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arh777
06-19-2005, 08:29 PM
Thirty Percent of Iraq Debts to be Written Off


Jun 20 2005

Next October, Iraq will get a sizeable reduction of its debt burden as 30 percent will be written off according to the deal with the members states of the Paris club.


Sanan Al-Shabibi, Governor of Iraq's Central Bank, said the country had been following a strict economic reform program in accordance with the deal with the Paris Club.

According to the Governor, the deal with Paris Club, called for implementing measures to transform the Iraqi economy into a market economy.

He pointed out that negotiations were currently underway with the International Monetary Fund (IMF) on the integrated measures to control inflation, subsidize oil inventories, promoting the country revenue, and means of reducing Iraq's budget deficit.

"According to the deal with Paris Club, 80 percent of Iraq's debts will be written off on three stages. The first stage was unconditional and 30 percent of the debts were cancelled after signing of the deal.

The second phase which is due next October calls for writing off another 30 percent of the debts in accordance with the government's measure to implement the market economy program. The last stage that cancels the last 20 percent will be due later," Shabibi said. He added that by the year 2008, Iraq will start paying the remaining 20 percent of its debts.

dougmyers
06-19-2005, 09:22 PM
Now thats a good find! I wish they would write of more and faster but Ill take this too! :wave:

BigE
06-19-2005, 09:57 PM
good find.......IMO, I don't think we will see movement in Dinar until around 07 to 08. I think it will just in time before the GCC trys to pull a Euro type currencey in the whole middle east. I think Iraq and Kuwait will be to strong financially,,,thus a stumbling block for the Arab common currency to fly. I don't think they will want to give up their wealth to the likes of Saudi, Syria, Iran, and Jordan. Just my opinion, as I don't think the US wants another Euro type currency competing with the dollar, especially in the oil markets. I know my wording of this may be in laymans terms, sorry.

arh777
06-19-2005, 10:28 PM
Thirty Percent of Iraq Debts to be Written Off


Jun 20 2005

Next October, Iraq will get a sizeable reduction of its debt burden as 30 percent will be written off according to the deal with the members states of the Paris club.


Sanan Al-Shabibi, Governor of Iraq's Central Bank, said the country had been following a strict economic reform program in accordance with the deal with the Paris Club.

According to the Governor, the deal with Paris Club, called for implementing measures to transform the Iraqi economy into a market economy.
He pointed out that negotiations were currently underway with the International Monetary Fund (IMF) on the integrated measures to control inflation, subsidize oil inventories, promoting the country revenue, and means of reducing Iraq's budget deficit.

"According to the deal with Paris Club, 80 percent of Iraq's debts will be written off on three stages. The first stage was unconditional and 30 percent of the debts were cancelled after signing of the deal.

The second phase which is due next October calls for writing off another 30 percent of the debts in accordance with the government's measure to implement the market economy program. The last stage that cancels the last 20 percent will be due later," Shabibi said. He added that by the year 2008, Iraq will start paying the remaining 20 percent of its debts.


I think this is huge. They have to jump start the economy to satisfy the Paris Club. Like giving the Iraq people a little buying power.

botso
06-19-2005, 11:04 PM
good find.......IMO, I don't think we will see movement in Dinar until around 07 to 08. I think it will just in time before the GCC trys to pull a Euro type currencey in the whole middle east..

I wonder if the recent setbacks suffered by the EU Constitution and the resulting confusion in the region will hamper the GCC's desire to setup a single Gulf Currency?

Of course since most of the gulf nations are petroleum rich economies, that might be enough to unify them in contrast to the hodge podge that is Europe.

Thoughts?