How Risky Is Iraq?

[k98nights]

How Risky Is Iraq?

January 19th, 2011 by Editor

Let’s start with a little test: Can you rank the following countries in order of the expected risk of their defaulting on their sovereign debt – Ireland, Argentina, Dubai, Greece, Iraq?

The correct order, based on the cost using credit default swaps (CDS) to insure their debt against default, is: Greece (riskiest), Ireland, Argentina, Dubai, Iraq (10^th riskiest). The full top-ten is: Greece, Venezuela, Ireland, Portugal, Argentina, Ukraine, Spain, Dubai, Hungary and Iraq.

The result probably won’t surprise regular readers of Iraq Business News, who are already aware of developments such as the increases already achieved in Iraq’s oil output, the impending third round of oil licences, and the contracts signed for the construction of new power plants.

Edinburgh-based consultants Wood Mackenzie estimate that, “in Iraq, upstream investment is likely to climb rapidly to $10 billion in the next three years.”

So while the public perception of Iraq is still one of high risk, and it is admittedly far from being a developed economy, the financial markets are already beginning to recognise Iraq’s improving outlook.

http://www.iraq-businessnews.com/2011/01/19/how-risky-is-iraq/?wpmp_switcher=mobile

[mrref]

How Risky Is Iraq?

January 19th, 2011 by Editor

Let’s start with a little test: Can you rank the following countries in order of the expected risk of their defaulting on their sovereign debt – Ireland, Argentina, Dubai, Greece, Iraq?

The correct order, based on the cost using credit default swaps (CDS) to insure their debt against default, is: Greece (riskiest), Ireland, Argentina, Dubai, Iraq (10^th riskiest). The full top-ten is: Greece, Venezuela, Ireland, Portugal, Argentina, Ukraine, Spain, Dubai, Hungary and Iraq.

The result probably won’t surprise regular readers of Iraq Business News, who are already aware of developments such as the increases already achieved in Iraq’s oil output, the impending third round of oil licences, and the contracts signed for the construction of new power plants.

Edinburgh-based consultants Wood Mackenzie estimate that, “in Iraq, upstream investment is likely to climb rapidly to $10 billion in the next three years.”

So while the public perception of Iraq is still one of high risk, and it is admittedly far from being a developed economy, the financial markets are already beginning to recognise Iraq’s improving outlook.

http://www.iraq-businessnews.com/2011/01/19/how-risky-is-iraq/?wpmp_switcher=mobile

THANKS FOR THE POST..

[rsskelton]

k98nights: Nice post. I always enjoy reading your stuff. Very insightful. +1

[PrinceAbubu]

The thing Iraq has that the others don't is LOTS of oil. They can back any debt that they incur, which those other countries cannot (or at least not as easily).

[dflake]

That's good news to my ears, if you subscribe to Enochs' summation, this can be view as a very good thing. Thanks for the additional info on credit standing.

[jimmey309]

K98 --

Another interesting post.

For what it is worth,

it is my experience that the real

money or ROI is made on investments

most people would not touch.

Of course, sometimes those investments

do not pan out.

But when they do, their percentage return

far outdistances the returns on normal investments

that the so - called experts tout / pump.

j

[jmaffei30]

How Risky Is Iraq?

Posted on 19 January 2011. Tags: Debt, Risk, Wood Mackenzie

Let’s start with a little test: Can you rank the following economies in order of the expected risk of their defaulting on their sovereign debt – Ireland, Argentina, Dubai, Greece, Iraq?

The correct order, based on the cost using credit default swaps (CDS) to insure their debt against default, is: Greece (riskiest), Ireland, Argentina, Dubai, Iraq (10th riskiest). The full top-ten is: Greece, Venezuela, Ireland, Portugal, Argentina, Ukraine, Spain, Dubai, Hungary and Iraq.

The result probably won’t surprise regular readers of Iraq Business News, who are already aware of developments such as the increases already achieved in Iraq’s oil output, the impending third round of oil licences, and the contracts signed for the construction of new power plants.

Edinburgh-based consultants Wood Mackenzie estimate that, “in Iraq, upstream investment is likely to climb rapidly to $10 billion in the next three years.”

So while the public perception of Iraq is still one of high risk, and it is admittedly far from being a developed economy, the financial markets are already beginning to recognise Iraq’s improving outlook.

If you’re considering taking advantage of these new developments in Iraq, Upper Quartile and AAIB are here to help you. For more information please contact Gavin Jones or Adrian Shaw.

http://www.iraq-businessnews.com/2011/01/19/how-risky-is-iraq/

[Darin]

Seems as if your saying the market will not be fully stable for a few years... Is that the outlook we're going to see relating a RV? I would hope not..

That's a long wait, and many people are already sick of waiting as I believe the people of Iraq are also sick of waiting.