Iraq's current government, the result of a U.S.-supported election process designed to produce democracy, is instead a sectarian government incapable of reconciliation. The Administration says that the passage of some key laws represents progress on national reconciliation, and is a result of the U.S. "troop surge." Others say that combat among Shiite groups since March 2008, possibly motivated by provincial elections planned for October 2008, shows that force will not stabilize Iraq.

Iraq's political system, the result of a U.S.-supported election process, continues to be riven by sectarianism and ethnic and factional infighting. The Administration asserts that the passage of key laws in 2008 will help heal remaining rifts and continue to reduce violence. Others see the schisms widening as Iraqi leaders wrangle over unresolved issues that are complicating the holding of provincial elections. See CRS Report RL31339, "Iraq: Post-Saddam Governance and Security," by Kenneth Katzman.

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Since 2001, Congress has appropriated about $640 billion for the global war on terrorism, the majority of this for operations in Iraq. In Jan. 2007, the Pres. announced ¿The New Way Forward¿ to stem violence in Iraq and enable the Iraqi gov¿t. to foster national reconciliation. This new strategy established goals and objectives to achieve over 12 to 18 months, or by July 2008. This report discusses progress in meeting key goals in ¿The New Way Forward¿: (1) improve security conditions; (2) develop capable Iraqi security forces and help the Iraqi gov¿t.; (3) enact key legislation; (4) spend capital budgets; and (5) provide essential services. Also discusses U.S. strategies for Iraq. Includes recommendations. Charts and tables.

Statement on whether or not the gov¿t. of Iraq has met 18 benchmarks contained in an Act which requires a report on the status of the achievement of these benchmarks. The benchmarks cover Iraqi gov¿t. actions needed to advance reconciliation within Iraqi society, improve the security of the Iraqi pop¿n., provide essential services to the pop¿n., & promote economic well-being. In summary, the Iraqi gov¿t. met 3, partially met 4, & did not meet 11 of its 18 benchmarks. Overall, key legislation has not been passed, violence remains high, & it is unclear whether the Iraqi govt. will spend $10 billion in reconstruction funds. The gov¿t. has not enacted legislation on de-Ba¿athification, oil revenue sharing, provincial elections, amnesty, & militia disarmament. Tables.

Iraq's political system, the result of a U.S.-supported election process, continues to be riven by sectarianism and ethnic and factional infighting. The Administration is expressing optimism that the passage of key laws in 2008, including a law to govern new provincial elections to held in early 2009, will heal remaining rifts and continue to reduce violence. See CRS Report RL31339, Iraq: Post-Saddam Governance and Security, by Kenneth Katzman.