That’s a nice piece of foreign policy, Mr. Baker
The Financial Times reports on some successful U.S. diplomacy over Iraq’s debt: Russia, France and Germany on Sunday agreed to forgive up to 80 per cent of Iraq’s debts, ending a long-running transatlantic dispute and easing the financial burden to be shouldered by a future Iraqi government. The deal, confirmed by US officials at the ...
The Financial Times reports on some successful U.S. diplomacy over Iraq's debt:
The Financial Times reports on some successful U.S. diplomacy over Iraq’s debt:
Russia, France and Germany on Sunday agreed to forgive up to 80 per cent of Iraq’s debts, ending a long-running transatlantic dispute and easing the financial burden to be shouldered by a future Iraqi government. The deal, confirmed by US officials at the Asia-Pacific Cooperation summit in Santiago and the G20 meetings in Berlin, was welcomed by the White House as evidence of a new-found European willingness to work constructively with Washington little over two weeks after George W. Bush’s re-election of as president…. The end of the transatlantic stand-off over Iraq’s obligations will relieve Iraq of $33bn of debt and paves the way for a broader agreement among the Paris Club of creditors which will be the benchmark for other holders of Iraq’s total sovereign debt of $125bn. Roughly a third of the total debt is held by the 19 Paris Club countries. The US had been pressing for a 90-95 per cent write-off of Iraqi debts, while French, Russian and other creditors had signalled that they would only be willing to forgive 50 per cent. A senior White House official said the deal would not have been possible without the personal, positive contributions made by Vladimir Putin, Russian president, Gerhard Schröder, German chancellor and Jacques Chirac, French president. The comments were the warmest expression of appreciation for those leaders on an Iraq-related issue since the war began in March 2003.
Kudos to the Bush administration — and its point man on this, James Baker — for reaching such a favorable agreement.
Daniel W. Drezner is a professor of international politics at the Fletcher School of Law and Diplomacy at Tufts University and co-host of the Space the Nation podcast. Twitter: @dandrezner
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