JOINT COMMUNICATION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Elements for an EU strategy for Iraq
Date: 2018-01-08
Institutions: European Commission, European External Action Service
Subjects: European neighbourhood policy, Iraq, civilian victim, common foreign and security policy, cooperation agreement (EU), cooperation policy, human rights, rule of law, terrorism

EN 

  EN 

   EUROPEAN COMMISSION HIGH REPRESENTATIVE OF THE UNION FOR FOREIGN AFFAIRS AND SECURITY POLICY Brussels, 8.1.2018 JOIN(2018) 1 final  JOINT COMMUNICATION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL Elements for an EU strategy for Iraq  
 
 
Introduction 

The  Iraqi  people,  their  Government  and  their  armed  forces,  with  international  support  from 
the  Global  Coalition  against  Da'esh1have  successfully  ended  Da'esh's  effective  territorial 
control in Iraq. The country has suffered years of conflict, since 2003 and before, but Da'esh's 
acts  of  terror  from  2014  onwards  have  been  the  most  gruesome  manifestation  of  internal 
violence so far. Iraq now needs to seize the renewed opportunity it has to build an inclusive 
and  accountable  political  system  that  serves  all  communities,  regions  and  beliefs,  preserves 
the  country's  diversity,  and  enhances  its  democratic  order.  This  is  essential  to  rebuild  trust 
between the people and their Government and to avoid a return to divisive sectarianism and 
separatism.  

The  three-year  struggle  against  Da'esh  has  taken  a  tremendous  toll  on  the  country.  This 
includes the many civilian and military lives lost, the widespread human suffering and trauma, 
the millions of persons still displaced, the destruction of the social fabric, especially amongst 
communities  affected  by  the  conflict,  the  extensive  destruction  of  public  and  private 
infrastructure,  and  a  precarious  financial  and  economic  situation.  Many  challenges  now  lie 
ahead for the Iraqi Government and people. It is vital to Iraq, to the Middle East, and to the 
international community as a whole – all of whom have felt the consequences of the crisis and 
would  be  negatively  affected  by  continued  instability  in  Iraq  –  that  Iraq  overcomes  these 
challenges.  

The  EU  in  particular  has  a  vital  interest  in  making  sure  that  Iraq  emerges  from  the  crisis 
stronger. Failure to address the root causes of the crisis would damage the country's unity, its 
security, its democratic order, as well as its economic development, and would undermine the 
Iraqi  Government's  reform  and  reconciliation  efforts.  Such  a  scenario  would  most  likely 
deepen the sectarian divide and ethnic tensions. Not only would it see Iraq remain a haven for 
terrorism that constitutes a direct and continuing threat to EU security, it would also submerge 
the  country  into  a  new  crisis  the  humanitarian  consequences  of  which  would  impact  on 
neighbouring  countries  and  the  EU,  particularly  in  the  form  of  irregular  migration.  It  is 
therefore essential that the EU and the international community remain engaged in supporting 
Iraq at this critical time. 

Based on the broader aims of the Global Strategy on Foreign and Security Policy for the EU2 
and building on the lessons learnt in the implementation of the 2015 EU Regional Strategy for 
Syria and Iraq, as well as the Da'esh threat3, this Communication is a natural, next step in the 
EU's engagement moving beyond the territorial struggle against Da'esh to focus on the ways 
in  which  it  can  contribute  to  addressing  the  specific  challenges  that  Iraq  now  faces.  It 
responds  to  the  request  of  the  EU  Foreign  Affairs  Council  of  19  June  20174  for  the  High 
Representative  for  Foreign  and  Security  Policy  and  the  European  Commission  to  present  a 

1 http://theglobalcoalition.org/en/home/ 
2 https://europa.eu/globalstrategy/en/global-strategy-foreign-and-security-policy-european-union 
3 https://eeas.europa.eu/sites/eeas/files/20150206_join_en.pdf 
4 http://www.consilium.europa.eu/en/press/press-releases/2017/06/19/conclusions-iraq/ 

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strategy  which  gives  guidance  on  the  next  steps  in  the  EU's  engagement  with  Iraq.  This 
strategy for Iraq has three main purposes:  

1) to define the considerable challenges that Iraq faces;  

2) to identify the EU's interests and strategic objectives in its relations with Iraq; 

3)  to  identify  the  priorities  for  EU  action,  building  on  the  EU's  existing  support, 
focusing  in  the  first  instance  on  EU  support  to  the  most  immediate  challenges  of 
continued  displacement,  stabilisation  and  reconciliation,  in  line  with  the  Iraqi 
Government's  priorities. The success of the strategy's implementation  will ultimately 
depend on the political will of the country's policy makers. 

1. The challenges that Iraq faces and the regional context 

1.1  The  humanitarian,  local  governance  and  stabilisation  challenge:  Iraq  faces  a  massive 
and  immediate  humanitarian  challenge.  The  three  year  conflict  throughout  the  country 
resulted  in  appalling  violations  of  basic  human  rights  for  the  local  populations,  including 
minorities, that are likely to constitute crimes against humanity, and has seriously affected the 
social  fabric of the country.  More than 3 million Iraqis  remain  internally-displaced,  and 
millions more are still in dire need of humanitarian assistance. This includes vulnerable 
groups  such  as  children  who  have  been  out  of  full-time  education  for  several  years  and 
women  who  have  been  subjected  to  sexual  violence.  As  a  result  of  the  conflict  there  is 
widespread  destruction  of  civilian  infrastructure,  including  water  distribution  systems, 
medical facilities and schools, and it has also led to severe shortages of essential services. The 
conflict  has  also  significantly  impacted  the  environment,  through  pollution  of  soil  and 
groundwater, with corresponding effects on human health and livelihoods. 

