01 December 2004 D E P A R T M E N T O F S T A T E Iraq Weekly Status Report UNCLASSIFIED UNCLASSIFIED 01 December 2004 Table of Contents D E P A R T M E N T O F S T A T E SECTION SLIDE(S) Highlights 3 1.0 Security 4 2.0 Elections 5 3.0 Jobs and Essential Services 7 4.0 Economy 14 5.0 Governance/ Rule of Law 21 6.0 International Engagement & Support 24 7.0 General Information 25 2 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Highlights D E P A R T M E N T O F S T A T E Elections • 228 political entities, including all of the major political parties, have registered for the 30 January elections. • Party certification registration has been extended by the Independent Elections Commission of Iraq (IECI) until 2 December in Al Anbar, Ninewa, and Salah ad Din provinces. Certification has ended elsewhere in Iraq. • IECI has extended deadline for submission of candidate lists until 10 December – not to affect the 30 January election date. Iraqi political figures continue to negotiate lists and develop coalitions. Jobs and Essential Services • MOT II (pulses, infant formula, vegetable oil/ ghee, tea, infant cereals, and adult milk) is on target to meet the needs of the Public Distribution System (PDS) in December and January. 3 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Highlights D E P A R T M E N T Economy O F International Engagement and Support S T A T E • Iraqi employment figures are increasing in both USG administered and private sectors. USG administered projects currently employ over 120,000 Iraqis. Governance • Members of an Iraqi delegation concluded a week long fact-finding visit to the International Commission on Missing Persons. The delegation included the Iraqi Minister for Human Rights of Iraq and the head of the Baghdad Medico-Legal Institute. • The UN trust fund allowing for countries to contribute to the UN Protection Force was created this week. 4 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Security – Iraqi Security Forces Update Iraqi Security Forces D E P A R T M E N T Trained/On Hand Required 47,342 135,000 1,091 3,720 168 270 14,593 29,360 Highway Patrol 370 6,300 Bureau of Dignitary Protection 484 500 2,713 27,000 43,445 61,904 2,894 6,584 Police Civil Intervention Force Emergency Response Unit Border Enforcement Army National Guard O F Intervention Force Special Operations Force 587 1,967 S T A T E Air Force 167 502 Coastal Defense Force 484 582 *114,338 273,689 Total * The military forces continue to receive advanced unit training. Data as of 22 Nov 04 5 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Elections Elections D E P A R T M E N T • 228 political entities, including all of the major political parties, have registered for the 30 January elections. • Party certification registration has been extended by the Independent Elections Commission of Iraq (IECI) until 2 December in Al Anbar, Ninewa, and Salah ad Din provinces. Certification has ended elsewhere in Iraq. • IECI has extended deadline for submission of candidate lists until 10 December – not to affect the 30 January election date. Iraqi political figures continue to negotiate lists and develop coalitions. O F S T A T E 6 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Elections – Developments D E P A R T M E N T O F S T A T E Election Planning continues: • The International Organization for Migration (IOM) has set up offices in each of the 14 Out of Country voting countries and initiated the negotiation of Memorandums of Understanding (MOUs). • In response to calls for a six month delay of elections, PM Allawi and the IECI have firmly restated that elections will occur on 30 January without delay. Kurdish political parties also restated their support for the 30 January timeline. • IECI announced that two staff members in each of the 542 Voter Registration Centers will be devoted full time to public outreach. • IECI has established a website: www.ieciraq.org. Elections Monitoring: • IECI has issued an open invitation to national and international elections monitors for the 30 January election. • Canada has begun involvement in organizing elections monitoring in Iraq in coordination with the International Federation of Electoral Systems (IFES). 