MP: China interested in investing in Iran’s infrastructure projects
China has voiced willingness to invest in the lucrative projects of Iran’s infrastructure sector, said the chairman of Iranian Parliament’s National Security and Foreign Policy Committee.
According to Fars News Agency, Alaeddin Boroujerdi said on Monday following a three-day visit by an Iranian parliamentary delegation to China, “The Chinese have repeatedly stressed their support for the (2015) nuclear deal (between Tehran and the world powers) and their opposition to the US approach to the deal.”
He noted, “In meetings with Chinese officials, we discussed infrastructure railway projects which are a priority in transportation between cities and the Chinese have announced their willingness to invest in such projects.”
Iraq needs nearly $90 billion to rebuild after three years of war with the Islamic State group, officials said Monday, with large parts of the country in ruins and tens of thousands left homeless. As a three-day international reconstruction conference got underway in Kuwait, officials were seeking pledges from donors and investors to restore Iraq’s devastated homes, schools, hospitals and economic infrastructure, AFP wrote.
Baghdad declared victory against Daesh in December, after Iraqi forces regained control of the large parts of the country seized by the Daesh terror group in mid-2014.
Aid groups made pledges of $330 million on the first day of the conference, but officials said much more was needed.
Planning Minister Salman al-jumaili said an assessment by Iraqi and international experts put reconstruction costs at $88.2 billion (71.8 billion euros).
“The funds will be initially used to reintegrate displaced people and also for rebuilding the infrastructure of public services,” the minister said.
Mustafa al-hiti, the head of Iraq’s reconstruction fund, said some work had started but that funds were needed urgently to restore basic infrastructure and services in many provinces.
“What we have accomplished is less than one percent of what Iraq needs,” Hiti said.
“We have more than 138,000 houses damaged, more than half this number completely destroyed,” Hiti said, adding that more than 2.5 million Iraqis are still displaced.
After suffering a humiliating defeat at the hands of Daesh, Iraqi forces regrouped with foreign help, eventually forcing the terrorists out of territory including second city Mosul.
But the fightback left much of the country devastated. In Mosul entire city blocks were reduced to rubble.
‘Unique opportunity’ to help
The Daesh takeover also dealt a heavy blow to Iraq’s economy.
The country sits on some of the world’s largest crude reserves, which Baghdad puts at 153 billion barrels, but the war and a slump in world prices have diminished its oil revenues.
Raja Rehan Arshad of the World Bank said investment is required across sectors, with more than $17.4 billion needed for housing alone. Nearly $30 billion is needed to restore energy and industrial infrastructure, he said.
The conference brings together hundreds of representatives of countries, aid groups, UN agencies and corporations.
The $330 million pledged by non-governmental organizations on Monday included $130 million from the International Committee of the Red Cross.
The UN refugee agency said the conference offered a “unique opportunity” to help displaced Iraqis rebuild their lives.
“Sustainable return is not just about bricks and mortar,” Bruno Geddo, UNHCR’S representative in Iraq, said in a statement.
“Rebuilding and restoring communities is a complex effort, covering everything from clearing explosive hazards to repairing damage to infrastructure to restoring basic services, and facilitating social cohesion so that communities can again begin to flourish.”
UN agencies UNICEF and Un-habitat called for urgent investment to restore basic infrastructure and services for children and families.
The World Health Organization called for investment in hospitals and other medical facilities, pointing to more than 14 hospitals and 170 health facilities destroyed.
Boroujerdi said that Beijing is ready to implement important projects in Iran, such as the Tehranmashhad and Tehran-tabriz railway lines for high-speed trains.
His remarks came as reports said in January that the trade exchanges between Iran and China increased 20.5 percent in the first 11 months of 2017, showing a positive trend for both countries.
Chinese Ambassador to Iran Pang Sen said that cooperation between the two countries within the framework of the Chinese initiative ‘One Belt, One Road’ on transportation, oil, gas, petrochemical, metallurgy, construction and infrastructure is increasing.
The initiative, introduced by China President Xi Jinping in 2013, is aimed at developing relations and connectivity among countries through restoring the ancient Silk Road.
“Iran and China, as two important countries located along the Silk Road, are involved in mutual cooperation,” Sen said.
He put the trade figure between Iran and China in the first 11 months of 2017 at $33.66 billion which indicates a 20.5-percent increase from the amount for the same period a year earlier.
Currently, oil, gas and petrochemicals are Iran’s top exports to China.