Cablegate: Ambassador and Minister of Finance Sign Mou On Usg

VZCZCXYZ0011
PP RUEHWEB

DE RUEHGB #3052 3232000
ZNR UUUUU ZZH
P 192000Z NOV 09
FM AMEMBASSY BAGHDAD
TO RUEHC/SECSTATE WASHDC PRIORITY 5508
INFO RHEHNSC/NSC WASHDC PRIORITY
RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
RUEAUSA/DEPT OF HHS WASHDC PRIORITY

UNCLAS BAGHDAD 003052

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: EAID EFIN IZ
SUBJECT: AMBASSADOR AND MINISTER OF FINANCE SIGN MOU ON USG
ASSISTANCE

(SBU) Ambassador Hill and Minister of Finance Jabr signed a
Memorandum of Understanding on the Implementation of Certain
Protections for Assistance Projects on November 14, 2009. The
MOU affords items imported for USG assistance projects
necessary exemptions from Iraqi taxes, tariffs, and customs
fees while we await Council of Representatives action on the
long-pending Agreement on Technical and Economic Cooperation
(commonly referred to as the Bilateral Assistance Agreement).
Since the expiration on January 1, 2009 of the original CPA
order exempting assistance from such taxes, the Embassy has
expended considerable time and effort dislodging assistance
materials from customs authorities. Most immediately,
implementation of the MOU will permit the release of $250,000
in medical equipment donated by Project Hope to the Basrah
Children's Hospital, water treatment pipes to benefit the
citizens of Sadr City, and materials necessary for the
completion of numerous other projects.
HILL

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