The World Bank approved on Thursday a decision to give Iraq a loan of $1.2 billion to help Baghdad deal with its financial situations, offset the collapsing oil prices and shocks of terrorism.
Ferid Belhaj, a bank official who oversees Iraq, says: “The loan will be available before the end of the year.”
The bank announced in a statement that it has approved the financing project of development policies that aim to control consolidated fiscal situations, provide sustainable energy and enhance the transparency of state-owned enterprises.
This loan raises the financial obligations of the World Bank in Iraq to nearly $2bn, mostly directed to the development of programs related to infrastructure affected by the violence in the country, reports Alhurra.
According to the bank, the $1.2bn will be directed mainly into three areas: reforming the public sector wage system, reducing spending on energy subsidies and supporting transparency in the financial and non-financial institutions of the state.
($1 = AED3.67, at the time of publishing)