The Reconstruction and Economic Development of Iraqi Kurdistan
Fuad Hussein,
Michiel Leezenberg,
Pieter Muller
Stichting Nederland-Koerdistan
On behalf of the organizing committee of this conference, I have the honour to welcome you all and to express my deep gratitude towards you all for accepting our invitation to participate in this conference. A warm and special welcome to the Kurdish leaders and officials from the Kurdish government and parliament in Iraq.
The importance of this conference lies in the fact that this is the first time, as far as 1 know, that a meeting dealing with the economic aspects of the Kurdish question has been organized. These aspects are particularly important, now, because of the imminent threat of economic collapse in Iraqi Kurdistan. The Kurds have gained some political ...
Contents
Map of Iraqi Kurdistan / 4
Introduction / 5
I. Political and Introductory Speeches
Fuad Hussein / 8
Jalal Talabani / 10
Hoshyar Zebari / 13
Sami Rahman / 18
Kamal Kirkuki / 20
II. Theoretical Perspectives
Majeed Jafar: A Strategy for Development / 21
Jamal Fuad: Planning for the Development and Reconstruction / 26
Jamal Fuad: AgriculturarFirst Aid’Assistance / 31
Saleh Hafeed: The Embargo on Kurdistan:
Its influence on the economic and social development / 38
Discussion / 53
III. Practical Perspectives
Mamoon Brefkani: Planning and Implementation Project / 58
M. Amin Mawlood: Report on Industry and Energy / 62
Mustafa al-Jaff: Oil, Water and Energy / 67
Khusrow Shali: The institutions of higher learning / 71
IV. Workshops: Results and Recommendations Agriculture / 76
Industry, energy, water and oil / 79
Infrastructure / 81
Banking and services / 83
Education and management training / 85
V. Panel Discussion: The Role of Europe / 88
VI. Conclusions / 104
Documents: Message to Boutros Boutros Ghali / 105
Conference program / 107
List of participants / 109
Literature / 112
INTRODUCTION
This volume contains the proceedings of an international conference on the reconstruction and development of Iraqi Kurdistan, which was held in Zeist, The Netherlands, September 4-6, 1992. The conference was organized by the Stichting Nederland-Koerdistan (Netherlands Kurdistan Society) and the International Dialogues Foundation, and chaired by Fuad Hussein.
Financial support was received from the Dutch ministry of Development Cooperation; Nationale Commissie Voorlichting en Bewustwording Ontwikkelingssamenwerking (NCO), Amsterdam; Misereor, Aachen; Cebemo, Oestgeest; Stichting Oecumenische Hulp (Dutch Interchurch Aid), Utrecht; Swedish Committee for Human Rights of the Kurdish people, Stockholm; all of which is gratefully acknowledged.
For the most part, the papers presented at the conference have undergone only minor stylistic and orthographic editing. They have been somewhat regrouped in order to create a more systematic order of appearance. Some passages have been left out or abbreviated for the sake of avoiding undue repetitiveness, and a few pieces not presented at the conference itself were included because of their value as sources of additional, more detailed information not easily found elsewhere. As it was not possible to reach most of the contributors for their authorizing of the edited texts of the presentations, the responsibility in these matters lies with the editors.
As it stands, this collection constitutes 'pioneer work’: as far as we are aware, hardly any other work that deals with the specifically economic aspects of Iraqi Kurdistan is in existence. For a few exceptions, as well as for some relevant literature regarding the sociopolitical background, we refer to the bibliography at the end of the volume. Needless to say, this booklet is not intended to give a complete detailed analysis of the situation, but merely to provide a more solid basis for further reconstruction and development policies, and, we hope, for further research.
The presentations of the conference have been arranged according to their nature into five sections. The first section contains speeches by representatives of the most important political parties and the regional government. Fuad Hussein, chairman of the conference, opens with a description of how the Kurdish economic base was destroyed, and how the region was made wholly dependent on the central government and national infrastructure. He argues the need for help, for planned development, and for a budget Jalal Talabani, leader of the Patriotic Union of Kurdistan (one of the parties represented in the local government) spells out some of the problems the Kurds face, and stresses the importance of their resolution for a democratic future in Iraqi Kurdistan and its wider surroundings.
Hoshyar Zebari, spokesman of the Kurdistan Democratic Party, stresses the fact that Kurdistan’s underdevelopment is a direct result of Iraqi government policies. Much of the labour force was deported from agriculture to the unproductive government sector. The long-term needs have not yet been addressed, he states; the memorandum of understanding with Baghdad actually undermines the relief efforts. The dismal economic situation of Kurdistan may have international consequences, such as a renewed refugee crisis, and social instability. Necessary are, among others, a board of Kurdish government bodies, and accurate information to base policies on.
