As of January 2021, in a country of 40.2 million, Iraq’s unemployment rate was more than 10 percentage points higher than its pre‑COVID‑19 level of 12.7 percentage points. Unemployment among the displaced, returnees, women jobseekers, pre‑pandemic self‑employed and informal workers remains elevated.
The economy is gradually recovering from the oil and COVID‑19 shocks of 2020.
What are the development challenges in Iraq?
Clearly, Iraq still faces many challenges on the road to sustainable development. Iraq has yet to secure political stability, strengthen national dialogue and establish inclusive and accountable governance frameworks at federal and local levels. Iraq needs to deal with significant demographic pressures, the water crisis and the effects of climate change. However, all these challenges shall motivate us to accelerate efforts with greater determination and expand partnerships to consolidate gains, while learning from past failures.
Source: World Bank 2023