The initial Iraqi and international efforts to stabilise liberated areas have achieved significant 
progress,  with  two  million  displaced  people  having  already  returned  back  to  their  places  of 
origin, mostly in a peaceful and orderly manner. Nevertheless much remains to be done to get 
the  remaining  3  million  displaced  citizens  back  home.  In  order  to  enable  the  return  of 
displaced  citizens  to  their  homes  in  a  safe,  voluntary,  dignified  and  non-discriminatory 
manner, the Iraqi Government needs to provide security, undertake de-mining action, restore 
basic  services  and  infrastructure,  provide  livelihood  opportunities,  as  well  as  urgently 
guarantee the provision of accountable and representative civilian governance in the liberated 
areas  in  order  to  build  confidence.  It  is  also  crucial  to  address  issues  relating  to  identity 
documentation,  housing,  land  and  property  rights  to  ensure  successful  longer  term 
stabilisation.  This  task  will  entail  political,  security,  financial  and  logistical  challenges. 
Difficulties  in  re-establishing  the  rule  of  law  in  full  compliance  with  human  rights  have 
already  been  encountered  in  some  recently  liberated  areas.  For  the  stabilisation  and 
reconstruction  processes  to  be  effective,  they  need  to  be  coupled  with  efforts  to  achieve 
political  reconciliation  and  to  address  grievances  and  vulnerabilities  that  facilitated  the 

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emergence of Da'esh. This is also to mitigate any risk of these processes themselves becoming 
a catalyst for further inter-communal tensions.  

1.2  The  security  challenge  is  two-fold:  to  defend  Iraqi  society  from  continuing  terrorist 
attacks,  and  to  overcome  the  de  facto  fragmentation  of  security  structures.  The  collapse  of 
large parts of the Iraqi army in 2014 in the face of the rapid Da'esh expansion compelled the 
Iraqi  political  and  religious  authorities  to  encourage  Iraqi  citizens  to  join  new  or  existing 
armed groups, under the banner of 'Popular Mobilisation Forces', as an urgent and exceptional 
means to support the Iraqi security forces in halting Da'esh's expansion and in reclaiming lost 
territory.  Iraq  has  retained  a  highly  qualified  but  small  core  of  a  national  army  that  will 
require  further  structural  support.  Iraqi  Government  forces,  including  the  Peshmerga  of  the 
Kurdistan Region of Iraq, have received significant international support, including material 
and  training  for  the  immediate  fight  against  Da'esh.  Yet  following  years  of  conflict,  which 
engendered  a  militarised  policing  response,  there  is  a  need  to  reform  the  Iraqi  police  to 
support  rule  of  law  oriented  and  accountable  civilian  policing  which  respects  human  rights 
and builds trust across all communities. Effective and deep security sector reform in both 
the military and civilian sphere has become an urgent priority, in order to consolidate state 
prerogatives  and  legitimacy,  and  to  allow  for  an  effective  control  of  the  territory  and 
containment of terrorist and criminal threats. This will have to include proper mechanisms for 
the  reintegration  of  a  large  portion  of  mobilised  soldiers  into  society.  The  consolidation  of 
rule of law and improved human rights standards are also essential to limit the risk of future 
cycles of violence.  

1.3 The political challenge: The initial success of Da'esh was to some extent a reflection of 
the political fragmentation of Iraq following previous crisis situations, and in fact it reinforced 
it further. The preservation and strengthening of the country's unity, security and development 
are therefore as important as ever: both political reform and national reconciliation should 
remain at the heart of the Iraqi political establishment's efforts. The Government already 
set out, in September 2014, an ambitious programme of reform to address the most pressing 
needs;  this  plan  needs  to  be  rolled  out  at  every  level  of  the  country.  The  pillars  of  the 
programme  are  the  fight  against  corruption  and  fair  distribution  of  national  wealth, 
consolidation of the rule of law and full compliance with human rights, and efforts to achieve 
national reconciliation and political inclusiveness. However, its implementation has been held 
up  not  only  by  the  need  to  focus  on  the  campaign  against  Da'esh,  but  also  by  political 
divisions  within  the  country  and  the  pervasive  long-standing  challenge  of  corruption  and 
nepotism.  Building  on  the  initiatives  it  has  already  taken,  it  will  be  critical  for  the  Iraqi 
Government to restore trust in the political system, counter fragmentation and consolidate the 
unity of the country. A comprehensive national policy on the social, political and economic 
reintegration of the populations, particularly in the conflict-affected areas, as opposed to just a 
policy of returns, is essential, in order to avoid a repeat of the conditions that led to the rise of 
Da'esh. The situation of Iraq's numerous minorities also needs to be addressed urgently, in 
order to preserve the diversity of Iraqi society as well as its unity and stability. It will also be 
essential to address the issues of poverty and social exclusion in the areas not directly affected 
by  the  conflict,  including  in  the  south  of  the  country,  since  balanced  progress  and 

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development  across  the  whole  of  the  country  will  be  critical  to  its  stability.  Renewed 
engagement to find negotiated political solutions to longstanding and more recent disputes is 
critical for the long term stability of the country. One urgent priority is to help place relations 
between  the  Federal  Government  and  the  Government  of  the  Kurdistan  Region  on  a 
viable  and  stable  footing  through  a  constructive  dialogue  on  all  relevant  issues  across  the 
political, security and economic spectrum. The guiding principle of such a dialogue must be 
that parties avoid unilateral action and seek the full implementation of the Iraqi constitution. 

