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The Report of the Iraq Inquiry
denying terrorist or insurgent groups the opportunity to escalate violence significantly
by provoking organised sectarian violence. Recent security gains will not be lost.
“VI. A spike in attacks and especially casualties over the coming months, following
withdrawal of Multi-National Forces from the cities, might lead to perceptions that
security gains are eroding. But this would not indicate that violent groups are
growing, becoming more lethal or position a greater challenge to Multi-National
Forces or Iraqi Security Forces.
“VII. Western military and civilian groups will remain a priority for violent groups.”
445.  On 21 July, at the request of DFID, a CIG considered the impact of corruption
in Iraq.184
446.  The CIG judged that corruption “has a significant impact on the economy and
governance” in Iraq, with cost estimates ranging from 3.5 to 10 percent of GDP.
447.  The Assessment stated:
“In 2008 the global anti-corruption society Transparency International (TI) designated
Iraq the third most corrupt country in the world, behind Somalia and Burma.
TI’s Global Corruption Barometer 2009 reported that 44 percent of Iraqis had paid
some form of bribe in the last 12 months, compared to 3 percent in the UK and a
worldwide average of 11 percent. 42 percent of Iraqis polled in TI’s survey felt that
corruption was most prevalent in the public sector and civil service, while 27 percent
considered political parties most tainted. The survey suggested that public trust in
the judiciary and news media was much higher.”
448.  The CIG judged that government ministries were “riddled with” corruption and
recorded that:
“Iraq’s Commission on Integrity (CI) has identified the Ministries for Oil and Foreign
Affairs as prominent embezzlers …”
449.  The CIG reported that, in 2006, Mr Stuart Bowen, the US Special Inspector
General for Iraq Reconstruction had referred to a “virtual pandemic” of corruption costing
Iraq US$4 billion a year (equivalent to approximately 3.5 percent of GDP). The CIG
assessment stated:
“Later estimates suggest the cost of corruption in the South alone could be as
high as $12bn pa. This range of cost estimates suggests corruption at a level
which is significantly hindering macroeconomic recovery, as well as damaging
local economics. In March 2007, Rhadi Hamza al-Rhadi, CI Chairman, claimed
that corruption was worse than under Saddam’s regime. CI had brought corruption
charges against eight Ministers and forty Directors-General, but all had fled
184 CIG Assessment, 21 July 2009, ‘How Corrupt is Iraq?’
458
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