Annan Clears Way for Iraqi Oil Exports

Secretary-General Kofi Annan approved Baghdad’s plan for distributing food and medicine purchased under the oil-for-food plan, paving the way for Iraq to export as much as $5.2 billion worth of oil over the next six months. Annan’s approval of the distribution plan was the last major hurdle to be cleared before the next phase of the sales plan could begin. The current phase expires Tuesday. U.N. oil experts have recommended allowing Iraq to buy $300 million worth of spare parts to upgrade its oil industry to meet the higher export target. But the council has yet to authorize the delivery of the spare parts. Iraq has been allowed to sell oil to buy food, medicine and other supplies under strict U.N. monitoring as an exception to the sweeping sanctions imposed after Iraqi troops invaded Kuwait in 1990.