Post-conflict reconstruction and the private sector in Iraq

The role of the private sector and, more specifically, external private sector actors, in Iraqi reconstruction represents the implementation of an unabashed neo-liberal model of deregulation and almost unfettered international access to Iraq s economic resources. As such, the Iraqi economy now functions with little state control and is dependent on the actions of foreign investors. Whilst this raises an obvious critique of the role of the private sector in post-conflict reconstruction in terms of local control over economic development, it need not necessarily undermine the rationale for private sector involvement in reconstruction processes. This paper examines the role of the private sector in Iraq in order to highlight how the implementation of this specific model works to the detriment of the economic, social and political well-being of the majority of Iraqi citizens. However, it also contains lessons on what not to do in terms of managing the relationship between political and economic reconstruction and how external private sector involvement can be better managed.