NEW YORK CITY: The UN’s role in Iraq is shifting from a political mission to a development-focused partnership, the organization’s top official in the country said on Wednesday.

The move reflects what it sees as major improvements in security, governance and economic conditions in the nation after two decades of international engagement.

Ghulam Isaczai, the UN’s resident and humanitarian coordinator for Iraq, told reporters at the UN headquarters in New York that Iraq was now “a country at peace, with increased security and a clear determination to win the battle of development.” This echoed remarks by UN Secretary-General Antonio Guterres during a recent visit to the country.

Isaczai said Iraq had undergone a “remarkable transformation” over the past 20 years, with growing confidence in state institutions, improved standing in the region, and steady movement toward stability.

Poverty declined from about 20.5 percent in 2018 to lower levels in 2024 (17.5 percent) and 2025, he added, and Iraq’s Human Development Index might have reached a level that qualifies as high human development for the first time in four decades.

A nationwide census conducted last year put Iraq’s population at 46 million, about 60 percent of whom are under the age of 25. The collected data also revealed an increasing trend toward urbanization, which Isaczai said was putting greater pressure on city services but would allow the UN and other partners to better target development assistance.

Improved security conditions have enabled about 5 million internally displaced people to return to their homes, he added. However, about 100,000 remain displaced, most of them in camps in the Kurdistan Region, primarily as a result of housing shortages.

About 90,000 of those remaining in camps are Yazidis, largely from the Sinjar area, where unresolved security, administrative and political issues continue to hamper returns.

Isaczai told Arab News that progress depends in part on the full implementation of the Sinjar agreement between the federal government and the Kurdistan Regional Government, as well as greater financial support for housing and compensation.

He also highlighted Iraq’s role in the repatriation of its citizens from northeastern Syria, describing it as a difficult but commendable decision. About 23,000 Iraqis, mostly women and the children of former Daesh fighters, have been returned so far, with UN support, mainly from Al-Hol camp. Most of the returnees are now undergoing reintegration processes, he said, and an estimated 3,000 Iraqis remain in Syria

On the political front, Isaczai noted that Iraq successfully held the first stage of its sixth parliamentary elections in November last year, with voter turnout rising to 36 percent, up 12 percentage points from the previous election in 2021. About a third of the candidates were women and they secured 97 of the 329 parliamentary seats, he said.

The UN Assistance Mission for Iraq formally concluded its mandate on Dec. 31, 2025, marking the end of a mission-led phase that began after the 2003 US-led invasion. Isaczai said the UN was not leaving the country but instead shifting the focus of its presence toward developmental support through 25 UN agencies that operate under the resident coordinator system.

The UN and the Iraqi government recently signed a five-year cooperation framework, costed at more than $1 billion, that will focus on four priority areas: economic reform; social protection and service delivery; the environment and climate change; and governance, human rights and the rule of law.

Despite operating within a constrained global funding environment, Iraq has indicated it will contribute financially to the implementation of the framework, Isaczai said, signaling a growing sense of national ownership and a shift from being a long-term recipient of aid to becoming a partner in development. The UN plans to establish a joint partnership fund with the Iraqi government to support the framework.

Asked by Arab News about the challenges that remain, Isaczai identified climate change and water scarcity as among the most critical, particularly in southern Iraq. He said some projections suggest temperatures in the country could rise by around 3 degrees Celsius, underscoring the need for adaptation, mitigation and more efficient water management.

Economic diversification is another major challenge, he added, noting that about 90 percent of Iraq’s state revenue comes from oil. Transitioning to a non-oil economy will take time, he said, but the government’s “Vision 2050” aims to boost agriculture, tourism and manufacturing. Infrastructure projects linking Iraq with Europe, along with incentives for non-oil exports, could also help create jobs and diversify trade.

Reform of the public sector remains difficult, Isaczai said, because a large share of the population depends on the government wages, pensions and subsidies that consume much of the national budget.

Regarding security concerns, Isaczai said the Iraqi government had taken positive steps to bring all weapons under state control through dialogue with armed groups, though progress could slow during the formation of a new government. 

He acknowledged that Daesh cells continue to pose a threat but said Iraqi security forces and their partners had become increasingly capable and confident in carrying out counterterrorism operations.

Reflecting on the legacy of the UN Assistance Mission for Iraq, Isaczai said one of its key achievements was the support it had provided for the country’s democratic institutions, including elections that Iraqi officials said could not have been conducted independently a decade ago.

The UN will continue to advocate for the voluntary, dignified return of all displaced Iraqis, he added, while acknowledging that bureaucratic and compensation-related hurdles still need to be addressed.