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Iraq now ranks as the second-most unstable country in the world, ahead of war-ravaged or poverty-stricken countries such as Somalia, Zimbabwe, Ivory Coast, Congo, Afghanistan, Haiti and North Korea, according to the 2007 Failed State index issued Monday by Foreign Policy magazine and the Fund for Peace.

Despite billions of dollars in foreign aid, and the presence of more than 150,000 American troops, Iraq has been on a steady decline over the past three years, according to the index. It ranked fourth last year, but its score dropped in almost all of the 12 political, economic, security and social indicators on which the index is based.

Here’s how some other countries fared.

Most unstable: Sudan, largely because of the humanitarian catastrophe in Darfur. More than 200,000 Sudanese have died, and another 2 million to 3 million have been displaced.

8th, Afghanistan: Billions of dollars in development and security aid may be futile unless accompanied by a functioning government and plans for peacekeeping and economic development, Foreign Policy reports.

Most significant downward slide: Eight of the 10 most unstable countries are now in Africa, the report concludes.