Link against loan to Iraq
The loan idea sounds great when you first hear it ... but it has some problems.
This above link has some good points. My point is much simpler, though. The government cannot give another government money, and say it is a loan. It takes two parties to give a loan, the one giving it and the one receiving it. Normally a loan requires some type of capital in which the lender can reclaim if the loan is not paid or at least a mutual agreement that it is a loan. We have neither in this case
So what we are really doing is just playing some childish game where we make the rules. "I will give you this and you will give me it back." Which this lovely game can be ruined by the younger player's stubbornness and refusal to give back the item that we gave them. Most likely we will get upset when Iraq does not pay us back, just like children.
This is an update on the status of the loan.