Iraqi housing and rehabilitation minister Mr Mohammad Darraji has urged Jordanian construction firms and contractors to establish a foothold in Iraq, saying Jordanians have a real opportunity for contributing to Iraq's huge rebuilding projects for which the government has allocated USD 40 billion in 2012.

Mr Darraji made the remarks during a meeting with Jordanian minister of public works and housing Mr Yahia Al Kasbi and leading businessmen in the construction sector.

Mr Darraji said that "In a reconstruction blueprint unprecedented in the Arab area, the Iraqi government has allocated USD 40 billion in 2012 out of its USD 112 billion budget for development projects in the spheres of infrastructure, electricity, education and health."

He added that "Given their expertise and reputation, Jordanian and other Arab contracting firms can have a tangible role in the Iraqi reconstruction process."

He defended the security situation in Iraq which so far hindered Jordanian business presence in the neighboring country, saying investments in the reconstruction activity would be guaranteed by the Iraqi government.

Media reports have quoted oil minister Mr Abdul Kareem Al Luaibi as saying that Iraq will boost output capacity this year to 3.4 million barrels a day and export capacity to 2.6 million barrels.

Mr Al Luaibi said that exports will benefit from a new offshore loading facility in the Gulf that will go into service on January 25th 2012. Iraq discovered an oil field called Al Deema 400 kilometers south of the capital in Al Amarah province.

Iraq holds the world's fifth largest crude deposits that also include Canadian oil sands. Production is rising after stagnating for years due to wars, economic sanctions and a lack of investment.

Mr Hussain Al Shahristani deputy prime minister for energy affairs said that output jumped in December 2011 to more than 3 million barrels a day, the highest level for at least 20 years, and exports rose last month to 2.2 million barrels a day.

(Sourced from www.arabnews.com)