An alcohol such as methanol is reacted with carbon monoxide in a liquid reaction medium including a catalyst, an alkyl iodide such as methyl iodide, alkyl acetate such as methyl acetate in specified proportions, an additive, and an effective amount of water, where the additive increases an ionic character of the hydrogen iodide bond and the effective amount of water is sufficient to facilitate carboxylic acid release after carbonylation at the catalyst and to reduce anhydride formation. The present reaction system not only provides an acid product at water levels considerable below levels currently used, but also provides unexpected reaction rates and unexpected high catalyst stability.