Thread: Archive Latest News - Think Tank - 15/04/08 - 26/08/08

Doubling the Funding of Development Lending

Iraqi government decided to double the financial assets allocated to financing the developmental lending program implemented in governorates in order to stimulate economic movement and the fight against unemployment as stated by the government spokesman, Ali Al-Dabagh, who also said in a statement that the Cabinet decided to expand the scope of those included in the small loans provided by the Ministry of Labor and Social Affairs and not restrict the loans to graduates of universities; the Cabinet will also double the balance for loans from $30 million to each province to $60 million. The statement excluded provinces of Baghdad, Basrah and Mosul which the amounts allocated to them were already doubled to $100 million each.

Al-Dabagh added that the goal of the increases is to create new job opportunities to revitalize economic activity, and help solving the widespread problem of unemployment in Iraq. He said that the Minister of Finance is requiring each of Al-Rafidain and Al-Rasheed banks to activate mechanisms for the preparation and completion of these transactions and loan approvals, distribute loans according to the approved controls and instructions, as well as abolishing the interest rate on loans, and the Government will bear the full amount of interest of 6%. He explained that the two ministries will launch and accelerate the completion of the transactions as of last Tuesday.

Doubling the funding of development lending | Iraq Updates

And again.........

Discussing oil contracts signed by the Kurdish government with foreign companies

Oil minister, Hussein Al-Shahrastani, announced that a delegation led by the Prime Minister of Kurdistan Region, Nnigervan Barzani, began discussions on the issue of oil contracts signed by the Kurdish government with foreign companies to invest oil in the north.

Al-Shahrastani added on the sidelines of his participation in the meeting of energy ministers in Rome that the law on fuels issued last March on requests of international attraction bidding must be respected; he confirmed the prevention of applying petroleum contracts which cause disputes between Baghdad Government and the Region.

Discussing oil contracts signed by the Kurdish government with foreign companies | Iraq Updates

America's Arab allies keep Rice guessing on waiving Iraq's debt, reopening Embassies

US Secretary of State Condoleezza Rice moved to Kuwait on Monday after trying to persuade Sunni-led Arab allies to back Iraq's Shiite leadership but failing to clinch any concrete commitments on debt relief or diplomatic presence. Speaking after a meeting in Bahrain with counterparts from eight Arab countries and Iraq, Rice said the talks covered relieving Iraq of billions of dollars in debt and sending ambassadors to the war-torn nation.

But she did not report any decision on either score.

"I do believe it's a process which will move forward," Rice told reporters after the meeting, which came one day after she made a surprise visit to Baghdad. "A number of countries around the table talked about their desire to have permanent representatives" in Baghdad, she added. "The terms of debt relief have long been known. It's just a matter of getting the negotiations done."

A US official who spoke to reporters on the flight to Kuwait, where Rice was to meet Iraqi Premier Nuri al-Maliki later Monday and attend a meeting of Iraq's neighbors and major powers on Tuesday, confirmed that Arab diplomats made "no formal commitments" on sending ambassadors to Baghdad.

But they showed "more disposition to look at this," he said, requesting anonymity.

Rice said she and the Arab ministers agreed that Iraq should become a "regular participant" in the 6+2+1 meetings that have brought together the six oil-rich Gulf Arab states, plus Jordan, Egypt and the US four times since January 2007.

"I think that's a very good step forward for the reintegration of Iraq into regional affairs," she said at a joint news conference with Bahraini Foreign Minister Sheikh Khaled bin Ahmad al-Khalifa.

"We're now in the process of choosing our ambassador" to Baghdad, Sheikh Khaled said without giving a timeline. Bahrain is "having discussions with Iraq on that matter."

The United States has been pressing Arab allies to send ambassadors to Baghdad and help restructure Iraq's billions of dollars in debt, most of which dates back to the Saddam Hussein era. Gulf states, especially Saudi Arabia and Kuwait, agreed several years ago to forgive a substantial part of Iraqi debt, estimated to total tens of billions of dollars. Iraq wants this to be translated into action.

Rice sought to persuade her counterparts from Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE, as well as those of Egypt and Jordan, that Iraq's Shiite-led government was now fighting for national interests, rather than sectarian ones, after it took on Shiite militias allegedly armed by Iran.

"I think adjustments are going to have to be made in the way Iraq's neighbors think about it," Rice said in Baghdad, claiming that the Maliki government was now behaving in "a non-sectarian fashion."

Since the 2003 US-led invasion that toppled Iraq's Sunni leader Saddam Hussein, its Arab neighbors have been wary not only about violence there but also about backing a government tilted toward Shiite Iran.

Sheikh Khaled said the Arab diplomats had questions about "the ambiguity of the political picture" in Iraq, but received a "very good explanation" from Rice and Iraqi Foreign Minister Hoshyar Zebari.

Zebari told reporters he presented "a series of specific demands about ways of energizing the Arab role in Iraq," and a request to waive debts to some of these countries totaling around $40 billion.

