The Role of Oil Industry in the Iraqi Economy Form 2005-2020 / Analysis Study

Abstract

It became clear through research that the Iraqi economy depends largely on oil by virtue of its possession of huge oil reserves; 92.46% of general America, 51.54% of GDP, and more than 99% of merchandise exports.

Due to the weakness of politics, social, and economic issues, the revenues of exporting oil has led to the reverse feedback on the financial stability, continuity, and even the exacerbation of unemployment due to fluctuations in oil prices in the international energy markets, which cannot be controlled by the one side that is made with capital-intensity, not labor-intensity resulting an unemployment into the community.

Finally, it was concluded that the use of oil in the right way can serve the economy and society, facing internal challenges such as corruption, for example, and external ones such as Dutch disease, diversifying public financial sources, and creating front and back links between the sectors of the economy, leading to diversification of the economy and moving away from oil unilateralism.