Weakness in the rule of law and endemic corruption hinder economic freedom, whilst the budget deficit is widening. Economic progress has been lacklustre owing to oil production cuts, with oil playing a disproportionate role in the economy, but inflation is well contained. As a young and increasingly urban nation, Iraq’s consumer market is ripe for growth, but the dominance of lower social classes could depress incomes. Internet and mobile use is rising, but innovation is the lowest regionally.
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