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Global Health Economics and
            Sustainability
                                                                                        Pharmaceutical system in Iraq


            pharmacy was established in Baghdad during the Islamic   Hussain & Lafta, 2019; Torpy et al., 2009; World Health
            Golden Age of the 9   century AD (Al-Ghazal, 2003;   Organization, 2020; World Health Organization, 2021).
                               th

            Hadzović, 1997). In contemporary history, Iraq had the   The  effective  management  of these widespread  non-
            most organized pharmaceutical regulatory affairs system   communicable diseases requires timely pharmaceutical
            in the region, until the Gulf Wars (Al Hilfi et al., 2013).  support to mitigate physiological complications, which
              At present, Iraq is a war-ravaged country with a   in turn relies on a well-structured healthcare system
            population  exceeding  42  million  and  is  estimated  to   (Boehme et al., 2017; Pi-Sunyer, 2006; Torpy et al., 2009).
            reach 50 million by 2030 (United  Nations Department   As rates of non-communicable diseases continue to rise

            of Economic and Social Affairs Population Division,   dramatically, inaction will only deepen existing healthcare
            2022). Iraq witnessed fundamental changes following   inadequacies (Hussain & Lafta, 2019; Republic of Iraq
            the United States (US)-led invasion in 2003, and many   Ministry of Health, 2019a; World Health Organization,
            actors, both domestic and international, participated in   2021). This situation is even more alarming considering
            the establishment of a new state (Matsunaga, 2019). An   the young age of Iraq’s population (with a median age of
            open economic policy and increased oil revenue led to   just 20.2 years) since, without effective interventions, these
            significant  growth  in  the  Iraqi  economy (International   health  challenges  will  only  intensify  as  the  population

            Monetary Fund, 2023; World Health Organization, 2023).   ages (Torpy  et al., 2009; United  Nations Department of
            In 2023, Iraq is considered an upper-middle-income   Economic and Social Affairs Population Division, 2022).
            country, placed among the top 50 global economies, with   Furthermore, the COVID-19 pandemic revealed how an
            a total gross domestic product (GDP) of 254.99 billion US   increased burden on an already strained healthcare system
            dollars.                                           can undermine Iraq’s capacity to effectively respond to
                                                               public health emergencies (Al-Jumaili et al., 2021).
              Despite economic growth and the introduction
            of national health strategies after 2003, Iraq’s health   Since its establishment in 1920, the Ministry of Health
            indicators remain lower than those of countries with   (MoH) has been considered the backbone of Iraq’s
            similar geographic and socioeconomic status (World   healthcare system.  It  is  represented  by a  Directorate  of

            Health Organization, 2020). The healthcare system is   Health in each province and prefecture of the country (Al
            highly fragmented and continues to face numerous   Hasnawi et al., 2009). The MoH owns all public healthcare
            challenges across different operational levels(Al Hilfi et al.,   facilities and governs the entire pharmaceutical sector. It

            2013; Cetorelli & Shabila, 2014; Hussain & Lafta, 2019;   also provides primary, secondary, and tertiary healthcare
            Republic of Iraq Ministry of Health, 2019a; World Health   services  to  the  population  at  subsidized  rates  (World
            Organization & Alwan, 2004; World Health Organization,   Health Organization, 2013a). However, demand for these
            2021). A  particularly concerning issue is the limited   services far outweighs its supply, public healthcare facilities
            funding allocated to the health sector: in 2019, only 4.5%   are strained due to population growth, dilapidated
            (about 5 billion US dollars) of the total GDP was dedicated   infrastructure still suffering the aftereffects of turmoil, and
            to  healthcare.  Of  this,  nearly  a  quarter  was  used  for   a lack of investment in the healthcare sector (Republic of
            purchasing medicines and settling overdue payments, yet   Iraq Ministry of Health, 2019a).
            significant gaps in pharmaceutical supply exist (Republic   A particularly concerning consequence is that out-of-

            of Iraq Ministry of Health, 2019a).                pocket expenses account for more than half of Iraq’s total
              The current epidemiological landscape of Iraq is   healthcare expenditure (World Health Organization, 2023).
            aligned with an upper-middle-income country, with   This issue is further exacerbated by the lack of a national
            the  predominant  disease  burden  originating  from  non-  health financing scheme. Health insurance is available
            communicable diseases (Hussain & Lafta, 2019; World   only through a limited number of private corporate
            Health Organization, 2021).  Key  conditions  of  concern   programs, which primarily serve the socioeconomically
            include obesity, diabetes mellitus, hypertension, and   wealthy. These factors collectively contribute to inequitable
            cancers (World Health Organization, 2021; World    healthcare access and adversely affect population health
            Health Organization, 2023).  The prevalence  of these   outcomes.
            conditions has been increasing since 2003 (World     The MoH is guided by the National Health Policy,
            Health Organization, 2023). In addition, high rates of   with  the  current  version  covering  the  period from  2013
            smoking, inadequate physical activity, and elevated air   to 2023. This policy outlines key priority areas within the
            pollution levels contribute to more fatal conditions, such   health sector (Republic of Iraq Ministry of Health, 2015).
            as stroke and ischemic heart disease – currently among   The overarching goal is to improve universal healthcare
            the leading causes of death in Iraq (Boehme et al., 2017;   coverage through strengthening health governance,


            Volume 3 Issue 3 (2025)                         58                  https://doi.org/10.36922/GHES025110025
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