1.4. The economic and financial challenge: Political reforms and reconciliation need to be 
underpinned by coherent policies for economic and social development that benefit all Iraqis, 
based on a fair model of wealth distribution and intergenerational equity. Iraq's oil revenue so 
far  has  failed  to  generate  beneficial  effects  for  the  country  as  a  whole,  due  to  rent  seeking, 
inefficiencies of state owned enterprises, a focus on short term consumption through a bloated 
public  sector  and  rampant  corruption.  As  a  result  Iraq  faces  persistent  macro-economic 
vulnerabilities  which  need  to  be  addressed  urgently  since  a  sound  fiscal  and  monetary 
framework  is  a  decisive  factor  for  stability  in  the  country.  Iraq  is  classed  as  an  upper 
middle income country, but this classification is based on gross domestic product (GDP) per 
capita, which fell from US Dollars (USD) 7,021 in 2013 to USD 4,533 in 2016, and does not 
reflect the  stark  reality  that  one  quarter  of  the  population  now  lives  below  the  poverty  line. 
Over  the  last  three  years,  the  increasing  oil  production  which  reached  around  4.5  million 
barrels a day in 2017 on average has supported the economy and state revenue. However, the 
combined shock of the drop in oil price and armed conflict dragged the non-oil economy into 
recession  and  public  finances  into  huge  deficit  to  14%  of  GDP  in  2016.  The  Government 
meanwhile  entered  into  a  Stand-By-Arrangement  (SBA)  with  the  International  Monetary 
Fund (IMF) in  July  2016 which provides for USD 5.3 billion of support  of which USD 2.1 
billion  have  been  disbursed  so  far.  The  G7,  including  the  EU,  has  been  supporting  the 
arrangement which is conditional on a programme of fiscal and economic reforms. At the end 
of  2017,  the  continuation  of  the  IMF  SBA  is  at  risk  because  the  Iraq  Government's  fiscal 
policy does not sufficiently reflect the agreed reform programme. A failure of the programme 
would compromise Iraq's  capacity to meet its financial  obligations and leave the substantial 
G7 support ineffective. 

Overall, the Iraqi economy has been in recession in 2017 with a slightly more positive outlook 
for  2018  depending  on  the  security  situation  and  the  oil  market.  For  2017  Iraq  has  agreed 
within the Organisation of Petroleum Exporting Countries (OPEC) to cut its oil production by 
6%, which has limited GDP growth and has reduced public revenue. As the OPEC agreement 
has  been  prolonged,  public  oil  revenue  is  not  expected  to  recover  significantly  in  2018  and 
stricter austerity measures are required to meet the SBA conditions and keep the government's 
finances  afloat.  Therefore,  Iraq  can  only  achieve  the  much  needed  macroeconomic  stability 
and meet its financial obligations if it speeds up the governance and fiscal reforms which had 
already  been  overdue  before  the  security  crisis.  Major  economic  and  financial  burdens  lie 
ahead  in  view  of  the  humanitarian,  stabilisation  and  reconstruction  challenges  -  the  post-
Da'esh reconstruction bill is currently estimated by the Iraqi Government to stand at USD 150 
billion. The social costs of reconstruction will be enormous, for example for the re-integration 

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of millions of internally displaced persons, handicapped and traumatised people, veterans and 
young people with interrupted education. In addition, the country is facing an uphill struggle 
to  generate  jobs  for  a  fast  growing  young  population.  Low  oil  prices  are  an  opportunity  to 
push for economic diversification, but while this structural transformation usually takes many 
years, immediate measures are necessary to integrate the growing young population into the 
labour market. The public sector cannot any longer provide them with employment as it did 
during the high oil price era, underlining the importance of strong private sector development 
and  foreign direct investment  (FDI)  which  could  become  a  powerful  engine  for  growth  and 
job creation.  

1.5 The migration challenge: Iraq is both a host country for refugees and a country of origin 
of  significant  migration  flows.  The  country  hosts  250,000  Syrian  refugees,  beyond  the  3 
million internally displaced persons (IDPs). The large number of IDPs, coupled with difficult 
conditions  for  returns  to  liberated  areas  and  the  volatile  political  and  economic  situation 
further increase the risk of migrations flows, both within Iraq and to Europe. Between 2014 
and  2016  more  than  135  000  Iraqis  arrived  irregularly  in  the  EU.  The  number  of  asylum 
applications filed by Iraqi citizens in the EU reached 125 286 in 2016. After the start of the 
implementation  of  the  EU-Turkey  statement5  the  number  of  irregular  arrivals  in  the  EU 
decreased significantly, but the risk of irregular migration to the EU stays high. Almost 7.500 
Iraqis  arrived  irregularly  in  the  EU  in  2017  (January-September).  So  far  only  a  limited 
proportion  of  the  Iraqis  staying  irregularly  in  the  EU  have  returned  to  Iraq6.  There  is, 
however, a steadily surging trend on voluntary returns from the EU to Iraq7. At the same time 
there is a declining trend in the asylum recognition rate8 which results in an increase of Iraqis 
subjected to returns from the EU, also due to the improving situation in Iraq and the defeat of 
Da´esh.  

1.6 The regional challenge: Iraq's relations with its neighbours have an important part to play 
in  the  country's  stability  and  its  political  and  economic  reform  programme.  Iraq  has  always 
been  on  the  fault  line  of  the  sectarian  differences  in  the  region,  and  it  is  in  its  fundamental 
interests that these are not exacerbated. The post-Da'esh order offers Iraq new opportunities 
for  a  rebalanced  engagement  with  all  its  neighbours  and  reintegration  into  the  regional 
economy, building on the positive steps taken by the Iraqi government thus far to reach out to 
all  of  Iraq's  neighbours.  This  could  play  a  critical  role  in  reducing  and  defusing  regional 
tensions, in the general interest of Iraq and the whole region, including in the context of the 
Syria crisis.  

5 https://www.consilium.europa.eu/en/policies/migratory-pressures/countries-origin-transit/eu-turkey-statement/# 
6 17.065 returns in 2016, i.e. 50% return rate, 4.950 returns in 2015, i.e. 16% return rate - Eurostat data.  
7 11.723 in 2016, compared to 3.237 in 2015 – IOM data.  
8 84% in 2015, 62% in 2016, 53% in 2nd quarter 2017 – Eurostat data 

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2. EU strategic objectives in Iraq 

In  order  to  help  Iraq  overcome  its  internal  challenges,  the  EU  has  identified  a  number  of 
strategic  objectives  which  will  guide  its  support  to  Iraq  over  the  next  5  years.  Given  the 
multitude  of  challenges,  the  EU  should  work  towards  all  the  objectives  concurrently.  EU 
strategic objectives should include: 

  Preserve the unity, sovereignty and territorial integrity of Iraq. 

