The government said Tuesday Korean firms will seek to join consortiums with U.S. companies to participate in the reconstruction of postwar Iraq.

Cabinet ministers attending a meeting at Cheong Wa Dae also said Iraq will be included in the list of countries eligible to receive Economic Development Cooperation Fund (EDCF) money. This signifies the resumption of export financing and trade insurance support to that country.

Ranking officials from various ministries said the overall reconstruction costs were estimated to be between US$25 billion to $100 billion in the coming years.

They forecast the majority of the work will be given to U.S. and coalition partners and that Korea must take full advantage of the fact that it has agreed to send non-combat troops to the region. Participation in consortiums or winning subcontract work were feasible options.

Besides this, the government said Korea possessed an edge in the Middle East, having won $6.5 billion in contracts before the start of the first Persian Gulf War, and was currently working on projects worth $9.7 billion.