The importance of politics or government in Iraq relates to the ability of Iraq to repay debt/support their currency.
There is little question as to the assets/wealth of Iraq/collateral, but can Iraq produce the asset?
Can Iraq get oil to the marketplace reliably? Iraq’s ability to produce reliably is dependent upon its stability and security.
The budget, political stability and security all impact upon production and the payment of debt/currency support.
Whether Iraq can make the necessary change(s) and assurances required by international finance (IMF) which is the subject of the meetings in Jordan may be critical for us.
Iraq needs an acceptable international credit rating or standing to survive and thrive.
Finance is driven more by ability to repay reliably and timely than the existing collateral.
The fate of our investment may depend upon it. IMO.
Finance is more interested in performance than potential is my point.
Iraq has great potential, but can it perform.
Iraq must function better in order to reliably perform.
The IMF conditions precedent or attendant to a loan(s) are intended to improve upon function and performance by Iraq.
The IQD, Iraqi script paper, is essentially a promise to pay.
The script is in and of itself worthless without the “full faith and credit “of the Iraqi government.
