France and other creditor nations are looking to strike a deal on helping Iraq reduce its foreign debt next year, the French foreign minister said Monday. He did not specify how much debt might be canceled or restructured.
Dominique de Villepin said France wants to work with members of the Paris Club of creditor nations to find an appropriate level of debt that is "compatible with the financial capacities of Iraq."
He was speaking at a news conference after meeting a delegation of visiting Iraqi ministers, led by the acting president of the governing council, Abdel Aziz Al-Hakim.
In all, Iraq owes some $40 billion to the United States, France, Germany, Japan, Russia and other countries among 19 nations that belong to the Paris Club, an umbrella organization that conducts debt negotiations. At least an additional $80 billion is owed to other Arab countries and nations outside the Paris Club.
The announcement comes a day ahead of a visit to France by former Secretary of State James A. Baker, President Bush's new emissary postwar Iraq. Baker is charged with trying to win international support for reconstruction, including promises to erase Iraq's crushing burden of foreign debt.
De Villepin also said France is interested in helping Iraq build its police force.