Iraqi News Saturday AM 11-21-20
Iraqi News Saturday AM 11-21-20
TLM724 Administrator BondLady’s Corner
Official Acknowledgment: Iraq Has A Choice Between Borrowing New Or Printing Currency For Its Coming Days
Reports Economy News _ Baghdad The Parliamentary Finance Committee spoke, on Saturday, about the fate of the financial crisis in Iraq and that there is no alternative to borrowing or printing currency except for one method, which will be worked on in Parliament. Committee member Jamal Cougar said in a press statement, "The White Paper is the government's vision for reform, and that the Finance Committee has formed a sub-committee to express the House of Representatives' point of view on the necessary reforms at this stage." The merging between them begins a real reform process.
He added, "Iraq will definitely borrow again; Because his resources are not equal to his expenditures, "noting that" the government has not yet sent the draft budget, despite sending an official letter to expedite sending it in order for the House of Representatives to amend the project. " Regarding printing the Iraqi currency, Cougar pointed out that “printing it without a financial cover will affect its strength and will be able to temporarily resolve the crisis; But after this, we will face another crisis, ”adding that“ there is no solution but reforms. ”
He added that "what arrives from the border outlets does not exceed 10% of its real resources, and that any reforms in them will provide additional double sums."
A spokesman for Prime Minister Ahmed Mulla Talal had confirmed earlier that the 2021 budget is based on the requirements of the white paper.
"The 2021 budget will be reform par excellence, and it is based on the requirements of the white paper," Mulla Talal said in a tweet on Twitter.
He added that "next year’s budget will take measures aimed directly at improving state revenues and controlling expenditures."
Where will you finance the next budget?
Earlier, the advisor to the prime minister for financial affairs, Mazhar Muhammad Salih, revealed a tendency for the federal government to borrow from citizens and use their savings to fill the financial deficit in the 2021 budget, and consider this as a public debt, instead of government banks.
Saleh said in press statements regarding the draft fiscal budget bill for the next year and their features, financing and deficit, that Iraq is going through a difficult financial situation, especially since oil export revenues constitute 50% of the "moderate" and not high revenues of the country, which has lost a lot of its resources.
And that "the budget depends on 93% of oil revenues during the past years, especially as it is committed to the decisions of OPEC to reduce production, while 2020 was a year once and" lean "on the financial policy of the country and the state that tried to secure salaries until the end of the year, adding that the year 2021 may be a year of “financial discipline” to control the operating budget, and its entries and exits in a very large way, because it absorbs about 80% of fixed expenditures.
On the financial deficit in the budget for next year, he indicated that "its financing will be from several internal and external parties, taking into account not borrowing from government banks, especially since there is an international financial alliance that has the willingness to deal with Iraq, and it will have an impact in supporting the country and providing it financially and sustaining financial momentum."
And the economic "according to his perception", pointing out that "this is a very vital and important issue, especially to obtain aid and soft foreign loans."
He added that the other approach of the government in filling the deficit in the budget is to seek the help of the public and borrow from the savings they have, not from the government financial apparatus and its banks, indicating: “Yes, maybe this time borrowing from the public will be a public debt.” Suspect
He pointed out that "there is no way to fill the deficit, either by improving oil prices to obtain additional revenues or resorting to borrowing."
Saleh assured that there is "good preparation to complete the budget, and when it is presented, everything will become clear: the deficit, sources of financing and spending, and revenues, and maximizing non-oil revenues, especially since there is a" strong "trend to take his field in this regard and not by 6% or 7%, perhaps up to 25 % This is an excellent goal and step, and once that ceiling is reached by maximizing resources, there will be improvement to face the deficit, whose size is unknown, because Parliament will also work to amend it.
