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10.2  |  Reconstruction: July 2004 to July 2009
114.  Mr Quarrey passed the Cabinet Office’s paper on reconstruction in Najaf and other
key cities and the DFID paper on how to accelerate reconstruction on the ground in the
wake of the Tokyo Donor Conference to Mr Blair on 22 October.61
115.  The Cabinet Office paper concluded that “the general impression is that, as yet,
there is no systematic or co-ordinated approach to these key cities”.62 It identified a
number of lessons, including:
It was possible for political deals to hold long enough for the IIG/PCO to
deliver enough reconstruction to start building public support and discredit the
insurgents.
There needed to be a sufficient continuing ISF presence for the IIG to remain
in control and to facilitate reconstruction.
IIG and to some extent PCO capacity to deliver reconstruction quickly was very
limited. CERPs delivered impact most quickly.
116.  The DFID paper on the follow-up to the Tokyo donors meeting advised that while
the procedural obstacles to spending US and Trust Fund allocations had largely been
overcome, the security situation was worse.63 To “get round” that problem, there was
now a greater emphasis on using Iraqi systems and contractors. In that context, to
accelerate the pace of reconstruction, the UK needed to:
Persuade the World Bank and UN at the top level to move fast, and to send
development specialists to Iraq. Mr Benn had lobbied the UN Secretary-General
Kofi Annan on 19 October.
Provide funding and security for World Bank and UN liaison staff. DFID funded
and housed one liaison officer for each of the World Bank and UN in Baghdad,
and was considering funding a UN liaison officer in Basra.
Support the PCO. The Head of the US Iraq Reconstruction and Management
Office (IRMO) had told the UK that he wanted to work closely with the UK, but
that he did not want UK staff in the PCO.
117.  Mr Quarrey commented on the DFID paper:
“Lots of good points here about the UN and World Bank. But nothing on our bilateral
programme and what more we might be able to do with that …” 64
61  Minute Quarrey to Prime Minister, 22 October 2004, ‘Iraq Reconstruction’.
62  Paper Cabinet Office, 22 October 2004, ‘Iraq: Developments in Key Cities’.
63  Paper DFID, [undated], ‘Tokyo Follow-up’.
64  Minute Quarrey to Prime Minister, 22 October 2004, ‘Iraq Reconstruction’.
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