Iraq signed with the World Bank loan agreement worth $ 250 million
Wednesday, 17 March 2010 11:13 GMT
Minister of Finance and the representative of the Fund during a press conference after the Adnan Palace in the prevention
Alsumaria News / Baghdad
Iraq has signed with the World Bank, on Wednesday, the Convention on the sustainable development policy loan of $ 250 million as a down payment of $ 500 million, while the representative of the International Fund does not require that the loan guarantees to Iraq from the fact that the founders of the World Bank.
The Iraqi Finance Minister Baqir Jabr al-Zubaidi, told a press conference attended by the ministry building, and "Alsumaria News" on the sidelines of the signing of the agreement, that "loan agreement was signed with the World Bank $ 250 million of the $ 500 million, it was agreed upon in advance," stating that "in case of lack of liquidity forced Iraq to request the remaining 250 million of the loan value."
This is the third loan, which is lending the Iraqi government by the IMF after Iraq repay a loan in 2007 was worth $ 470 million, to support the country's economic program, the Fund has also granted a second loan the Iraqi government in December 2007 was worth $ 744 million had been repaid in March 2009.
The al-Zubaidi that "the term of the loan period of 15 years, including four and a half years, a period of grace granted to Iraq, an interest rate not exceeding 1.2% because they may repay the loan deductions semi-annually, during the period of 2014 _ 2024", adding that "the loan will be in cash to Iraq for use in finance the deficit in the general budget for 2010. "
Parliament passed in the twenty-sixth of January last, the general budget for 2010 amounted to a total volume of 84.7 trillion Iraqi dinars (72.5 billion dollars) and a deficit of $ 22.9 trillion to $ 19.6 billion dinars.
For his part, the representative of the International Monetary Fund Happy Jean-Michel, during the conference, that "loan does not require collateral, so that Iraq is one of the founders of the World Bank."
The Wahhabi "The loan comes in support of the budget deficit in Iraq and support the policy of financial reform and the private sector," calling to "strengthen financial management and development in Iraq, and developing solutions for the expansion of basic services and social protection of the citizen."
The International Fund has expressed appreciation for the economic reforms in Iraq, which included enhancing the Central Bank and the restructuring of major banks for the public sector and the reduction of inflation, which reached more than 50% in 2006, was also considered that the payment of dues to Iraq, which was scheduled in 2009 reflects the success in Baghdad reform of financial policies and the exploitation of the substantial financial resources accruing from higher oil prices.
The representative of the International Monetary Fund that "Iraq has proved that he sought a serious and vigorous steps to improve its monetary policy during this period."
The International Fund has asked the Iraqi government liberalization of certain sectors of the economy of state intervention through the withdrawal of the ad hoc support for industrialists and farmers.
The total reserves of foreign currency at the present time to 42 billion dollars, up from $ 27 billion in 2008, after the rise in oil prices worldwide.
Wednesday, 17 March 2010 11:13 GMT
Minister of Finance and the representative of the Fund during a press conference after the Adnan Palace in the prevention
Alsumaria News / Baghdad
Iraq has signed with the World Bank, on Wednesday, the Convention on the sustainable development policy loan of $ 250 million as a down payment of $ 500 million, while the representative of the International Fund does not require that the loan guarantees to Iraq from the fact that the founders of the World Bank.
The Iraqi Finance Minister Baqir Jabr al-Zubaidi, told a press conference attended by the ministry building, and "Alsumaria News" on the sidelines of the signing of the agreement, that "loan agreement was signed with the World Bank $ 250 million of the $ 500 million, it was agreed upon in advance," stating that "in case of lack of liquidity forced Iraq to request the remaining 250 million of the loan value."
This is the third loan, which is lending the Iraqi government by the IMF after Iraq repay a loan in 2007 was worth $ 470 million, to support the country's economic program, the Fund has also granted a second loan the Iraqi government in December 2007 was worth $ 744 million had been repaid in March 2009.
The al-Zubaidi that "the term of the loan period of 15 years, including four and a half years, a period of grace granted to Iraq, an interest rate not exceeding 1.2% because they may repay the loan deductions semi-annually, during the period of 2014 _ 2024", adding that "the loan will be in cash to Iraq for use in finance the deficit in the general budget for 2010. "
Parliament passed in the twenty-sixth of January last, the general budget for 2010 amounted to a total volume of 84.7 trillion Iraqi dinars (72.5 billion dollars) and a deficit of $ 22.9 trillion to $ 19.6 billion dinars.
For his part, the representative of the International Monetary Fund Happy Jean-Michel, during the conference, that "loan does not require collateral, so that Iraq is one of the founders of the World Bank."
The Wahhabi "The loan comes in support of the budget deficit in Iraq and support the policy of financial reform and the private sector," calling to "strengthen financial management and development in Iraq, and developing solutions for the expansion of basic services and social protection of the citizen."
The International Fund has expressed appreciation for the economic reforms in Iraq, which included enhancing the Central Bank and the restructuring of major banks for the public sector and the reduction of inflation, which reached more than 50% in 2006, was also considered that the payment of dues to Iraq, which was scheduled in 2009 reflects the success in Baghdad reform of financial policies and the exploitation of the substantial financial resources accruing from higher oil prices.
The representative of the International Monetary Fund that "Iraq has proved that he sought a serious and vigorous steps to improve its monetary policy during this period."
The International Fund has asked the Iraqi government liberalization of certain sectors of the economy of state intervention through the withdrawal of the ad hoc support for industrialists and farmers.
The total reserves of foreign currency at the present time to 42 billion dollars, up from $ 27 billion in 2008, after the rise in oil prices worldwide.