UAE writes off Iraq debts

Abu Dhabi, July 7, 2008 (WAM) - President HH Sheikh Khalifa bin Zayed Al Nahyan, said the UAE has written off the Iraqi debts and interest worth US$4billion. The debts were offered to Iraq in different periods.

The gesture was made yesterday at the reception given by Sheikh Khalifa to
the visiting Iraqi Prime Minister Nouri Al Maliki, at Al Bateen Palace.
Sheikh Khalifa said the UAE's decision to write off the Iraqi debts was
"genuine expression of brotherhood and solidarity between the two countries.
It is also an effort to assist Iraq to execute reconstruction projects and
rehabilitation of institutions". He further added that the decision would
ease economic burden on the Iraqi people, indicating that the UAE would not
delay to back Iraq materially and morally.

Sheikh Khalifa noted that "the restoration of security in Iraq is the
cornerstone in rehabilitation and resumption of its active regional and
international roles", adding that there was a need to assist Iraq to achieve
those goals, citing that the UAE has decided to re-open its embassy in
Baghdad.

He referred to the relative improvement in security in Iraq, adding that
such improvement would help success of political process in the country. He
called on Iraqi people and political spectrums to back their legitimate
government and eschew sectarian violence to help Iraq regain its stability
and security.

On his part, the Iraqi Prime Minister, expressed his gratitude to the UAE
initiative, saying that "it reflects the fraternity between the two peoples
of UAE and Iraq. The UAE's decision to write off the debts will enhance the
credit position of Iraqi economy and spur restoration of security and
stability". The two leaders discussed the situation in Iraq and the efforts
being exerted by the Iraqi authorities to restore security and stability
nationwide. They also tackled the regional issues.