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Iraqi News Highlights Late Monday Evening 6-5-23

Iraqi News Highlights Late Monday Evening 6-5-23

Tlm724 Administrator Bondlady’s Corner

An Economist Told NINA: International Understandings Are The Only Solution To Reduce The Gap Between The Official And Parallel Dollar Price

Monday 05, June 2023 09:31 | Economical   Number of readings: 475  Baghdad / NINA /- The economist, Nabil Al-Marsoumi, confirmed that   the only solution to reduce the gap between the official price of the dollar and the parallel price in the market is the international understandings about paying countries' dues for imports of goods and merchandise in dollars and the large withdrawal on it in the currency auction, noting: "This rise He came to settle the sums of trade and import from neighboring countries.”

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Al-Marsoumi said, in a statement to the National Iraqi News Agency ( NINA ), that

"the sales of the Central Bank of Iraq increased, especially during the past months of April and May, and

restored their previous levels before launching the electronic platform," noting that "the

increase in sales confirms the compliance of Iraqi banks with the rules for working on the electronic platform." created by the US Federal Bank, and thus a

large number of bank transfers were successfully executed. 

He explained: "The  large gap between the official selling price of the dollar and the parallel market, despite the central bank's measures, is caused by the use of cash dollars to settle trade with neighboring countries, especially Iran, as

it is subject to US sanctions that prevent it from obtaining dollars directly," noting that

"Iraq It imports goods and products from Iran amounting to 10 billion dollars annually, and

this prompts the need to find certain mechanisms to finance trade with Iran. 

The economist stressed, "the  need to find understandings between the Central Bank and the US Treasury to implement a mechanism that enables Iraq to pay the Iranian side's dues for goods,

such as choosing an alternative currency for the dollar," noting that

"failing to find a settlement for this matter keeps the dollar's prices fluctuating no matter what." Sales of the Central Bank of Iraq amounted to dollars.   https://ninanews.net/Website/News/Details?key=1057718

Ignite Controversy About The Central Bank's Policies With Banks {Fines} 

The first 2023/06/06  Baghdad: Shukran Al-Fatlawi   The controversy escalated between experts and specialists in financial affairs regarding the imposition of fines by the Central Bank on banks, as

some of them supported this step and considered it dues that must be paid to contribute to the development process, while

another section rejected it and described it as a retaliatory and inflexible policy that negatively affects the performance of banks.

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The Central Bank recently imposed financial fines on banks and institutions after they manipulated the exchange rate of the dollar against the dinar. Alert and warning after its manipulation of the dollar exchange rates.

The economist, Dr. Mustafa Hantoush, told Al-Sabah:

The increase in fines on banks is an inflexible policy by the Central Bank, as

it is imposed for several reasons and does not fall even after overcoming its causes.  He pointed out the

need to give banks a period to address their mistakes, stressing that exceeding

fines amounting to 34 billion dinars is more like a policy of retaliation or collection than a policy of regulating performance.   Hantoush noted that

banks began to fear dealing with citizens and conducting banking transactions, and

therefore their capabilities were curtailed, as

they became content with some businesses to achieve profit without going for banking expansion.  He added that

banks at the present time do not have the ability to attract the monetary mass, as more than 70 percent of the cash is still hoarded,

because dealing with depositors requires several things and methods of dealing,

foremost of which is the flexibility that is not currently available due to the recent policies of the Central Bank. The process of abandoning banks and accessing depositors’ money. Hantoush emphasized that

failure to attract and recycle deposits forces the country to print dinars, and

thus an inflation process occurs, even though the dinar is equivalent to the dollar.   https://alsabaah.iq/78426-.html

 The Minister Of Finance Is Taking A Package Of Measures And Procedures To Control The Movement Of Accounts

 June 4 21:46 1 shares  The Minister of Finance takes a package of measures and procedures to control the movement of accounts

Information / Baghdad...  Minister of Finance, Taif Sami, announced today, Sunday, that the  TSA system will contribute to improving the quality of financial statements for banks, while she referred to a package of measures and procedures to control the movement of financial accounts.

The Ministry of Finance said, in a statement received by Al-Maaloumah, that “Minister Taif Sami chaired today the consultative meeting regarding the requirements for designing and implementing the TSA unified account system, in the presence of the general managers of Al-Rafidian and Al-Rasheed banks, the real estate, industrial, agricultural, Al-Nahrain Islamic Bank, the Iraqi Trade Bank, and the director general of the Accounting Department.”

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And representatives of the above banks, the representative of the Office of Financial Supervision and the ministerial team concerned with the project.

During the meeting, the Minister of Finance stressed the importance of doubling the work efforts of the sub-committees by obliging all spending units within ministries and institutions to allocate allocations for them and not to exceed their account ceilings, to reduce cases of out-of-control spending, in addition to doubling oversight and audit efforts around them.

The measures and procedures that the Ministry is working on to control the movement of financial accounts to include various sectors and to  determine the accuracy of the financial data, in addition to moving towards updating the financing accounts towards the investment account and the current operational account.