7 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Elections – Developments Capacity Building: D • The National Democratic Institute (NDI) continues training for elections monitors E and has established the Iraqi Elections Information Network (IEIN) to coordinate P elections activities NGOs and the coalition of domestic elections monitors A (CINEM) R T • IEIN has an office in Baghdad and four regional offices. Between 5,000 and 8,000 domestic elections monitors will be trained by 30 January. More information can M be found at www.iraqiein.org. E N T O F S T A T E 8 UNCLASSIFIED UNCLASSIFIED D E P A R T M E N T O F S T A T E 01 December 2004 Elections – Iraq Elections Timeline SEP OCT NOV DEC Timeline of Significant Events Phase I Phase II Phase III Ramadan National IECI Office Established JAN FEB Phase IV Phase V Hajj 1 Nov-15 Dec Voter Registration Governorate IECI Offices Established 12 Oct Elections regulations published by IECI 16 Dec – 23 Jan Campaigning 1 Nov – 8 Dec Entity Registration Mid-Nov Begin establishment of 450 IECI District Offices 30 Jan Election Day 1 Dec Begin Recruitment of Polling Station Staff 15 Dec Public Information Campaign on Voting Begins 21 Oct Voter registration materials distributed nationwide to 21 food warehouses 20 Oct Information campaign on voter registration begins Declaration 15-19 Jan Exhibition and Challenge of voter lists TNA Seated 1 Jan Begin process of distributing ballots Voter Education Campaign conducted by IECI and NGOs 9 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Economy Oil Update: D E P A R T M E N T O F S T A T E • Crude Oil prices in world markets for the week ending 26 November closed with Kirkuk Crude at $34.90/barrel, Basra Light at $33.02/barrel, and the OPEC basket at $38.74/barrel. Employment Update: Number of Iraqis employed by USG-administered projects in each sector Iraqis last Iraqis this % Increase Employing Organization week week on week PCO 12,577 13,878 9.4% USAID 28,918 31,945 9.5% AIRP 12,100 12,100 0.0% MILCON/OMA* 2,039 2,039 0.0% CERP 25,813 25,813 0.0% MNSTC-I 5,618 5,618 0.0% IRRF NON-CONSTRUCTION 29,734 28,789 -3.3% 116,799 GRAND TOTAL Data as of 30 Nov 04 10 120,182 2.8% UNCLASSIFIED UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Water and Sanitation D E P A R T M E N T O F S T A T E Water Treatment Projects: • The Japanese government held an opening ceremony on 29 November for a reconstruction assistance training program for Iraqis entitled "Water Supply and Sewage”. – The Japanese government has implemented various courses of the Third Country Training Program which trains the people of surrounding Arab countries in cooperation with the Jordanian government. – The Third Country Training Program for Iraqis aims at the revival and reconstruction of the country as scheduled in the cooperation agreement between Japan and Jordan. – Japan announced it will extend $1.5 billion in grants in 2004 and $3.5 billion in loans to Iraq from 2005 to 2007. • As of 24 November, USAID has 43 water treatment plants under construction and 11 water treatment plants have been completed. USAID has also constructed eleven irrigation sites; three more are under construction through the Project and Contracting Office (PCO). Waste Water Treatment Projects: • Through USAID, eleven sewer projects are currently under construction and two have been completed. 11 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Food Security D E P A R T M E N T O F S T A T E Public Distribution System (PDS) and MOT-Awarded Contracts: • MOT II (pulses, infant formula, vegetable oil/ghee, tea, infant cereals and adult milk) is on target to meet the needs of the Public Distribution System (PDS) in December and January. • The World Food Program (WFP) has agreed to continue with its pipeline reporting to track estimated arrivals of shipments. • The Ministry of Trade has reported that all Letters of Credit (L/Cs) have now been issued for MOT II and contracts have been amended accordingly. Independently, the Trade Bank of Iraq reports that all but one L/C have been fully funded. • For December, in order to avoid wheat shortages, the MOT will mix foreign and domestic supplies (75:25) for milling and distribution. Additionally, the MOT reported they awarded a contract for 100,000 MT of wheat flour. Further details on this contract are pending. • Embassy officials will meet with the Ministry of Trade again this week to further the PDS process for MOT III contracts. On November 18, the MOT III tendering process closed. The MOT plans to award those contracts by the end of this week which will fulfill February, March and April 2005 requirements. 