Japan Releasing U.S.$2 billion (b) Long Term Loan for Iraq
Monday, February 22nd 2010 10:34 AM
Baghdad, Feb. 22 (AKnews) – The Iraqi government and Japan have singed an accord on Sunday on the release of U.S.$2 billion (b) to Iraq, as a long-term loan for Iraq, the Iraqi Finance Minister, said in a news conference, after he signed the contract in Baghdad.
“The contract, signed with the Japanese side today (Sunday, Feb. 21) envisages the Japanese government to grant a U.S.$2 billion (b) as 40-year long-term loan for Iraq, including less than 0.65% for the last 30 years of the loan-term loan period,” Minister Zubedi said.
He said the loan would be used to finance three service projects, including three water-supply stations in Nineveh, Salahaddin and Anbar Provinces, the construction of Akkaz Electric Station in Anbar, with a 120 Migawatt power and another electric power station in Kurdistan.
"The period of the loan is 40 years, including a 10-year period for a delayed payment by the Iraqi side, whilst Iraq would pay a 0.65% interest for the remaining 30 years of the 40-year loan period," the Minister said.
"I call on other states to follow the Japanese example by offering low-interest loans for Iraq and to keep away from commercial loans that threaten the Iraqi economy, apart from imposing a high interest that reaches 12%," Minister Zubeidi said.
On his part, the Japanese Ambassador to Baghdad, Shoji Ogawa, said: "the agreement represents the beginning of the activity of the Japanese companies in Iraq, following the improvement of the security situation in the country."
"The first step of the Japanese investment in Iraq has began with the development of southern Iraq's Al-Gharraf Oilfield in Thi-Qar Province, by the Japanese companies," he added.
He said that the forthcoming phase shall witness the arrival of several Japanese companies to invest in Iraq, adding: "There are several offers reaching my Office from Japanese companies, wishing to invest in Iraq."
Ba/SH (AKnews)
Monday, February 22nd 2010 10:34 AM
Baghdad, Feb. 22 (AKnews) – The Iraqi government and Japan have singed an accord on Sunday on the release of U.S.$2 billion (b) to Iraq, as a long-term loan for Iraq, the Iraqi Finance Minister, said in a news conference, after he signed the contract in Baghdad.
“The contract, signed with the Japanese side today (Sunday, Feb. 21) envisages the Japanese government to grant a U.S.$2 billion (b) as 40-year long-term loan for Iraq, including less than 0.65% for the last 30 years of the loan-term loan period,” Minister Zubedi said.
He said the loan would be used to finance three service projects, including three water-supply stations in Nineveh, Salahaddin and Anbar Provinces, the construction of Akkaz Electric Station in Anbar, with a 120 Migawatt power and another electric power station in Kurdistan.
"The period of the loan is 40 years, including a 10-year period for a delayed payment by the Iraqi side, whilst Iraq would pay a 0.65% interest for the remaining 30 years of the 40-year loan period," the Minister said.
"I call on other states to follow the Japanese example by offering low-interest loans for Iraq and to keep away from commercial loans that threaten the Iraqi economy, apart from imposing a high interest that reaches 12%," Minister Zubeidi said.
On his part, the Japanese Ambassador to Baghdad, Shoji Ogawa, said: "the agreement represents the beginning of the activity of the Japanese companies in Iraq, following the improvement of the security situation in the country."
"The first step of the Japanese investment in Iraq has began with the development of southern Iraq's Al-Gharraf Oilfield in Thi-Qar Province, by the Japanese companies," he added.
He said that the forthcoming phase shall witness the arrival of several Japanese companies to invest in Iraq, adding: "There are several offers reaching my Office from Japanese companies, wishing to invest in Iraq."
Ba/SH (AKnews)