Identifier
Created
Classification
Origin
06BAGHDAD4579
2006-12-16 14:40:00
CONFIDENTIAL
Embassy Baghdad
Cable title:
JAPANESE AMBASSADOR REPORTS ON LOAN PROJECT, LOOKS
how-toVZCZCXRO6987 PP RUEHBC RUEHDE RUEHIHL RUEHKUK DE RUEHGB #4579 3501440 ZNY CCCCC ZZH P 161440Z DEC 06 FM AMEMBASSY BAGHDAD TO RUEHC/SECSTATE WASHDC PRIORITY 8519 INFO RUCNRAQ/IRAQ COLLECTIVE RHEHAAA/WHITE HOUSE WASHINGTON DC//NSC// RUEKJCS/SECDEF WASHINGTON DC
C O N F I D E N T I A L BAGHDAD 004579
SIPDIS
SIPDIS
E.O. 12958: DECL: 12/15/2016
TAGS: PGOV PREL ECON EFIN JA IZ
SUBJECT: JAPANESE AMBASSADOR REPORTS ON LOAN PROJECT, LOOKS
FORWARD TO NEXT INTERNATIONAL COMPACT MEETING
Classified By: Ambassador Zalmay Khalilzad for reasons 1.4 (b) and (d).
C O N F I D E N T I A L BAGHDAD 004579
SIPDIS
SIPDIS
E.O. 12958: DECL: 12/15/2016
TAGS: PGOV PREL ECON EFIN JA IZ
SUBJECT: JAPANESE AMBASSADOR REPORTS ON LOAN PROJECT, LOOKS
FORWARD TO NEXT INTERNATIONAL COMPACT MEETING
Classified By: Ambassador Zalmay Khalilzad for reasons 1.4 (b) and (d).
1. (C) Summary: The Japanese Ambassador to Iraq, Hisao
Yamaguchi, briefed Ambassador Khalilzad on Japanese
government concessionary loans to various projects in Iraq,
totaling approximately USD 1.6 billion. Japan will pledge
additional funds to Iraq's reconstruction in the next meeting
of the International Compact for Iraq, which Ambassador
Yamaguchi hoped would take place in the near future.
Yamaguchi commented on his recent meeting with Prime Minister
Maliki, asked about political developments in Iraq, and
confirmed that Japan will build a large Embassy in Baghdad's
International Zone. End summary.
2. (C) Yamaguchi told Ambassador Khalilzad on December 7 that
the Government of Japan (GOJ) had already signed four
concessionary loans with the GOI, and that it expected to
pledge another two loans on December 10th. The interest rate
on the eight reconstruction and rehabilitation loans that the
GOJ has approved is of 0.75%, with a repayment period of 40
years, including a 10-year grace period. The projects to be
financed are:
-- Umm-Qasar port sector rehabilitation, USD 263 million
-- Irrigation sector loan, throughout Iraq, USD 83 million
-- Al-Mussaib thermal power plant rehabilitation, USD 320
million
-- Samawah bridges and roads construction, USD 29 million
-- Basrah refinery upgrading, USD 18 million
-- Khor Al-Zubair fertilizer plant rehabilitation, USD 158
million
-- Basrah crude oil export facility rehabilitation, USD 434
million
-- Electricity sector reconstruction, throughout the country,
USD 283 million
3. (C) Yamaguchi stated that Japan will pledge an additional
amount (NFI) of reconstruction funds in the next meeting of
the International Compact for Iraq. He wondered why the
government of Saudi Arabia had not convened this meeting yet,
and hoped that it would do so soon. Ambassador Khalilzad
stated that the US wanted the meeting to take place and that
we would be talking to the Saudis about it. Ambassador
Khalilzad mentioned mid-January as a possible time frame.
4. (C) Yamaguchi said that Prime Minister Maliki, whom he met
on December 2, seemed to be paying more attention to Iraq's
economic recovery and to Japanese assistance to Iraq. On the
political side, Yamaguchi found the PM "bullish" on Sadrists,
and asked Ambassador Khalilzad about the moderate front and
the future of the national unity government. Ambassador
Khalilzad responded that he did not think Maliki wanted to
pick a fight with the Sadrists but that the PM was not
intimidated by them either. He added that the moderate front
(comprised of Dawa, SCIRI, the Islamic Party and the two
Kurdish parties) was not conceived to end the national unity
government but rather to marginalize the extremists and make
the cabinet and the Council of Representatives effective.