12 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Health Care D E P A R T M E N T O F Current Hospital Rehabilitation Projects: • Currently, 13 hospitals and 19 public health centers are under renovation. • Up to 80 new public health centers will begin construction by 1 December. All equipment for public health centers is based on just-in-time shipment to minimize warehouse space and to keep warranties up to date. • The Consortium is one of five university partnerships supported by USAID's Higher Education and Development (HEAD) Program. Hospitals Under Construction: • 59 Primary Health Care (PHC) centers are currently under construction and 110 PHC’s are being renovated through USAID. • USAID is also managing the construction of the Basrah Children’s Hospital, and has renovated 19 hospitals to date. S T A T E 13 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Education Capacity Building – Health: D E P A R T M E N T O F S T A T E • Six boxes of nursing manuals and medical reference materials collected by Jackson State University and the Mississippi Consortium for International Development (JSU/MCID) were recently delivered to faculty members of the medical, dental and nursing colleges at three northern Iraqi universities. • JSU/MCID is also taking steps to upgrade facilities and enhance the quality of education at the three universities in northern Iraq including faculty exchange programs, conference workshops and the development of an advanced graduate course in global primary health care. Veterinary Medicine Conference: • A dean of veterinary medicine at a northern Iraqi university attended an agricultural conference in Turkey, with the support of USAID's Agricultural Higher Education and Development (AHEAD) project. • The conference focused on health and production of ruminants - the class of animals that includes goats and sheep, presenting 117 research papers on these issues. • The dean represented Iraq in conference organizing committee meetings and was exposed to up-to-date academic work on such topics as measuring blood statistics in goats and other subjects relevant to northern Iraq, where the raising of goats and sheep is an important part of the local economy. UNCLASSIFIED 14 UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Telecommunications D E P A R T M E N T • Total number of telephone subscribers in Iraq is now over 2,135,000 (including 1,175,000 cell phone subscribers) – 156% above pre-war levels. • There are now 960,000 land line telephone subscribers in Iraq, compared with 833,000 subscribers pre-war, a 15% increase. Telephone Subscribers Actually Used Capacity Available 550000 500000 450000 400000 350000 300000 O F 250000 200000 150000 100000 50000 W as si t Th iQ ar M is sa n M ut ha nn a B as ra h ss iy a f aj a Q ad i N la ar ba K ab il B nb ar lD A al ah S A in a iy al D 'a m im va Ta in e N ag hd ad 0 B S T A T E • There are 110,000 internet subscribers, compared with less than 12,000 before the war. These statistics do not reflect the large number of unregulated users of Internet cafés. 15 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Jobs and Essential Services – Electricity Overview S T A T E Goal Actual 7-day Average Pre-War 140,000 Fall m aintenance of generation equipm ent (dem and at low season) 120,000 100,000 80,000 60,000 Sept 15 attack on Baiji oil pipeline junction 40,000 High num ber of generators offline due to unplanned m aintenance 20,000 - 3/ 1/ 2 3/ 004 11 /2 3/ 004 21 /2 3/ 004 31 /2 4/ 004 10 /2 4/ 004 20 /2 4/ 004 30 /2 5/ 004 10 /2 5/ 004 20 /2 5/ 004 30 /2 0 6/ 04 9/ 2 6/ 00 19 4 /2 6/ 004 29 /2 0 7/ 04 9/ 2 7/ 00 19 4 /2 7/ 004 29 /2 0 8/ 04 8/ 2 8/ 00 18 4 /2 8/ 004 28 /2 0 9/ 04 7/ 2 9/ 004 17 /2 9/ 004 27 /2 10 004 /7 / 10 200 4 /1 7 10 /200 /2 7/ 4 2 11 00 /6 4 / 11 200 /1 6/ 4 11 200 /2 4 6/ 20 04 O F Megawatt-Hour (MWh) Load Served MWh D E P A R T M E N T • Approximately 1290 MW of