Part 3

The United States should work closely with Iraq's leaders to support the achievement of specific objectives--or milestones--on national reconciliation, security, and governance. Miracles cannot be expected, but the people of Iraq have the right to expect action and progress. The Iraqi government needs to show its own citizens--and the citizens of the United States and other countries--that it deserves continued support.

Prime Minister Nouri al-Maliki, in consultation with the United States, has put forward a set of milestones critical for Iraq. His list is a good start, but it must be expanded to include milestones that can strengthen the government and benefit the Iraqi people. President Bush and his national security team should remain in close and frequent contact with the Iraqi leadership to convey a clear message: there must be prompt action by the Iraqi government to make substantial progress toward the achievement of these milestones.

If the Iraqi government demonstrates political will and makes substantial progress toward the achievement of milestones on national reconciliation, security, and governance, the United States should make clear its willingness to continue training, assistance, and support for Iraq's security forces and to continue political, military, and economic support. If the Iraqi government does not make substantial progress toward the achievement of milestones on national reconciliation, security, and governance, the United States should reduce its political, military, or economic support for the Iraqi government.

Our report makes recommendations in several other areas. They include improvements to the Iraqi criminal justice system, the Iraqi oil sector, the U.S. reconstruction efforts in Iraq, the U.S. budget process, the training of U.S. government personnel, and U.S. intelligence capabilities.

Conclusion

It is the unanimous view of the Iraq Study Group that these recommendations offer a new way forward for the United States in Iraq and the region. They are comprehensive and need to be implemented in a coordinated fashion. They should not be separated or carried out in isolation. The dynamics of the region are as important to Iraq as events within Iraq.

The challenges are daunting. There will be difficult days ahead. But by pursuing this new way forward, Iraq, the region, and the United States of America can emerge stronger.

Assessment

There is no guarantee for success in Iraq. The situation in Baghdad and several provinces is dire. Saddam Hussein has been removed from power and the Iraqi people have a democratically elected government that is broadly representative of Iraq's population, yet the government is not adequately advancing national reconciliation, providing basic security, or delivering essential services. The level of violence is high and growing. There is great suffering, and the daily lives of many Iraqis show little or no improvement. Pessimism is pervasive.

U.S. military and civilian personnel, and our coalition partners, are making exceptional and dedicated efforts--and sacrifices--to help Iraq. Many Iraqis have also made extraordinary efforts and sacrifices for a better future. However, the ability of the United States to influence events within Iraq is diminishing. Many Iraqis are embracing sectarian identities. The lack of security impedes economic development. Most countries in the region are not playing a constructive role in support of Iraq, and some are undercutting stability.

Iraq is vital to regional and even global stability, and is critical to U.S. interests. It runs along the sectarian fault lines of Shia and Sunni Islam, and of Kurdish and Arab populations. It has the world's second-largest known oil reserves. It is now a base of operations for international terrorism, including al Qaeda.

Iraq is a centerpiece of American foreign policy, influencing how the United States is viewed in the region and around the world. Because of the gravity of Iraq's condition and the country's vital importance, the United States is facing one of its most difficult and significant international challenges in decades. Because events in Iraq have been set in motion by American decisions and actions, the United States has both a national and a moral interest in doing what it can to give Iraqis an opportunity to avert anarchy.

An assessment of the security, political, economic, and regional situation follows (all figures current as of publication), along with an assessment of the consequences if Iraq continues to deteriorate, and an analysis of some possible courses of action.

A. Assessment of the Current Situation in Iraq

1. Security

Attacks against U.S., Coalition, and Iraqi security forces are persistent and growing. October 2006 was the deadliest month for U.S. forces since January 2005, with 102 Americans killed. Total attacks in October 2006 averaged 180 per day, up from 70 per day in January 2006. Daily attacks against Iraqi security forces in October were more than double the level in January. Attacks against civilians in October were four times higher than in January. Some 3,000 Iraqi civilians are killed every month.

Sources of Violence

Violence is increasing in scope, complexity, and lethality. There are multiple sources of violence in Iraq: the Sunni Arab insurgency, al Qaeda and affiliated jihadist groups, Shiite militias and death squads, and organized criminality. Sectarian violence--particularly in and around Baghdad--has become the principal challenge to stability.

