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  BearingPoint is understood to have won a highly controversial US consulting contract to rebuild Iraq’s post-war economy.
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Back in April it looked like the contract was in the bag for BearingPoint, as the U.S. Agency for International Development appeared to be on the verge of announcing the appointment of BearingPoint. But USAID was pressured into a competitive bidding process for the work after a consortium led by Booz Allen Hamilton, Deloitte & Touche and IBM Global Services complained that it had not been able to compete for the work. Three months on, the Agency is understood to have opted for BearingPoint to undertake the work.

The assignment has considerable scope and will see BearingPoint involved in issues such as kick-starting the Iraqi economy, re-opening its banks, setting tax rates and issuing a new currency. The contract is without doubt a high-risk undertaking. A successful outcome would generate goodwill in government circles for many years to come. But the flak that could come from any perceived failures might prove very damaging…
 
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