Troublesome Debt
posted in General |TROUBLESOME DEBT
The media folks estimate that Saddam's worldwide debt is about $400 Billion – which is a lot of money no matter how measured. A good chunk of that debt is owed to Russia for a lot of military hardware, equipment, training etc., that was shipped to Iraq over the past 10- years or so despite a series of UN Resolutions that banned it. Considering the shaky status of Russia's economy, they obviously would like to be paid out of Iraqi oil revenue – or anything else. But something tells me the Russians are walking on eggs or are pussy-footing around the debt issue. Maybe they won't “forgive” it, but they will not huff and puff to get paid – at least not near term. They do not want that issue on the front burner.
From all outward appearances, Mr Putin and George Bush got along famously down in Texas. I don't know whether Putin is a neo-capitalist or fully pro-USA, but he surely realizes that Russia is better off as a friend of the US rather than an adversary. As a practical leader, he had to support his crusty old warriors of the Cold War in arming Saddam. Those old birds still seeth over losing the Cold war to the Americans, and looked upon arming Iraq as a “payback” for the help the US gave the Afghanis until the Russians had to withdraw in humiliation. Now that Saddam has been squashed in 3 weeks, Putin is in a stronger position with his old style Generals by simply saying, “I told you so – go back to your drawing boards”.
One of these days, the Iraqi oil will flow out again, and revenue will flow in again. There will be all kinds of demands on the large (but limited) funds. I think the Russians will be content to wait their turn.
France is a different story.