Frank, Delta and KTFA Members "The IMF Says to Update the Exchange Rate Before the Fiscal Year End" 12-6-2020

KTFA:

DELTA:  FINAL ARTICLE #456 

the International Monetary Fund to update the exchange rate of the Iraqi dinar before the end of the fiscal year,"

here we have it boom
NEW EXCHANGE RATE COMING OUT BEFORE END OF THIS YEAR... DELTA

Frank26:  AMEN.. AMEN.. AMEN......FRANK26

DELTA:  FROM SOCIAL MEDIA .....MORE CONFIRMATION ....

"It takes a month to 45 days to send the budget to the Parliament," said Ahmed Al-Saffar, the rapporteur of the parliamentary finance committee, adding in a televised statement that "the cabinet has postponed discussing the budget because of the high oil prices, in addition to the issue of the exchange rate of the dollar against the Iraqi dinar and the existence of negotiations of the Ministry of Finance with the International Monetary Fund."    DELTA

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Don961:  Oil "disturbs" Iraq's 2021 budget: an expected update of the "dinar exchange rate" and amending the numbers to "reduce the financial deficit!"

2020-12-06  Yes Iraq - Baghdad

 The Parliamentary Finance Committee informed the Presidency of the House of Representatives, today, Sunday, that it will hold continuous meetings as soon as the General Budget Law arrives in Parliament for discussion and approval as soon as possible. It is likely that the 2021 budget will be approved at the end of this December.

"The government has postponed sending the budget to the House of Representatives so far due to the high oil prices in the global market, which requires reformulating the numbers in the budget sections to reduce the financial deficit ceiling and increase revenues," the committee's reporter, Ahmed Al-Saffar, said in televised statements.

He explained that "the cabinet will meet next Tuesday and may approve the budget then or hold a special session to discuss and approve the budget next Wednesday, which means that the budget will reach the Presidency of Parliament early next week."

He added, "The draft budget is still up to the General Secretariat of the Council of Ministers to audit it in coordination with a special committee from the Ministry of Finance and the International Monetary Fund to update the Iraqi dinar exchange rate before the end of the fiscal year," indicating that, "according to government estimates that we have informed about the price of a barrel of oil." In the general budget it will be between 42 - 43 dollars.

The official spokesman for the Council of Ministers, Minister of Culture, Hassan Nazim, announced last week that the Council of Ministers decided to postpone its session devoted to discussing the draft Federal Budget Law 2021, until yesterday, Saturday, as it has not yet been held.

Expectations of the next deficit?

And on that, today, Sunday, a Foundation for Studies, the Iraqi government’s monthly expenditures exceeded the 6 trillion dinars barrier for the month of October, surpassing the general average for the year of 5.7 trillion Iraqi dinars.

The Future Iraq Foundation for Economic Studies and Consultations said in a statement that operating expenses for salaries rose to reach 3.45 trillion dinars, surpassing the general average for salaries of 3.34, an increase of 3.45%.

The statement pointed out that the expenses of social care increased by 19% compared with the annual general rate to reach 1.5 trillion dinars, indicating that "the total expenditures of the Iraqi government have increased by 5.85% from the annual rate to reach 6.12 trillion dinars," noting that "the general rate was 5.7 trillion dinars.

The statement added that “at the level of imports, imports achieved an increase of 8% compared to the general rate of imports, and despite the decrease in oil revenues by 10% from the general average, a significant increase of 175% in non-oil revenues, as non-oil revenues amounted to 1.186 trillion dinars. It is higher than the general average of 431 billion dinars, and thus the total revenues for the month of October (last) will be 4.652 trillion dinars.

He pointed out that "despite the increase in revenues, the government recorded a real deficit of 1.5 trillion dinars, and thus the total cumulative deficit of the Iraqi state for the year 2020 has reached 15 trillion dinars."

The institution expected; That "the deficit until the end of the year exceeds more than 29 trillion dinars as a result of the need for the government to pay debts dues at the end of the year in addition to the payments of oil licensing companies, which are expected to be worth more than 13 trillion dinars," according to the statement.   LINK

JJimmyJJ:  Wait... what did I just read?!    to audit it in coordination with a special committee from the Ministry of Finance and the International Monetary Fund to update the Iraqi dinar exchange rate before the end of the fiscal year,"

Ross:  Interesting how they seem to be telling the whole world we are going to increase our rate. I always assumed it would be Top Secret until the moment of Boom here it is. Nothing normal about Iraq. Seems the cat is out of the bag. Will be nice to hear our FF's(fireflies)  take on all this. IMOO makes the middle of the month around the 15th more exciting.

