Abadi adviser: Gulf countries intend to extinguish debts owed by Iraq

Abadi adviser: Gulf countries intend to extinguish debts owed by Iraq

Posted, 2018-02-20

Abadi adviser - Gulf countries intend to extinguish debts owed by IraqSpecial – Mawazine News
The economic adviser to the Prime Minister, the appearance of Mohammed Saleh, on Monday, Iraq is committed to the limits set for all countries on access to loans, while they revealed an intention by the Gulf countries to extinguish the debts owed by Iraq.
“Most of his debt goes back to the pre-1990 era, to the Iran-Iraq war, which has not been confirmed by the lack of documents to prove it,” Saleh told Mawazine News.
He disclosed that “the intention of the Gulf States to write off debts owed by Iraq for a final,” pointing out that “the UAE years ago, decided to cancel the debt, but it is still verbally undocumented.”
He expected the economic adviser, “to write off debts owed by Iraq after the Kuwait Conference so that it has the capacity to deal with loans,” describing the talk about Iraq’s acceptance of loans obtained at the Kuwait Conference as “contradictory because the World Bank is a sponsor of the conference, Iraq’s inability to repay loans. ”
“Iraq does not need the loans it gets at the conference, even if it has soft benefits,” said Abdul Rahman al-Mashhadani, an economist at the Kuwait conference. “Iraq needs loans to buy production lines, Investments in factories to operate a workforce or loans that address the balance of payments imbalances. ”
“Iraq has a license it obtained two years ago when they gave it a B + credit rating from the World Bank that qualifies for taking loans with its guarantee as well as the International Monetary Fund. It also has a pledge from Britain of 10 billion pounds, up to 14 billion dollars, What came out of the Kuwait Conference. ”
He explained that “the purpose of the Kuwait conference is to obtain grants, but what we have received are loans,” revealing at the same time that “some investors are even afraid of tribal conflicts that threaten some projects.”
Sources familiar with the Council of Prime Ministers have revealed earlier that Prime Minister Haider Abadi may “reject” loans granted to Iraq at the Kuwait Conference, noting that the World Bank has confirmed the inability of the country to bear more debt.
The Kuwait International Conference for the Reconstruction of Iraq was launched on Monday, February 12, 2018, and concluded on Wednesday (February 14th).
During the conference, Iraq received non-sovereign loans, financing and project guarantees amounting to $ 11.61 billion, through $ 1 billion Kuwait, 0.5 reconstruction exports from Saudi Arabia, $ 5,200 billion, $ 210 million, United Kingdom, $ 3.5 billion, and 1.2 billion US dollars), in addition to sovereign loans

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