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Referring to the importance of Iraq for Iran as a neighboring and friendly country, Bahram Ghasemi said that Iran's Foreign Minister Mohammad Javad Zarif will attend the three-day Kuwait International Conference for Reconstruction of Iraq (KICRI) which kicked off today.

The conference was held in Kuwait and included donors and investors, as well as other countries.

Qusai Abdelfattah, director general at the planning ministry, said US$22 billion of those funds were needed immediately and the rest for the medium term.

"We finished one battle but we are engaged now with a war for reconstruction", said Mustafa al-Hiti, the head of Iraq's reconstruction fund for areas affected by terrorist operations.

In December past year, Iraq declared the war with ISIS over and is now seeking foreign investments in major projects that would help it to revive its economy, which has also been hurt by low oil prices.

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The projects include rebuilding destroyed facilities, such as Mosul International Airport, and new investments to diversify the economy away from oil by developing transportation, agriculture and industries based on the country's energy wealth, including petrochemicals and oil refineries.

About 2.5 million Iraqis remain displaced by the fighting, he added. The United States, which led the coalition that provided the Iraqi armed forces with crucial air-support in the fight against IS, does not plan on pledging any money at the Kuwait conference, according to American officials.

"Tillerson added that the official USA export credit agency, the Export-Import Bank of the United States (EXIM), would sign with Iraq's finance ministry on Tuesday a $3bn memorandum of understanding "that will set a stage for future cooperation".

Lise Grande, U.N. Humanitarian Coordinator for Iraq, said failure to help Iraq could lead to renewed instability.

He said that broad participation in these events gives it a great importance and is a message from the global community regarding its commitment to the security and stability of Iraq and its commitment to the reconstruction of its liberated areas.

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Kuwait has opened a week of conferences seeking aid for rebuilding Iraq after the onslaught of the Islamic State group. Baghdad has said it is determined to tackle the red tape and corruption that hamper investment.

Since the 1980s, resource-rich Iraq has been battered by war and global economic sanctions.

The meeting, which brings together several economic powers, as well as regional and global organisations, will discuss the required contributions to rebuilding Iraq after many years of war and conflict, reports Xinhua news agency.

The US also occupied Iraq for eight years after its invasion of the country in 2003, which led to the fall of former strongman Saddam Hussein.

Iraq has suffered from decades of war.

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