WASHINGTON: The United States has said that its new policy of awarding reconstruction contracts worth $18 billion in Iraq to the countries that supported the war is also meant to increase international support for future US actions.

“Limiting competition for prime contracts will encourage the expansion of international cooperation in Iraq and in future efforts,” said a Pentagon memo on Thursday.

US officials had said earlier that countries wanting to compete for major contracts in Iraq could still do so by joining the US-led coalition.

Earlier this week, the Pentagon released a list of 63 countries eligible to bid for 26 prime contracts in Iraq.

Some of these countries have actively participated in the war in Iraq while most of them have provided only elementary support. About half of them have contributed troops — many just in the hundreds or fewer — and others have allowed US forces basing or overflight rights.

Countries that pledged money for Iraq in October at the Madrid donors’ conference but did not declare themselves part of the coalition are not eligible to compete. That leaves out China and much of the European Union.

The list also bars Russia, France, and Germany. Iraq owes those nations a combined $20 billion as debts incurred by Saddam Hussein.

The policy caused a worldwide stir, with the European Union threatening a lawsuit, and Germany and Canada expressing shock and anger at being excluded. Canada has donated $114.7 million to various Iraqi reconstruction funds, and none to the US-led effort.

Reacting to the criticism, Larry DiRita, US Defence Secretary Donald Rumsfeld’s chief of staff, said: “This is not a fixed list. This is an open list. There are countries that are considering contributing forces to Iraq because of the policy.”

“Those who decide to join the coalition now, can be considered for contracts,” added State Department spokesman Richard Boucher.

As international criticism of the new policy mushroomed, the Pentagon announced that it has temporarily delayed issuing prime contracts worth $18.6 billion for Iraq’s reconstruction.

Last Friday, US officials promised to advertise the tenders. Later promises to advertise the prime contracts on Monday or Tuesday also lapsed.

A notice on the Pentagon-run Iraq Programme Management office website (rebuilding-iraq.net) said: “The scheduled release of the solicitations in support of the Iraq reconstruction contracts has (again) been temporarily delayed.”

“The pre-proposal conference scheduled for Dec 11, 2003 has been changed to Dec 19, 2003. The location and time will be provided not later than Dec 12, 2003,” the notice said.

Pentagon officials, however, said the decision to delay was independent of the international reaction.