Iraq as a Failed State:
Report #1
Pre-war through September 2003

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Executive Summary with Recommendations
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The Fund for Peace (FfP) is pleased to release its report Iraq as a Failed State: Report #1. This is the first in a series of six month reports by the FfP that will measure the effectiveness of US policies in the country in building sustainable security. The report concludes that the US invasion had an effect that went far beyond its original goal of regime change. It precipitated the final collapse of a state that had been deteriorating for years. This complete collapse, which surprised the administration, constitutes the gravest strategic miscalculation of the war.

Measuring progress since the invasion using twelve top conflict indicators, the FfP found that four have worsened since the war, three remained at about the same acutely high levels of tension, one improved substantially - though it could backslide - and four improved marginally.

The fundamental pre-war planning flaw was in not understanding how states fail, how far Iraq had deteriorated in this regard, and what would likely follow a military invasion. The security meltdown over the first six months of the occupation is a continuation of the persistent breakdown. Now it is responsibility of the US to rebuild that state. The current strategy - to fast-track the political transition - will not work because it measures success solely on the speed with which the ancien regime is replaced. It does not take into account the need to build the institutions through which elected leaders must govern.

It will take a minimum of two years, perhaps more, to get through the basics of reconstituting state institutions. But it can be done if a strategic redirection is made. Three immediate policy recommended are made concerning the economic package passed by Congress, the need for creating a wider Iraqi leadership pool, and the necessity to neutralize security threats from private militias.

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