Mubasher: Standard & Poor's (S&P) assigned its 'B-' long-term foreign and local currency sovereign credit ratings on Iraq, with Stable Outlook.

At the same time, the agency assigned 'B' short-term foreign and local currency ratings.

"In our view, the rating on Iraq is constrained by its war with the Islamic State of Iraq and Syria (ISIS); political institutions that are in an early stage of development; and sectarian divisions between the Sunni, Shia, and Kurdish ethnic groups," S&P said.

The rating assumes that the government will remain in control of these assets. They are the key supports for the rating.

Iraq has the world’s fifth-largest proven crude oil reserves and is the second-largest oil exporter in the Organization of Petroleum Exporting Countries (OPEC). Oil dominates the Iraqi economy, contributing over 90% of government revenues and more than 95% of exports.