  Strengthen  the  Iraqi  political  system  by  supporting  Iraqi  efforts  to  establish  a 
balanced,  accountable  and  democratic  system  of  government  which  respects  the 
rule of law and human rights. Improvements in the civilian security sector, especially 
law enforcement, and efficient and accountable central and local administration are an 
essential part of this.  

  Support  the  Iraqi  authorities  developing  and  implementing  a  comprehensive  and 
strategic response to the priority needs in the country post-Da'esh. This should include 
the  provision  of  humanitarian  aid,  support  for  early  recovery,  stabilisation, 
development  and  reconstruction.  This  support  should  be  delivered  as  seamlessly  as 
possible in order to prevent a return to violence. 

  Promote  sustainable,  knowledge-based  and  inclusive  economic  growth  in  Iraq 
which  can  generate  jobs  and  an  economic  perspective  for  the  growing  young 
population in line with the Sustainable Development Goals. 

  Support state and societal resilience in Iraq through national policies to promote, inter 
alia,  Iraq's  ethnic  and  religious  diversity,  the  strengthening  of  its  national  identity 
and reconciliation amongst its diverse communities, based on equal citizenship, and 
the development of a vibrant civil society.  

  Promote an effective and independent justice system and its efficient enforcement in 
order  to  improve  overall  accountability,  including  to  deliver  justice  for  Da'esh's 
crimes. 

  Establish a migration dialogue with Iraq in order to address the main root causes of 
irregular  migration,  to  assist  the  Iraqi  authorities  in  managing  the  migration  flows 
effectively,  in  particular  enhancing  cooperation  in  priority  areas  such  as  the 
readmission  of  irregular  Iraqis  from  the  EU  (including  agreeing  on  procedures 
facilitating  the  identification  and  returns  of  returnees),  the  assistance  in  border 
management,  the  facilitation  of  the  contacts  with  the  Iraqi  diaspora  in  the  EU,  the 
organisation  of  information  campaigns  on  risks  of  irregular  migration  as  well  as  the 
fight against migrant smuggling and trafficking in human beings. 

  Support  Iraq's  good  relations  with  all  its  neighbours  and  promote  its  role  as  a 

contributor to regional peace. 

  Pursue a strong EU-Iraq partnership overall. 

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The EU should pursue these objectives through a joined-up approach to its policies and with 
its  Member  States,  in  particular  in  the  fields  of  common  security  and  defence  policy, 
economic development, investment and good governance, trade, humanitarian assistance and 
migration,  whilst  seeking  full  coherence  with  the  on-going  efforts  of  the  Global  Coalition 
against  Da'esh,  the  United  Nations  (UN),  North  Atlantic  Treaty  Organisation  (NATO),  the 
World Bank (WB), International Monetary Fund (IMF) and other partners.  

3. EU support so far 

Since  2003  the  EU  has  been  supporting  Iraq's  transformation  into  an  inclusive  democratic 
state rooted in the rule of law and respect for human rights. Furthermore, in 2012 the EU and 
Iraq  agreed  on  a  long-term  partnership  in  the  form  of  the  EU-Iraq  Partnership  and 
Cooperation Agreement (PCA) which has been provisionally applied and will enter into force 
shortly9. In the past three years the EU has been a staunch supporter of the Iraqi Government 
in its fight against Da'esh and in its efforts to carry out urgently needed progress on reforms 
and  reconciliation  as  was  already  reflected  in  the  2015  EU  Regional  Strategy  for  Syria  and 
Iraq, as well as the Da'esh threat10. In the period 2014 – 2017 EU support alone totalled more 
than  EUR  650  million.  In  allocating  these  funds  the  EU  has  always  taken  a  'whole  of  Iraq' 
approach, which has included:  

  significant  humanitarian  aid  and  resilience  support  on  the  basis  of  needs  and 
vulnerability  for  all  conflict  affected  populations,  including  in  situations  of 
displacement and where people have been able to return to retaken areas; the EU has 
led humanitarian advocacy efforts aimed at the protection of civilians during and after 
the conduct of hostilities, ensuring respect of International Humanitarian Law and has 
supported principled humanitarian assistance and protection;  

  support for stabilisation in the liberated areas and for capacity building in the security 
sector - the EU has acted as the coordinator and a key contributor to Explosive Hazard 
Mitigation (EHM); 

  advisory  services  for  national  and  local  reconciliation  efforts  within  an  improved 

human rights framework;  

  support for improved local and national governance.  

  support for inclusive, equitable and quality education. 

This has been coupled with the EU's diplomatic efforts to maximise international support for 
Iraq in its fight to eliminate Da'esh.  

9 Council Decision (EU) 2012/418/EU of 21 December 2011 on the signing, on behalf of the European Union, 
and provisional application of certain provisions of the Partnership and Cooperation Agreement between the 
European Union and its Member States, of the one part, and the Republic of Iraq, of the other part (OJ L204, 
31.7.2012, p.18), and text of the Agreement (p.20). Pending its entry into force, the Agreement is provisionally 
applied in accordance with Article 3 of the Decisions. 
10 https://eeas.europa.eu/sites/eeas/files/20150206_join_en.pdf 

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4. EU policy measures that support the strategic objectives 

In  order  to  achieve  its  strategic  objectives,  the  EU  should  provide  support  to  Iraq  in  the 
following areas: 

4.1  Continued  delivery  of  humanitarian  aid  and  resilience  support  to  Iraqi  citizens  in 
protracted displacement 

Iraq is  not  a  poor  country,  but  years  of  conflict  and    the  effort  to  uproot  Da'esh  have  taken 
their  toll  on  the  country.  As  a  result  Iraq  has  many  poor,  even  destitute,  people.  The 
humanitarian  consequences  of  the  conflict,  in  their  full  scale  and  depth,  are  only  now 
becoming  fully  visible.  Local  and  national  response  capabilities  have  been  strained  to 
breaking  point  and  require  the  sustained  engagement  of  international  actors,  with  the  EU 
aspiring  to  play  a  leading  role  in  the  humanitarian  and  early  recovery  response.  The  EU's 
objective should therefore be to help plug the gap and to enable the Iraqi state to meet the 
needs of its people better. 

