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Iraq (continued) trade while leaving some small-scale industry and services and most agriculture to private enterprise. The economy is dominated by the oil sector, which provides about 95% of foreign exchange earnings. Since the early 1980s financial problems, caused by war expenditures and damage to oil export facilities by Iran, have led the government to implement austerity measures and to reschedule foreign debt payments. Oil exports have gradually increased with the construction of new pipelines. Agricultural development remains hampered by labor shortages, salinization, and dislocations caused by previous land reform and collectivization programs. The industrial sector, although accorded high priority by the government, is under financial constraints. New investment funds are generally allocated only to projects that result in import substitution or foreign exchange earnings.

GNP: $35 billion, per capita $1,940; real growth rate 5% (1989 est.)

Inflation rate (consumer prices): 30-40% (1989 est.)

Unemployment rate: less than 5% (1989 est.)

Budget: revenues $NA billion; expenditures $35 billion, including capital expenditures of NA (1989)

Exports: $12.5 billion (f.o.b., 1988); commodities—crude oil and refined products, machinery, chemicals, dates; partners—US, Brazil, USSR, Italy, Turkey, France, Japan, Yugoslavia (1988)

Imports: $10.2 billion (c.i.f., 1988); commodities—manufactures, food; partners—Turkey, US, FRG, UK, France, Japan, Romania, Yugoslavia, Brazil (1988)

External debt: $40 billion (1988 est.), excluding debt to Persian Gulf Arab states

Industrial production: NA%

Electricity: 9,902,000 kW capacity; 20,000 million kWh produced, 1,110 kWh per capita (1989)

Industries: petroleum, chemicals, textiles, construction materials, food processing

Agriculture: accounts for less than 10% of GNP but 33% of labor force; principal products—wheat, barley, rice, vegetables, dates, other fruit, cotton, wool; livestock—cattle, sheep; not self-sufficient in food output

Aid: US commitments, including Ex-Im (FY70-80), $3 million; Western (non-US) countries, ODA and OOF bilateral commitments (1970-87), $607 million; OPEC bilateral aid (1980-89), $37.2 billion; Communist countries (1970-88), $3.9 billion

Currency: Iraqi dinar (plural dinars); 1 Iraqi dinar (ID) = 1,000 fils

Exchange rates: Iraqi dinars (ID) per US$1—0.3109 (fixed rate since 1982)

Fiscal year: calendar year

Communications

Railroads: 2,962 km total; 2,457 km 1.435-meter standard gauge, 505 km 1.000-meter gauge

Highways: 25,479 km total; 8,290 km paved, 5,534 km improved earth, 11,655 km unimproved earth

Inland waterways: 1,015 km; Shatt al Arab usually navigable by maritime traffic for about 130 km, but closed since September 1980 because of Iran-Iraq war; Tigris and Euphrates navigable by shallow-draft steamers (of little importance); Shatt al Başrah canal navigable in sections by shallow-draft vessels

Ports: Umm Qasr, Khawr az Zubayr

Merchant marine: 44 ships (1,000 GRT or over) totaling 947,721 GRT/1,703,988 DWT; includes 1 passenger, 1 passenger-cargo, 18 cargo, 1 refrigerated cargo, 3 roll-on/roll-off cargo, 19 petroleum, oils, and lubricants (POL) tanker, 1 chemical tanker

Pipelines: crude oil, 4,350 km; 725 km refined products; 1,360 km natural gas

Civil air: 64 major transport aircraft (including 30 IL-76s used by the Iraq Air Force)

Airports: 111 total, 101 usable; 72 with permanent-surface runways; 8 with runways over 3,659 m; 53 with runways 2,440-3,659 m; 14 with runways 1,220-2,439 m

Telecommunications: good network consists of coaxial cables, radio relay links, and radiocommunication stations; 632,000 telephones; stations—9 AM, 1 FM, 81 TV; satellite earth stations—1 Atlantic Ocean INTELSAT, 1 Indian Ocean INTELSAT, 1 GORIZONT Atlantic Ocean in the Intersputnik system; coaxial cable and radio relay to Kuwait, Jordan, Syria, and Turkey

Defense Forces

Branches: Army, Navy, Air Force, Border Guard Force, mobile police force, Republican Guard

Military manpower: males 15-49, 4,097,190; 2,284,417 fit for military service; 219,701 reach military age (18) annually

Defense expenditures: NA   Iraq-Saudi Arabia Neutral Zone



Geography

Total area: 3,520 km²; land area: 3,520 km²

Comparative area: slightly larger than Rhode Island

Land boundaries: 389 km total; 191 km Iraq, 198 km Saudi Arabia

Coastline: none—landlocked

Maritime claims: none—landlocked

Climate: harsh, dry desert

Terrain: sandy desert

Natural resources: none

Land use: 0% arable land; 0% permanent crops; 0% meadows and pastures; 0% forest and woodland; 100% other (sandy desert)

Environment: harsh, inhospitable

Note: landlocked; located west of quadri-point with Iraq, Kuwait, and Saudi Arabia

People

Population: uninhabited

Government

Long-form name: none

Type: joint administration by Iraq and Saudi Arabia; in July 1975, Iraq and Saudi Arabia signed an agreement to divide the zone between them, but the agreement must be ratified, however, before it becomes effective

Economy

Overview: no economic activity

Communications

Highways: none; some secondary roads 150