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Iraq construction permits business process re-engineering

IRFAD and Arab African Association Group AAA  was contracted by IFC  and in partnership with three governorates in Iraq – Baghdad, Basra, and Erbil to re-engineer construction permits process. The project aims to streamline construction permits procedures in the 3 cities by identifying in detail the current process and associated direct and indirect costs and making recommendations to eliminate redundancies and make it more transparent and efficient. AAA conducted mapping of business processes of industrial, commercial and residential permits in the 3 cities, calculated the admin burden associated with these processes using the Standard Cost Model, and offered recommendations to streamline the processes. AAA conducted consultation with the stakeholders in the 3 cities on proposed recommendations.

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Description.

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Why ?

According to the World Bank’s Doing Business Report 2013, a building permit in Iraq requires 12 steps and 187 days at a cost of 109.8% Average per capita income per year Iraq occupies 84th place out of 183 countries in dealing with building permits due to lack of legislative, regulatory and institutional frameworks, where many regulatory tools (orders, instructions, and publications) regulate building permits, causing confusion for investors and multiple implementers Which have overlapping roles and responsibilities. In addition, legislation governing building permits is obsolete and actual practices differ from legislation. As a result, procedures, cost, time and number of stakeholders vary according to the type of permit (residential, commercial or industrial) as varies from one city to another. In the absence of clear procedures, the process is subject to the discretion of the responsible officials, which may open the door to administrative corruption and lead to the emergence of an informal sector in construction as a result of the citizens’ attempt to avoid this expensive and long process, which threatens the safety of the building.

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Services provided

IRFAD and through Sarmad Khazraji working under the supervision of the expert simplifying the procedures and the team leader to study and analyze the current situation of the building permit system in three cities in Iraq, Baghdad and Basra, Erbil, through :

• – the research and collection and analysis of data and information.
  – Constituting the legislation regulating the building permits in the three aforementioned cities.
  – Visit the concerned authorities in the three cities (twice per city at most) to gather data and consult with them in accordance with the directions of the team leader regarding the audit of the work cycle and the role of the concerned authorities in the organization and application of building permits.
  – Present the work outputs to stakeholders and send comments to the team leader.
  – Reply to the team leader’s comments.
  – Coordination with the team leader to ensure that the outputs are completed on time.
  – Send weekly periodical reports to the Task Force Leader on the progress of work.

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Project results

List of legislation governing building permits in the three cities.
Proposals for the organization of this legislative system.
Reports of visits to the three cities.

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Selected photos

AAA