Spending slow on Iraq rebuilding, report says
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WASHINGTON -- Less than 7 percent of the $18.4 billion that Congress approved last year to rebuild Iraq has been spent, the Bush administration said yesterday in its latest report on progress there.
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After the U.S. government spent millions of dollars to restore parts of a major power station in Baghdad, the plant is still not fully operational because the Iraqi Ministry of Electricity has not properly operated and maintained it, according to a report released yesterday by an oversight agency.
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U.S. construction spending fell a more-than-expected 1 percent in October led by a seventh straight drop in private residential building and adding evidence to a weak housing sector, a government report said on Friday.
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Growth in the manufacturing sector slowed in August while construction spending dropped sharply in July, data showed.
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Iraqis were promised billions of  dollars in mainly American aid to rebuild their country after  last year's U.S.-led invasion, but mounting violence has choked  reconstruction spending to almost nothing.
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The U.S. government should have been   quicker to employ local firms to help rebuild Iraq instead of   relying on U.S. corporations whose contracts gave them no   incentive to minimize costs, a U.S. official said on Thursday.
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U.S. manufacturing contracted in November for the first time in 3-1/2 years, while construction spending fell sharply in October, according to reports on Friday pointing to a slowdown in the U.S. economy.
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The US administration seeks to refocus its spending in Iraq on better security and other short-term needs.
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A Bush administration report on Iraq shows satisfactory progress on eight benchmarks, unsatisfactory progress on another eight and mixed results on the other two
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U.S. construction spending fell a  sharper-than-expected 1 percent last month as home building  posted a seventh straight drop, according to a government  report on Friday that underscored the weakness in the U.S.  housing market.
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President George W. Bush is expected on Monday to estimate the costs for the Iraq war at nearly $300 billion over the next 2 1/2 years and propose limiting domestic spending for fiscal year 2008.
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The White House is expected to give Congress an interim report on progress in Iraq showing mixed progress.
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Surging violence in Iraq this month has  disrupted reconstruction work in parts of the country, but  plans are still on track for a tenfold increase in the number  of projects, a U.S. general said Sunday.
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Iraq could plunge into still deeper  chaos unless billions of dollars the international community  has pledged for rebuilding are spent quickly, the Baghdad  government will warn this week.
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WASHINGTON  - U.S. construction spending fell unexpectedly by 0.4 percent in November, as a cooling in residential construction overpowered a small rise in public spending, a government report showed on Monday.
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Provincial reconstruction teams, the civilian centerpiece of the Bush administration's strategy in Iraq, are making "incremental" progress in some areas and very little in others, a government auditor told Congress yesterday.
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The latest Pentagon report on Iraq says the situation is continuing to improve but the handover is lagging.