Italy has granted war-ravaged Iraq a $600 million easy-term loan, Iraqi Finance Minister Bayan Jabor said Monday.
Jabor, speaking to reporters in Amman, said he signed an agreement with the Italian foreign ministry on the new loan in Rome last week. He said the loan will go toward financing Iraqi farmers and the agriculture sector. The state-run Iraqi Trade Bank will handle the loan, he added
Part of the loan will be providing Italian made tractors, harvesters and other agricultural equipment to Iraqi farmers.
He said the interest payable on the loan is 0.04% and Italy will write off 50% of the loan once Iraq starts paying back the loan. Jabor gave no details on the duration of the loan.