****************** Economy - Iraq is seeking to obtain a sovereign rating before issuing bonds huge

Published on: Thursday, April 30 / April 2015 19:09


DUBAI (Reuters) - Finance Minister Hoshiyar Zebari said on Thursday that his country is seeking a sovereign rating and continue with the credit rating agencies as it prepares to issue huge bonds worth five billion dollars needed to cover the budget caused by lower oil prices deficit.

Zebari told Reuters in a telephone interview, "We started the process. Banks also seek to help us in this direction."

Iraq has announced that it will issue bonds worth five billion dollars in the first issued in the international bond market nine years ago. Iraq and in dire need of liquidity as the government predicted that the deficit this year to about 25 percent of the budget of almost $ 100 billion in size.



And obtain a sovereign rating from a major credit agency which Iraq currently lacks him may help persuade the international fund managers and international banks in underwriting bonds.

Zebari said that Iraq is seeking to connect with two or three credit rating agencies, but he did not name. Iraq and discusses the bond issuance plan with City Bank and Deutsche Bank.

The process of obtaining the credit rating may be sensitive for Iraq as it will be forced to open its books to these institutions and reveals unveil new information on public finances. Zebari did not disclose the date on which it is expected to complete the process.

It is expected to attract Iraq's oil reserves huge -alta it did not reach the hands of state regulation Muslim-buyers for this offering. But many fund managers believe that Baghdad would face difficulty in the sale of five billion dollars in a short period even if the generous pricing.

In response to whether the number five billion to be very ambitious, Zebari said, "We have a commitment in the budget to issue six billion. Thus this is the minimum this is our plan to cover the deficit. But there is no way to be issued in a single chip."

Iraq has an existing issue of dollar bonds maturing in 2028 and prompted a wave of panic selling late last year with the erosion of oil prices return on these bonds to rise to a record high of 10.49 percent from about 7.2 percent in September. But the yield has since tumbled to 8.04 percent.

In addition to the issuance of international bonds Iraq has taken or plans to take other financial measures, including the issuance of bonds in local currency to the banks and the imposition of taxes on some consumer goods and cut salaries in the public sector. A request for assistance from the International Monetary Fund as looking.



http://www.ahewar.org/news/s.news.asp?nid=2039357

Zebari: Iraq seeks to Mali sovereign rating and is preparing to issue bonds worth five billion dollars

Thursday, April 30 / April 2015 16:29


Zebari: Iraq seeks to Mali sovereign rating and is preparing to issue bonds worth five billion dollars

Baghdad / follow-up Baghdadiya News / .. detect and Finance Minister Hoshyar Zebari, on Thursday, said that Iraq was seeking sovereign rating and continue with the credit rating agencies are preparing to issue huge bonds worth five billion dollars to cover the budget deficit caused by low oil prices.

Zebari told Reuters seen by / Baghdadi News /, "We started the process in issuing bonds. Banks also seeks to help us in this direction."

Iraq has announced that it will issue bonds worth five billion dollars in the first issued in the international bond market nine years ago.

And obtain a sovereign rating from a major credit agency which Iraq currently lacks him may help persuade the international fund managers and international banks in underwriting bonds.
Zebari said that Iraq is seeking to connect with two or three credit rating agencies, but he did not name.

Iraq and discuss the plan with the issuance of bonds (Citibank) and (Deutsche Bank).
The process of obtaining the credit rating may be sensitive for Iraq as it will be forced to open its books to these institutions and reveals unveil new information on public finances. Zebari did not disclose the date on which it is expected to complete the process.

In response to whether the number five billion to be very ambitious, Zebari said "We have a commitment in the budget to issue six billion. Thus this is the minimum this is our plan to cover the deficit. But there is no way to be issued in a single chip.

http://www.albaghdadia.com/index.php/economy/item/39846-2015-04-30-13-33-01