As reported in the WSJ:

Iraq is generating revenue of about $80 billion a year, mainly from its vast reserves of crude oil, but spending only about 1% of the total on maintaining critical infrastructure projects such as roads, bridges and sanitation, the U.S. government auditor said.

Meanwhile, the U.S. has appropriated around $48 billion in the past several years to help reconstruction efforts, the U.S. Government Accountability Office said.

The GAO, which is the investigative arm of Congress, estimates that for 2008, Iraq could generate between $73.5 billion and $86.2 billion in total revenue, of which oil exports will account for between $66.5 billion to $79.2 billion. That is based on Iraqi oil ranging from $96.88 to $125.29 a barrel and oil export volumes ranging from 1.89 million to 2.01 million barrels a day.

That figure is up significantly from the oil-export sales from 2005-2007 that accounted for about $90.2 billion for both years. In that period, Iraq spent 90% of its $67 billion in expenditures on operating costs such as salaries, pensions and services. Most of the remainder was spent on investment expenditures, such as structures, machinery and vehicles.

Just 1% of the Iraqi government expenditures went to maintenance of roads, bridges, vehicles, buildings, water, sanitation and electricity installations, oil pipelines and weapons.

An interesting story, but still I want to know where does the money go?