This report discusses the Iraqi government in the wake of Operation Iraqi Freedom (OIF). Elections for a transitional National Assembly and government (January 30, 2005), a permanent constitution (October 15), and a permanent (four year) Council of Representatives and government (December 15) have been concluded despite insurgent violence. U.S. officials hope that the high turnout among Sunni Arabs in the December 15 elections -- and post-election bargaining among all factions -- will produce an inclusive government that reduces insurgent violence.

This report discusses issues with the U.S. Embassy in Iraq such as the potential rising cost, delay in opening, quality of construction, and reported assertions of trafficking-like labor practices by First Kuwaiti General Trade and Contracting Company, the primary builder of the U.S. Embassy in Baghdad.

This report reviews proposed legislation and contracts, analyzes the positions of various Iraqi political actors, and discusses potential implications for U.S. foreign policy goals in Iraq.