Iraq plans to sell international bonds

6/4/2016 0:00

Two billion dollars put the end of 6102

BAGHDAD - Follow - up to the morning ,
Finance Minister Hoshyar Zebari said that Iraq is about to international bond sale worth two billion dollars in the last quarter of the year , when the international aid flow begins , as it will help reduce the cost of borrowing for the country.

Zebari said in an interview with Reuters: that Iraq expects to receive $ 600 million in next September from the international Monetary Fund , the first of facilitating a $ 5.4 billion down payment is expected to be obtained by the country from the fund over three years under the willing agreement was announced last month.

according to observers was Aqaba Great that prevented Iraq from the issuance of sovereign bonds is international sanctions and get a credit rating as the existence of a sovereign credit rating on the bonds no matter what the degree reduces the interest rate and the discount in the event has been thrown support without credit rating will be a degree of risk , but also high that would be the discount rate the highest.

he received Iraq the first sovereign rating to him in the fourth quarter of 2015 after talks took time to settle classification at Grade B- in the first credit rating organization Fitch Ratings, the lowest six degrees on the classification of investment due to the absence of the general stability in the country.

as is known worldwide, the credit rating agencies of the three , Standard & Poor 's , and Moody 's and Fitch, the overall risks related to the issuance of debt securities , whether companies or governments to assess and prepare the source 's ability to meet payment of debt interest and premiums resulting from the most important indicator of creditworthiness upon which to build ratings by these agencies.

it seeks Iraq for international support after shrinking revenues due to the oil price collapse two years ago. The last time selling the Iraq international debt in 2006 tools when he issued bonds by about $ 2.7 billion for until the year 2028 a yield of 5.8 percent.

Said Kalta Moody 's and Fitch Ratings last month that Iraq 's agreement with the International Monetary Fund and a positive - side credit. And it gave Fitch rating B- Iraq's long - term credit.