Saudi Arabia, Kuwait Ready to Forgive Iraq Debt
From
Newsday.com (Associated Press):
bq. Saudi Arabia and Kuwait signaled they would forgive some of the billions of dollars owed to them by Iraq as President Bush's envoy pressed Arab nations to reduce Iraq's debt.
bq. But both Saudi Arabia and Kuwait said they would only reach debt reduction deals with a sovereign Iraqi government. Neither country said how much debt they would forgive.
Still this is a start and we are and have always been planning to have a sovereign Iraqi government in place by mid-2004.
bq. In Riyadh, Saudi Foreign Minister Prince Saud al-Faisal met with former U.S. Secretary of State James A. Baker III and told him the kingdom was willing to reduce the debt.
bq. But he said Saudi Arabia would do so only once there is a "legitimate, elected Iraqi government" and only if "Saudi companies are allowed to participate in the reconstruction of Iraq," Saudi officials said on condition of anonymity.
Ahhh - that wouldn't be the Bin Laden Construction Company now would it? The irony would be a bit much.
bq. Baker is traveling around the world on behalf of Bush to appeal for Iraqi debt forgiveness, which Washington wants in order to give a boost to the country's recovery efforts after the toppling of Saddam's regime. Iraq owes about $40 billion to the so-called Paris Club of major creditor nations and $80 billion to Arab governments.
And this debt of $40B was to be paid off with Oil - to the creditors - Total Fina Elf (France) and Lukoil (Russia). And these countries were among the most vocal in their efforts to block the Coalition from going into Iraq. So it was about the Oil after all...
bq. Kuwait "will seek with other countries to achieve an effective reduction in the Iraqi debts this year, on condition (it) would be approved by (Iraq's) constitutional institutions," the Kuwaiti state news agency quoted Sheik Sabah as saying.
bq. The Gulf nation of Qatar said it would forgive most of the $4 billion Iraq owes it and "will consider forgiving all the debts at an appropriate time," a Foreign Minisitry official said, quoted by the official Qatar News Agency said.
bq. The Emirates told Baker on Tuesday it was willing to forgive most of Iraq's $3.8 billion debt. A number of European and Asian Countries have made similar concessions.
This is very cool - James Baker is the right person at the right place. Good job!
Posted by DaveH at January 21, 2004 1:27 PM