Sami Rahman, chairman of the Unity Party of Kurdistan (formed in the summer of 1992 as the result of a merger between the KPDP, the KSP-I and the PASOK) likewise stresses the man-made nature of the present-day economic hardships of the Iraqi Kurds. He goes on to offer some suggestions for improving the situation.
Finally, Dr. Kamal Kirkuki, Deputy minister of Humanitarian Aid and Solidarity, presents a speech on behalf of the local government (originally made on the third day of the conference). He argues that success of the Kurdish government may help in the democratization of Iraq as a whole, but for this purpose, help from outside will be needed.
Next, four presentations of a somewhat more theoretical and general nature appear. In the opening paper, ‘A Strategy for Development in the Kurdistan Region, Iraq, Dr. Majeed Jafar sees a free market economy as a desirable goal, which however is not yet possible. He points out the main bottlenecks and constraints for development, and the need for a balanced and integrated approach to development, avoiding concentration on any single sector, in order to avoid unemployment and stagnation elsewhere.
Next in line are two papers by Dr. Jamal Fuad; the first one, ‘Planning for the Reconstruction and Development of Iraqi Kurdistan, argues the need for development planning based on systematic surveys. Development, Dr. Fuad argues, could be financed by a Kurdish National Bank to be founded, and in the meantime by European and American Banks. Some suggestions for countering the problem of Kurdistan’s being landlocked in between potentially unfriendly neighbours are made. Dr. Fuad’s second paper, ‘Agricultural ‘First Aid' to Iraqi Kurdistan’, which was not presented at the conference itself but was included in the conference reader supplied in advance, focuses on the vital agricultural sector. It stresses the necessity of assistance to get the farmers back to their villagers, and makes some concrete proposals as to the shape this assistance could take. Aid of a non-financial nature could get the people to work for themselves.
Saleh Hafeed, minister of Finance and Economics of the first Kurdish cabinet, and formerly professor of Economics at Salahuddin University, presents in detail the present-day economic situation of Iraqi Kurdistan. The disastrous economic consequences of, on the one hand, the UN sanctions imposed on Iraq, and on the other, the Iraqi government’s economic blockade of the liberated Kurdish area are spelled out in full detail. As far as we are aware, this is the first systematic survey of its kind, based on detailed statistical material from the entire region. As such it should be of particular value both to development agencies and to readers with more theoretically oriented interests.
The third section features more detailed discussion of specific areas of development, and includes reports on planning and implementation by Mamoon Brefkani (minister of Reconstruction and Development), on industry and energy by Mohammed Amin Mawlood (minister of Industry), and on oil, water and energy by Mustafa al-Jaff, former UN adviser. Mr. al-Jaff’s paper focuses on the importance and potential of oil and other natural resources for the economic development of Iraqi Kurdistan, and on the political constraints on the realization of this potential. Also included in this section are excerpts from a report on higher education in Iraqi Kurdistan, prepared by Dr. Khusrow Shali, rector of Salahuddin University in Arbil. Although not presented at the conference, this paper (which was reprinted in full in the conference reader) provides much valuable information on the predicament of this crucial sector.
The next section features the results of the workshops held during the second day of the conference, and summaries of the ensuing discussions.
The fifth section consists of a (condensed) transcript of the panel discussion held on the third day of the conference. The discussion focused on the legal and political issues of aid, development, and self-determination. One of the most important points raised during this session is that there are no compelling legal reasons for the UN and the various Western governments involved not to acknowledge the democratically elected government of the Iraqi Kurds as a legitimate entity. The difficulties are entirely of a political nature.
The collection ends with the conclusions reached by the conference. However, as several participants stressed, much of the success of such conferences depends on the follow-up. There have been some promising developments in this regard, but the situation remains precarious. In October 1992, the UN winter program for Iraqi Kurdistan started, but its implementation was marred by the protracted negotiations with the Baghdad government, and by subsequent harassments of the UN convoys: on several occasions, trucks in the UN convoys were blown up by Iraqi government agents. In December, 1992 an umbrella organization was established in which most of the Kurdish NGOs are represented. Throughout December 1992 and January 1993, clashes occurred between the Iraqi government and the UN Security Council. Allied troops militarily enforced Iraq's complying with UN resolutions, but no steps were taken to force Baghdad’s lifting its blockade of the Kurdish region, a measure which is clearly in violation of UN Security Council 688. which calls on the Iraqi government to safeguard the wellbeing of the population, but nonetheless has continued until the moment of writing.
It is an important task for the Kurdish local government and for the various NGOs working in the region to collect more precise statistical and other material (e.g. concerning the number and location of destroyed villages, the number of people that have returned to their homes) on which future projects and policies can be based. Quick implementation of such projects is an absolute necessity, in view of die economic hardships the population still suffers. There are no long-term security guarantees; inflation remains high; there is massive unemployment, among all layers of the population. Combined with the dim political prospects, this instills in many, especially the well-educated and the younger, the wish to leave the country and seek a more secure future abroad. This is one of the most serious threats to the adequate development of Iraqi Kurdistan in the long run.