MilitiaMan:  I know right... EXPECTED... They just told the world openly that they are to update the exchange rate.. The shot that was heard around the World!! or WHAT!! lol ~ MM

I wonder if the brokers around the world heard it yet? lol ~ MM

Don961:  Two reasons blocking the approval of the 2021 budget, a talk about changing the exchange rate, and concerns about the salaries '' deadlock ''

1,739 Policy 12/05/2020 21:55
Baghdad today - Baghdad

Parliament's financial reporter, Representative Ahmed Al-Saffar, revealed new details regarding a `` new crisis '' that the Iraqi economy is going through, and that concerns the political and technical consensus regarding the budget for next year.

Al-Saffar said, in a televised interview, followed by (Baghdad Today), that "one of the reasons for postponing approval of the budget for 2021 is the changes witnessed by oil prices during these days, and this justifies the delay in approving the draft budget."

He continued, "We believe that a budget of 70 trillion dinars will be sufficient for Iraq," noting that "budgets that exceeded 100 trillion have not been spent until now."

Away from what the parliament is witnessing regarding the upcoming budget, Al-Saffar explained that "there are negotiations between the Ministry of Finance and the International Monetary Fund regarding changing the exchange rate of the dollar," and this matter.

Regarding the Baghdad-Erbil agreement, he said, "Regarding the recent agreement between Baghdad and Erbil, a delegation from the region will visit Baghdad to discuss the budget handling mechanism," adding, "We believe that 250,000 barrels per day will be delivered to Baghdad, as well as 50 imports from the ports."

He stressed the Kurdistan Regional Government's readiness to "hand over all its imports in exchange for Baghdad to spend money for oil-producing companies."

On the other hand, a member of Al-Iqtisadiah, Mahmoud Al-Zajrawi, expressed his fear of a third borrowing scenario by the government.

Al-Zagrawi told (Baghdad Today), "The postponement of the cabinet session on the file to decide the fate of the 2021 budget may come due to a thorough reading of the financial situation, scrutinizing its items and looking into developing possible solutions."

Al-Zagrawi added, "If the postponement is repeated again, this will be the beginning of doubts that it is a government attempt to impose borrowing in the 2021 budget law," and continued, "This is an option that we will reject and will push us to demand its dismissal because the implications of borrowing are very bad for the Iraqi economy."

He expressed his hope that "the government will complete the budget file and expedite sending it to the House of Representatives for study and approval before the deadline for paying salaries next January to avoid major problems."

Al-Zajraoui indicated that "if the government really has determination on the third borrowing file, we will consider the impact in settling the budget as a pressure card on the street through the gate of delaying the payment of salaries in order to approve it," noting that "what we are presenting now is just doubts, hoping that the budget will be taken Its course is in the discount without the borrowing file. "

An informed political source revealed the reason for the postponement of the cabinet session to be held today, Saturday, to discuss the draft general budget law for the fiscal year 2021.

The source stated in an interview with (Baghdad Today), that “the cabinet session was postponed until next Tuesday, due to lack of agreement on a price My guess is for a barrel of oil in the bill. "

He added, "Among other reasons, the deficit rate was not specified in the draft budget, and there was no agreement on the value of the loans in it."

On Monday (November 30, 2020), Prime Minister Mustafa Al-Kazemi directed to send the 2021 budget to the General Secretariat of the Council of Ministers immediately for the purpose of checking it.

The spokesman for the General Secretariat of the Council of Ministers, Haider Majeed, said in a press statement, "Al-Kazemi directed the Ministries of Finance and Planning to send the 2021 budget immediately to the Cabinet Secretariat."

He added, "The prime minister directed the ministries of finance and planning to send the budget for the purpose of scrutiny by the legal department in order to allocate an extraordinary session for discussion and refer it to the House of Representatives for approval as soon as possible."

Majeed pointed out that "the government and parliament are unanimous in the need to expedite the approval of the 2021 budget.

Cabinet spokesman Hassan Nazim announced that a special session would be held for the purpose of discussing the draft federal budget law for the next year.   link

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Don961:  l-Kazemi's advisor identifies 4 factors to get out of the financial crisis

294 Economie 12/06/2020 18:27 Baghdad Today - Follow-up

The Prime Minister’s Adviser for Financial Affairs, Mazhar Muhammad Saleh, confirmed today, Sunday, that financial planning will not determine the future of the coming months.

The official news agency quoted Saleh as saying that "financial planning is what determines the future of the coming months, starting from the first of January," indicating that "everyone is waiting for financial planning to know how to determine expenditures and revenues and address the deficit, if any." He added, "Exiting the financial crisis depends on management, compression of expenditures, maximizing resources and setting priorities in the correct manner, so that there are things that are subject to pressure and installments." 

Regarding the possibility of Iraq borrowing again to fill the deficit, Saleh stated that "borrowing depends on the budget law and is determined by law in the House of Representatives," pointing out that "there are limits to the borrowing process," noting that "the danger lies in relying on one resource, oil, and setting its prices in the outside".

