Posted on 09/21/2003 1:22:01 AM PDT by HAL9000
The Iraqi Minister for Finances Kamel Al-Kilani announced Sunday with Dubai, in margin of the meetings of the IMF, a series of economic reforms, of which the possibility for the foreign firms of taking 100% of an Iraqi company, except in the oil sector."These reforms to a significant degree will make progress the efforts to build a market economy free and open, to promote the future economic growth of Iraq, to accelerate the return of Iraq in the international economy", affirms the minister in a declaration distributed by the American delegation present at the meetings of the International Monetary International Monetary Funds (the IMF) in Dubai.
Principal measurements relate to the foreign investment, the banking environment, the taxation and the customs duties. Kamel Al-Kilani announces as well as the new laws will allow "investments 100% in all the sectors, except for the natural resources", i.e. oil. The joint undertakings and the opening of subsidiary companies will be authorized.
The new rules will authorize the foreign banks to open in Iraq subsidiary companies or representative offices, or to form joint undertakings with local banks. In the five next years, six foreign banks will be authorized to repurchase up to 100% of the local banks.
A fast procedure will be installation for the two first of these six banks, specified the Iraqi minister.
"Beyond these five years, there will be no more limitation at the entry of foreign banks", specified the Iraqi minister. Moreover, one unlimited number of foreign banks will be able to take up to 50% of Iraqi banks.
According to a high American person in charge, these rules were promulgated Saturday by decree by the American administrator in Iraq, Paul Bremer.
Kamel Al-Kilani, member of the Iraqi government supported by the coalition américano-British, met Sunday morning in Dubai the American secretary with the Treasury John Snow. The Iraqi Minister for the Plan Mahdi Al-Hafez and the governor of the central bank Sinan Al-Chebibi also took part in this meeting.
The reforms presented by the Iraqi government also envisage to put a place of the tax rates of 15% on the income and the companies, as from January 1, 2004.
The declaration specifies that a customs duty additional of 5% will be taken on the imports, except for basic commodities like food, the drugs, clothing or the books. These rights will be used to finance the rebuilding.
The guy in charge is high? I'm not sure that's wise...
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