Partially below grade wall set up in mechanical/ laundry room room – GreenBuildingAdvisor

Hi, doing a reno of slab on grade home in canadian climate, hot summer, cold winter, we tore out plaster walls and spray framed everywhere on lower level except furnace room which is beside my kitchen, two furnace room walls are interior two are exterior ,  top half of two exterior furnace room walls( above grade)  are still plaster as wires, pipes etc are too extensive to remove the plaster,  we removed plaster from lower portion of the walls which is below grade as one wall had some water damage possibly from a leak from furnace or boiler at some point that moved up wall a little,  my fiancé friend came yesterday and they threw drywall up on the lower half where plaster was removed,  no insulation , no vapor barrier , the wall sections are very small , maybe 3 x 5  or 3 x 6…there was 2 inch ( i believe)  furring strips on walls attached to concrete block walls, .my question is whether its OK to have the drywall on the wall attached to the furring  strips without any insulation,  vapor barrier? Will it help with moisture or hurt? I know warm air condenses on cold exterior walls, wondering if drywall without insulation and the little air pocket behind drywall  will allow air to dry any condensation that could occurr? Also wondering if less condensation will happen as there is no insulation/ vapor barrier or more ? This room will also be laundry room , so a varity of things happening,  furnace, laundry , plumbing , and kitchen beside it  , etc 

Should we rip off drywall and try to install 2 inch foam board between furring strips and air seal or is it OK as it is?  Again top half of wall is the old plaster, there is a ledge of sorts between top half and bottom 

Thanks