"There are pledges and a desire on the part of these countries to reopen their embassies in Iraq," he added.

According to the US State Department, Iraq's debt has been reduced by $66.5 billion over the past three years, including $42.3 billion cancelled by Paris Club members.

The United States cancelled 100 percent of Iraq's debt to it of $4.1 billion, while other Paris Club members agreed to cancel 80 percent of the debt. Russia said in February it had waived $12 billion of Iraqi debts.

America's Arab allies keep Rice guessing on waiving Iraq's debt, reopening embassies | Iraq Updates

US Welcomes Cooperation between Iraq and Turkey

Today the Foreign Ministers of Iraq, Turkey and the U.S. Secretary of State met for half an hour in the sidelines of a conference of Iraq’s neighbors held in Kuwait.

The ministers discussed the political and security situations in Iraq, the security issue of the bordering areas between Iraq and Turkey, and the question of PKK presence in Kurdistan region.

After the meeting, the U.S. Secretary of State, Condoleezza Rice, focused on the significance of the Iraq’s stability while she welcomed cooperation between Iraq and Turkey in terms of the political and security developments.

Rice considered the President Talabani’s visit to Turkey as a landmark to diffuse the political and security tensions between Iraq and Turkey. She also urged that Iraq should not be a safe haven for the terrorists, saying PKK is an enemy of Iraq, United Sates, and Turkey.

Later the Iraqi Foreign Minister, Hoshiyar Zebari, said the Turkish incursion into Kurdistan region of Iraq does not serve the stability of the region while his Turkish counterpart, Ali Babacan, said Turkey takes all measures to chase the terrorists, and affirmed Turkey’s intension to serve the peace and stability in Iraq.

PUKmedia :: English - Home

UN’s Top Political Official Urges Neighbors to Support Iraq


The United Nations political chief today urged further dialogue and stronger support by Iraq’s neighbors for stabilizing the strife-torn country, including through the opening of embassies in Baghdad.

“The support of neighboring countries is essential for the stability of Iraq,” Under-Secretary-General for Political Affairs B. Lynn Pascoe told a ministerial meeting of Iraq and its neighbors in Kuwait today, the third meeting of its kind since last year focusing on issues such as energy, refugees and border security.

Addressing the gathering on behalf of Secretary-General Ban Ki-moon, Mr. Pascoe said the opening of embassies would be “a very positive step.”

Mr. Pascoe also described stepped-up UN efforts to help the Government and people of Iraq through the work of the UN Assistance Mission there, known as UNAMI, which he visited over the weekend before arriving in Kuwait.

The UN is helping Iraq with political dialogue, the resolution of internal territorial disputes, the holding of governorate elections later this year and the review of Iraq’s constitution.

“Even though violence, political tensions and slow socio-economic progress persist, the institutions set up in Iraq in 2005 through democratic elections and a constitutional referendum are progressively taking root,” Mr. Pascoe stated.

“A fundamental consensus on a democratic, sovereign, united and federal Iraq is emerging. Nevertheless, despite continuing improvements in the capacity of Iraq’s national security forces, the security situation still remains fragile,” he added.

The Under-Secretary-General also highlighted the need to focus on alleviating the suffering of Iraq’s refugees and internally displaced persons (IDPs), “not only on humanitarian grounds, but also because it has regional repercussions.”

The UN refugee agency (UNHCR) estimates that out of a total population of 26 million, some 4.4 million Iraqis are still uprooted, including 2.4 million displaced inside Iraq and 2 million outside – mainly in Syria and Jordan.

“We believe that together with the Government of Iraq, and the wider international community, the United Nations can help host countries, particularly Jordan and Syria, with humanitarian and technical assistance,” Mr. Pascoe said, adding that the world body is also developing a programme for refugee return to ensure that the Iraqi Government and agencies are ready when the conditions are ripe for this to take place.

PUKmedia :: English - Home

Sharp drop in demand for dollar at daily Auction

Demand for the dollar was sharply down in the Iraqi Central Bank's auction on Wednesday, registering at $ 39.110 million compared to $86.260 million on Tuesday.

"The demand hit $5.210 million in cash and $33.900 million in money transfers outside the country, all covered by the bank at an exchange rate of 1,203 Iraqi dinars per dollar, unchanged for the third session in a row,” according to the central bank's daily bulletin which was received by Aswat al-Iraq- Voices of Iraq- (VOI).

The 13 banks that participated in the auction offered to sell 2 million dollars, which the bank bought all at a rate of 1,200 dinars per dollar.
Speaking to VOI, Ali al-Yasseri, a trader, attributed the lower demand for the dollar to the small number of the banks that participated in today’s session and to the small size of the remittances.

The Iraqi Central Bank runs a daily auction from Sunday to Thursday.

Aswat Aliraq

Electoral Commission demands Parliament finalize Elections Law

Head of the Independent Electoral Commission in Iraq demanded on Wednesday that the Iraqi Parliament accelerate the process of finalizing the elections law.