The EU's humanitarian assistance in Iraq should continue to provide aid and protection for all 
Iraqis affected by the conflict and will strengthen advocacy for their protection in accordance 
with  Iraqi  national  law,  International  Humanitarian  Law  and  the  Guiding  Principles  on 
Internal Displacement.  

Additional  EU  support  should  be  provided  to  help  ensure  that  the  acute  and  longer  term 
suffering  of  conflict-affected  populations  is  addressed.  In  this  regard,  providing  direct  aid 
services  will  be  crucial  for  survivors  of  physical  injury  and  trauma,  conflict-related  gender 
and  sexual  based  violence,  for  families  having  lost  relatives  in  the  fighting,  as  well  as  for 
detainees and their relatives. The EU's humanitarian and longer term resilience assistance will 
also continue to support the Iraqi authorities in catering for families and individuals who have 
been prevented from returning to their areas of origin and have been subject to secondary or 
protracted  displacement as  a result of inter-community conflict.  The provision  of basic life-
sustaining  services  and  advocacy  for  their  access  to  durable  solutions  for  their  forced 
displacement  situation  will  be  essential.  In  order  to  help  Iraq  overcome  its  emergency 
assistance needs as quickly and effectively as possible, the EU should seek the best possible 
use of and interaction between its various instruments.  

4.2  Facilitate  the  stabilisation  of  liberated  territories  and  early  recovery  in  order  to 
support the return of displaced persons in a safe, voluntary and dignified manner 

A core objective for the EU in  the first 18 months following the territorial  defeat of Da'esh 
should  be  to  support  the  Iraqi  Government's  efforts  to  stabilise  the  liberated  areas  and  to 
facilitate the safe, informed, voluntary and dignified return of displaced citizens to their 
rightful homes as soon as possible, including minority groups. This is essential to counter the 
disillusionment and hopelessness - fertile ground for extremism and violence - that protracted 
displacement could lead to. Stabilisation and returns are also a crucialfactor for longer term 
stability  and  the  preservation  of  the  diversity  of  the  country,  and  act  as  a  disincentive  to 

8 

 
 
irregular  migration  and  the  resulting  brain  drain  with  its  negative  impact  on  long-term 
prospects for Iraqi growth.  

The EU's stabilisation support efforts should continue to provide strong support to Explosive 
Hazard  Mitigation  (EHM)  efforts  (removal  of  booby  traps  and  explosives  that  have  already 
killed  returning  civilians)  which  in  view  of  the  widespread  contamination,  is  an  essential 
precursor to a number of other stabilisation activities. The EU, will continue to coordinate the 
Subgroup  on  EHM  within  the  stabilisation  working  group  of  the  Global  Coalition  against 
Da'esh  implementing  the  new  "blended"  approach  which  draws  comprehensively  on  all 
national and international EHM resources and capabilities available in Iraq.  

Furthermore,  under  the  aegis  of  the  Iraqi  Government,  and  with  the  support  of  the  Global 
Coalition to defeat Da'esh and the UN and other appropriate channels, the EU should deliver 
financial  assistance  in  the  areas  below,  and  should  insist  on the  full  involvement  of  women 
and young people in the following actions:  

a)  restoration  of  key  public  services  (  e.g.  electricity,  water  and  sanitation,  healthcare, 

including measures to clean up polluted sites) and essential, light infrastructure;  

b)  support to livelihoods as a source of income to returning households and to jumpstart 

the economy;  

c)  capacity  building  of  local  administration,  the  establishment  of  effective  governance 

and community engagement;  

d)  community  reconciliation:  it  is  essential  that  stabilisation  support  is  inclusive  of 
particularly vulnerable persons. More effective and accountable assistance through the 
overhaul of current social protection systems will therefore be essential. 

4.3  Restructuring  and  supporting  the  civilian  security  sector,  including  in  the  fight 
against terrorism 

A thorough reform of Iraq's civilian and military security sectors will be critical for long term 
stability.  The  EU  will  concentrate  its  support  in  this  area  on  the  civilian  security  sector, 
drawing  on  the  capacities  of  several  Member  States.  In  order  to  regain  Iraqi  citizens' 
confidence the Government will need to prove its ability to deliver security and rule of law 
through trustworthy, regular civilian security forces that respect human rights, are in tune with 
citizen's needs and constitute the sole providers of security.  