generation capacity was offline due to planned maintenance. Another 1200 MW was offline due to unscheduled maintenance. • Despite the large amount of MW offline due to maintenance, almost 500 MW was returned to service this past week. • 7 Day MWh Average (22-28 Nov): 75,050 MWh. 16 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Economy – Economic Development Iraq – Jordan Investment Symposium 2004: D E P A R T M E N T O F S T A T E • The Iraq – Jordan Investment Symposium will take place in Amman, Jordan from 6-9 December, 2004. These meetings are the first in a series of events addressing soft services associated with the reconstruction effort in Iraq, as well as neighboring Jordan. • This will be the first event focused on exposing the multitude of business opportunities in both the Iraqi and Jordanian marketplaces for Investment Banking Services, Consulting Services, Privatization Specialists, Asset Managers, Audit Houses, Financial Restructuring Specialists, and General Consultancy Services. Econ Governance II Project Implementation: • Under the USAID Iraq Economic Governance II (IEG II) Program, advisors continue to implement a government-wide Financial Management Information System, an automated accounting and budget execution system with online access and a centralized database. • The system is already in use at the Ministry of Finance, Ministry of Interior, and Babil Governorate offices and will eventually be implemented in 50 government offices to allow them to more accurately record financial transactions. • As part of its efforts to develop fair, effective, and transparent regulation of economic activity, the IEG II project works to improve utilities regulation and encourage the use of information technology in the government. UNCLASSIFIED 17 UNCLASSIFIED 01 December 2004 Economy D E P A R T M E N T O F S T A T E Iraq Currency and Securities Exchanges: • At the New Iraqi Dinar (NID) auction on 30 November, the settlement price was 1,460 dinars per USD. A total of 17 banks traded. The following table shows the purchase value of the top five banks: Bank Name Al-W arkaa Bank United Bank Agriculture Bank Al-Rasheed Iraq Bank Total Quantity Sold (in thousands of NID) 10,000 8,000 3,140 1,910 1,800 24,850 Percentage of Total Auction 32.14% 25.72% 10.09% 6.14% 5.79% 79.88% • The Ministry of Finance (MOF) auctioned ID 150 billion (about $102.7 million) in T-Bills on 21 November; the settlement yield was 1.2 percent with three banks offering winning bids. 18 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Economy – Crude Oil Production 2.80 MOO Goal: 2.5 MBPD 2.60 2.40 2.20 Millions of Barrels Per Day D E P A R T M E N T 2.00 1.80 1.60 1.40 O F 1.20 1.00 4-10 October 11-17 October 18-24 October 25-31 October 1-7 Novem ber 8-14 Novem ber 15-21 Novem ber 22-28 Novem ber S Production Target T A • Weekly Average (22-28 Nov) of 1.6 MBPD T E • Near Term Ministry of Oil (MOO) Target (Dec 04): 2.8 – 3.0 MBPD (Pre-War Capacity) • Pre-War Peak: 2.5 MBPD in Mar 03 • Post-War Peak: 2.67 MBPD 19 UNCLASSIFIED 01 December 2004 UNCLASSIFIED Economy – Crude Oil Monthly Export 3.000 $3.00 2.500 $2.50 2.000 Millions of Barrels Per Day D E P A R T M E N T 1.825 1.524 1.541 1.537 1.382 1.500 1.607 1.406 1.380 1.149 1.148 $1.50 1.199 1.114 0.983 1.000 $1.00 $1.99 $1.61 $1.21 0.500 0.322 $0.73 0.200 $0.20 S T A T E $2.00 1.804 1.679 0.646 O F Monthly Export (mbpd) $0.36 $1.26 $1.26 Monthly Revenue ($Billions) Monthly Revenue (US$B) $1.75 $1.50 $1.36 $1.10 $1.28 $1.40 $1.24 $1.13 $0.89 $0.50 $0.44 0.000 $0.00 Jun-03 Jul-03 Aug-03 Sep-03 Oct-03 Nov-03 Dec-03 Jan-04 Feb-04 Mar-04 • 2003 Revenue: Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04 Nov-04 $5,076.6M • 2004 Revenue: – Pre-Transition: $8,105.2M – Post-Transition: $7,467.5M 20 $15,572.7M UNCLASSIFIED UNCLASSIFIED 01 December 2004 Economy – Refined Products Domestic & Imports Production % O F S T A T E 100% Percentage of Monthly Target Reached This Week D E P A R T M E N T Import % 80% 31% 46% 49% 51% 50% Benzene LPG 45% 60% 40% 60% 20% 39% 0% Diesel Kerosene Note: This chart represents the percentage of target reached for the week of 22-28 Nov • Diesel: 16.4 ML of 18 ML • Kerosene: 12.5 ML of 15 ML • Benzene: 17.3 ML of 18 ML • LPG: 4,234 tons of 4,300 tons 21 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Economy – National Stock Levels Oct-04 Goal 30 25 25 21 20 20 Days of Stocks D E P A R T M E N T Nov-04 17 15 14 13 11 10 10 O F S T A T E 5 0 Diesel Kerosene Benzene LPG • The goal is for all refined products to be over 15 days worth of stocks at maximum consumption rates and does not represent seasonal change. The numbers given above are monthly averages. 