Boston, MA -- (SBWIRE) -- 05/15/2013 -- Core Views

Despite the formation of a government in December 2010, we expect political progress to remain slow and stability fragile. A broken power-sharing agreement and persistent sectarian tensions present key risks.

The Iraqi economy will be among the fastest growing in the world over the coming five years, driven by an aggressive increase in oil production and the start of large-scale infrastructure projects.

Major Forecast Changes

We have revised up our forecasts for real GDP growth and project the economy to expand 11.5% in 2013, from a previous forecast of 10.3%. That said, we reaffirm our view that, with political instability increasing, risks to the economic outlook remain to the downside.

Key Risks To Outlook

Terrorist attacks on oil infrastructure or acts of political protest present downside risks to our growth forecasts.

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