Finally, a word of thanks to those who helped to bring this volume into being. Leo Cnossen and Mike Gould provided invaluable help in respectively transcribing and correcting large portions of the text. Bonnie Noorman helped with proofreading. Michiel Hegener expertly drew the map of Iraqi Kurdistan. And last but not least, Petra Veraar did the typewriting of much, and the layout of all, of the text; without her, publication of this collection would have occurred much later, and in a much less elegant form.
Political and Introductory Speeches
Speech by Mr. Fuad Hussein,
Chairman of the Organizing Committee of the Conference
Ladies and gentlemen,
On behalf of the organizing committee of this conference, I have the honour to welcome you all and to express my deep gratitude towards you all for accepting our invitation to participate in this conference. A warm and special welcome to the Kurdish leaders and officials from the Kurdish government and parliament in Iraq.
The importance of this conference lies in the fact that this is the first time, as far as 1 know, that a meeting dealing with the economic aspects of the Kurdish question has been organized. These aspects are particularly important, now, because of the imminent threat of economic collapse in Iraqi Kurdistan. The Kurds have gained some political freedom and have liberated most of the Kurdish area, yet they face enormous difficulties in rebuilding their economy. We hope, ladies and gentlemen, that during this conference we shall be able to analyze the roots of the crisis and to discuss some important issues, including the following:
1. The economic situation in Kurdistan constitutes a threat to the political gains of the Kurds. The Kurdish economy suffers from two sides. Firstly, because of the economic blockade against Iraq. Secondly, from the severe sanctions by the Iraqi regime against the Kurdish area.
2. Rebuilding and reconstructing the four thousand villages which have been destroyed by Saddam Hussein’s regime is an important aim of the Kurdish government and people. The question raised by many is: what means are available to put the Kurds in a position, where they will be able to do that?
3. Various European non-governmental organizations are trying to help the Kurds. How can one coordinate their efforts, so that they can operate more efficiently in Kurdistan?
4. Kurdistan is a rich country with many oil fields and much water. When will the Kurds be able to use these resources, earn income from them, and when can they use them for their own consumption?
5. The Kurds have used their political freedom correctly. They have been able to organize elections and to choose a parliament and government in the very short period of one year. Many Kurdish officials have declared that their aim is to obtain a situation in which the Kurds feel secure, not only politically but also economically. The Kurds have been subjected to the severe oppression of Saddam Hussein for more than 20 years. They were held hostage and terrorized by his army and security forces. Now the Kurds are suffering once more because of the high unemployment and huge inflation.
Today, the Kurds are witnessing a drastic change in their lives, that is to say, that they have gained their political freedom, but they have been pushed to the edge of economic disaster. Kurdish agriculture was the sector that suffered most under Saddam’s regime.
…..
Fuad Hussein
Michiel Leezenberg
Pieter Muller
The Reconstruction and Economic Development
of Iraqi Kurdistan
Stichting Nederland-Koerdistan
Stichting Nederland-Koerdistan
(Netherlands Kurdistan Society)
The Reconstruction and Economic Development
of Iraqi Kurdistan
Challenges and Perspectives
Proceedings of the international conference on the
reconstruction and development of Iraqi Kurdistan,
Zeist, The Netherlands, September 4-6,1992
Fuad Hussein
Michiel Leezenberg
Pieter Muller
Amsterdam, 1993
The conference was organized by:
International Dialogues Foundation
(Stichting RIOP/IDF)
P.O. Box 121
3970 AC Driebergen The Netherlands
Tel +(0)3438-32122
Fax +(0)3438-31910
Stichting Nederland-Koerdistan
(Netherlands Kurdistan Society)
Waterlooplein 205
1011 PG Amsterdam
The Netherlands
Tel +(0)20-6221305
Fax +(0)20-6388345
Additional copies of this publication are available from the
Netherlands Kurdistan Society.
Design & Layout: Petra Veraar
Map: Michiel Hegener
Printing and binding: Copy Print 2000, Enschede, The Netherlands
Cip-Gegevens Koninkluke Bibliotheek, Den Haag
Reconstruction
The reconstruction and economic development of Iraqi Kurdistan:
Challenges and perspectives: proceedings of the international conference
on the reconstruction and development of Iraqi Kurdistan, Zeist,
The Netherlands, September 4-6, 1992 / F. Hussein,
M. Leezenberg, P. Muller (ed.). - Amsterdam:
Stichting Nederland-Koerdistan. - III Met lit. opg.
ISBN 90-74666-01-9
NUGI 659
Trefw.: Koerdistan (Iraq): économie
