No real concerns on Iraqi funds after the lifting of U.S. protection

No real concerns on Iraqi funds after the lifting of U.S. protection

1/6/2014 0:00

Experts and specialists claim to take precautionary measures to face any emergency
BAGHDAD – Farah pumice
after the U.S. decision to lift protection for Iraqi money end of last week, were mixed views with regard of specialists and experts in this regard, including indicates the presence of concern are not significant for some people, and the face of the international community and non- Fear of international piracy with others.
, but that most of the opinions confirmed the absence of real fears big on Iraq’s money abroad, especially that most of them fortified internationally according to the laws, however, came calls for the creation of a team of specialists and legal advisers of international to cope with it.
indicated that the protection of Iraqi funds have been imposed under UN Security Council Resolution 1483 to protect them from international claims after the fall of the former Iraqi regime in 2003, and raise this decision in 27 of the last month by President Barack Obama to end the risks that threaten the money.
immunity international legal adviser Zuhair Hassani between “morning” that Iraq is facing two types of issues, the first central bank money included immunity International, because it’s money sovereign intervention in Iraq’s reserves of cash they are covered by international immunity does not need immunity Other either the Security Council or the decisions issued by the U.S. president annually , while the second is money and the Ministry of Finance, which is money the Iraqi government, which is about the money business, and thus be subject to any claims, so it has processed the settlement on according to the Paris Club agreement and the remainder are all individual claims to private companies, adding that Iraqi funds backup of the Central Bank has full immunity. and alerts Hassani relevant Iraqi authorities to the need to push for obsolescence of all claims that over the 15 years, and claims arising from contracts concluded by the previous regime, has not been settled and the most ever by the statute of limitations, and so there is no risk from this side on the money and the Ministry of Finance, He called for the creation of a cadre of lawyers and international consultants who provide advice to the Ministry of Finance and the Central Bank and the Board of Supreme Audit and the Office of Legal advice in the case issued claims seriously, and thus Iraq can tackle the rest of the claims that are not worth more than two billion and a half billion dollars. As for the next step after decision that must be followed by the Iraqi government, he stressed the importance of creating a team of legal and international consultants, in addition to operating the Iraqi ministries settlements with foreign companies to own that have claims against the Iraqi funds, so that the settlement in accordance with the trade agreements concluded between Iraq and their countries and compensate certain amount as it happened with the U.S. government (has settle claims the U.S. between the Iraqi and U.S. governments under the Paris Club agreement of 400 million U.S. dollars), and the signing of economic agreements in this regard must be carried out by the settlement of claims that claims by foreign companies own. noted that the Paris Club of creditor nations announced in 2004 to reach an agreement to write off eighty percent of Iraq’s debt owed ​​to the states of the club, as it is implemented in three phases over the next four years, will reduce Iraq’s debt to Member States to seven billion and eight hundred million dollars instead of thirty-eight billion and nine hundred million dollars. types Debt The economic expert Dr appearance of Mohammed Saleh took to the position of neutrality toward the subject, did not appear to anxiety and fear, despite his call at the same time not to underestimate him, he says: “There are no concerns, but is a source of annoyance more than it is a source of concern, and must be for Iraq that is facing this issue, especially as all the rest of the debt does not constitute a significant burden on the potential financial of the country. “Saleh explained types of debt that resulted from Iraq during the former regime which three of them: a sovereign with countries within the Paris Club, and sovereign debt with countries outside Paris Club (the 54 countries where the remaining 8 countries is not settled the debt with it), and the third type of credit between the Iraqi government and foreign private sector, noting that more money in Iraq is the oil revenues that go into calculating receipts of oil to the Federal Reserve Bank of New York and deducted them 5 percent of compensation Kuwait war, and the remaining 95 percent remains in the calculation of the Iraqi Central Bank to the Fed American. featuring Paris Club of 19 creditor nations, including most of Western Europe, Japan, Russia and the United States, Canada, Australia, and according to estimates of the International Monetary Fund, an Iraqi debt about 120 billion dollars, is confined almost a third in the hands of the industrialized countries the main members of the club, in addition to the debt amounting to about sixty billion dollars owed ​​to Gulf neighbors, while the remaining funds are owed ​​to banks and companies. Saleh added in his speech for the “morning”: “Do not fear the big money, but there could be some disturbances on government funds in some global banks, so it must be that Iraq faces the international community and raises claims of trade creditors by the pre-1990, as it was settled under the Paris Club agreement, including nearly $ 21 billion, both cash or bonds (where Iraq’s bond is trading in global markets, the value of the benefit of 5.8 percent.) and between the nature of the payment of this debt through direct extinguish debt and pay a small amount of 10.25 percent of the value of any debt continued up to 90 percent of this debt for small At least 35 million dollars, while the most of the large debt of $ 35 million to be admitted to cover the bonds over 20 years old any rescheduling They represent 20 percent of the debt, as it was extinguished 80 percent of them, according to the Paris Club agreement, which represents a standard agreement for each sovereign Iraqi debt The mother brand. supported Saleh met Dean foreign private sector in the form of investments in Iraq according to Iraqi investment law, including back-interest of the parties (creditor and debtor) and according to the agreement between them. protection money , in turn, said financial expert, Dr. Hilal Al-Taan that the CBI is able to protects Iraq’s money, especially that it (Iraq) has the potential, stressing the lack of fear of raising the protection of Iraqi funds. said Taan in his statement the “morning” that after the fall of the former regime, Iraq has demanded the development of international protection on his money to the large debt complex that almost 140 billion to the governments of other countries in the Paris Club and outside major companies and smaller private sector foreign, so it was put money imports Iraq Development Fund DFI under the tutelage of the United Nations. deposited in (the Development Fund for Iraq) Iraq’s revenues from oil exports and withdraw the United Nations of such proceeds ratio five percent compensation to Kuwait for the invasion of Iraq to its territory in 1990, while pay and the Ministry of Finance of Iraq’s debt before the government received the responsibility for overseeing the fund. said he has settled some debts with other countries have been amortized value of 100 percent, while the debts of another was extinguished 80 percent of them According to the Paris Club agreement, as Sweet 20 percent remaining installments comfortable than the budgets of Iraq starting from 2011 and continuing until the year 2028 has hit Iraq, a large part of them, stressing that this file is about to expire, so no need for the survival of protection of Iraqi funds and no fear of international piracy on the money, because most of them turn off and the remaining little, he says. considered litigation new Iraq is illegal and that the so-called “period of the expiration of the debt,” Van Every religion has a statute, a global not exceeding 15 years, in favor of this set up investment in Iraq, instead of remaining debt custody of Iraq. some concerns as expressed economic expert Dr Paper Anwar fears and concerns of raising the protection of Iraqi funds. showed Anwar told the “morning” that the decision is not the interests of Iraq, among other obstacles, notably the current situation in the country economically, politically and security , as well as the lack of identification of the national economy and to identify the type of the Iraqi market, or is it a central open, along with the lack of control on the integrated border crossings, and not to activate the private sector properly to support GDP.

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