”It is expected that the government will present the budget to Parliament during the next few days, but this depends on the ministries defining their revenues And its operating expenses and locations - and investment in the budget. https://economy-news.net/content.php?id=22793
Parliamentary Finance: We Expect The Government To Borrow Again, And There Is No Solution Except With Reforms
Economie| 12:05 - 11/21/2020 Baghdad - Mawazine News Today, Saturday, the Parliamentary Finance Committee confirmed the formation of a sub-committee to express the House of Representatives' view on reforms
. Committee member Jamal Cougar said, "The White Paper is the government's vision for reform, and that the Finance Committee has formed a sub-committee to express the House's view on the necessary reforms at this stage Pointing out that "the parliament paper will be sent to the government, which can merge between them and start a real reform process."
He added that "Iraq will definitely borrow again because its resources are not equal to its expenditures," noting that "the government has not yet sent the draft budget, despite sending an official letter to expedite sending it for the House of Representatives to amend the project."
With regard to printing the Iraqi currency, Cougar pointed out that "printing it without a financial cover will affect its strength, and he will be able to resolve the crisis temporarily; but after this we will face another crisis," adding that "
He added that "what arrives from the border crossings does not exceed 10% of its real resources, and that any reforms in them will save double additional sums."
A spokesman for Prime Minister Ahmed Mulla Talal had confirmed earlier that the 2021 budget is based on the requirements of the white paper.
Mulla Talal said in a tweet on Twitter, followed by the Iraqi News Agency (INA): "The 2021 budget will be reform par excellence, and is based on the requirements of the white paper."
He added, "Next year's budget will take measures aimed directly at improving state revenues and controlling expenditures." Ended 29 / A 87 https://www.mawazin.net/Details.aspx?jimare=131208
The Iraqi Central Bank And The Bank For International Settlements Agree To Increase Investment Opportunities
Economie| 02:09 - 21/11/2020 Baghdad - Mawazine News The Central Bank of Iraq agreed today, Saturday, with the Bank for International Settlements to increase investment opportunities.
A central bank statement, of which Mawazine News received a copy, stated that "The Central Bank of Iraq held a remote meeting with the Bank for International Settlements (BIS) to discuss prospects for joint cooperation and investment mechanisms between the two parties."
The statement pointed out that "the two sides agreed on the contribution of the Bank for International Settlements to enhance the capabilities of the Central Bank of Iraq and increase investment opportunities in foreign reserves."
The Bank for International Settlements is an international institution that provides services to central banks that seek to enhance global monetary and financial stability, through its activities to balance the priorities of strategic importance for central banks in managing reserves, and to ensure a good understanding of cash liquidity management and diversification in order to obtain good returns To meet their needs, in addition to providing credit brokerage services, gold, foreign exchange and asset management, including the function of integrated management of financial and operational risks and properly controlling them. https://www.mawazin.net/Details.aspx?jimare=131222
Parliamentary Finance: What Arrives From The Border Crossings Does Not Exceed 10% Of Its Real Resources
Pratha News Agency64 2020-11-21 The Parliamentary Finance Committee confirmed, on Saturday, that what arrives from the border crossings does not exceed 10% of its real resources, indicating that a sub-committee has been formed to express the Parliament's viewpoint on reforms.
The Iraqi News Agency (INA) quoted committee member Jamal Cougar as saying, "The white paper is the government's vision for reform, and that the Finance Committee has formed a sub-committee to express the House of Representatives' view on the necessary reforms at this stage."
Pointing out that "the parliament paper will be sent to the government, which can merge with each other and start a real reform process."
He added that "Iraq will definitely borrow again because its resources are not equal to its expenditures," noting that "the government has not yet sent the draft budget, despite sending an official letter to expedite sending it for the House of Representatives to amend the project."
Regarding printing the Iraqi currency, Cougar pointed out that "printing it without a financial cover will affect its strength and will be able to resolve the crisis temporarily; but after this we will face another crisis," adding that "there is no solution but reforms."
