Wireless Communications In Iraq

I briefly discussed contracts for building the Iraqi wireless infrastructure back in August. Now Geore Soros' Iraq Revenue Watch has a new report about reconstruction efforts in this vein. The interesting part is not so much about the bidding process per se, but really the overall implications of how the CPA is going about rebuilding Iraq's infrastructure and economy:

Since establishing its authority, the CPA has taken several decisions which are rapidly transforming the Iraqi economy from state control to a free market system. It is important to remember that economic transitions occur over prolonged periods and often fail when public ownership over the process is lacking. Iraq has already experienced a prolonged economic downturn, with an estimated 60% unemployment rate and below average industrial output. The sustainability of economic reforms will remain vulnerable if public acceptance of the process is lacking. Examples from the East European transitions demonstrate how dangerous partial transition or stalled reforms can be for a state’s long-term recovery.

While Iraq requires decisive action to speed its recovery, that need must be balanced with prudence knowing that any reforms enacted today will have to be implemented by an Iraqi successor government. If the Iraqi public and the Iraqi civil service are not involved in the shaping of economic reform policies, it is unlikely that they will commit to implementing them once the Coalition government dissolves. This would be the worst case scenario for a future Iraq: rejection of those democratic and economic freedoms the CPA and the U.S. have been so keen to install after returning sovereignty to Iraq.

I'm betting that BushCo is going to start seriously hating Soros after a while, what with all his insistence on transparency and such.

ntodd  ¶ 9:54 AM