The government under Prime Minister Mohammed Shia’ al‑Sudani has maintained cohesion, while security threats from ISIS remain low-level and contained. However, the economy faces pressure from OPEC+ production limits, regional conflict disruptions, and climate‑driven water shortages.
Introduction
Iraq is a Middle Eastern state with a complex modern history shaped by colonial mandates, authoritarian rule, wars with Iran and the U.S., and the fight against ISIS. Since adopting its 2005 constitution, Iraq has operated as a federal parliamentary republic, including the semi‑autonomous Kurdistan Regional Government (KRG).
Geography
Iraq covers 438,317 sq km, located between Iran and Kuwait with access to the Persian Gulf. Major regions include the fertile Tigris–Euphrates basin, the deserts of the west, and the mountainous Kurdish north.
People and Society
- Population (2025 est.): 42.9 million.
- Youth (15–29) represent ~29% of the population, creating long‑term employment pressures.
- Society is ethnically and religiously diverse, including Arabs, Kurds, Turkmen, Assyrians, and others.
Government
Iraq is a federal parliamentary republic.
- Prime Minister (2025): Mohammed Shia’ al‑Sudani.
- The Council of Representatives (COR) is the national legislature.
- The Kurdistan Region maintains its own government and security forces.
Population
- 42,917,742 (2025 est.).
- Population growth remains high, with a young demographic profile.
Economy
Iraq’s economy remains heavily oil‑dependent, with oil accounting for:
- 53% of real GDP,
- 88% of government revenue,
- 91% of exports (2025). GDP contracted 2.4% in the first nine months of 2025 due to OPEC+ production limits and reduced export capacity caused by regional conflict. Efforts toward diversification continue but remain limited.
Energy
Iraq is one of the world’s largest oil producers, holding 145 billion barrels of proven reserves.
- Primary energy production (2023): 96% oil, 4% natural gas.
- Electricity generation relies heavily on natural gas (58%) and oil (41%).
- Infrastructure gaps and political gridlock continue to hinder energy-sector development.
Communications
Iraq has expanding mobile and internet penetration, though infrastructure quality varies. Urban centers have significantly better connectivity than rural areas. (General context supported by World Factbook structure.)
Transportation
Iraq is investing in major transportation upgrades, including a $930 million railway modernization project to improve domestic trade and regional connectivity. Roads and ports remain essential but require modernization.
Military and Security
Security conditions in 2025 are largely stable, with ISIS limited to sporadic rural attacks. Key challenges include:
- Iran‑aligned militia activity, including attacks on U.S. facilities.
- Managing disputed territories between Baghdad and the KRG.
Travel Advice (General, 2025)
Based on typical international advisories (inference):
- High‑risk areas: rural zones with residual ISIS activity, border regions affected by regional conflict.
- Moderate‑risk areas: major cities like Baghdad, Basra, and Erbil, where security has improved but remains unpredictable.
- Travelers should monitor official government advisories due to evolving regional tensions.
Expected Trends for 2026
Based on 2023–2025 patterns:
- Political: Continued relative stability but vulnerable to regional tensions.
- Economic: Slow growth unless oil production constraints ease; diversification efforts may expand through infrastructure and foreign investment.
- Security: Low‑level ISIS activity likely to persist; militia‑related tensions may continue.
- Climate: Water scarcity and heat stress expected to worsen, affecting agriculture and urban services.
