Funds Run Out for 'Reconstructing' Iraq

The Bush Administration is not going to renew reconstruction dollars for Iraq once the present funding ends in June 2007.

1 minute read

January 4, 2006, 10:00 AM PST

By Michael Dudley

"A decision not to renew the reconstruction programme would leave Iraq with the burden of tens of billions of dollars in unfinished projects, and an oil industry and electrical grid that have yet to return to pre-war production levels.

"The decision is a tacit admission of the failure of the US rebuilding effort in the face of a relentless insurgency. Nearly half the funds earmarked for reconstruction were diverted towards fighting the insurgency and preparations to put Saddam Hussein on trial.

"At least $2.5bn earmarked for Iraq's dilapidated infrastructure and schools was diverted to building up a security force. And funds originally intended to repair the electricity grid and sewage and sanitation system were used to train special bomb squad units and a hostage rescue force. The US also shifted funds to build 10 new prisons to keep pace with the insurgency, and safe houses and armoured cars for Iraqi judges, the Post said."

FULL STORY: Bush Pulls the Plug on Iraq Reconstruction

Tuesday, January 3, 2006 in The Guardian

Government / Politics Middle East

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