KTFA:

Don961:  On the threshold of the crisis ... conflicting statements in the Prime Minister's Office regarding the issue of financing employee salaries by printing currency

2020-03-28

Yassin Iraq: Baghdad

The issue of printing the Iraqi currency to finance the state budget, which the follow-up cell in the Prime Minister’s Office stated, has caused a great deal of social and economic circles, as Article 26 of the Iraqi Central Bank Law prohibits printing the Iraqi currency, while the economic advisor to the Prime Minister sees the appearance of Muhammad Saleh, The topic is just a suggestion.

Printed currency

The Follow-up Cell revealed, in the Prime Minister’s Office, that the government will be able to distribute the salaries of the current month of March, while it will resort to some solutions to ensure the provision of salaries next month. ), She explained that the salaries of employees amount to 3 billion and a half per month, which may push Iraq to print the currency as a last option, "as the state of the state will be affected starting from next month."

Cell leader Mustafa Jabbar Sanad said in a press statement, "The Corona virus crisis caused the disruption of the economy in general and the oil sector in particular, as global demand for oil decreased by 10 million barrels per day, while it will decrease during the next month by 9 million barrels." "The drop in the world oil price by one dollar means the loss of Iraq's annual budget of one billion dollars."

He pointed out that "among the solutions that the country's government may be heading towards is the printing of the currency," noting that "this is not possible without the presence of a cover of gold and hard currency. However, this option is offered as a last option, as things can go for a month or two." ”

Sanad cited his talk about currency printing that "the United States decided today, through a decision by the Congress, to print the currency at a value of two trillion dollars, which is the first country in the world, but it did not adhere to the issue of currency printing, so how do other countries that depend on the US dollar (referring to Iraq)".

Abdul Mahdi's advisor explains

The financial advisor to the Prime Minister, the appearance of Mohammed Saleh, revealed today, Saturday, Iraq’s options to face the new financial situation, which was imposed on the country after the decline in oil prices and the emergence of the Corona virus, while stressing that the issue of printing an Iraqi currency to avoid the crisis is just an opinion and a proposal.

Saleh said, in a statement, that "a team is working with the Ministerial Council to restructure state expenditures," noting that "our options to confront the financial situation are heading towards pressure expenditures."

He believed that "the issue of printing currency is merely a personal and suggested opinion that is not consistent with the Central Bank Law."

Economist explains

Today, Saturday, the economic expert, Nabil Al-Marsoumi, said that the Central Bank of Iraq Law of 2004 and its amendments prohibit government lending, but it allows him to purchase government securities from the secondary market only and that this is done through the use of a method of deduction of treasury transfers by the central bank as a debt to the bank The owner of the initial deduction, and this leads to an increase in his assets (the rights of the central bank over others), which requires an increase in his liabilities (the rights of others over the central bank) through an increase in the currency in circulation.

And the decree said in an interview to the platform "Yass Iraq" that "this is the same method that was used by the Central Bank of Iraq after the collapse of oil prices in 2014, knowing that the internal debts amount to about 40 trillion dinars representing treasury transfers and bonds discounted with government banks and the Central Bank of Iraq."

He added, Iraq will resort to adopting this method now due to the large deficit in the 2020 budget and to cover the salary gap that may reach $ 15 billion.

The Central Bank of Iraq law does not allow the printing of the currency to finance the deficit in the public budget because this measure would expose the national currency exchange rate to collapse as well as its inflationary effects on the Iraqi economy.  link

DELTA:  THANK YOU DON.........LIKE I SAID LAST NIGHT ON UBTB....

Moparman:  So, they can't borrow money and they can't print money. There are no auctions and they are facing sanctions. The writing is on the wall, they have to Reinstate their currency with enough value to pay their bills.

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Don961:  The World Bank: Many countries will need debt relief

 The world  ,   03/28 2020 11:40  

Baghdad - Iraq today:

World Bank President David Malpas has stated that many countries will need debt relief or restructuring due to the impact of the Corona virus on their economy.

Malbas said that preliminary estimates indicate that the volume of official debt service payments to the World Bank's International Development Association (IDA) for assistance to poor countries is approximately $ 14 billion in 2020, with interest and loan repayment calculations.

Malbas added that the World Bank is currently working with 35 countries to restart existing projects for the purpose of fighting the Corona virus, noting in this regard that projects worth about one billion dollars have been approved.

He also confirmed that he would refer the first 25 projects dealing with the Corona virus to the bank’s board of directors for approval today, adding that its value is estimated at two billion dollars.  LINK

Dan:  It's time for Steve Mnuchin to pump money into infinity into the system.
When it's time for bail outs, then refuse to bail out the banks.
everyone knows the system is broken and it can not be fixed.
It's time to break the evil system run by the Federal Reserve.
Bankrupt the old system, and bring in the new. 
(Hint) there's nothing federal about it. All past presidents have been 
well aware of this problem but lack the stones to take it on.
It's always a matter of being re-elected. 
Truly hope President Trump deals with this monster and slays it.
He would be a hero to kill this well fed monster.

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Iggy:  What's the difference between Dubai & Abu Dhabi?  

People in Dubai don't like the Flintstones……..but people in Abu Dhabi doooooo.

Iggy:  Which side of the chicken has more feathers?
The Outside

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Don961:   Trump: New York is a "hot spot" and quarantine may be imposed in 3 states!

21:46 Saturday 28 March 2020  Baghdad - people  

On Saturday, US President Donald Trump suggested the possibility of imposing a 14-day quarantine on New York State, and possibly New Jersey and Connecticut, after the aforementioned states witnessed an increase in the number of people infected with Coronavirus. 

"I want to impose a quarantine on New York because it is a hot spot, but I rule out the shutdown of the metro in New York City," Trump said during a press conference, followed by "People" today (March 28, 2020).

He added, "I do not know whether the closure will be ended in the country by April 12th."

New York State Governor Andrew Como said Saturday that the number of positive cases in the state was 52,318, while deaths reached 728.

The governor also announced the postponement of the state's primaries, which were scheduled for April 28 until June 23.

Trump headed to Norfolk, Virginia, to attend the launch of a US Navy medical ship scheduled to fly to New York to contribute to the fight against the virus there.   LINK

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Frank26:  3-28-20. Q&A

This video is in Franks opinion

https://www.youtube.com/watch?v=bvXMD_GK7wg&feature=youtu.be