Iraq Economic News and Points to Ponder Thursday Afternoon 3-6-25
Development And The Unit Of Funds
Economic 2025/03/06 Abdul Zahra Muhammad Al –Hindawi Iraq may be unique and not other countries in the multiplicity of development funds, which are very similar in their tasks, but each of them has a geographical space, which works to cover it, with the exception of two of these funds,
which are both the Iraqi Fund for Development, which is concerned with creating an attractive investment environment, especially in what is related to the health and education sectors, as a priority and then the rest of the sectors come, and
the second is the social fund For development, which is concerned with targeting the poorest villages and areas, by providing basic services, by implementing small projects, such as building schools, health centers, providing water and electricity networks, and road paving.
As for all other funds, which are the Emaar Fund, which is affected by terrorist acts and military operations, the Sinjar Emaar Fund and the Nineveh Plain, the Emaar Dhi Qar Fund, the Penis, the Termis' Emaar Fund, and the Samarra Fund, the capital of Iraq for Islamic civilization.
If we had a look at the tasks and work of these funds, we would have found a great similarity between them, this similarity may sometimes cause an intersection with other programs, foremost of which is the regional development program, which is carried out by local governments in the governorates, and the investment program implemented by the federal ministries in all governorates.
On the other hand, no one denies that these funds are a work on the ground, as they have succeeded in implementing many investment and service projects, according to the geographical area of each of them.
Certainly, each of them has good annual financial allocations, to finance the projects they implement, and
here comes the area of the question that represents the title of the title of this article,
what happens if we intentionally unify all these boxes in one box??, and
for example, the Social Fund for Development, which is the oldest of the foundations found, and was able to implement small projects in more than 500 villages spread in 18 governorates, according to philosophy, according to philosophy, according to philosophy, according to philosophy, according to philosophy, according to the philosophy of New and different depends on the principle (planning from the bottom up to the top) in the sense that the local community is the one that defines the priorities of the projects that the region needs, according to the criteria for the need in the covered village.
There is no doubt that the union of these funds in one box, starting, will help the planning to draw a clear-cut image, with specific dimensions and paths, in addition to that the financial allocations will be very good that support project financing at a comfortable manner, and this will be an integration with other programs, and here the development will witness a good boost, in all sectors .. right? https://alsabaah.iq/111232-.html
Specialists: Transformation Into A Digital Currency In The Right Direction
Economic 2025/03/05 Baghdad: Hussein Thaghab Central Bank of Iraq to issue a digital currency as a "step in the right direction", to
strengthen the financial system and
keep pace with global developments.
Specialists also believe that the
development of the banking system and the
adoption of modern technologies
are vital to ensuring the achievement of the desired benefits, such as
improving financial inclusion and
supporting the national economy. However,
they warn of possible challenges, such as the risks of cybersecurity and the need for a clear legislative framework that supports this step.
The Governor of the Central Bank d. Ali Al-Alaq, confirmed the approach to creating a bank digital currency, to replace paper currencies.
According to the Financial Adviser to the Prime Minister, Dr. Mazhar Mohamed Saleh, the
Central Bank of Iraq is towards the issuance of a digital currency, which is an advanced step in the world of central banking. He added in his speech to "Al -Sabah", that
this step represents a qualitative leap in the national digital payment system by reducing the percentage of leaks resulting from paper currency problems outside the banking system, which will reduce the need to print large quantities of paper currencies.
This, in turn, will limit the circulation of present criticism, which requires continuous and expensive nutrition for the paper cash payment system.
The problems of the paper currency outside the banking system, which will reduce the need to print large quantities of paper currencies. He pointed out that the
digital currency will contribute to improving transparency and governance, which allows the total economy and monetary policy to adapt its policies in a way that achieves stability and speeds up to fight inflation and control digital liquidity.
The digital currency will also provide a great ability to achieve the financial inclusion of the community segments quickly and clearly, especially for poor groups related to the banking system. But Saleh stressed that
entering the world of digital currencies requires a strong infrastructure that includes advanced internet networks and superior protection devices from cybersecurity, in addition to the culture of accepting this type of virtual currencies. He stressed that the
state agencies must be the first to accept them in government collection of various forms, with the survival of digital criticism practicing its normal functions as an account unit, payments, savings and settlements.
