Iraq's chilling econoomic statistics

By Ali Abunimah, 23 March 1999

Iraq's total GDP has fallen to just $5.7 billion, or $247 per capita, according to estimates by the well-respected Economist Intelligence Unit in The Economist's newly published annual supplement The World in 1999.

Just prior to the Gulf War, Iraq's GDP was more than ten times higher—around $60 billion.

Last year the Economist Intelligence Unit estimated Iraqi GDP at $30.4 billion, or $1,300 per capita. This year's figure represents both a further precipitous decline, and more accurate estimates.

To put this in perspective, Jordan, Iraq's tiny neighbor has a GDP of $8.6 billion.

With an estimated per capita GDP of only $247, Iraq, once one of the most developed countries in the Middle East, is now poorer than many countries in sub-saharan Africa.

Just this evening I had the opportunity to attend a talk by former UN humanitarian relief coordinator for Iraq, Denis Halliday. Halliday noted that Iraq's recurring annual budget needs for health, food and essential services, is $12-15 billion. With the Oil-for-Food program, which Halliday ran for thirteen months, Iraq gets barely $4 billion.

With a total GDP of $5.7 billion Iraq's economy is worth about the same as four B-1 bombers. It is worth about half of Bill Gates.

The entire Iraqi economy amounts to just 2% (two percent) of the annual United States DEFENSE budget of $265 billion.

The increase in the US defense budget proposed for next year by the Clinton Administration ($12 billion) is more than twice the entire GDP of Iraq.

Just exactly what kind of threat can Iraq present? You do the math.

Ali Abunimah
ahabunim@midway.uchicago.edu
http://www.abunimah.org