64.00 9.50% $62.00 Yield Percentage 10.00% 9.00% $60.00 8.50% $58.00 $56.00 8.00% 1Ju 12 n -J u 21 n -J u 30 n -J u 11 n -J 20 u l -J u 31 l -J u 9- l Au 18 g -A 29 ug -A u 7- g Se 18 p -S 27 ep -S ep 6Oc 17 t -O 26 ct -O c 6- t N o 15 v -N 24 ov -N o 5- v D 14 ec -D 25 ec -D e 3- c Ja 12 n -J a 23 n -J a 1- n Fe 12 b -F 21 eb -F eb 2M 13 ar -M 22 ar -M a 2- r Ap 11 r -A 20 pr -A p 1- r M 10 ay -M 21 ay -M 30 ay -M a 8- y Ju n O F • The following table shows the daily bond resale price and yield on Iraqi bonds issued January 20. The bonds were originally issued to approximately two-thirds of Iraq’s commercial creditors as part of a debt exchange arrangement as per Paris Club terms. Iraq’s commercial debt was approximately $22 billion before the debt-swap arrangement. The bonds, which are not yet rated, will mature in 2028. The bonds’ current yield of 10.4 percent remains one of the highest in the world for sovereign debt instruments. Bond Price in USD D E P A R T M E N T Trading High = $73.98 (January 24) Trading Low = $64.66 (August 30) 18 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Economic Events Microfinance in Iraq Achieves Several Milestones in May: D E P A R T M E N T • U.S. Government-funded micro-finance providers hit a milestone this week, with total loan disbursements since the inception of the program in August 2003 surpassing $100 million. Over that same period, more than 50,000 micro-finance loans have been made to Iraqi small businesses and entrepreneurs. During the month of May, five microfinance institutions in Iraq had a total of over 18,000 active clients and disbursed over $5M, with an outstanding loan portfolio of $24,983,761 in 16 provinces. Expansion to al-Anbar and Dahuk is expected in the next three months, ensuring all 18 provinces have access to microfinance services. Contracts Awarded to Local Iraq Companies: • O F S T A T E The U.S. military is making a concerted effort to push Iraq's government, civil service and business community to work together effectively. Maj. Gen. Darryl A. Scott, head of the Joint Contracting Command for Iraq and Afghanistan, said some 52% of all contracts are now going to Iraqi companies working around the country. This shift came in response to "very high-profile failures by large international companies" on past reconstruction deals. This year, the United States awarded $650 million worth of contracts to Iraq firms, which has generated jobs for almost 42,000 Iraqis. About half of the contracted work supports the U.S. military, while 28% is targeted for infrastructure and the remainder is earmarked primarily to help build up the Iraqi security forces. 19 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Crude Oil Production 2.40 2007 Iraqi Oil Ministry Goal: 2.1 MBPD 2.19 2.16 2.17 2.03 2.06 2.04 2.09 2.02 2.00 1.85 1.74 1.60 Millions of Barrels Per Day D E P A R T M E N T 1.20 0.80 O F 0.40 S T A T E 0.00 April 23-29 April 30May 6 May 7-13 May 14-20 May 21-27 Production May 28 June 3 June 4-10 June 11-17 June 18-24 June 25 July 1 Target • Weekly Average (June 25 – July 1) of 2.09 Million Barrels Per Day (MBPD) 20 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Crude Oil Export Revenue (US$B) O F $4.00 $3.50 1.68 1.68 1.62 1.55 1.44 1.50 1.45 $3.00 1.64 1.58 1.50 1.47 $2.50 1.30 $2.00 1.20 $3.41 $3.44 $3.05 $2.75 $2.73 $2.75 $2.87 USD (Billions) 1.80 $1.50 $2.46 $2.45 $2.19 $2.11 0.60 S T A T E Exports (MBPD) 2.40 Millions of Barrels per Day D E P A R T M E N T Projected $1.00 $1.89 $0.50 0.00 $0.00 Jul-06 Aug-06 Sep-06 Oct-06 Nov-06 Dec-06 Jan-07 • 2006 Revenue Estimate: $31.3 Billion • 2007 Revenue Estimate: $15.4 Billion 21 Feb-07 Mar-07 Apr-07 May-07 Jun-07 (Year to Date) UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Total Critical Refined Product Supplies Domestic Production O F 100% 5% 0% 32% 80% Percentage of Share of Weekly Fuel Supplies D E P A R T M E N T 65% 60% 95% 100% 40% 68% 20% S T A T E Import 35% 0% Diesel Kerosene Gasoline LPG Note: This is a daily average for the week of June 25 – July 1 • Diesel: 7.3 ML supply of 22.4 ML target • Kerosene: 2.3 ML supply of 7.5 ML target • Gasoline: 10.5 ML supply of 21.0 ML target • LPG: 2,330 tons supply of 5,130 tons target 22 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – National Stock Levels Apr-07 Jun-07 Goal 25 20 15 Days D E P A R T M E N T May-07 10 O F 5 5 S T A T E 5 4 4 4 3 3 3 3 3 2 1 0 Diesel Kerosene Gasoline LPG • The goal is to have on hand 15 days supply of all refined products, calculated on the basis of maximum consumption over the year and not adjusted for seasonal variation. The numbers given above are monthly averages. 