Excerpts from previous political updates, by subject

December 12, 2003

Oil for food

Oil sales under the U.N. oil-for-food (OFF) program were suspended with the onset of war on March 20. As a result, on March 28, the U.N. Security Council voted unanimously to alter the OFF program, giving the U.N. Secretary General authority for 45 days to ensure the quick delivery of goods contracted by the Iraqi Government for the humanitarian needs of its people; this mandate was then extended to June 3.

The U.N. Security Council resolution lifting economic sanctions against Iraq has allowed for a final six-month extension of the OFF program, beginning on June 3 and ending on November 21. During this time, the OFF program will coordinate with the coalition authority in Iraq to deliver an additional $10 billion worth of priority items. Most goods are in the food, agriculture, telecommunications and health sectors. Finally, since sanctions were lifted on May 22, the OFF program has been able to purchase some goods locally for the first time.

Altogether, Iraq has shipped just over 3.4 billion barrels of oil through the oil-for-food program between December 1996 and March 20, which has produced about $65 billion of income. The U.N. sanctions committee and U.N. Office of the Iraq Program have approved more than $45 billion in humanitarian contracts, including $3.8 billion in oil spares and equipment.