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09/04/2008

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The top U.S. commander in Iraq says American combat troops could be withdrawn from Baghdad by next July if security gains persist.

In an interview with the "Financial Times" newspaper (published today/Thursday), General David Petraeus says such a pullout is possible, in his words, "conditions permitting." The U.S. military now has about 16-thousand combat troops in Baghdad.

Petraeus says Iraq is a "dramatically changed country" from when he took command in February 2007. He says daily attacks in Baghdad have recently declined to less than five a day, in a city of seven million people.

In another development, the International Monetary Fund says Iraq's economic prospects are improving as better security helps Iraqis to boost oil production and exports.

An IMF statement issued Wednesday says Iraq also has reduced inflation and made progress in fighting corruption in the oil industry by introducing oil meters.

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