A UN monitoring agency cannot say whether all of Iraq's oil money was properly used but significant progress has been made to improve transparency, an International Monetary Fund official said.

Bert Keuppens, one of two IMF officials on the United Nation's International Monitoring and Advisory Board (IAMB), said more than $100 billion has flowed into an Iraq oil fund since it was launched in 2003. But Because of many shortcomings, the IAMB has not been able to unilaterally declare that all oil revenues have been used for the benefit of the Iraqi people, he added

In 2007, oil output was around 2 million barrels, of which three-fourths were exported, amounting to between $25 billion and $30 billion a year in sales, Keuppens said.

Asked whether the IAMB had encountered corruption in its work, Keuppens said: "The short answer is yes. Under the circumstances one would expect that."

Keuppens said oil smuggling had been reduced and there were better controls over the oil being pumped out of the ground.

Chris Hemus, who heads the IMF's safeguards assessments division, said there were still concerns about the lack of a proper metering system for Iraq's oil in the field and controls in the spending ministries.

Al-Malaf, Iraq, March 8, 2008