Iraq Economic News and Points To Ponder Monday AM 9-30-24
What Happens After The Currency Auction Closes At The Central Bank Of Iraq?
September 29, 2024 Baghdad/Iraq Observer The researcher and specialist in the financial and banking aspects, Mustafa Hantoush, commented on the participation of Prime Minister Muhammad Shiaa Al-Sudani in a dialogue session held by the American Chamber of Commerce and Al-Monitor, saying: “
The economic relationship between Iraq and America is a relationship based on Iraq’s dependence on oil, which is an “American equation,” as well as the strategic framework agreement. According to which the Federal Reserve will be the recipient of the Iraqi dollar from oil.”
Hantoush told the “Iraq Observer” agency that most of Iraq’s reserves are in the dollar currency in addition to US treasury bonds, and thus the relationship must be stable and be in accordance with clear plans.”
He explained: “Most of Iraq’s reserves are in the dollar currency, in addition to US treasury bonds,” while stressing that the relationship should be stable and be in accordance with clear plans.
Prime Minister Muhammad Shiaa Al-Sudani participated in New York, after midnight last night, in a dialogue session held by the American Chamber of Commerce and Al-Monitor, in the presence of an elite group of investors, businessmen, representatives of American companies, and the Iraqi-American Business Council.
During the session, Al-Sudani pointed to the new reality of Iraq, which is witnessing an economic renaissance and development in all its sectors, and has also made great strides in the field of energy investment and associated gas, which has been wasted for years and inflicts on the country losses estimated at billions of dollars, due to the import of gas and oil derivatives.
Project series
Al-Sudani confirmed that the government has embarked on a series of rapid projects, including the important agreement with Total, which will contribute to increasing oil production and associated gas investment up to (600) million standard cubic feet, in addition to offering the fifth and sixth round annexes, and concluding contracts for oil production and gas investment,
indicating After the year 2028, Iraq will achieve self-sufficiency in gas, in addition to activating oil derivatives projects, including the strategic Karbala refinery, whose production capacity reaches 140 thousand barrels per day, as well as the rehabilitation of the Baiji refinery, which was completely destroyed during the battles to liberate Baiji, and whose production capacity reaches 150. One thousand barrels per day.
The following are the highlights of the Prime Minister’s speech during the dialogue session:
When I assumed my duties as prime minister, the associated gas investment was less than 40 percent, and now the percentage has risen to about 70 percent.
We have ended the import of petroleum derivatives, and we will stop importing gasoline at the beginning of next year, after completing the FCC project in Basra.
Iraqi-American partnership
We are ready to enter into partnership with American companies in the oil industry sector.
Our vision is to transform 40% of the exported oil into downstream industries, which will give us more benefits than selling crude oil.
Our policy is based on diversifying the contracting parties that invest in our oil and gas fields without specific conditions.
The licensing round procedures are clear and transparent, and there is no favoritism or preference for one company over another.
Development cannot be achieved without a solid banking sector that operates in accordance with approved international standards, and
95% of financial transfers in Iraqi trade take place through reliable banks.
The window for selling the currency will be closed at the end of this year, and the money laundering office at the Central Bank is working effectively.
Banking sector reform
The government contracted with Ernst & Young to reform the government banking sector, and we strengthened citizen confidence in banks and expanded financial inclusion.
Today, Iraq is going through a stage of stability and recovery that has been unprecedented since 2003, and it is an opportunity to support the transition from the stage of wars and conflicts to the stage of development and stability. A stable Iraq in a sensitive region is beneficial to the world.
This is what we have seen since October 7, as Iraq maintained balance and calm to a great extent, and
we kept Iraq away from the arena of conflict.
Our security forces have reached an advanced stage of capability and efficiency, and we have begun an armament program to enhance their capabilities, and ISIS today does not represent a threat to our security. We need American small and medium businesses to partner with Iraqi companies.
Leadership initiative
We work to create job opportunities for young people by activating the private sector or supporting their own projects, through several programs, including the “Riyada” initiative.
The size of the projects granted for investment will provide a large number of jobs, and the need for companies operating in Iraq to open training centers to develop the capabilities of young people.
We assured companies operating in the electricity sector of establishing station maintenance centers in order to speed up completion and reduce costs.
The government has a clear direction to support the agricultural sector, and peasants and farmers are in a transition phase to using modern irrigation technologies, which we supported by 30%.
We provided loans to workers in the food industry sector of various types, part of which is covered by sovereign guarantees.
The Central Bank has independence and exercises its powers with full professionalism, and our intention is to establish a new bank that adopts the latest technologies.
We invite all companies working in the field of electronic payment to work in Iraq and we will provide them with all facilities.
We have developed a plan to develop infrastructure, with allocations amounting to $83 billion.
https://observeriraq.net/ماذا-بعد-غلق-مزاد-العملة-في-البنك-المرك/
Why Is The Central Bank Reluctant To Implement The Measures Taken Against Iraqi Private Banks?
Economy 2024-09-27 | 06:24 3,326 views Alsumaria News – Local Including liquidation and guardianship, as the Central Bank of Iraq took a number of decisions against a number of Iraqi private banks for violating banking instructions.
The source said in an interview with Al-Sumaria News, “The Babylon Bank was referred for forced liquidation, and guardianship was imposed on the Al -Arabiya Middle East Islamic Bank and the Iraqi Investment Bank.”
The source indicated, "The period of guardianship over the Northern Bank will be extended until the 31st of next October." The source stated that "these decisions were taken with caution without knowing the reasons." Economists wondered “why the Central Bank was so patient with the decisions issued on these banks,” while some of them believed that “political pressure from higher authorities was exerted on the Central Bank with the aim of being patient in implementing those decisions.”
While they pointed out that “this warns of the presence of corrupt parties standing behind these banks that have achieved failures in their work and violated the applicable laws and rules,” stressing
“the necessity of amending the context of the work of these banks, which if their violations continue, it portends negative indicators on the Iraqi economy, which the government seeks to reform through A package of measures.
https://www.alsumaria.tv/news/economy/501382/لماذا-تريث-البنك-المركزي-في-تنفيذ-الإجراءات-المتخذة-على-مصارف-أهلية-عر
Erbil Branch Concludes A Training Course On The Comprehensive Central Banking System
September 29, 2024 The Central Bank of Iraq, Erbil branch, in cooperation with the Information Technology and Payments Department at the Central Bank of Iraq and the Office of Follow-up and Coordination of the Work of Bank Branches,
concluded the new training program on the comprehensive central banking system (core banking system - T24), in cooperation with Prema Consulting, which supervises the implementation of the central banking system. New (CBS – T24) for branch employees.
The course witnessed the training of employees in the branch on the basics of the system by the company supervising the implementation of the new system within the framework of a plan to prepare and qualify the branch’s staff in order to achieve the best use of the system, which is one of the most important stages of reforming and developing the work of the banking sector in Iraq. Central Bank of Iraq Media office September 29, 2024 https://cbi.iq/news/view/2678
Warnings Of Imminent Economic Danger... And The Alternative Solution Is Taxes!
Special Sumerian 09-29-2024 | 05:12 3,150 views Economic file. The decline in oil prices opens the door to relying on taxes to avoid deficits
As oil prices continue to decline globally, representatives in Committee Finance the Parliamentary reported that there is a tendency to impose taxes resources with the aim of strengthening financial.
This step comes in light of warnings of imminent economic danger if reliance on oil continues as the main source of the budget.
https://www.alsumaria.tv/news/alsumariaspecial/501571/تحذيرات-من-خطر-اقتصادي-وشيك-والحل-البديل-بالضرائب
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