By Rajiv Chandrasekaran
Washington Post Foreign Service
Sunday, December 28, 2003; Page A01
BAGHDAD, Dec. 27 -- The United States has backed away from several of its more ambitious initiatives to transform Iraq's economy, political system and security forces as attacks on U.S. troops have escalated and the timetable for ending the civil occupation has accelerated.
Plans to privatize state-owned businesses -- a key part of a larger Bush administration goal to replace the socialist economy of deposed president Saddam Hussein with a free-market system -- have been dropped over the past few months. So too has a demand that Iraqis write a constitution before a transfer of sovereignty.
With the administration's plans tempered by time and threat, the U.S. administrator of Iraq, L. Paul Bremer, and his deputies are now focused on forging compromises with Iraqi leaders and combating a persistent insurgency in order to meet a July 1 deadline to transfer sovereignty to a provisional government.
"There's no question that many of the big-picture items have been pushed down the list or erased completely," said a senior U.S. official involved in Iraq's reconstruction, who spoke on the condition of anonymity. "Right now, everyone's attention is focused [on] doing what we need to do to hand over sovereignty by next summer."
The new approach, U.S. diplomats said, calls into question the prospects for initiatives touted by conservative strategists to fashion Iraq into a secular, pluralistic, market-driven nation. While the diplomats maintain those goals are still attainable, the senior official said, "ideology has become subordinate to the schedule."
"The Americans are coming to understand that they cannot change everything they want to change in Iraq," said Adel Abdel-Mehdi, a senior leader of the Supreme Council for the Islamic Revolution in Iraq, a Shiite Muslim political party that is cooperating with the U.S. occupation authority. "They need to let the Iraqi people decide the big issues."
Bremer's plan for Iraqis to write a constitution before he departed had been intended to prevent extremists from dominating the drafting process. U.S. officials acknowledge that risk exists, but said it had been outweighed by the need to end the civil occupation by the summer. The presence of U.S. troops in Iraq will go on longer, military officials have said.
With goodwill toward Americans ebbing fast, Bremer and his lieutenants have also concluded that it does not make sense to cause new social disruptions or antagonize Iraqis allied with the United States. Selling off state-owned factories would lead to thousands of layoffs, which could prompt labor unrest in a country where 60 percent of the population is already unemployed.
www.washingtonpost.com