Press Release
30 November 2006
UK welcomes provincial efforts to strengthen accountability, reconstruction
and development in Southern Iraq
Luxor, Egypt - Provinces in southern Iraq have revealed that they have
received national Iraqi funding for the first time, allowing them to spend
around $US400 million (600 billion Iraqi Dinars (ID)) on reconstruction and
development work during 2006. They anticipate these national funds will double
in 2007.
Discussing development progress at a summit with senior advisers from the
international donor community, 40 representatives of the Provincial Governments
of Basra, Muthanna and Dhi Qar have outlined ambitious plans to build on donor
efforts already underway in the provinces.
The summit is one of a series of events coordinated by the UK’s Department
for International Development (DFID) and the UK-led Provincial Reconstruction
Team (PRT) based in Basra. Delegates met to confirm how they will advance
stability and security through the strengthening of good governance, the
building of best-practice provincial institutions and by promoting conditions
for economic development across southern Iraq.
In 2007, budgets in each province have been guided by a three-year Provincial
Development Strategy (PDS) that show how the provincial authorities are taking
the leading role in providing services that are more responsive to local needs
and problems.
The institutional reforms discussed and agreed at Luxor will include putting
in place new measures to strengthen local accountability and transparency by
establishing a single unified treasury unit to manage all funds coming to the
province, and the adoption of a clear separation of powers between the Council,
the Governor's Office and the Technical Directorates.
Barb Hendrie, Head of DFID Iraq said:
“We are encouraged by the pace of this much needed governance reform and
institutional capacity building by these provincial governments, who are now
focussing on the core business of developing necessary services that will
benefit the people they represent.
“Their efforts to promote transparent and accountable administration of
the national Iraqi funds they have been given responsibility for, and
linking their spending plans to clearly articulated strategies is also a
welcome step forward. It will allow the Iraqi people to hold their
provincial government to account for how their money is spent.
“The recent announcement that the UK will provide an additional £100
million for reconstruction aid in Iraq will ensure that ongoing technical
assistance is available to build on the good work we have already
witnessed.”
Speaking at the summit, Mr Gali Najam Muter, Chairman of the Basra Provincial
Reconstruction and Development Committee (PRDC) said:
“Economic development and accountability are essential for sustainable
stability in southern Iraq. In 2007, Basra expects to invest nearly $US400m
on reconstruction and development. This is double to what we have spent this
year, with our key priorities continuing to be improving the water, power
and sanitation sectors.
“We will work very closely with the new Provincial Treasury and
Accounting Office to help progress these projects, and if these projects can
be achieved on the ground, the people of Basra will be very happy and aware
of the efforts we are making.”
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Notes to editors
1. Figures from the official 2006 Iraqi Budget Law show significant amounts
for Iraqi national funds for reconstruction and development: Basra ($US172m/258b
ID); Dhi Qar ($US118m/177b ID); Maysan ($US64m/96b ID); and Muthanna ($US43m/65b
ID).
2. Each province is expecting Ministry of Finance to at least double their
reconstruction and development budget for the 2007 financial year which begins
on 1 January.
3. The Provincial Development Strategies to be implemented from 2007 are the
first of their kind in Iraq. These have become models upon which other provinces
across Iraq are basing their own development strategies.
4. This week’s summit follows previous meetings aimed at helping the southern
provinces plan to access Iraqi national funds for reconstruction and development
work from the pool if Iraqi annual funds which is estimated to be as high as
US$30 billion.
5. In 2006, Basra Provincial Council issued contracts for over 250 projects.
This will see improvements in all sectors, including essential transport,
education and electricity projects. Up to $US25m (37b ID) will have been spent
on projects in districts and towns outside Basra city.
6. A list of key projects undertaken in Basra in 2006 is available in Arabic
and English, along with copies of the 2007 – 2009 Provincial Development
Strategy for each of the southern Iraqi provinces.
For further information, contact 020 7023 0600, e-mail
d-leslie@dfid.gov.uk or call our
Public Enquiries Point on 0845 300 4100.
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