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Enable downlevelIteration only for ES target #3201

@trivikr

Description

@trivikr

Is your feature request related to a problem? Please describe.

We currently enable downlevelIteration in tsconfig.json which is applied to cjs as well as es. It's only needed for es5 targets.

Describe the solution you'd like

Enable downlevelIteration only for ES target

Additional context

This issue was noticed while working on using recommended TSConfig in clients in #3185

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