CIA Director Casey personally spearheaded the effort to ensure that Iraq had sufficient military weapons, ammunition and vehicles to avoid losing the Iran-Iraq war. Pursuant to the secret NSDD, the United States actively supported the Iraqi war effort by supplying the Iraqis with billions of dollars of credits, by providing U.S. military intelligence and advice to the Iraqis, and by closely monitoring third country arms sales to Iraq to make sure that Iraq had the military weaponry required.
...
The CIA, including both CIA Director Casey and Deputy Director Gates, knew of, approved of, and assisted in the sale of non-U.S. origin military weapons, ammunition and vehicles to Iraq. My notes, memoranda and other documents in my NSC files show or tend to show that the CIA knew of, approved of, and assisted in the sale of non-U.S. origin military weapons, munitions and vehicles to Iraq.
...
The United States and the CIA maintained a program known as the "Bear Spares" program whereby the United States made sure that spare parts and ammunition for Soviet or Soviet-style weaponry were available to countries which sought to reduce their dependence on the Soviets for defense needs. If the "Bear Spares" were manufactured outside the United States, then the United States could arrange for the provision of these weapons to a third country without direct involvement. Israel, for example, had a very large stockpile of Soviet weaponry and ammunition captured during its various wars. At the suggestion of the United States, the Israelis would transfer the spare parts and weapons to third countries or insurgent movements (such as the Afghan rebels and the Contras). Similarly, Egypt manufactured weapons and spare parts from Soviet designs and provided these weapons and ammunition to the Iraqis and other countries. Egypt also served as a supplier for the Bear Spares program. The United States approved, assisted and encouraged Egypt's manufacturing capabilities. The United States approved, assisted and encouraged Egypt's sale of weaponry, munitions and vehicles to Iraq.