Does anyone know the amount of the current Iraqi debt? 10/9/06

[buck74]

I know Kuwait was paid 11.2 billion USD recently. Also other negotiations have gone on recently. Seems like some deadline is approaching for the Paris Club deal as well. Does anyone know where Iraq stands currently with their debt? We used to discuss this quite a bit, seems it has become less of an issue as time has gone by. I suppose this is because it is getting smaller!

[icarusII]

I know Kuwait was paid 11.2 billion USD recently. Also other negotiations have gone on recently. Seems like some deadline is approaching for the Paris Club deal as well. Does anyone know where Iraq stands currently with their debt? We used to discuss this quite a bit, seems it has become less of an issue as time has gone by. I suppose this is because it is getting smaller!

Kuwait was paid 11.2 B year to date. The UNCC set up in 1990 awarded Kuwait roughly 42 B to be paid out at a rate of 5% of oil revenue. The payments continue from the DFI in New York.
The upcoming Paris Club deadline has to do with the successful completion of "three years of upper credit agreements" with the IMF. Once this is completed, Iraq will receive the last 20% debt reduction or roughly 30 B USD.
As far as the other debt of Iraq, most of the Paris, "London" Club, and commercial debt was restructured with payments between 2011-2038. The IMF EPCA is scheduled to be repaid between 2007-2009.

All the best.......
Icarus

[buck74]

Thanks IC, is there a lot of debt with Saudia Arabia still hanging out there, or has that been taken care of?

[Dinar_OS]

This shouldn't go here but offering a companion question of sorts. Does anyone know how much money has been stolen, frozen, or otherwise unaccounted for?
Could or should this be part of their overall assets package?

[Lonestar]

I think noone knows how much is frozen or held in accounts and furthermore will this amount be factored in to the amount which supports the dinar for the CBI? I would think so but they would also have to publish the amounts in their M2 information wouldn't they?

[Lux]

I know Kuwait was paid 11.2 billion USD recently. Also other negotiations have gone on recently. Seems like some deadline is approaching for the Paris Club deal as well. Does anyone know where Iraq stands currently with their debt? We used to discuss this quite a bit, seems it has become less of an issue as time has gone by. I suppose this is because it is getting smaller!

One thing I can say is that there is no more confusing issue to research that Iraqi Debt.

The language used in articles doesn't always represent the entire picture. My totals in The Whole Enchilada Thread are still pretty much the same. Iraqi debt is basically broken down into these 4 categories:
$16.0B - Paris Club [will be reduced to $8B at the end of IMF program]
$65.0B - Other Sovereign Nations [may be as high as $81.0B]
$00.0B - Trade [see swap (http://www.investorsiraq.com/iraqi-debt/13177-iraq-announces-successful-conclusion-debt-debt.html)]
$33.0B - Reparations
$114B - $130B Total Debt still outstanding

$44.0B reduced to date
The 11.2 you mentions is the cumulative amount paid so far to Kuwait is part of Reparations as Icarus mentioned.

Here's where confusion is created by the media (yeah like that never happens):
This article mentions $41.3 awarded and $11.2B paid which means the Kuwaiti balance for Reparations only is in the $30B vicinity.
KUWAIT CITY (AFP) - Kuwait has received 11.2 billion dollars in war reparations from Iraq for Baghdad's 1990-1991 invasion and occupation of the emirate.A report by Kuwait's compensation authority, published in Al-Qabas daily, said Saturday the UN Compensation Commission had so far approved 41.3 billion dollars in war reparations for Kuwait.
Kuwait gets 11.2 bln dlrs in war reparations from Iraq - Yahoo! News UK (http://uk.news.yahoo.com/07102006/323/kuwait-gets-11-2-bln-dlrs-war-reparations-iraq.html)
The article then mentions a $16.2 debt:
The emirate, however, agreed in 2004 to an American request to substantially cut the estimated 16-billion-dollar debt owed to it by Iraq.
This debt is not related to Reparations and belongs in the Sovereign Nations category (Note: The Saudi debt is the bulk of the Sovereign Nations category and has not been addressed, though it has been a part of discussion).

The UN would have to approve any type of debt reduction regarding the Reparations portion because they were the ones who levied Iraq with this bill.
This kind of info will be made available in a clearer manner using our new format. I will make a page dedicated to debt and place a link on the main page for quick and easy reference.

If anyone has any updates, please post them here so I can update the tally. I'm sure there has been some activity, but nothing major, just Paris Club follow up, which has already been accounted for in the general agreement.

Debt: The Whole Enchilada - Updated 3/13/06 (http://www.investorsiraq.com/iraqi-debt/6917-debt-whole-enchilada-updated-3-13-a.html)


I. Paris Club Debt Debt stood at $38B+ and now stands at $27B after the 1st phase of debt reduction. Paris Club debt reduction tied into an IMF program:
30% ($11.1B) was reduced immediately and unconditionally in 2004.
Another 30% will be reduced once the plan is approved (pending).
Update 1/15/06 - triggered by SBA - reduces debt by another $11.1B
The remainining 20% ($8.0B) will be reduced once the IMF is satisfied that Iraq has implemented that program (around 2008).You can read all about the Paris Club on their site: Paris Club (http://www.clubdeparis.org/en/presentation/presentation.php?BATCH=B01WP01)

Here is the list of Paris Club Members (http://www.clubdeparis.org/en/presentation/presentation.php?BATCH=B01WP03):

Updated 3/13/06:
Signed bilateral aggreement:
Austria
Belgium
Canada
Denmark
Finland
France
Germany
Italy
Japan
Korea
Netherlands
Spain
Switzerland
United States
The other countries comprising the Paris Club creditors of Iraq are
Australia
Russia
Sweden
United KingdomBilateral agreements between Iraq and each of these countries are expected to be announced in the coming weeks.

II. Other Sovereign Nations
At this point, there is about $65-81B in debt that has not been treated yet, meaning that those countries have not decided if they are going to reduce or write off that debt. Some of it is being disputed and is part of negotiations - see section 2 (http://www.jubileeiraq.org/debt_today.htm)

III. Trade
Iraq present has $11B trade debt - Update 1/15/06: Debt Swap Announced (http://www.investorsiraq.com/iraqi-debt/13177-iraq-announces-successful-conclusion-debt-debt.html)

IV. Reparations
As discussed in other threads, this has been determined to be $33B.


Current Tally
updated 1/15/06

$16.0B - Paris Club [will be reduced to $8B at the end of IMF program]
$65.0B - Other Sovereign Nations [may be as high as $81.0B]
$00.0B - Trade [see swap (http://www.investorsiraq.com/iraqi-debt/13177-iraq-announces-successful-conclusion-debt-debt.html)]
$33.0B - Reparations
$114B - $130B Total Debt
$44.0B reduced to date

This could be reduced to $54B (if Iraq complies with the IMF program and Other Sovereigns give them comparable treatment).

Best case scenario: special treatment to Reparations which could reduce debt consiberably further (below $30B in total).

:wave:
Lux

[buck74]

Thanx Lux, nice detailed sumary of the current situation. Things look very good indeed for the future of Iraq in regard to this mountain of debt they once had. Saudia Arabia is the one final peice that needs to be dealt with, then it should be - release the dinar!