22 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Economy – Iraq Relief and Reconstruction Fund (IRRF) Obligated Committed D E P A R T M E N T O F S T A T E Sector 2207 Report Disbursed Apportion Last Week Current Last Week Current Last Week Current Security and Law Enforcement 5045 5045 4030 4130 2849 2898 920 938 Electricity Sector 4350 3627 3481 3469 2416 2408 477 494 Oil Infrastructure 1701 1701 1195 1196 786 786 77 77 Justice, Public Safety, and Civil Society 1121 1120 834 840 547 556 83 88 832 832 474 574 474 574 118 120 Education, Refugees, Human Rights, Governance 379 379 139 139 136 139 36 36 Roads, Bridges, and Construction 359 299 296 292 154 170 24 25 Health Care 786 786 780 780 410 410 6 7 Transportation and Communications 499 443 403 414 209 214 17 17 Water Resources and Sanitation 2311 1365 1342 1339 881 881 33 35 Private Sector Development 843 843 157 336 200 320 49 50 Admin Expense (USAID, State) 213 29 29 29 29 29 29 29 IRRF II SUBTOTAL 18439 16469 13160 13538 9091 9385 1869 1916 11306 9336 8284 8359 5459 5504 6301 6301 4402 4605 3158 3307 832 832 474 574 474 574 IRFF I SUBTOTAL 2475 2475 2474 2474 2418 2418 1763 1763 GRAND TOTAL IRRF I & II 20914 18944 15634 16012 11509 11803 3632 3679 -Democracy CONSTRUCTION NON-CONSTRUCTION DEMOCRACY Data as of 30 Nov 04 23 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Governance/ Rule of Law – Refugees, Democracy and Human Rights D E P A R T M E N T O F S T A T E Iraqi Delegation Visits International Commission on Missing Persons: • Members of an Iraqi delegation concluded a week long fact-finding visit to the International Commission on Missing Persons (ICMP). The delegation included the Iraqi Minister for Human Rights of Iraq and the head of the Baghdad MedicoLegal Institute. • The goal of this fact-finding visit was to learn about the assistance ICMP can offer in addressing the missing persons issue in Iraq. Iraqi officials estimate there are between 300,000 and one million missing persons in Iraq. • ICMP gave detailed introductions on how to formulate government policy on missing persons issues as well as sampled technology used to assist in DNAbased identification. • The Iraqi government is training a team of missing person experts and local professionals to take on the responsibility of identifying missing persons. Special training is being conducted to focus on DNA technology training. 24 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Governance/ Rule of Law – Justice D E P A R T M E N T Justice Sector Updates: • INL Rule of Law Coordinator is planning to attend the UN conference on Rule of Law and Human Rights in Geneva (13&14 Dec). • Planning and program development continue for a comprehensive and sustainable program based on Iraqi priorities. • Current and ongoing programs initiated under CPA are being evaluated and incorporated into the comprehensive strategy. O F S T A T E 25 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Int’l Engagement & Support – Stability Contributors D E P A R T M E N T 28 Countries with forces in Iraq (in addition to US) Albania El Salvador Kazakhstan Mongolia Slovakia Australia Estonia Korea Netherlands Tonga Azerbaijan Georgia Latvia Norway Ukraine Bulgaria Hungary Lithuania Poland UK Czech Rep Italy Macedonia Portugal Denmark Japan Moldova Romania O F TOTAL ~ 25,000 Forces S T A T E 29 Countries and NATO (including US) Support Iraqi Stability Operations Data as of 18 Nov 04 26 UNCLASSIFIED UNCLASSIFIED 01 December 2004 Iraq Weekly Status – General Information D E P A R T M E N T O F • This brief draws from multiple sources. References are cited on the respective pages in the “Notes Page” section (View Æ Notes Page). • Please forward all questions and/or comments to (unclassified) NEA-IIPOG-DL@state.gov or (classified) NEA-I-IPOG-DL@state.sgov.gov S T A T E 27 UNCLASSIFIED