For his part, Mustafa Akram Hantoush, a specialist in financial affairs, stressed that
talking about issuing a digital currency in Iraq is premature, indicating that
this step requires the presence of an advanced banking device and a strong infrastructure for electronic payment and the national division. In his speech to "Al -Sabah", he added that
society needs to adopt a new culture that supports this transformation, especially in light of the modern transition to the electronic payment system, which still faces great difficulties and challenges. Hantoush explained that the
digital currency represents an electronic balance of value,
which requires a
social awareness and a
deeper understanding of this concept. He also pointed out that
global digital currencies, such as the
electronic dollar in America, the
euro in Europe and the
Chinese electronic yuan, are still facing serious challenges,
especially in the areas of cybersecurity and the dangers of penetration, which led to the incomplete application of its application completely so far. He stressed that the
issuance of a digital currency in Iraq first requires the development of the banking system to
meet international standards,
enhance technological infrastructure, and
build solid confidence between the public and banking institutions. He stressed that
this step, despite its importance, needs accurate planning and comprehensive preparation to ensure its success. https://alsabaah.iq/111169-.html
Bank Deposits In Iraq Lose 10 Trillion Dinars... And An Economic Warning
Time: 2025/03/06 14:45:11 Read: 1,065 times Economic: Al Furat News} Official banking data showed a 9% decline in total deposits in Iraqi banks during 2024, losing 10 trillion dinars of their value and declining from 133.5 trillion dinars at the end of 2023 to 123.5 trillion dinars.
The data revealed that government sector deposits declined by 14%, from KWD 47.3 trillion to KWD 42.8 trillion, while public institutions’ deposits decreased by 7.4% (from KWD 29.6 trillion to KWD 27.4 trillion). Private sector deposits also fell by 6.52%, from KWD 56.5 trillion to KWD 53.2 trillion, which threatens to have repercussions on banking liquidity.
Current deposits lose 10 trillion
Current deposits accounted for the bulk of the decline, falling 11.6% from KWD 107.5 trillion to KWD 97.4 trillion, while fixed deposits were stable at KWD 9.62 trillion. Savings deposits, on the other hand, rose 0.7% to KWD 16.43 trillion.
Economist Munar Al-Abidi attributed the decline to several factors, including the decline in state revenues and changes in government liquidity management policies, in addition to the decline in confidence in the banking sector by the private sector. He pointed out that "electronic payment did not translate into an increase in deposits, because it remained a means without linking it to clear policies to enhance financial inclusion or stabilize the sector."
Al-Obaidi called for the necessity of reviewing monetary policies to restore confidence and enhance transparency in liquidity management, stressing that "the continued decline threatens risks to the overall economy, especially with the budget's reliance on bank liquidity to finance projects."
Questions about the feasibility of electronic payment
The decline has raised questions about the effectiveness of the electronic payment promotion trends, which have not contributed to increasing deposits or improving liquidity, which requires - according to observers - a re-evaluation of their implementation mechanisms to ensure the achievement of their objectives in supporting the banking sector. LINK
Gold Prices Stabilize Amid Anticipation Of US Jobs Data
Thursday 06 March 2025 11:09 | Economic Number of readings: 242 Baghdad / NINA / Gold prices recorded stability today, Thursday, as investors awaited the jobs data in the United States of America to know the path of interest rates that the Federal Reserve (the US Central Bank) will adopt with the escalation of trade tensions between the United States and its trading partners.
Gold stabilized in spot transactions at $ 2917.90 per ounce. While US gold futures rose by 0.1 percent to $ 2927.40. As for other precious metals, silver fell 0.1 percent to $ 32.60 per ounce, platinum rose 0.2 percent to $ 967.80, while palladium lost 0.2 percent to $ 941.00. / End https://ninanews.com/Website/News/Details?key=1190276
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