[Congressional Record (Bound Edition), Volume 149 (2003), Part 17]
[House]
[Page 23850]
[From the U.S. Government Publishing Office, www.gpo.gov]




                      JUMP-STARTING IRAQI ECONOMY

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from California (Mr. Rohrabacher) is recognized for 5 
minutes.
  Mr. ROHRABACHER. Madam Speaker, in the next few weeks Congress will 
be shaping and hopefully passing legislation aimed at jump-starting the 
Iraqi economy, hopefully laying the foundation for prosperity and 
democracy in that troubled land. The administration is proposing a $23 
billion package out of an $87 billion program; and the question now is, 
what form will our support take in this first $23 billion assistance 
package to Iraq? Will it be given to Iraq in the form of a loan or will 
it be given in the form of an investment or will it be given in the 
form of a grant?
  We are being told in Congress that it must be given in the form of a 
grant. We are being told that the people of the United States must give 
to Iraq $23 billion because if we try to give it in the form of a loan 
instead of a grant that it will hurt the Iraqi economy and they will 
not be able to prosper.
  This is so much nonsense, State Department nonsense which is not 
taking into consideration the well-being of the people of the United 
States of America and taking the easy way out. Yes, let us just shovel 
money over there. That would not be good for the people of Iraq or the 
people of the United States.

                              {time}  1700

  The objection the State Department has is based on the idea that if 
we have any more debt accumulated on the people of Iraq, they will not 
prosper because they already have so much debt. In fact, their debt is 
estimated at $120 billion. That is no reason for us to just give away 
$23 billion of the money of the people of the United States. No. What 
we should be doing is saying, who loaned that money to Iraq? And, in 
fact, what we are talking about here is $120 billion given not to the 
people of Iraq but to Saddam Hussein, to Saddam Hussein's regime by our 
supposed allies, by big international banks.
  Our position should not be that the Iraqi people have to repay that 
debt. We should be encouraging the new democracy in Iraq to repudiate 
the debt of countries that gave money to Saddam Hussein which he then 
used to buy weapons to repress and oppress his own people. Repudiation 
of that debt will permit the Iraqi people to prosper and permit us 
rather than to penalize our own people in order to repay, yes, the 
money is not going directly back to those big international banks, but 
it will be going back to them if we simply shovel our money into Iraq 
right now.
  No, we should help Iraq establish the foundation for prosperity by 
insisting that the loans that were given to Saddam Hussein are not the 
responsibility of the people of Iraq who want a democratic government. 
If those big bankers in France and Germany want their loans back which 
they gave to Saddam Hussein, let them find Saddam Hussein and collect 
those loans from Saddam Hussein, not the people of Iraq. Our assistance 
should be based not on giving money to the people of Iraq because we 
have no choice because Iraq already owes so much money. What we should 
do is help them get out of that debt situation by repudiating that 
illegal debt and, instead, structure our support as loans when we can, 
or even investments.
  Much of what is being suggested for Iraq is upgrading their post 
office, their water system, their oil production, their electric 
system. All of those things are based on services that are provided to 
the Iraqi people which they will pay for. Let us structure the $23 
billion we give to Iraq as an investment in those things rather than 
just giving them the money and expecting no repayment for the American 
people in return. This would be actually more efficient in the end 
because it would put a profit-type of incentive into the mix when 
people are setting up the post office and the water system and the oil 
production and the electric system in Iraq. No, let us reconfirm to the 
world by supporting the repudiation of Saddam Hussein's debt; let us 
reconfirm the principle that anyone who loans money or does business 
with dictators does so at their own risk and the American people should 
never bail them out if that dictatorship is overthrown. We should be on 
the side of the democratic forces and give them an incentive to get rid 
of the dictator and by doing so, get rid of their debt rather than have 
to bear the burden of their own oppressor.

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