Most attacks on Americans still come from the Sunni Arab insurgency. The insurgency comprises former elements of the Saddam Hussein regime, disaffected Sunni Arab Iraqis, and common criminals. It has significant support within the Sunni Arab community. The insurgency has no single leadership but is a network of networks. It benefits from participants' detailed knowledge of Iraq's infrastructure, and arms and financing are supplied primarily from within Iraq. The insurgents have different goals, although nearly all oppose the presence of U.S. forces in Iraq. Most wish to restore Sunni Arab rule in the country. Some aim at winning local power and control.

Al Qaeda is responsible for a small portion of the violence in Iraq, but that includes some of the more spectacular acts: suicide attacks, large truck bombs, and attacks on significant religious or political targets. Al Qaeda in Iraq is now largely Iraqi-run and composed of Sunni Arabs. Foreign fighters--numbering an estimated 1,300--play a supporting role or carry out suicide operations. Al Qaeda's goals include instigating a wider sectarian war between Iraq's Sunni and Shia, and driving the United States out of Iraq.

Sectarian violence causes the largest number of Iraqi civilian casualties. Iraq is in the grip of a deadly cycle: Sunni insurgent attacks spark large-scale Shia reprisals, and vice versa. Groups of Iraqis are often found bound and executed, their bodies dumped in rivers or fields. The perception of unchecked violence emboldens militias, shakes confidence in the government, and leads Iraqis to flee to places where their sect is the majority and where they feel they are in less danger. In some parts of Iraq--notably in Baghdad--sectarian cleansing is taking place. The United Nations estimates that 1.6 million are displaced within Iraq, and up to 1.8 million Iraqis have fled the country.

Shiite militias engaging in sectarian violence pose a substantial threat to immediate and long-term stability. These militias are diverse. Some are affiliated with the government, some are highly localized, and some are wholly outside the law. They are fragmenting, with an increasing breakdown in command structure. The militias target Sunni Arab civilians, and some struggle for power in clashes with one another. Some even target government ministries. They undermine the authority of the Iraqi government and security forces, as well as the ability of Sunnis to join a peaceful political process. The prevalence of militias sends a powerful message: political leaders can preserve and expand their power only if backed by armed force.

The Mahdi Army, led by Moqtada al-Sadr, may number as many as 60,000 fighters. It has directly challenged U.S. and Iraqi government forces, and it is widely believed to engage in regular violence against Sunni Arab civilians. Mahdi fighters patrol certain Shia enclaves, notably northeast Baghdad's teeming neighborhood of 2.5 million known as "Sadr City." As the Mahdi Army has grown in size and influence, some elements have moved beyond Sadr's control.

The Badr Brigade is affiliated with the Supreme Council for the Islamic Revolution in Iraq (SCIRI), which is led by Abdul Aziz al-Hakim. The Badr Brigade has long-standing ties with the Iranian Revolutionary Guard Corps. Many Badr members have become integrated into the Iraqi police, and others play policing roles in southern Iraqi cities. While wearing the uniform of the security services, Badr fighters have targeted Sunni Arab civilians. Badr fighters have also clashed with the Mahdi Army, particularly in southern Iraq.

Criminality also makes daily life unbearable for many Iraqis. Robberies, kidnappings, and murder are commonplace in much of the country. Organized criminal rackets thrive, particularly in unstable areas like Anbar province. Some criminal gangs cooperate with, finance, or purport to be part of the Sunni insurgency or a Shiite militia in order to gain legitimacy. As one knowledgeable American official put it, "If there were foreign forces in New Jersey, Tony Soprano would be an insurgent leader."

Four of Iraq's eighteen provinces are highly insecure--Baghdad, Anbar, Diyala, and Salah ad Din. These provinces account for about 40 percent of Iraq's population of 26 million. In Baghdad, the violence is largely between Sunni and Shia. In Anbar, the violence is attributable to the Sunni insurgency and to al Qaeda, and the situation is deteriorating.

In Kirkuk, the struggle is between Kurds, Arabs, and Turkmen. In Basra and the south, the violence is largely an intra-Shia power struggle. The most stable parts of the country are the three provinces of the Kurdish north and parts of the Shia south. However, most of Iraq's cities have a sectarian mix and are plagued by persistent violence.

U.S., Coalition, and Iraqi Forces