IMF says Iraq could secure three-year standby deal by June 

The International Monetary Fund (IMF) could approve as early as June a standby arrangement (SBA) with Iraq that would provide $15 billion in international assistance over the next three years. Following talks with Iraqi Finance Minister Hoshiyar Zebari in Jordan, the head of the IMF’s Iraq mission Christian Josz said the assistance package, of which about one-third would come from the IMF and the rest from international groups and donor countries, would be in line for approval if talks with Iraq go well next month. Iraq could get as much as $3.9 billion from the IMF over the course of three years, with $1.9 billion disbursed in 2016, Josz said. He added that additional financial assistance could come from several sources including the IMF, the World Bank, Gulf states, the United States, and other G7 countries. Josz said the main challenge of the SBA would be gradually to bring spending into line with revenues so that Iraq could stabilize debt at 75 percent of gross domestic product by 2020. [Reuters, 3/29/2016]

 

Oil producers to take part in Doha’s April meeting 

Qatar has invited all members of the Organization of the Petroleum Exporting Countries (OPEC) and major oil producers from outside the exporting group to attend talks on April 17 on a deal to

freeze output at January levels. “The need has become an urgent matter to bring back balance to the market and recovery to the global economy,” Qatar’s Energy Ministry said in an invitation letter. The ministry said that around 15 OPEC and non-OPEC producers, accounting for about 73 percent of global oil output, are supporting the initiative. Meanwhile, UAE Undersecretary of Energy Matar al-Neyadi confirmed that Energy Minister Suhail al-Mazrouei would attend the meeting. For its part, Iran expects to attend the meeting but will not take part in negotiations for a production freeze. “An invitation has been extended . . . We support it but it doesn’t mean we will join in the freeze talks,” a source said. [Reuters, 3/30/30216]

 

Saudi’s Savola says EBRD will invest $100 million in Egypt subsidiary 

Saudi Arabia’s largest food products company, Savola Group, said Tuesday that the European Bank for Reconstruction and Development (EBRD) will invest $100 million in one of its indirect subsidiaries in Egypt. The investment in United Sugar Company of Egypt (USCE) will include a fresh injection of $50 million, as well as the conversion of existing debt of $50 million to equity. The deal will bolster the USCE balance sheet and help it cope with Egypt’s economic challenges, a statement said. Savola said that under its deal the share capital of USCE will be increased and new shares will be issued to the EBRD. [Reuters, 3/29/2016]

 

Bahrain’s Nogaholding secures $570 million Islamic loan 

Bahrain’s oil investment company Nogaholding will obtain a five-year $570 million Islamic loan to pay for expansion projects. The funding will support investment in projects including the BAPCO Modernization Program, a liquefied natural gas import terminal, and the Bahrain Gas Plant Project. The loan will be provided by 10 international, regional, and local institutions, including the Arab Banking Corp, Ahli United Bank, National Bank of Bahrain, BNP Paribas, and HSBC. “This is an investment in the future and highlights our continued efforts to grow the Kingdom of Bahrain’s oil and gas assets,” CEO of Nogaholding Mohamed bin Khalifa Al Khalifa said. [Reuters, Bloomberg, 3/30/2016]

 

Also of interest

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Libya’s Eastern NOC offers discount to sell stored crude | Libya Monitor (subscription)

Morocco seeks more Russian visitors as Europeans stay away | Bloomberg

Turkey Deputy PM says interest rates high but lowering them tough | Hurriyet