STRUCTURAL IMBALANCES IN THE IRAQI ECONOMY AFTER 2003: CAUSES, EFFECTS AND TREATMENT METHODS

The Iraqi economy suffers from multiple structural imbalances, and this is attributed to several reasons, especially its dependence on crude oil, in addition to the weak coordination between economic policies, and the dominance of the public sector, which suffers from backward management methods, as well as the spread of the phenomenon of administrative and financial corruption. The research was based on the problem that the Iraqi economy is a rentier economy, meaning that it depends on the oil sector in terms of the gross domestic product and the general budget. Any fluctuation in oil prices will lead to a decline in the gross domestic product and a deficit in the general budget, and weak economic activities. The research hypothesis lies in the fact that the Iraqi economy is directly affected by fluctuations in global markets due to its rentier nature. The research concluded that the Iraqi economy is a rentier economy as it depends on the crude oil sector in terms of oil revenues, which constitute more than (95%) of total public revenues, and oil production constitutes more than (50%) of the gross domestic product, which made it more vulnerable to external fluctuations in global oil markets. The researcher recommends that it is necessary to strive to reform the tax system and advance it to a level that achieves the required economic goals, foremost of which is financing the deficit in the general budget, and then achieving economic and financial stability.