Delta and KTFA Members Friday PM 2-21-2020

KTFA:

Samson:   Iraq prevents entry of Iranian travelers for three days from all its outlets  LINK

JJimmyJJ:  Now,  they could be banning Iranians from traveling to Iraq over the weekend because of the flu in CHINA.   OR, maybe something else is happening this weekend that Iraq doesn't want Iran to interfere with?    Hmm...

DELTA:  Registration is now open for Tenth Iraq Day at the Mansion House on 30 March 2020

IBBC Spring Conference 2020

(wink) ‘Iraq – Open for Business’ 

30 March, The Mansion House, London

https://www.iraq-businessnews.com/2020/02/20/registration-now-open-for-ibbc-spring-conference/

Don961:  Ways to encourage citizens to deposit their money in banks

Friday, February 21, 2020

Baghdad / Al-Sabah

Experts and specialists in the Iraqi financial and banking affairs see the need to encourage citizens to deposit their money in Iraqi banks to contribute to promoting economic development in the country, stressing the importance of taking administrative measures to ensure the rights of depositors and tightening control over the work of local banks.

The banking expert, Abdulaziz Hassoun, said in a statement to "Al-Sabah": The banking system in Iraq is operating under a turbulent environment and then was not able to carry out its natural tasks, indicating that the financial issue is usually related to security, social and economic conditions, and these are all troubled in Iraq, as well On the absence of governmental economic approaches.

He added, that spending to spend financial returns on import only is a great reason for the delay and deterioration of banking work, pointing out that most banks are currently carrying out tasks and businesses that are not affected by banking work.

He explained, that banks usually do not work in banking and do not deal in foreign currencies by buying and selling currencies, indicating that the nature of the work of banks attracts deposits and invests them in a safe manner and achieves returns and growth and this is not available in the Iraqi banking environment, because all banks are busy dealing in foreign currency, i.e. buying and selling hard currencies. .

He stressed the need for the central bank to take measures that secure the citizen’s rights and tighten control over the banks ’work, and that the bank not be a spectator in front of the lawlessness of some banks that do not give citizens their rights.

He pointed out that the development of the banking system needs administrative procedures and tightening the control of the central bank because it is the primary responsible for the work of banks and it is those who granted them investment licenses, and it does not need legal legislation because laws exist.

He continued: There should be programs that encourage citizens to deposit their money in banks to contribute to achieving economic development in the country.

In turn, the financial expert Mohsen Abdul Jalil stressed that the failure of the Iraqi banking system is a major reason for the reluctance of foreign companies to invest in Iraq.

Abdul Jalil said in a statement to "Al-Sabah": that there must be development programs for the Iraqi banking system to keep pace with developments in international banks to be an attractive factor for foreign companies to Iraq.

He added, encouraging citizens to deposit their money in banks instead of accumulating them in homes and investing them in development projects that generate significant profits for the bank, for the citizens and for the country in general, calling for the restoration of citizen confidence in Iraqi banks by launching incentive programs to motivate him to deposit his money.   LINK

Samson:  Russia and China are cutting their investments in US Treasury bonds

21st February, 2020
Russia and China have reduced their investments in US Treasury bonds and bills, in addition to reducing dependence on the dollar, and this comes in response to Washington's hostile policy toward Moscow and Beijing.

The US Treasury said, in its monthly report on capital flows, that Russia's investment in US debt is currently estimated at $9.974 billion, noting that Moscow reduced its holdings of these bonds last December by $ 1.517 billion.

Moscow had previously invested more than $ 100 billion of its reserves in US government bonds, but after Washington imposed economic sanctions on Russia in 2018, the Russian government changed its strategy, and began gradually reducing investments in US bonds since that time.

It is worth noting that China, which was the holder of the title of the largest owner of US debt, has now ceded its position to Japan, where the Chinese government has followed a similar approach to Russia, and reduced the volume of its investments in US treasury bonds last December by about 20 billion dollars, to reach its balance of 1.07 trillion dollars.   LINK

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Samson:  World government debt will reach a record high in 2020

21st February, 2020
Standard & Poor's reported that the size of government debt worldwide will jump to a record $ 53 trillion by the end of the year, with a trend to borrow $ 8.1 trillion this year alone.

About 70% of total borrowing to refinance long-term debt will be due, but the expected new borrowing amount of $ 2.3 trillion will still be at least 2.6% of global GDP.

"Growth indicates an increase in borrowing needs of the largest countries," Standard & Poor's said. "The US borrowing three trillion dollars and Japan $ 1.75 trillion would keep the two countries the largest global borrowers."

After the United States and Japan, China is expected to issue debt instruments at about 636 billion dollars, followed by Italy, Brazil and France, as each country is expected to borrow 250 billion dollars in 2020.

The top 20 emerging economies are also expected to issue consolidated debt instruments of $ 1.62 trillion this year, up 4% compared to 2019 to record a historic high.  LINK