Iraqi government formation could be delayed until 2023

Significance

The support of two-thirds of the 329 MPs is needed to back a new government. However, neither of the two main factions can garner this level of support individually, resulting in over seven months of political paralysis.

Impacts

• Long-term development will be curtailed by delayed infrastructural spending and foreign investment.
• Further periods of political paralysis are likely in the future, owing to the strong influence of identity politics.
• External intervention, particularly from Iran, will be a feature of the political and security environments.