The European Commission has earmarked €200 million in aid for Iraq next year and will give a further €30 million to help the country prepare for parliamentary elections due this December.
The EC has already given around half a billion euros for development in Iraq for vaccines, school books for children and developing workers' skills to boost jobs.
It has also spent around €50 million on information campaigns, training journalists and observers and improving information technology during January's national assembly election and this month's referendum on the constitution.
"The objective is to help the Iraqis build a genuine, accountable and legitimate structural governance with effective government operations," the commission's director for Middle East and Mediterranean affairs, Christian Leffler, told journalists.
The cash for next year is part of the commission's budget for next year and will need to be approved.