23 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [6.] Help Iraq Strengthen the Rule of Law and Promote Civil Rights– Iraqi Judicial System D E P A R T M E N T CCCI Convicts 99, Sentences 16 to Death, 7 to Life Imprisonment: • The Central Criminal Court of Iraq (CCCI) convicted 99 individuals from May 20 - June 2 for violations of the Iraqi Terrorist Law, Penal Code and Coalition Provisional Authority (CPA) Orders enforced by the Iraqi judiciary. • Since its establishment under an amendment to CPA Order 13 in April 2004, the Central Criminal Court has held 2,211 trials for suspected criminals apprehended by Coalition Forces. The Iraqi Court proceedings have resulted in the conviction of 1,957 individuals with sentences ranging from imprisonment to death. O F S T A T E 24 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [7.] Increase International Support for Iraq – Developments D E P A R T M E N T O F S T A T E South Korea Delays Iraq Decision: • South Korea has delayed a decision on when to pull its 1,200 remaining troops out of Iraq, raising the possibility that it could extend the mission for another year. South Korean troops have been stationed in northern Iraq on a reconstruction mission since 2003. UNSCR Terminates UNMOVIC: • The U.N. Security Council has closed down the agency charged with monitoring Saddam Hussein's illicit weapons programs. Fourteen of the 15 Security Council members voted to immediately abolish the UN Monitoring, Verification and Inspection Committee, known as UNMOVIC. The 15th member, Russia, abstained. Jordan to Host Regional Conference on Refugees: • Jordan will host in July a conference of countries sheltering hundreds of thousands of Iraqis who have fled the violence in their country. Regional countries, mainly Jordan, Syria and Iraq, as well as the United Nations, will take part in the conference that will discuss ways of helping these states cope with burdens caused by Iraqi refugees. The UN refugee agency urged countries to help more than 1,400 Palestinians stranded in a parched corner of Iraq, near the Syrian border. 25 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [7.] Increase International Support for Iraq – Contributors to Iraqi Stability Operations Data as of June 22, 2007 D E P A R T M E N T O F S T A T E 25 Countries with forces in Iraq (in addition to US) Albania Denmark Lithuania Slovakia Armenia El Salvador Macedonia South Korea Australia Estonia Moldova Ukraine Azerbaijan Georgia Mongolia UK Bosnia-Herzegovina Japan Poland Bulgaria Kazakhstan Romania Czech Republic Latvia Singapore TOTAL ~ 11,524 Forces *Note: Fiji participating as a part of the UN mission in Iraq. 34 Countries and NATO* (including US) Support Iraqi Stability Operations *34 includes the 25 countries listed above, the US, Fiji, and seven NATO, non-MNF-I countries: Hungary, Iceland, Italy, Netherlands, Portugal, Slovenia, Turkey 26 UNCLASSIFIED July 4, 2007 UNCLASSIFIED [8.] Strengthen Public Understanding of Coalition Efforts and Public Isolation of the Insurgents – Developments D E P A R T M E N T O F S T A T E Iraqi Shiite Parties Agree to Try to Unite Moderates: • In a tacit admission of the troubles between Iraq’s two largest Shiite political parties, their respective leaders signed an agreement this week to work together and back appointments to the cabinet and other posts based on professional experience rather than party allegiances, officials said. Officials representing Prime Minister Nuri al-Maliki’s party (Dawa) and the cleric Abd al-Aziz Hakim’s party (the Supreme Islamic Iraqi Council) say they hope that the step will be the beginning of a broader agreement among moderate groups in the Parliament. Negotiations are under way with Kurdish leaders, although it is not yet clear whether they will sign on. Four Journalist Killed: • Four Iraqi journalists have been killed in attacks across Iraq in the last three weeks. At least 187 journalists and media assistants have been killed since March 2003. The vast majority have been Iraqis killed by insurgent groups or militias angered by their coverage or ideologically opposed to their employers. Others have been caught in the crossfire between the opposing sides. Officials said that Iraqi journalist Zina Shakir Mahmud was shot to death in Mosul July 24, becoming the second female journalist to be killed in the city this month. 