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Economist: Japanese soft loans are important and necessary at the present time

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JJONESMX


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Sun 11/27/2011 19:39


Conflict over the adoption of Iraq for the financing of investment projects BAGHDAD - Alaa Fadel counting Iraqi economic expert loans Japanese soft granted to Iraq recently, the job and necessary for the time being, at the time showed economists reservations about Iraq's dependence on loans to finance investment projects in time that can not ministries implementing development plans and you rotate the left and added to the budget the following year. The economist said Helal Taan: »The use of loans as a means to implement the projects positive political». He's (Citizen) »that these loans are affordable and interest rates very low and will not affect the economic situation in the country, but is come of interest ». He pointed out» that the loans were Japanese loans are not the Takidat certain it is soft and can be repaid over (40) years, according to government agreement with the donor ». He Taan» that these loans are not related to the budget and most of the world benefit in spite of the presence of big budget to have »and» that the state budget is still weak due to the absence of strategic plans and without the presence of mechanisms based on economic principles successful ». and saw» that these loans will not constitute any Khtraly the Iraqi economy or constrained because it is interest loans to remember and easy ». The Japan during the visit the Prime Minister termination Nuri al-Maliki agreed to give Iraq loans by about $ 750 million to help in the reconstruction. He has started his visit on the twentieth of November, at the head of a large delegation included the Ministers of Transport Hadi Farhan al-Amiri and Industry Ahmad Nasser Karbouli oil and Abdul Karim and coffee and a number of senior advisers and officials. He said the joint statement issued at the end of the visit to Japan that the loans to Iraq would finance four new projects in vital sectors. He noted Maliki, the contribution of projects to be carried out these loans to achieve social and economic stability and development of self-sufficiency. The chief adviser to Prime Minister Thamer Ghadban »The biggest of these projects will cost about $ 500 million to expand the capacity refinery in Basra, in addition to developing the telecommunications sector in Baghdad, Mosul and Basra and build a hospital and conduct a detailed study to increase the production of the refinery of Baiji ». predicted Anger that Iraq is able to repay loans in Japan to increase its oil exports, noting that Japanese projects are concentrated in the sectors contribute to improving living conditions and diversify the economy. But economic analysts have expressed reservations about Iraq's dependence on loans to finance investment projects in time that can not implement their development plans the ministries and you rotate the left and added to the budget the following year.

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