Washington, Dec. 11: With the Bush administration’s decision to bar countries opposed to the war from bidding for US contracts in Iraq escalating into a trans-Atlantic trade dispute, the Pentagon last night delayed issuing tenders for reconstruction work worth $18.6 billion, which was due at the start of the week.
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The memo, which angered the EU, Russia and Canada, became public a day before President George W. Bush was to request the Presidents of Russia and France and Germany’s chancellor to receive his envoy James Baker and negotiate a write-off of Iraqi debt.
Sources here familiar with the administration’s intense turf battles over Iraq concluded that the timing of the memo was no accident. It coincided with Baker’s appointment as Bush’s envoy to negotiate Iraqi debt.
It is Washington’s latest ill-kept secret that Baker, with very special links with the Bush family, will do more than just deal with the debt problem. His appointment is seen here as a desperate act, involving the current President’s father and other senior Republicans, to salvage the Bush presidency from the Iraqi quagmire.
It is widely expected that Baker will gradually acquire a say in all aspects of Iraqi policy, undercutting defence secretary Donald Rumsfeld and vice-president Dick Cheney, the most prominent planners of the war and the disastrous post-war reconstruction efforts.
http://www.telegraphindia.com/1031212/asp/foreign/story_2671235.asp