Baghdad: Iraq today signed two deals worth USD 5 billion to buy 40 planes from Boeing and 10 planes from Canada's Bombardier to upgrade Iraqi Airways aging fleet, the finance minister said.

The deals were signed by Finance Minister Bayan Jabr in a ceremony attended by Prime Minister Nouri al-Maliki as well as US, British and Canadian diplomats.

The first Boeing plane will be delivered in 2013, Jabr said, while the Canadian company will start delivering their aircraft later this year.

"Today, the process of developing economy has started," al-Maliki said in a speech during the ceremony also attended by Boeing Commercial Airplanes President and Chief Executive Officer Scott Carson.

Boeing in a statement said it would deliver 30 Boeing 737-800 commercial airplanes and that Iraq has also contracted options for 10 additional 737s.

Separately, Iraq and Boeing are finalising an agreement for 10 Boeing 787 Dreamliners, which will enable Iraq s national airliner to provide longer-range commercial service, Boeing said. The 787s will be added to Boeing's order book when the contract is completed, the company added.

In addition, Iraq could order five optional 787s, Boeing said. If Iraq decides to place all orders, including optional ones, that would raise the total number of orders from Boeing to 55 planes.

Boeing said the company will also offer help to Iraq in the development of airport infrastructure throughout the country, including training personnel.

Source : PTI