U.S. Embassy Announces $2.7 Billion Credit Facility for Iraq’s Military

Today U.S. Ambassador to Iraq Stuart Jones and Minister of Finance Hoshyar Zebari signed a declaration of intent to extend a $2.7 billion Foreign Military Finance (FMF) credit facility. As Ambassador Jones noted, “This FMF facility will allow Iraqi Security Forces to defer payment for the purchase of ammunition and maintenance of its F-16s and M1A1 tanks.” The $2.7 billion deal gives Iraq a one-year grace period and eight and a half years total to pay for its military purchases.

Under the Strategic Framework Agreement, the U.S. Embassy is working closely with the Government of Iraq to ensure that the current economic challenges facing Iraq do not affect the ongoing campaign to defeat Da’esh. This credit facility offers additional support to Iraq’s continued development as a stable and self-reliant strategic partner.