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International Advisory and Monitoring Board
Press Release
May 25, 2004
Statement by the International Advisory and Monitoring Board on Iraq

The International Advisory and Monitoring Board (IAMB) on Iraq met at the International Monetary Fund, in Washington, D.C. on May 24-25, 2004 and issued the following statement:

"The IAMB welcomed the Iraqi Governing Council observer Professor Mahdi Hadi Al-Kafaji and the CPA observer Mr. David Norquist. The IAMB also welcomed representatives from the CPA, and KPMG, the external auditor for oil export sales and operations of the Development Fund for Iraq (DFI).

"During the meeting the IAMB received a progress report from KPMG. The audit work is largely on track to be completed by June 30, 2004. The IAMB looks forward to continued cooperation among KPMG, the CPA, the Iraqi Governing Council, the Iraqi Ministries, and the Iraq Board of Supreme Audit in completing the audit work expeditiously. KPMG undertook to keep the IAMB fully informed on progress, and to present a full update report at the IAMB's next meeting.

"The IAMB welcomed an update by the CPA on the latest DFI activities. The IAMB looks forward to the imminent receipt of the audits on sole-sourced contracts being conducted by US government agencies.

"The IAMB received an update on controls over oil in Iraq from the CPA, including progress being made on metering, the status and financial controls over the bartering process, and the impact of the security situation on oil production. Noting that the CPA had commissioned a review of controls in the State Oil Marketing Organization, the IAMB looks forward to receiving the report.

"The next meetings of the IAMB are tentatively scheduled for June 21-22 and July 14-15."