By RIA Novosti
Moscow : Iraq Friday said it could offer Russia’s oil and gas companies considerable advantages to operate in Iraq and expects Moscow in return to abrogate 80 percent of Baghdad’s Soviet-era debt.
“Russian oil and gas producers are welcome in Iraq, and the Iraqi government is ready to grant them significant advantages,” Foreign Minister Hoshyar Zebari has told RIA Novosti.
Iraq owes Russia, Soviet-era debt worth $13 billion and the minister pointed to certain progress in resolving the issue.
The minister said benefits could be on the table prior to the special oil and gas legislation being approved, but added that the offer should not breach free competition principles.
Zebari added that his country did not feel burdened by contracts signed by the previous regime.
“We have found Russia to be understanding on the issue of settling the debts. We expect to sign an agreement with Russia to write off 80 percent of Iraq’s debts by the end of the year,” Zebari said.
The Russian Finance Ministry earlier said the debt was close to $10 billion.
When asked whether the debt settlement issue was connected with benefits promised to Russian oil and gas companies, the minister said: “We are not linking these two problems”.
But he stressed that any advance on these issues could “facilitate the signing of a framework agreement between the countries”.