5. (C) Yamaguchi thanked Ambassador Khalilzad for his
assistance in getting land for the construction of a Japanese
Embassy in the International Zone. He confirmed that the GOJ
planned to build a large, permanent Embassy, showing Japan's
commitment to maintain and develop a strong relationship with
the government of Iraq.
KHALILZAD
SIPDIS
SIPDIS
E.O. 12958: DECL: 12/15/2016
TAGS: PGOV PREL ECON EFIN JA IZ
SUBJECT: JAPANESE AMBASSADOR REPORTS ON LOAN PROJECT, LOOKS
FORWARD TO NEXT INTERNATIONAL COMPACT MEETING
Classified By: Ambassador Zalmay Khalilzad for reasons 1.4 (b) and (d).
1. (C) Summary: The Japanese Ambassador to Iraq, Hisao
Yamaguchi, briefed Ambassador Khalilzad on Japanese
government concessionary loans to various projects in Iraq,
totaling approximately USD 1.6 billion. Japan will pledge
additional funds to Iraq's reconstruction in the next meeting
of the International Compact for Iraq, which Ambassador
Yamaguchi hoped would take place in the near future.
Yamaguchi commented on his recent meeting with Prime Minister
Maliki, asked about political developments in Iraq, and
confirmed that Japan will build a large Embassy in Baghdad's
International Zone. End summary.
2. (C) Yamaguchi told Ambassador Khalilzad on December 7 that
the Government of Japan (GOJ) had already signed four
concessionary loans with the GOI, and that it expected to
pledge another two loans on December 10th. The interest rate
on the eight reconstruction and rehabilitation loans that the
GOJ has approved is of 0.75%, with a repayment period of 40
years, including a 10-year grace period. The projects to be
financed are:
-- Umm-Qasar port sector rehabilitation, USD 263 million
-- Irrigation sector loan, throughout Iraq, USD 83 million
-- Al-Mussaib thermal power plant rehabilitation, USD 320
million
-- Samawah bridges and roads construction, USD 29 million
-- Basrah refinery upgrading, USD 18 million
-- Khor Al-Zubair fertilizer plant rehabilitation, USD 158
million
-- Basrah crude oil export facility rehabilitation, USD 434
million
-- Electricity sector reconstruction, throughout the country,
USD 283 million
3. (C) Yamaguchi stated that Japan will pledge an additional
amount (NFI) of reconstruction funds in the next meeting of
the International Compact for Iraq. He wondered why the
government of Saudi Arabia had not convened this meeting yet,
and hoped that it would do so soon. Ambassador Khalilzad
stated that the US wanted the meeting to take place and that
we would be talking to the Saudis about it. Ambassador
Khalilzad mentioned mid-January as a possible time frame.
4. (C) Yamaguchi said that Prime Minister Maliki, whom he met
on December 2, seemed to be paying more attention to Iraq's
economic recovery and to Japanese assistance to Iraq. On the
political side, Yamaguchi found the PM "bullish" on Sadrists,
and asked Ambassador Khalilzad about the moderate front and
the future of the national unity government. Ambassador
Khalilzad responded that he did not think Maliki wanted to
pick a fight with the Sadrists but that the PM was not
intimidated by them either. He added that the moderate front
(comprised of Dawa, SCIRI, the Islamic Party and the two
Kurdish parties) was not conceived to end the national unity
government but rather to marginalize the extremists and make
the cabinet and the Council of Representatives effective.
5. (C) Yamaguchi thanked Ambassador Khalilzad for his
assistance in getting land for the construction of a Japanese
Embassy in the International Zone. He confirmed that the GOJ
planned to build a large, permanent Embassy, showing Japan's
commitment to maintain and develop a strong relationship with
the government of Iraq.
KHALILZAD