2018 World’s Richest Arab League Countries

Iraq

Before the outbreak of war in September 1980 between Iraq and Iran, Iraq had bright economic prospects. The level of oil production had hit 560,000m3 (3.5 million barrels) per day, and the revenues from oil exportation were over $21 billion in the year 1979 and $27 billion in the year 1980. Just before the outbreak of war, Iraq had gathered around $35 billion in terms of foreign exchange reserves.

The Iran-Iraq War together with the 1980s oil gut exhausted the foreign exchange reserves of Iraq, damaged the economy and left foreign debts amounting to $40 billion. After the first war ended, the exportation of oil increased gradually with the construction of new pipelines and repair of the damaged facilities.

credit: Wikipedia
Traditionally, the manufacturing activities of Iraq are connected to the petroleum industry. The primary industries in that class include petroleum refining, manufacture of fertilizers and chemicals. Before the year 2003, limitations of privatization hindered diversification.

Since the year 2003, after removal of Saddam Hussein, security issues have been blocking the efforts of establishing new enterprises. The construction industry has highly benefited from the need to rebuild infrastructures after every war. In the 1990s, it highly benefited from the government funding housing projects and extensive infrastructure and palace complexes. The agricultural industry employs 3.3 percent of the country’s population. Iraq has a GDP per capita of $5,165 and 25 percent unemployment rate.