Iraq, once a relatively skilled andeconomically prosperous society, has seen its developmentthwarted by decades of conflict and economic decline. Todayit is an upper middle-income, resource-rich, yet fragile andconflict-riven country. Progress on the twin goals of endingextreme poverty and boosting shared prosperity is inevitablyan uphill struggle in such a context. Indeed, there has beenno overall movement towards either poverty reduction orreduced income equality in Iraq since 2007; headcountpoverty measured in 2014 has remained virtually unchanged at22.5 percent. What limited gains in poverty reduction wereachieved through 2012 had been reversed by 2014, as a resultof a resurgence in violence and the worsening of theeconomic environment. More than four million Iraqis havebeen displaced by the country’s various conflicts.