Iraq's New Government Reaches 100-Day Milestone Amid Achievements and Mounting Challenges

Reports 05:18 PM - 2026-08-22

incomplete Cabinet remains one of the most significant challenges facing PM Ali al-Zaidi.

Friday, 21 August 2026, marked 100 days since the formation of Iraq’s new government, headed by Prime Minister Ali al-Zaidi, which won the confidence of the parliament on 14 May.

The milestone provides an opportunity to assess the government’s early performance, highlighting its main achievements and shortcomings while examining the challenges it faces in the months ahead.

Despite its relatively short tenure, al-Zaidi’s government has sought to make an early impact on several sensitive issues.

Anti-Corruption Campaign

The government’s anti-corruption campaign has been one of the most prominent features of its work. It has taken what officials described as bold steps, including the arrest of dozens of officials and individuals accused of embezzlement and corruption, among them party figures and former and serving officials.

The measures are intended to demonstrate the government’s commitment to recovering public funds and tackling corruption.

Although the government has not yet announced a final figure for funds actually recovered and returned to the state treasury, the value of cash, assets and property seized in initial cases involving around 20 officials, MPs and other figures linked to corruption investigations has been estimated at approximately $2 billion.

Labour Market and Private Sector Reform

The government has also taken practical steps to regulate the labour market by introducing new mechanisms and activating a “job code” for the private sector, with the aim of reducing disorder and improving workforce management.

Infrastructure and Alternative Energy

The government has remained active in launching and monitoring strategic infrastructure and energy projects.

These include work at the Akkaz gas field, aimed at strengthening energy security and reducing dependence on imported gas, as well as efforts to advance major projects such as Mosul International Airport to support economic activity in Nineveh.

Managing Economic Emergencies

Amid difficult regional circumstances, the government has sought alternative routes for oil exports and taken measures to manage revenue shocks and wider economic pressures.

Shortcomings and Criticism

Despite these efforts, the government has faced significant criticism from the public and political forces over delays in addressing several key issues.

Incomplete Cabinet

Nine ministries remain without permanent ministers, with appointments yet to be approved by Parliament amid disagreements between political blocs.

The incomplete Cabinet has affected the legislative and administrative process, contributed to the inefficient use of public funds and complicated efforts to address corruption, while also raising concerns about Iraq’s standing internationally.

Salaries, Liquidity and Austerity

Public finances remain among the government’s greatest challenges. The treasury is carrying substantial internal and external debt, while oil and non-oil revenues have fallen significantly compared with previous levels.

The situation has forced the government to introduce austerity measures and resort to emergency borrowing, fuelling concerns over its ability to guarantee the regular payment of public-sector salaries.

Electricity and Basic Services

The electricity sector remains a major source of public dissatisfaction. Government plans and pledges to increase electricity supply and reduce outages have yet to deliver significant and sustained improvements in citizens’ daily lives.

At the same time, the pace of economic transformation remains slow, while diversification continues to be limited. Iraq’s heavy dependence on oil remains a major structural weakness, with the government largely adapting existing policies rather than achieving a significant shift towards alternative sources of national income.

Major Challenges Ahead

Under the current domestic, regional and international circumstances, al-Zaidi’s government faces a complex set of security, political and economic challenges.

Bringing Weapons Under State Control

One of the most sensitive challenges is the government’s efforts to ensure that weapons are held exclusively by the state.

The government must pursue its security objectives while avoiding armed confrontation or political crises with factions and forces that possess weapons outside official state institutions.

Political and Parliamentary Pressure

The government continues to face pressure from influential political blocs and close scrutiny from Parliament.

This leaves the Cabinet vulnerable to political obstruction, with disagreements potentially affecting its ability to implement policies and legislation and, in some circumstances, exposing ministers to votes of no confidence.

A Complex Regional Environment

Regional tensions and ongoing conflicts continue to affect Iraq’s economy and security. Disruptions to supply chains, trade and oil exports have created additional pressure and complicated some of the government’s short-term development plans.

What Lies Ahead for Al-Zaidi's Government?

Having reached the 100-day milestone, al-Zaidi’s government faces a series of crucial tests that could shape its future and determine its longer-term record.

The first will be translating media statements and political commitments into tangible results. Public and political demands are growing for anti-corruption investigations and arrests to lead to the recovery of stolen funds, their return to the state treasury and final judicial rulings.

The government must also address concerns over a potential salary crisis and develop sustainable solutions to reduce the vulnerability of the national budget to future fluctuations in oil revenues.

Another key test will be the Prime Minister’s ability, as a relatively new economic technocrat on the political scene, to balance competing political interests with growing public demands for improved services and living conditions.

The first 100 days should therefore be viewed as a foundational and testing period rather than a final assessment of the government’s performance.

Ultimately, its record will depend on its ability to withstand economic, political and security pressures and, most importantly, turn its promises into tangible improvements in the lives of Iraqis.



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