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UN official upbraids US for lack of plan in Iraq

A senior UN official cautioned the US-led occupation in Iraq on Tuesday to ensure a social safety net for Iraqis as they move from a centralized to a market economy.

Ramiro Lopez da Silva, the UN humanitarian coordinator in Iraq, told a conference on the country's future that before the war, 60 percent to 70 percent of Iraq's 25 million people were totally dependent on monthly food rationing under the UN oil-for-food program, now being phased out.

"The same is true of health systems, water and sanitation, electricity, agriculture, education, housing and the like," he said. "There needs to be social safety nets in place as [Iraq] moves to a market economy."

The oil-for-food program used Iraq's oil revenues to pay for food, medicine and other civilian supplies to ease the impact of sanctions on former president Saddam Hussein's government. The sanctions were lifted last month by the UN Security Council but food rations are expected to resume shortly.

Paul Bremer, the chief US administrator in Iraq, has made clear he wants to privatize more than 40 government-owned companies. Iraqi representatives at the meeting said this would have to begin with a legal framework before investors could make commitments.

The conference is aimed at raising money from international donors and discussing ways to combat the chaos in Iraq and get reconstruction started. UN officials as well as nations taking part in the reconstruction attended the two-day meeting, although donations for rebuilding will not be requested until a donors conference in September.

Mark Malloch Brown, head of the UN Development Program, which sponsored the meeting, said a political council of Iraqis had to be organized as soon as possible. A budget with revenue projections from oil sales needs to be set before the September meeting, he said.

Da Silva also said establishing an Iraqi leadership group was crucial as "the absence of a clear direction hampers decision making and impedes substantive dialogue."

He also said the looting and lack of security hampered his teams and was "unlikely to improve quickly."
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