IMF renews demand on Iraq to end its debts

IMF renews demand on Iraq to end its debts

Thursday, November 11th 2010

Baghdad, Nov. 11 (AKnews) - The adviser at the Central Bank of Iraq (CBI) said on Wednesday that the International Monetary Fund (IMF) has renewed its call on Iraq to end its outstanding debts that hinder Iraqi economic development.

Nathhar Mohammed Saleh told AKnews that the IMF called on the Ministry of Finance and the Central Bank to develop feasible solutions to its external debts.

"The CBI believes that the Iraqi economy is not developed due to the country files of debts, lending and political compensations that prevent the Iraqi economy from operating freely,” Mr. Saleh said.

The Iraqi working group for joining the World Trade Organization (WTO) was established in December 2004, and presented a memorandum to obtain membership in September 2005. Iraq was chosen as an observer in January 24, 2007, and began the first round of meetings of the working group in 2007, followed by a second round of meetings in 2008, and a third in 2009.

The CBI announced that it closed 90% of its internal debts with traders and private companies, according to the Paris Convention, through which Iraq fulfilled its obligations to the entire private sector, freeing the country from a significant part of the restrictions placed upon it.

The UN Security Council issued resolution No.1483 in 2003, to put money into the Development Fund for Iraq (DFI), into which Iraqi oil imports and the oil for food program as well as funds belonging to the former regime are deposited.

http://www.aknews.com/en/aknews/2/194815/