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Randy_Christine
04-02-2010, 08:18 AM
Expert: Iraq's huge loans affect country's economy

Friday, April 2nd 2010 1:17 PM

Baghdad, Apr. 2 (AKnews) Iraqi economists and experts believe that Iraq's increasing loans from the world creditors and the International Monetary Fund (IMF) has a negative impact on the country's economy.

Iraq's huge loans from the IMF to overturn the 2010 budget deficit will leave negative traces on the country's economy and banking system, Mohammed Hussein, head of the Iraqi Economists Association, said Friday.

Iraq's economy dos not need the billion-dollar loans as much as it needs an in-depth academic study on the mechanisms of developing it, Hussein said, especially in the coming years that it is likely to see a breakthrough in investment projects after the government managed to attract many giant foreign companies to the country.

Hussein said the government required to cut expenses to narrow shortcomings instead of taking substantial loans.

"The three presidencies should cut expenses and bodyguards for the government officials should be reduced" Hussein said as example.

Meanwhile, member of the Iraqi Businessmen Chamber, Abdullah Al-Saiidi, said the next stage required fundamental solutions to get Iraq out of the economic crisis through enhancing the Iraqi industries, and in particular giving a more active role to trade, agriculture in addition to organizing customs and improving the Iraqi individual's income by providing jobs.

Last month, Iraq signed an agreement with the IMF to receive a package of US$250 billions of loan to make up the 2010 general budget deficit which will paid back in 15 years.

http://www.aknews.com/en/aknews/2/131113

Got-UR-back dino
04-02-2010, 08:48 AM
250 Billion dollars. Really.