He stressed that the commission will not be committed to carrying out elections in October 2008 if registration centers are not open by the beginning of June 2008.

In a symposium related to political entities that was arranged in Baghdad by the Independent Electoral Commission, Faraj al-Hayderi said that lawmakers "should accelerate the process of finalizing the elections law, or at least the decree of voter qualifications, while finalizing the law."

Around two weeks ago, the Iraqi cabinet approved the law of provincial elections that will take place later this year.

Starting from the date it received the draft from the cabinet, the Iraqi Parliament has 90 days, to discuss the provincial elections law and enact it.

Al-Hayderi added that if the registration centers are not open by Jun. 1, "that implies a disability to abide by October 1 as an appointment to carry out elections."

"The preparatory period for the elections will be short, and does not meet the standard electoral measures desired by the commission's process plans, as revising voters' records is attributed to the voting process," al-Hayderi explained to the symposium that was attended by a large number of legislators from different political blocs.

The Iraqi government is counting on this law that will specify the rules of electing governors and provincial councils' members, as one of the measures that should contribute to minimizing violence, by attracting different armed groups to participate in the political process.

"There are obstacles that delay the process of opening the registration centers in time, according to the timetable prepared by the commission," al-Hayderi said.

"We demanded the Parliament at least pass the voter qualification decree before April 15, while finalizing the elections law, so that to enable the commission to open registration centers in June2008," he proceeded.

"We did not receive this parliamentary decree, and we only received a point of view that we cannot employ in the process," al-Hayderi said.

"The commission has not yet received the funds allocated for the elections budget; a matter that delays signing contracts related to voters' records requirements," he clarified.

"Training attributes (on the electoral process), related to security measures, became useless in the timetable, due to the delay in obtaining the voter qualification decree and the budget," he added.

Al-Hayderi mentioned that the commission "finalized the administrative structure and the internal order, appointed 11 managers for provinces' offices, and opened 6500 registration centers for voters registration" at different Iraqi cities.

From his side, Kareem al-Tememi, head of the electoral management at the Independent Electoral Commission, told Aswat al-Iraq – Voices of Iraq – (VOI) that the symposium "discussed the preparations and challenges to the provincial councils' elections, after it considered strategic issues in the coming stages of its performance."

He explained that the preparations are represented by "revising the voters' record to obtain a trusted one, constructing the commission to organize and carry out elections, gaining trust nationally and internationally, in addition to putting a program for electoral orientation and financial funding."

"Preparations were also represented by putting a process plan that includes voters' record, data management and measures, and training and logistic support," he said.

Al-Tememi highlighted that the challenges that face the Electoral Independent Commission are "defying the legal situation of the commission, the electoral assessment and legal frame, the data base that includes the administrative limits and the data of immigrants and displaced people, in addition to the current security situation and the financial challenges."

Aswat Aliraq

Iraqi Lawmakers protest UN Kirkuk Solution

60 Iraqi lawmakers signed a protest memorandum to the United Nations proposal to resolve Kirkuk’s issue as they have seen it an unjustified ambiguity.

Iraqi lawmakers protest UN Kirkuk solution | Iraq News | Alsumaria Iraqi Satellite TV Network

Update.......

Iraq asks Kuwait to waive due Compensations

Iraqi Cabinet spokesman Ali Al Dabbagh noted that Prime Minister Nuri Al Maliki discussed with Kuwaiti Emir Sheikh Sabah Al Ahmad Al Sabah during a meeting on Monday the issue of waiving tens of billions of dollars in compensation.

“The emir has shown a positive intention to review the issue,” said Al Dabbagh, adding that the two countries will form a joint committee to discuss the compensation.

On the sidelines of the ministerial meeting, Al Dabbagh announced that Iraq has asked that the reparations be cancelled or at least reduced from 5% of its oil revenue to 1%, stressing that the country needs major international support.

However, Kuwaiti Foreign Minister Sheikh Mohammed Al Salem Al Sabah stressed that any change in compensations should be approved by the international Security Council saying that the solution could not be solved on a bilateral level.

Iraq asks Kuwait to waive due compensations | Iraq News | Alsumaria Iraqi Satellite TV Network

Shahristani: People expect a quick Reconstruction Program

Iraq Oil Minister Hussein Shahristani said that “Iraqi people expect a quick reconstruction program that requires tens of billions of dollars”. The minister added that the security situation in the country that tends to improve especially in South does not impede contracting with foreign companies in order to reconstruct Iraq. Record oil prices will fund Iraq's massive reconstruction effort and help boost its production to the highest level in three decades, Iraq's Oil Minister added.

He said that under the relative stability in the country Iraq can start reconstruction process with a lot of foreign companies that uttered readiness and interest in reconstruction. He added that Iraq input would cover reconstruction cost.

Shahristani: people expect a quick reconstruction program | Economics News | Alsumaria Iraqi Satellite TV Network