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FINANCIAL NEWS
Iraq’s Kurdistan to borrow USD3bn oil pre-payment deals
01 Mar 2017
(MENAFN) Iraq’s Kurdistan has confirmed new deals to borrow USD3bn from trading houses and Russian state oil firm Rosneft, which will be guaranteed by future oil sales to enhance its fiscal position.
Accordingly, the new agreements had been concluded in recent weeks, while the region also discussed grace periods of between 3 and 5 years for repaying the debt.
Meanwhile, Baghdad would sue buyers of Kurdish oil, arguing that the central government was the only legal exporter.
Moreover, this will help its economic independence although it is important to understand that this cannot be achieved by oil revenues and higher oil prices.
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MENAFN0103201700450000ID1095276522
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