Iraq's debt "very safe" below 33% of GDP

  Iraq's debt "very safe" below 33% of GDP

Iraq’s total public debt remains below 33% of the country’s gross domestic product (GDP), securing a low-risk standing in global credit rankings, an Iraqi official confirmed Friday.

Speaking to Shafaq News, Mazhar Mohammed Saleh, financial adviser to the prime minister, noted that Iraq wiped out nearly $100 billion in legacy foreign debt through the 2004 Paris Club agreement, most linked to pre-1990 conflicts under the former regime. The remaining debt was restructured over two decades, with the final installment—a $2.7 billion bond—due for full repayment by 2028.

During the war against ISIS, Iraq borrowed about $12 billion to support its national budget. The majority of these loans, especially those from the International Monetary Fund, have been repaid.

In the coming four years, Iraq must repay $9 billion in external debt. A similar amount, mainly from international development funds, is dedicated to rebuilding areas liberated from conflict. External debt currently represents roughly 8% of GDP, which Saleh described as “very safe.”

Domestic public debt totals 85 trillion Iraqi dinars (around $65 billion), with half held in the Central Bank of Iraq’s investment portfolio and the remainder mostly with state-owned banks or issued as bonds and treasury bills. Saleh attributed this accumulation to three significant downturns in oil revenues over recent years.

Internal debt, however, makes up about 25% of GDP. Combined with external obligations, Iraq’s total public debt stays below 33%—well under the widely accepted 60% threshold for sustainable debt levels.

Saleh also highlighted an unresolved $40 billion in debt dating to the Iran-Iraq war that remains unsettled despite the 2004 Paris Club deal. These “odious debts,” owed to eight countries, are expected to be written off by at least 80% under the agreement, pending verification.   link

FIREFLY: SYRIAN DEBTS TO THE WORLD BANK WAS JUST PAID OFF BY SAUDI ARABIA & QATAR

 Frank26   

[Iraq boots-on-the-ground report]  

FIREFLY:Television says Syrian debts to the World Bank which is about $15.5 million was just paid off by Saudi Arabia and Qatar.  

Your president is gone but the shadow that he's cast over the Middle East is causing peace all over the place...

PIMPY: He's trying to bring peace to the Middle East.

 Pimpy  

As you can see over in Syria the people celebrated throughout the night.  Trump lifted all sanction off Syria.  He's trying to bring peace to the Middle East...

He seems to be doing not only a great job but a very supportive job...Trump is...promising the region prosperity if they agree.  He's got these countries...that support Iran are telling Iran, 'You need to get your shit together dude.  We want prosperity.  We're tired of all the fighting.  We want peace in the Middle East.'  

 It looks like Trump is going to get his way...If you can avoid conflict, you understand how much prosperity would be there?

  Countries would grow economically.  These people would have stronger currencies, more economic growth...And this includes Iraq. 

DINAR EXCHANGE: What Is an RV (Revaluation)? @DINARREVALUATION #iraqidinar #iraq

 

During the Baghdad Summit, Iraq prepares to present a modern economic vision, the outlines of which were drawn up by Sudani.

  During the Baghdad Summit, Iraq prepares to present a modern economic vision, the outlines of which were drawn up by Sudani.

Iraq is preparing today, Saturday, to present a modern economic vision stemming from nationalist trends outlined by Prime Minister Mohammed Shia al-Sudani during the Arab Summit. Meanwhile, the presence of Arab leaders and monarchs in Baghdad marks a turning point in regional relations and consolidates Iraq's openness to its Arab surroundings. 

The Executive Director of the Iraq Development Fund, Mohammed Al-Najjar, said, "Iraq is preparing to present a modern economic vision stemming from national trends whose outlines were shaped by Sudan." He pointed out that, "This vision includes new partnership paths and advanced investment methods that are in line with the nature of the current economic phase and challenges." 

Al-Najjar emphasized that "the presence of Arab leaders in Baghdad represents a turning point in regional cooperation relations and consolidates Iraq's openness to its Arab surroundings." He added that "the Iraq Development Fund today represents an attractive and diverse investment base capable of absorbing capital and companies seeking to enter the Iraqi market, which is characterized by its vastness and rapid growth."  link

TIDBIT FROM MNT GOAT

 Mnt Goat  

 Article:   "SWIFT AND THE US FEDERAL RESERVE PUT IRAQ AT THE MERCY OF THE GLOBAL ECONOMY"

   Quote:  "Iraq has become more vulnerable to global economic shocks due to its increasing connection to the international financial system"  

 WOW!...Although this may seem like a negative statement this is actually an all-telling concept in just where Iraq now stands in the global arena. If they are going to go international with their currency there will be vulnerability. 

They are no longer isolated and under the sanctioned post-war process so of course they are going to be more “vulnerable to global economic  shocks”. 

  I also believe this is setting the stage for the IQD for a future float, which comes only with the new basket of currency for a new peg.

Aki will give us a list of the private banks that will collect the 3-zero notes for the CBI !!! #iqd