In  this  regard,  and  to  respond  to  the  request  by  Iraqi  authorities  for  support  with  security 
sector  reform,  the  EU  deployed  in  November  2017  to  Iraq  a  European  Union  Advisory 
Mission  in  support  of  civilian  Security  Sector  Reform  (EUAM  Iraq)11  to  help  the  Iraqi 
authorities  strengthen  state  institutions  and  governance  in  line  with  Iraq's  National  Security 
Strategy. This EU Common Security and Defence Policy (CSDP) Mission will enable the EU 
to provide strategic policy advice to the Office of the National Security Advisor and Ministry 
of  Interior  and  assess  the  possibility  of  future  broader  EU  engagement.  Strategic  advice 

11 Council Decision (CFSP) 2017/1869 of 16 October 2017 

9 

 
 
                                                            
should  be  provided  on  overall  security  policy,  combating  terrorism  and  organised  crime, 
countering  violent  extremism,  and  institutional  reform.  It  will  also  promote  closer 
coordination  between  the  international  community  and  relevant  Iraqi  authorities  on  the 
implementation of a comprehensive Iraqi Security Sector Reform. Thus the Mission will work 
closely with the Iraqi authorities, the EU institutions and Member States, as well as with other 
partners,  including  the  UN  (the  UN  Development  Programme  –  UNDP  -  and  the  UN 
Assistance Mission for Iraq - UNAMI - amongst others), the Global Coalition against Da'esh 
and NATO, so as to establish clear boundaries between military and civilian sector support. 
Addressing the needs of former combatants will have to be an integral part of the reform as it 
is a key issue in stabilising the country. This can be achieved by offering them education and 
employment opportunities and reintegrating them in a peaceful society. 

The EU should also continue to deliver sustained support to the broad counterterrorism efforts 
of  the  Global  Coalition  against  Da'esh,  as  well  as  of  the  UN,  that  have  a  direct  impact  on 
Iraq's struggle with violent extremism. It should seek to boost Iraq's capacities in dealing with 
terrorist  threats,  through  a  dialogue  on  counterterrorism  issues  and  measures  to  counter 
violent extremism that may lead to further technical support and advice. Iraq being on the lists 
both  of  the  EU  and  of  the  Financial  Action  Task  Force  (FATF)  of  high-risk  third  countries 
with  strategic  deficiencies  in  anti-money  laundering/countering  terrorist  financing,  it  should 
also address this issue as a priority matter, in close cooperation with the EU.   

4.4. Political reform, improved governance, human rights and reconciliation 

The core aim of the EU's policies in Iraq is to support the Iraqi Government in carrying out 
political  reform  that  leads  to  greater  political  inclusiveness  and  a  sustained  process  of 
reconciliation.  

Progress on reforms, in line with the Iraqi Government's 2014 and 2015 reform programmes 
is essential. These should focus on improving democratic political governance, inclusiveness, 
respect  for  human  rights,  equal  citizenship,  fair  resource  distribution  and  the  fight  against 
corruption, and are critical to any attempt to stabilise the country, promote peace and generate 
prosperity  for  all  Iraqis.  The  pace  of  reforms  so  far  has  been  slow.  However,  there  are 
encouraging signs that a new momentum of support for reforms amongst the Iraqi public and 
civil  society  has  been  building  as  reflected  in  public  demonstrations  and  online  campaigns 
that took place, even as the country was grappling with Da'esh. Strengthened by the victory 
over  Da'esh  and  the  preservation  of  the  country's  territorial  integrity,  the  Iraqi  Government 
should  seize  this  opportunity  to  reinvigorate  its  efforts  and  to  work  towards  post-conflict 
reconciliation.  

The  EU  should  continue  to  deliver  support  to  reconciliation  initiatives,  if  appropriate,  in 
coordination  with  UNAMI.  A  core  aim  for  the  EU  in  this  regard  should  be  to  support 
mediation  and  dialogue  that  target  not  just  national,  but  also  the  local  and  regional  levels. 
Provided  that  the  Federal  Government's  reform  and  reconciliation  efforts  show  satisfactory 
progress,  the  EU  should  be  willing  to  invest  in  targeted  good  governance  support  for  Iraqi 
state institutions  that  are representative, inclusive and reflect the common Iraqi identity and 
avoid  the  pursuit  of  narrow  sectarian  interests.  Such  institutional  support  would  serve  as  a 

10 

 
 
critical adjunct to the Government's reform and reconciliation efforts which are aimed at the 
same goals and render them more sustainable. The EU also stands ready to provide support to 
political  reforms,  to  the  electoral  process  conducted  in  line  with  international  standards  and 
commitments,  as  well  as  to  the  necessary  accompanying  measures  to  support  civil  society 
organisations.  Full  participation  of  civil  society  actors  is  essential  for  the  success  of  the 
reform  process.  Particular  attention  should  also  be  paid  to  the  proper  representation  of 
women,  youth  and  persons  belonging  to  minorities  through  adequate  platforms  for  their 
inclusion.  

The challenge of stabilising and restoring civilian-led security and governance in the liberated 
areas  has  brought  to  the  surface  questions  about  the  future  relationship  between  the  federal 
authorities  and  the  governorates,  especially  with  regard  to  the  control  of  security  forces, 
resources  and  the  establishment  of  representative  and  effective  local  governance.  The  EU 
stands ready to support any decentralisation/deconcentration measures that Iraq may wish to 
undertake within the federal constitutional framework, provided they are part of the broader 
reform  drive.  It  is  also  ready  to  provide  capacity  building  for  civilian  governance  to  local 
authorities in dealing with the stabilisation challenge. This support would be based on a plan 
to be drawn up by the Iraqi Government. 

4.5  Resolution  of  disputes  between  the  Federal  Government  and  Kurdistan  Regional 
Government through a constructive dialogue 

The success of the Mosul military campaign was in no small part due to the good cooperation 
and  unity  of  purpose  between  the  Federal  Government  and  the  Kurdistan  Regional 
Government. These good relations have been challenged by the Kurdistan Region's unilateral 
decision  to  hold  a  referendum  on  independence.  The  EU  should  remain  fully  committed  to 
Iraq's unity and should encourage the parties to rekindle this spirit of cooperation in order to 
strengthen  Iraq's  federal  order  and  to  address  the  longstanding  points  of  disagreement  that 
have hampered relations. This should include a resolution of the disputes over oil and revenue 
sharing  and  the  settlement  of  the  disputed  boundary  areas  (DIBs)  through  a  constructive 
dialogue  process  between  the  Federal  Government  and  the  Kurdistan  Regional  Government 
that is  based on the Iraqi  constitution and the respective responsibilities and prerogatives of 
the parties. The EU believes that a sustained dialogue on all outstanding issues is essential 
in order to find solutions that meet constitutional requirements and shape a stable relationship 
that satisfies both parties.  