27 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Iraq Weekly Status – General Information D E P A R T M E N T • This brief draws from multiple sources. References are cited on the following pages. • Please forward all questions and/or comments to: NEA-I-IPOG-DL@state.gov O F S T A T E 28 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Notes and Source Citations (1 of 3) Slide 5: D E P A R T M E N T O F S T A T E – MNF-I Press Briefing (BG Bergner) – 2 July 2007 – (http://www.mnfiraq.com/index.php?option=com_content&task=view&id=12641&Itemid=131). Slide 6: – MNF-I Press Briefing (BG Bergner) – 2 July 2007 – (http://www.mnfiraq.com/index.php?option=com_content&task=view&id=12641&Itemid=131). Slide 7: – MNF-I Press Briefing (BG Bergner) – 2 July 2007 – (http://www.mnfiraq.com/index.php?option=com_content&task=view&id=12641&Itemid=131). Slide 8: – MNF-I Press Briefing (BG Bergner) – 2 July 2007 – (http://www.mnfiraq.com/index.php?option=com_content&task=view&id=12641&Itemid=131). Slide 9: – MNF-I Press Briefing (BG Bergner) – 2 July 2007 – (http://www.mnfiraq.com/index.php?option=com_content&task=view&id=12641&Itemid=131). Slide 10: – MNF-I Press Release – 30 June 2007 -- (http://www.mnfiraq.com/index.php?option=com_content&task=view&id=12616&Itemid=109). Slide 11: – DoD Input to Iraq Weekly Status Report June 27, 2007 Slide 12: – http://www.latimes.com/news/nationworld/world/la-fg-iraq24jun24,0,7576039.story?coll=la-home-center – http://www.chicagotribune.com/news/nationworld/chi-iraq_25jun25,1,5983544.story?coll=chi-newsnationworld-hed – http://www.chicagotribune.com/news/nationworld/chi-iraq_25jun25,1,5983544.story?coll=chi-newsnationworld-hed 29 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Notes and Source Citations (2 of 3) Slide 13: D E P A R T M E N T O F S T A T E – http://news.yahoo.com/s/nm/20070703/ts_nm/iraq_dc_5 Slide 14: – NEA Political Section, NEA-I-POL-DL@state.gov Slide 15: – ITAO Weekly Report, July 3, 2007 Slide 16: – POC Bob Means, Department of State (202) 647-9815 – The chart shows average daily power production in megawatt hours (MWh). 120,000 MWh goal equates to 20 hours at 6000 MW average supplied load or 24 hours at 5000 MW average supply load. Slide 17: Education: – USACE Daily Report – July 2 Health: – USACE Daily Report – June 27 Slide 18: – Oil Prices are sourced from Bloomberg Employment Update: – Information regarding the Employment Update was sourced from the ITAO Weekly Report – June 19, 2007. – CERP has not reported figures for some time. Until they report accurate data, the number will remain at 0. – PCO will be reporting on a bi-weekly basis. Slide 19: – Information regarding the NID auction was gathered from the Central Bank of Iraq’s website: http://www.cbiraq.org. Slide 20: – Iraqi Bond Prices are sourced from Bloomberg 30 UNCLASSIFIED July 4, 2007 UNCLASSIFIED Notes and Source Citations (3 of 3) D E P A R T M E N T Slide 21: – – Slide 22: – Slide 23: – Slide 24: – Slide 25: – Slide 26: – Baghdad OI – July 2,2007 – “Microfinance in Iraq” Washington Times – June 23, 2007 by Sharon Behn Department of State, NEA-I-ECON, 202-647-9885 Department of State, NEA-I-ECON, 202-647-9885 Department of State, NEA-I-ECON, 202-647-9885 Department of State, NEA-I-ECON, 202-647-9885 MNF-I Press Release, 21 June 2007; http://www.mnf-iraq.com Slide 27: O F S T A T E – www.bbc.com – http://www.iraqdevelopmentprogram.org/idp/news/new1675.htm – www.un.org – www.un.org Slide 28: – Source: DOD Input to Weekly Status Report, updated bi-weekly. Slide 29: – New York Times, June 29, 2007 by Alicia Rubin – AFP-http://news.yahoo.com 6-28-2007 31 UNCLASSIFIED