What is the World Bank involvement in Iraq? Early in 2004, the International Reconstruction Fund Facility for Iraq (IRFFI) was established at the request of the international community to help donors channel their resources and coordinate their support for reconstruction and development in Iraq. Under the umbrella of IRFFI, the World Bank administers the World Bank Iraq Trust Fund (ITF). The Bank also provides its own financing for Iraq through an exceptional IDA allocation amounting to US$508.5 million and one IBRD development policy loan of US$250 million. Together, the portfolio for Iraq supported by the Bank is about US$1.25 billion.
How is IRFFI administered? IRFFI is comprised of two trust funds: the ITF, administered by the World Bank, and the United Nations Development Group Iraq Trust Fund, which is administered by the United Nations Development Program (UNDP).
What are the objectives of the World Bank Strategy in Iraq? The World Bank's current strategy for Iraq is outlined in an Interim Strategy Note covering the period FY09-FY11. The Bank’s overarching objective is to help the Iraqis use their own resources more effectively to support private sector-led growth and deliver basic services. This strategy focuses on implementing the ongoing portfolio, capacity and institution building, and knowledge sharing. It further paves the way for greater involvement of IFC and MIGA in support of private sector development.
Both the ITF and IDA finance reconstruction and rehabilitation projects to be implemented by Iraqi institutions. The ITF also funds technical assistance programs designed to increase institutional capacity.
What are the total donor contributions to the World Bank Iraq Trust Fund? Donors have contributed US$494.4 million to the World Bank Iraq Trust Fund (ITF). The ITF has financed 24 grants , valued at US$525.6460 million, that focus on strengthening Iraqi systems for the delivery of basic services, textbooks, schools, pharmaceuticals and health clinics, improved social safety nets, water supply and sanitation, irrigation and drainage, a comprehensive household survey, poverty reduction, reform of the public financial management and banking systems, and technical assistance to the energy sector. Four grants totaling US$65.5 million have since closed – the First Capacity Building Project, the Textbook Provision Project, the Community Infrastructure Project, and the Marshlands School Construction Project.
What are the implementation and monitoring arrangements for projects financed by the World Bank Iraq Trust Fund? Virtually all World Bank-financed projects are implemented by the government of Iraq. The Bank supervises project implementation.
An independent monitoring agent based in Iraq visits project sites to help the Bank monitor the physical implementation of projects to ensure they are in compliance with Bank procurement and financial management procedures. The monitoring agent reports its findings to the Iraqi implementing agency and to the Bank on at least a monthly basis, documenting project progress with digital photos.
The Bank conducts project supervision missions, jointly with the implementing agency and the monitoring agent, generally three to four times per year. Given security concerns, the size of World Bank and PMT project teams, and the intensive nature of the required supervision, supervision missions are usually conducted at the Interim Office for Iraq in Amman.
Despite extreme security conditions, Bank supported projects have been contributing significantly to Iraq’s reconstruction efforts both in terms of financing investments, strengthening government capacity, and financing advisory services and ESW critical to backstopping Iraq’s medium and longer term development efforts. Selected outcomes include rehabilitation of 133 schools and construction of 78 schools, benefitting about 52,000 students; financing of the printing and distribution of more than 82 million textbooks; rehabilitation of two water treatment plants serving about 300,000 people; rehabilitation of nine hospital emergency units and supply of essential equipment and drugs to 12 emergency units; construction of six rehabilitation centers and training of 82 medical personnel in physical therapy; and organization of more than 65 workshops for over 1,450 Iraqi officials in economic management, public sector management, and social safety nets. The Bank has also supported recently completed analytical work (TA) such as the Iraq Household Socio-Economic Survey Tabulation Report, and Iraq’s Public Financial Management (PFM) Action Plan, as well as capacity building/TA, including the Iraq Kurdistan Civil Service Reform Capacity Building, and a Workshop on Designing and Building a Results-based Monitoring and Evaluation (M&E) System.
A summary of the status of the Bank program is updated monthly, and available publicly on the IRFFI website (www.irffi.org).
In addition, the Bank prepares quarterly detailed project-specific updates and annual formal donor reports on the status of the Iraq Trust Fund and project status sheets for IDA, which are also available on www.irffi.org
Contact: Najat Yamouri, (202) 458-1340, nyamouri@worldbank.org
Updated September 2010
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