4.6 Economic and financial reforms and trade  

The EU supports the economic reform intentions of the Iraqi Government, in particular its aim 
of reducing subsidy and capital expenditure whilst  keeping up social protection expenditure 
and  improving  budgetary  transparency  and  monetary  stability.  The  ongoing  IMF  Stand-By 
Arrangement is crucial to help Iraq regain macroeconomic stability (maintaining the currency 
peg,  reducing  the  fiscal  deficit,  controlling  debt  levels,  paying  arrears  to  international  oil 
companies, restructuring state owned banks etc.).  

11 

 
 
Resolute reform implementation by the Government is needed since so far the necessary 
fiscal reforms and reduction  of the fiscal deficit to  a sustainable level  have  not  occurred. A 
more  credible  commitment  by  the  Iraqi  Government  to  fiscal  and  governance  reforms,  in 
coordination  with  the  International  Financial  Institutions  is  crucial  for  a  successful 
continuation of international support, including the IMF programme. The more efficient use 
of the substantial oil and gas revenues and the mobilisation of non-oil revenues will be needed 
for fiscal sustainability, for the economic development that will create jobs for the country's 
young population, which is one of the best defences against the appeal of terrorist ideology, as 
well as for reconstruction purposes. Structural reforms are critical to improve Iraq's business 
environment  and  for  restoring  service  provision  of  utilities,  in  particular  in  the  electricity 
sector. The ongoing reforms supported by the World Bank, with EU support, in particular in 
the  sector  of  good  governance,  modernisation  of  public  financial  management  systems, 
reform of state owned enterprises, and reform in the energy sector are of strategic importance 
if  Iraq  is  to  reap  the  benefits  of  its  extractive  industries  and  untapped  renewable  energy 
sources for the good of the entire population.  

The EU should offer its expertise to support these economic reforms in Iraq, drawing on the 
several  tools  that  are  available  to  it,  including  the  EU-Iraq  Partnership  and  Cooperation 
Agreement. In a first stage, the focus will be on improving public financial management, in 
close cooperation with the International Monetary Fund and the World Bank.  

The  EU  sees  closer  trade  ties  with  Iraq  as  an  important  part  of  the  reconstruction  and 
development  of  Iraq.  There  is  substantial  potential  for  bilateral  trade  between  the  two 
economies.  Investment  from  the  EU  would  have  a  highly  beneficial  effect  on  Iraq's 
development.  The  EU  should  continue  to  support  the  accession  of  Iraq  to  the  World  Trade 
Organization  (WTO)  and  encourage  Iraq  to  apply  for  the  World  Bank´s  assistance  (Trade 
Facilitation  Support  Programme)  in  order  to  facilitate  Iraq's  integration  into  the  global 
economy. 

4.7 Support for an effective and independent justice system and transitional justice 

The  EU  should  support  the  Government  in  developing  an  independent  and  efficient  justice 
system  which  adheres  to  democratic  values,  principles  of  good  governance,  the  rule  of  law 
and international human rights norms and standards. It is crucial to overhaul the penitentiary 
system  and  the  legal  conditions  for  detention,  in  particular  for  individuals  detained  for 
screening  purposes,  in  line  with  national  and  international  laws  and  standards  that  ensure 
humane conditions of detention. Failure to address this problem would jeopardise stabilisation 
and reconciliation efforts. 

Da'esh's egregious crimes have caused immense suffering for the victims and their families. It 
is essential that the reconciliation efforts include a process which leads to the prosecution of 
those  responsible  for  all  such  crimes,  delivers  justice  and  redress  for  the  victims,  and  is 
integrated  into  a  broader  process  of  transitional  justice,  ensuring  accountability  for  all 
human rights violations and abuses committed in the context of the conflict. The EU should 
also  seek  to  support  international  efforts  to  prevent  the  trafficking  in  cultural  goods  and  to 
restore and preserve Iraq's cultural heritage. 

12 

 
 
The Iraqi Government has agreed under UN Security Council resolution 2379(2017) to hold 
Da'esh  accountable  for  its  actions  in  Iraq.  A  UN  team  will  be  deployed  to  Iraq  to  collect, 
preserve, and store evidence of acts that may amount to war crimes, crimes against humanity 
and  genocide  committed  by  the  terrorist  group  in  Iraq,  operating  in  full  respect  of  Iraq's 
sovereignty  and  jurisdiction  over  crimes  committed  in  its  territory.  The  EU  stands  ready  to 
support  the  Iraqi  Government's  efforts  in  this  regard,  and  has  already  taken  steps  to  foster 
cooperation based on Iraq's and the EU's mutual interests in this domain. Considering that a 
proportion  of  foreign  fighters  who  joined  Da'esh  are  from  EU  Member  States,  the 
investigation and prosecution of their crimes in independent criminal proceedings adhering to 
principles of due process that are consistent with international law, is also an urgent priority 
for the EU. The EU's aims in this regard are closely aligned with the aims of the Paris Action 
Plan12 and the Madrid Priorities for Action13 on accountability for Da'esh's crimes. 

4.8 Support for inclusive, equitable and quality education 

The recent crisis has  significantly disrupted the education system in  Iraq and it is estimated 
that 3.5 million children are out of school. There is an urgent need to train teachers, increase 
the number of school buildings and tackle the obstacles children face in accessing education 
in order to avoid the emergence of a 'lost generation'. The EU should increase its support 
for  primary  and  secondary  education,  focusing  on  education  reform,  the  reestablishment  of 
national curricula in liberated areas, and access for displaced children and those living in rural 
areas.  It  should  also  continue  its  support  for  higher  education  opportunities  for  all  and 
particularly displaced persons and refugees. An important priority for the EU in implementing 
these measures should be to maximise the access to education at all levels for girls, including 
those that have so far been excluded. 