She stressed that "the system will contribute to improving the quality of financial statements of banks within the framework of applying international standards in auditing,  control,  transparency and risk management." https://almaalomah.me/news/economy/وزير-المالية-تتخذ-حزمة-من-التدابير-والإجراءات-للسيطرة-على-حر  

Experts Call For Offering {The Path Of Development} To Foreign Investment

Economical 06/04/2023  Baghdad: Hussein Thagheb Al-Tamimi  Experts in economic affairs called for the need to put the development path project on the table of “foreign investment”, while at the same time warning against exploiting this project for political purposes.

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, described the role of the development path in reviving the national economy as important, pointing out that

“the work mechanisms must take into account modernity in the implementation of all stages and joints of the project.”  Saleh told Al-Sabah,

"As long as the project is implemented jointly with investors, there is a need for a financing alliance whose stages are being prepared in advance before starting to refer the project to international contracting companies to implement it competitively according to the latest technological and digital specifications in the world." 

And he called for "the need to choose manufacturing industries whose production is interconnected, locally and globally, to make economies of scale, reduce costs, and maximize returns, with a truly tight interconnected plan."

Haider Kazem al-Baghdadi, a specialist in economic affairs, said:

“The development path is one of the important strategic projects for future generations and the future of Iraq, because of its positive aspects, both visible and unforeseen.” 

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He added, “The factors for the success of this path require the development of an implementation plan that depends on allocating the necessary amounts for implementation and is not linked to a specific annual budget, because this project is not exploited for any political purpose.”. 

In the technical side of the project, Al-Baghdadi said:

“It is preferable that this road be in the form of an artery branching to Jordan, Turkey and Iran for the purpose of benefiting from the advantages of this project and preserving it from commercial competitors, and it is not preferable that it be on one side (a specific country).”

In turn, a member of the Baghdad Economic Forum, Amer Al-Jawahiri, said:

“The development path represents an economic step on the path to achieving sustainable development in its true form, on the basis that it is an integrated and comprehensive project, not only a road and a railway, but will lead to the establishment of industrial and service cities and major ports.” 

He pointed out that "the path of development must be an important part of the Belt and Road initiative, which includes the establishment of infrastructure and production, service and tourism projects, and there must be coordination with major countries to coordinate mechanisms for linking the east and west of the world, and to reach major agreements that contribute to Bringing major investments,” noting that  “partnerships are important in the implementation and operation of this project.” 

And he indicated that  “the project includes commercial points throughout the project and its paths, and Iraq can be the heart of the real and most important link between the West and the East, and here it is necessary to work on implementing development path projects that require quick procedures and serious action with all parties to implement such an important project because there are projects International competition,

but the path of development is the most likely to have the ingredients for success and the absence of complex challenges. 

Al-Jawahiri stressed that "Iraq is in dire need to start development projects that have weight in the world, commensurate with Iraq's economic capabilities and move it to a new stage that achieves the benefit of the country and the global economy in general."

Regarding the financial returns of the project, Al-Jawahiri said:

“This matter depends on the exact economic feasibility of the reality of the performance of this project and its details, and it is not possible to set specific numbers for this pillar of the Development Road project.” 

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Pointing out that “the project requires a comprehensive and serious move to achieve attracting international and local direct investments in all aspects of the project, which represents a great development movement that achieves financial returns and benefits for all parties, but determining a specific number is not possible at the present time.”    https://alsabaah.iq/78245-.html

Economical 06/05/2023  Baghdad: morning  Yesterday, Sunday, Finance Minister Taif Sami discussed reforming the tax system and maximizing non-oil revenues.

A statement by the ministry stated that Sami chaired an expanded meeting to follow up on the paragraphs of implementing the ministerial program presented by the government program team in the General Secretariat of the Council of Ministers, in the presence of the general directors of the Mesopotamian, Rasheed, Agricultural, Industrial and Real Estate banks, the customs and tax authorities, and the directors of the legal, accounting and budget department in the ministry.  He added,

"The meeting discussed the report on the implementation of the government program prepared according to the

priorities of the ministerial platform related to the second chapter of 2023, managing public money, reducing consumer spending in favor of sustainable development projects, and shifting towards balancing programs and performance, in addition to adopting a vision to limit external borrowing for investment projects."

 He stressed that "the meeting continued to study 

the priorities of reforming the tax and customs system, controlling border crossings, and maximizing non-oil state revenues, as well as following up on plans to reform the banking sector in a way that guarantees raising its contribution to the overall economic activity," noting that

"a detailed report was presented on completion rates."

Departments and agencies for their projects in accordance with the ministerial curriculum, identifying cases of delay in implementing programs in accordance with the vision (2023-2025), and

stressing overcoming all obstacles to the completion of reform projects, and other plans consistent with the criteria for the advancement of the national economy.    https://alsabaah.iq/78327-.html

To read more current and reliable Iraqi news please visit BondLady’s Corner:

https://www.bondladyscorner.com/

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