Australia Cancels 80% of Its Iraqi Debt.BAGHDAD, Iraq -- The Government of Iraq today whad up ==External links== *[http://www.iraq-today.com/ official website] Category:Newspapers published in Iraq announced that it has signed a bilateral agreement with Australia canceling the equivalent of U.S.$856 million of Iraqi debt, amounting to 80% of Australia's claims against Iraq. The bilateral agreement implements the Agreed Minute The Agreed Minute is a statute governing the nature of the U.S. military presence in Iceland. As Iceland has had no military of its own since World War II, its defenses are manned by NATO and American forces. The Agreed Minute was last renegotiated in 2001. At the time, the U.S. concluded in November 2004 between Iraq and eighteen Paris Club Paris Club A monthly meeting in Paris attended by creditors of 19 countries to discuss debt issues. Among other things, the Paris Club addresses the issue of coordinated debt relief for developing countries that cannot service their debt. creditor countries. Earlier this year, Iraq signed similar accords with the Netherlands, Finland, the Republic of Korea and Sweden, and during 2005 Iraq signed similar bilateral agreements with Canada, Italy, Belgium, Japan, Austria, France, Denmark, Switzerland, Spain and Germany. The United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. cancelled 100% of its claims against Iraq in December 2004. Prior to this agreement, the claims of the Australian government against Iraq totaled approximately U.S.$1,070 million. When fully phased in, the agreement signed today will reduce this debt stock to approximately U.S.$214 million. The debt reduction will take effect in three installments. Approximately U.S.$321 million was cancelled as of January 1, 2005 and a second installment of approximately U.S.$321 million of debt was cancelled as of December 23, 2005, the date of approval by the International Monetary Fund of a formal Stand-By Arrangement with Iraq. A final installment, equal to approximately U.S.$214 million, will automatically take effect upon the completion by the International Monetary Fund of the final review of a three-year implementation of IMF IMF See: International Monetary Fund IMF See International Monetary Fund (IMF). programs. The residual debt stock will be repayable over a 23-year period with 6 years of grace Years of Grace is a 1930 novel by Margaret Ayer Barnes. It won the Pulitzer Prize for the Novel in 1931. External links
Preceded by Laughing Boy by Oliver La Farge on principal payments. No principal or interest will be payable during the first three years. "Iraq appreciates the constructive approach taken by Australia throughout the negotiations of this agreement," said Iraq's Minister of Finance Ali A. Allawi. "Iraq welcomes the conclusion of another bilateral agreement implementing the Paris Club Agreed Minute." The other countries comprising the Paris Club creditors of Iraq are Russia and the United Kingdom. Bilateral agreements between Iraq and each of these countries are expected to be announced To be announced (TBA) A contract for the purchase or sale of an MBS to be delivered at an agreed-upon future date but does not include a specified pool number and number of pools or precise amount to be delivered. in the coming weeks. |
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