Russia cancels Libya's $4.5 bln debt in exchange for contracts

TRIPOLI, April 17 (RIA Novosti) - Moscow wrote off on Thursday Libya's $4.5 billion debt in exchange for multi-billion dollar contracts for Russian companies. Finance Minister Alexei Kudrin, who accompanied Putin on his visit to the North African state, told reporters that the size of Libya's debt to Russia had been brought down by $100 million from $4.6 billion to take into account Russian state bank VTB's debt to Libyan companies.

The deals signed include a $3.5-billion contract for rail monopoly Russian Railways to build a 500-km (310-mile) section from the city of Sirte to Benghazi, Putin said.

Kudrin said 70% of the equipment and steel products required for the project would, under the contract, be supplied by Russian companies.

Looks like Russia has something under it sleeves.

en.rian.ru...

Russia Libya gas oil deal
Russia Libya Weapons Arms deal



This was yesterdays headline!
Libya to pay $4.6 bln debt to Russia - finance minister

TRIPOLI, April 16 (RIA Novosti) - Russia and Libya have agreed that Tripoli will repay Moscow $4.6 billion in outstanding Soviet-era debt, Russian Finance Minister Alexei Kudrin said on Wednesday.

"The amount of the debt has been fixed at $4.6 billion," Kudrin said told journalists in Tripoli.

Moscow had earlier put the debt at about $3.5 billion. Tripoli said in the 1990s that Russia also had an outstanding debt to Libya.

en.rian.ru...



Call me paranoid. Well whatever they are planning Im sure they are being carefully mointered by the US and Isreal. How can Libya be so stupid, the Russian are using you!

[edit on 17-4-2008 by Master_Wii]