Japanese Ambassador: Basra Refinery Development Loan is an Effective Tool to Promote Sustainable Development in Iraq

Baghdad-INA
The Japanese Ambassador to Iraq, Matsumoto Futoshi, announced today, Sunday, that the Basra Refinery Development Loan was concluded on favorable terms and with an interest rate of 0.2 percent annually, while indicating that the project is a legacy for future generations.

Futoshi said, in a special statement to the Iraqi News Agency (INA): "The signing ceremony of the loan memorandum between the governments of Iraq and Japan to provide the sixth installment of the Basra Refinery Development Project Loan, worth $ 380 million, is a pivotal step in cooperation between the two countries."

The statement added: "Since I assumed my position in 2022, I have done my utmost to ensure the successful implementation of this project, which represents a legacy that will benefit future generations in Iraq and Japan," indicating that "after the project is completed, the Basra Refinery will be able to produce oil products worth up to $ 8 million per day."

It pointed out that "the loan was concluded on easy terms with a simple interest rate of 0.2% per annum, and a repayment period extending to 10 years," noting that "these loans represent an effective tool to enhance stability and sustainable development in Iraq."

He praised the Iraqi Minister of Finance, Taif Sami, and her great cooperation with the Japanese side.

The Japanese Embassy in Iraq issued a statement confirming that the Japanese Ambassador to Iraq, Matsumoto Futoshi, and the Minister of Finance, Taif Sami, signed a memorandum of understanding to provide the sixth installment of the Japanese yen loan to develop the Basra Refinery Project. The size of the new loan amounts to 60 billion and 40 million Japanese yen, equivalent to about 380 million US dollar.

The statement indicated that "work on the project began in 2021 and aims to develop the refinery by establishing a new plant called the "Fluid Catalytic Cracking Complex", the plant aims to convert the remaining oil from current operations into high-value products, reducing environmental impacts according to international standards." The project is expected to be completed in 2025, with the transfer of advanced technology from Japan to Iraq, which enhances the living environment of citizens.