What does the handover of power mean?

Control in Iraq has now been handed over to a new Iraqi government now responsible for the day-to-day running of the country's affairs. The leader of the government is Prime Minister Iyad Allawi, from the majority Shia community. It also has a figurehead president in Sunni tribal chief Ghazi Yawer, with two deputies, one of whom is a Shia and the other a Kurd. US and other forces remain in Iraq, in order to maintain security.

When did it take place?

The original date for the handover was 30 June 2004, the same date that a Transitional Administrative Law was due to come into force defining the powers of the interim government. It was decided that bearing in mind that most of the changes were administrative, the handover could be moved forward to 28 June, two days earlier.

Going ahead on that date as opposed to the scheduled date for the transfer meant that the announcement came as western leaders were meeting in Istanbul for a NATO summit. The bringing forward of the handover meant that any possible action by insurgents was successfully navigated. It was a popular move among many, emphasising international unity and the enthusiasm of the coalition for the transfer of sovereignty.

What is the new role of the coalition?

Following the transfer, the US-led military force that has occupied Iraq since the overthrowing of the previous regime becomes a multi-national force (MNF) under overall US command. The Coalition Provisional Authority (CPA) ceases to be the occupying power in Iraq, with chief administrator Paul Bremer's position now redundant.

The government will have an important role in determining security policy through a national security council chaired by one of its representatives, with generals from both the US and the UK. Both the MNF and sovereign Iraqi forces have pledged to cooperate and coordinate with each other, with an Iraqi veto implied in an exchange of letters.

Will the change of power improve security?

There are expectations that it will. As indicated above, coalition forces will remain in Iraq and will continue to contribute to development and reconstruction in favour of stability and the well-being of the people of Iraq. With the Iraqis now in control, any opposition to rule will be harder to justify, hopefully limiting insurgent action in the country.

How does the transfer affect the reconstruction effort?

With regard to the $18.4 billion in aid authorised by the US Congress, the State Department will assume full authority. Officials say that at least $10 billion has already been obligated through contracts. The Iraqi Program Management Office (PMO) will now be known as the Project and Contracting Office (PCO) and will continue to play a major role in implementing aid projects.

The handing over of power to the Iraqi people also increases the likeliness of increased involvement from the international community, with further support for reconstruction and the forgiveness of many of Iraq's debts.

How long are coalition forces expected to remain in Iraq?

While the United Nations (UN) resolution passed earlier this month established that Iraqi officials could ask forces to leave at any time, they are expected to remain at least until a permanent Iraqi government takes office.

What will the role of the United Nations be?

The UN will play a key role in preparing Iraq for elections and in creating the institutions required for any representative government. UN Secretary-General Kofi Annan has stated that the body will go back into Iraq as soon as assurances are given on improvements in security.

What is the next step?

The government will hold power in Iraq until elections for a national assembly take place either in December 2004 or January 2005. Following those elections, it will enjoy 'transitional rule', with the national assembly forming a government with the power to draft up a new constitution, to be voted on in late 2005. Should the constitution be approved, that will pave the way for a general election before the end of the year, with hopes for the installation of a directly-elected government by early 2006.