The Parliament's financial reporter, MP Ahmed Al-Saffar, revealed new details of a "new crisis" in the Iraqi economy, which concerns the political and technical consensus regarding the budget for next year.

Al-Saffar said, in a televised interview, followed by (Baghdad Today), that "one of the reasons for postponing approval of the budget for 2021 is the changes witnessed by oil prices during these days, and this justifies the delay in approving the draft budget."

He continued, "We believe that a budget of 70 trillion dinars will be sufficient for Iraq," noting that "budgets that exceeded 100 trillion have not been spent until now."

Away from what the parliament is witnessing regarding the upcoming budget, Al-Saffar explained that "there are negotiations between the Ministry of Finance and the International Monetary Fund regarding changing the exchange rate of the dollar," and this matter. On Monday (November 30, 2020), Prime Minister Mustafa Al-Kazemi directed to send the 2021 budget to the General Secretariat of the Council of Ministers immediately for the purpose of checking it.

The spokesman for the General Secretariat of the Council of Ministers, Haider Majeed, said in a press statement, "Al-Kazemi directed the Ministries of Finance and Planning to send the 2021 budget immediately to the Cabinet Secretariat."

He added, "The prime minister directed the ministries of finance and planning to send the budget for the purpose of scrutiny by the legal department in order to allocate an extraordinary session for discussion and refer it to the House of Representatives for approval as soon as possible."

Majeed pointed out that "the government and parliament are unanimous in the need to expedite the approval of the 2021 budget.  LINK

Don961:  A "preliminary agreement" between Baghdad and Erbil ... oil for salaries

Sunday 06 December 2020  Baghdad: Hoda Al-Azzawi 

The central government reached with the Kurdistan Regional Government a "preliminary agreement", which includes sending the salaries of Kurdistan employees, in exchange for handing over 250 thousand barrels to the federal government with 50 percent of the border crossing revenues.

This agreement is somewhat similar to the previous agreement in the government of Adel Abdul Mahdi, with the addition of some paragraphs, as it will be included in the 2021 budget, which may accelerate its approval in Parliament.

The differences between Baghdad and Erbil escalated against the backdrop of the parliament’s approval of the “Financing the Financial Deficit” law, which enabled the Iraqi government to borrow internally to pay the salaries of employees.

The law stipulated that the Kurdistan Regional Government of Iraq pay its financial dues to the federal government, before proceeding with the payment of employees' salaries.

The reporter of the Parliamentary Finance Committee, Ahmed Al-Saffar, said in a statement to Al-Sabah: "The federal government reached with the regional government the same old agreement, which was supposed to be included in the 2020 budget that was not approved." He added, "The agreement included delivering 250 thousand barrels per day to Baghdad, in addition to 50 percent of the ports' revenues, in return for the Kurdistan region's share of the federal budget, which amounts to 12.67 percent, at the forefront of which is salary insurance." He pointed out that "this initial agreement will be included in the 2021 draft budget."

For his part, a statement by the Presidency of the Kurdistan government said, "The regional government president, Masrour Barzani, met with the regional government delegation that negotiated with the federal government, and the meeting discussed the latest developments regarding the course of talks with the federal government regarding salaries and financial rights for the region."   LINK

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Samson:  Economic Outlook: A deficit in the Iraqi budget of more than 29 trillion dinars by the end of 2020

6th December, 2020

On Sunday, an institution for studies monitored that the monthly expenditures of the Iraqi government exceeded the 6 trillion dinars barrier for the month of October, exceeding the general average for the year of 5.7 trillion Iraqi dinars.

The Future Iraq Foundation for Economic Studies and Consultations stated, in a statement received by Shafaq News; Operating expenses related to salaries rose to reach 3.45 trillion dinars, surpassing the general salary average of 3.34, an increase of 3.45%.

The statement pointed out that the expenditures for social care increased by 19% compared to the annual general rate, to reach 1.5 trillion dinars. And he indicated that "the total expenditures of the Iraqi government have increased by 5.85% from the annual rate to reach 6.12 trillion dinars," noting that "the general rate was 5.7 trillion dinars."

The statement added that "at the level of imports, imports achieved an increase of 8% compared to the general rate of imports, and despite the decrease in oil revenues by 10% from the general average, a significant increase of 175% in non-oil revenues, as non-oil revenues reached a value of 1.186 trillion dinars. It is higher than the general average of 431 billion dinars, so that the total revenue for the month of October (last) is 4.652 trillion dinars."

He pointed out that "despite the increase in revenues, the government recorded a real deficit of 1.5 trillion dinars, and thus the total cumulative deficit of the Iraqi state for the year 2020 has reached 15 trillion dinars."

The institution expected; That "the deficit until the end of the year exceeds more than 29 trillion dinars as a result of the need for the government to pay debts dues at the end of the year in addition to paying the amounts of oil licensing companies, which are expected to be worth more than 13 trillion dinars," according to the statement.   LINK