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An international classification indicates the slow economic diversification in Iraq and the biggest challenge it faces
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Moody's rating agency affirmed Iraq's credit rating at Caa1 with a stable outlook.
Moody's stated that the confirmation of the rating reflects the credit challenges posed by Iraq's exceptionally large economic and financial dependence on oil.
Moody's stated that the stable outlook for Iraq balances a number of potential positive and negative drivers.
She added that progress in economic diversification is still slow and hampered by the weak business environment and investment climate in Iraq.
She considered corruption to be the biggest institutional challenge facing Iraq.
Moody's said that Iraq's political landscape and growing political stability risks threaten to further slow progress on institutional and economic reforms.
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