US guarantees $1bn bond for Iraq, signs pact with Cuba
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US: THE outgoing President Barack Obama has assisted Iraq to obtain a $1 billion bond to spend on the provision of necessary amenities and infrastructures for the people of the Middle-East country.
The development came at the time the US and Cuba signed a bilateral agreement to strengthen cooperation in the field of maritime and aeronautical search and rescue.
The Office of the Spokesperson, US State Department in Washington DC said on Wednesday explained that the government of Obama had guaranteed the loan.
“Today, the Republic of Iraq successfully closed on its offering of a $1 billion sovereign bond issuance guaranteed by the United States of America,” the State Department stated.
It added: “This loan guarantee underscores the strong and enduring commitment of the United States to support the government of Iraq in this critical moment in the fight against Da’esh.
“As part of a comprehensive international assistance package – anchored by an International Monetary Fund-supported reform program – this guarantee provides Iraq access to low-cost financing essential to delivering critical services to all the people of Iraq, while laying the foundation for long-term stability and growth through economic and institutional reforms,” the State Department added.
The Department further said: “Today’s issuance of a $1 billion, five-year Iraqi sovereign bond on international markets is backed by a 100 percent guarantee by the U.S. government of the repayment of principal and interest, and was priced at a coupon rate of 2.149 percent.”
Similarly, the Department said that the bilateral pact aims to enhance effectiveness and efficiency in assisting persons in distress and to act in furtherance of obligations under international law.
“The agreement provides for cooperation and coordination between the United States and Cuba in assisting persons in distress at sea, subject to each country’s respective domestic laws,” it stated.
The Department stressed: “Chargé d’Affaires of the U.S. Embassy in Havana, Jeffrey DeLaurentis, signed the agreement on behalf of the United States, and Deputy Minister of Transportation Marta Oramas Rivero signed for the Republic of Cuba.”
- For reactions you can reach GatewayMail newspaper in Toronto, Canada via email address: info@gatewaymail.org or whatsapp: +2348033186252 (no calls).
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