Considering  the  full  potential  of  education  as  a  catalyst  for  development,  the  EU  should 
support  Iraq  in  reforming  policy  and  governance  in  this  sector,  creating  the  enabling 
conditions  for  learning,  building  the  capacities  of  educators  and  trainers,  as  well  as 
empowering youth with local-led initiatives. This should go hand in hand with a sustainable 
child  protection  system  as  part  of  the  improved  governance  of  the  country.  Efforts  to 
strengthen  and  support  the  Iraqi  academic  institutions,  particularly  the  universities  and 
research centres – once among the best in the region – are also essential. 

4.9 Managing migration 

Talks on migration with Iraq have been conducted for several years in the framework of the 
Budapest regional process. The June 2017 EU Foreign Affairs Council reaffirmed that the EU 
remains  firmly  committed  to  supporting  Iraq  in  its  recovery,  notably  through  the 
implementation  of 
including 
cooperation  on  migration  in  all  its  aspects,  and  called  on  Iraq  to  cooperate  further  in  the 
facilitation of return of Iraqis to their own country. 

the  EU-Iraq  Partnership  and  Cooperation  Agreement, 

12 https://www.diplomatie.gouv.fr/en/country-files/north-africa-and-middle-east/events/article/the-paris-action-
plan-09-08-2015 
13http://www.exteriores.gob.es/Portal/es/SalaDePrensa/ElMinisterioInforma/Documents/20170524_MADRID%
20PRIORITIES%20FINAL.pdf 

13 

 
 
                                                            
Building on the technical visit  of the EU representatives  in Iraq in  December 2017, the EU 
aims to develop a tailor-made approach to managing migration for the benefit of both the 
EU and Iraq. Cooperation will be based on a specific needs assessment conducted in mutual 
consultation between the parties. It will focus on priority areas such as enhanced cooperation 
in  the  readmission  of  irregular  Iraqi  migrants  from  the  EU  in  full  respect  of  fundamental 
rights  and  international  standards,  providing  assistance  in  enhancing  the  nexus  between 
migration  and  development,  organising  information  campaigns  on  the  risks  of  irregular 
migration,  and  fighting  migrant  smuggling  and  trafficking  in  human  beings.  The  parties 
agreed  to  readmit  their  respective  illegal  migrants,  including  those  who  choose  to  return 
voluntarily. 

5. Implementation and international engagement  

In  implementing  the  policies  and  measures  set  out  in  this  strategy,  the  EU  should  work 
closely with the Iraqi Government  to identify precise needs and establish priorities. Close 
coordination  and  shared  labour  with  the  Member  States,  UN,  the  Global  Coalition  against 
Da'esh,  the  International  Monetary  Fund,  the  World  Bank,  as  well  as  other  regional  and 
international  partners  will  be  essential  for  a  successful  implementation  of  the  proposed 
measures.  Full  use  of  the  mechanisms  established  under  the  EU-Iraq  Partnership  and 
Cooperation Agreement, will allow the EU to monitor progress and gradually deepen its ties 
with Iraq. The EU will make sure that wherever possible women and young people, as well as 
Iraqi  civil  society,  are  involved  in  the  implementation  of  this  strategy,  the  policy  measures 
and processes described therein.  

Financial  means  under  the  availabilities  in  the  EU  budget  to  implement  the  proposed 
measures  have  been  programmed  within  development  cooperation.  Funding  may  also  be 
available from humanitarian aid and other external financing instruments within EU's current 
seven year financial planning cycle which ends in 2020. 

The EU – together with contributing Member States – will explore opportunities to extend the 
portfolio of the EU Regional Trust Fund ('Madad Fund') in Iraq covering the ground between 
humanitarian and longer term development assistance.  

The EU will also continue to encourage and fund the participation of Iraqi private and public 
entities in the EU research and innovation programme Horizon 2020.  

A  crucial  factor  for  the  speed  and  success  in  the  implementation  of  this  strategy  is  the 
situation in Iraq itself and the willingness and ability of the Iraqi Government and people to 
carry out the necessary reforms. Actual developments on the ground, in particular the security 
situation, political stability, the implementation of reforms, as well as progress with national 
reconciliation, may require the EU to modulate the policies and instruments that it deploys in 
Iraq.  The  level  of  support  the  EU  delivers  to  Iraq  should  be  linked  to  the  country's 
commitment to reform, its respect for democratic principles, inclusiveness, the non-use 

14 

 
 
 
 
of  violence  and  the  prioritisation  of  civilian  state  institutions  in  security  and  political 
governance.  

The  approach  taken  by  Iraq's  neighbours  will  be  a  crucial  determining  factor  in  the 
stabilisation  of  the  country,  in  the  success  of  the  national  reconciliation  process  and  in 
reconstruction efforts. The EU should therefore discuss this issue with partners in the region, 
to reinforce the message that a constructive and supporting role by Iraq's neighbours towards 
the  Iraqi  people  and  Government  would  lead  to  benefits  not  just  for  Iraq  itself,  but  for  the 
stability of the whole region.  

In order to help consolidate regional and international engagement in support of Iraq, the EU 
intends to co-chair with the Iraqi Government, Kuwait, the United Nations, the World Bank 
and other partners a Conference on Iraq's Reconstruction and Development in February 
2018. The conference will be hosted by Kuwait and will involve all key donors as well as 
countries in Iraq's neighbourhood. 

The EU foresees a review of this strategy after two years, to assess the impact of the actions 
outlined therein and to make adjustments as appropriate. This should include an assessment of 
the perception of the EU's policies amongst its primary stakeholders in Iraq, in order to ensure 
the  necessary,  continued  buy-in  of  the  local  population  and  of  the  Iraqi  Government  to  the 
EU's engagement. 

15