He added that "what arrives from the border crossings does not exceed 10% of its real resources, and that any reforms in them will save double additional sums." http://burathanews.com/arabic/economic/380938
Can The Government Borrow From Citizens ?!
Pratha News Agency89 2020-11-21 The appearance of Al-Ghaithi || A question has already been asked that if government banks reach a limit, they cannot lend to the government, how will domestic borrowing be financed?
The answer is that 83% of the current monetary mass (as an almost idle financial wealth), which is about 50 trillion dinars, is still leaked to the public, lying outside the Iraqi banking system in the form of hoardings cut from the income cycle in the economy and not dealing with the banking system.
It means that there are large suspended financial surpluses that can cover the budget deficit.
Therefore, the fiscal policy can go towards issuing optional bonds that are sold directly to the public and bear specific interest and privileges as a government debt instrument in transactions and mortgages and even tax payments or taking guarantees for borrowing and others, as those government bonds are a government debt instrument of excellent class.
It is a context in place in all capital markets in the world.
Above it is the vision of professional consultants in this regard, which is a professional vision.
Greetings http://burathanews.com/arabic/economic/380923
Washington Grants Iraq A New Extension, Excluding Energy Imports From Iran
Time: 11/21/2020 10:01:58 Read: 2,483 times {International: Al-Furat News} American media confirmed, today, Saturday, that Washington granted Iraq an additional extension to the exception in the file of importing energy from Iran.
The "Washington Post" newspaper quoted a spokesman for the US State Department as saying that "Secretary of State Mike Pompeo extended the exemption for an additional 45 days, leaving the Trump administration a final decision on whether to extend it or cut it completely before the inauguration of the new president on January 20."
"The minister renewed the exemption from sanctions on Iraq to participate in financial transactions related to importing electricity from Iran," he added, noting: "The exemption ensures that Iraq will be able to meet its energy needs in the short term while taking steps to reduce its dependence on Iranian energy imports."
The American newspaper indicated that in practice, the decision deepens the pressure on the Iraqi government, which is already under pressure from US threats to withdraw its embassy from Baghdad.
At the end of last September, the US administration extended the exemption for Iraq from energy import sanctions from Iran for another 60 days.
A senior Iraqi official said, in a press statement, that "Washington extended Iraq's exemption from sanctions imposed on importing energy from Iran, another 60 days."
And, and that "US Secretary of State Mike Pompeo approved the new waiver for a period of 60 days, a day before the expiration of the previous exemption of 120 days." LINK
Parliament Presidency Calls On The Government To Prevent The Exit Of Hard Currency From Iraq
Political| 04:09 - 11/21/2020 Baghdad - Mawazine News called on the Presidency of the House of Representatives, Saturday, the government to prevent the exit of hard currency from Iraq.
"The economic situation in Iraq makes it imperative for the government to control its resources, including the exit of hard currency from Iraq," the first deputy speaker, Hassan al-Kaabi, said during the parliament session today, Saturday, according to the Information Department of the House of Representatives.
Today, Saturday evening, the House of Representatives held its 23rd session of the fourth parliamentary session, the third legislative year, the first legislative term, headed by its president, Muhammad al-Halbousi. https://www.mawazin.net/Details.aspx?jimare=131237
Member Of The Representative Economy Submits A Set Of Proposals To Revitalize The Iraqi Economy
Time: 11/21/2020 16:00:58 Read: 1,105 times {Baghdad: Al Furat News} A member of the Parliamentary Economic and Investment Committee, Mazen Al-Faily, presented, today, Saturday, a set of proposals to revitalize the Iraqi economy.
"It is important for the government to seriously consider adopting economic activities that contribute to maximizing revenues, absorbing unemployment, moving the market and reducing import amounts, and all those benefits can be achieved through revitalizing the private sector and supporting it by various means," Al-Faily said in a statement.
We propose a set of steps to achieve this important goal, "the first of which is to support medium and small productive projects with loans, taking into account the inclusion of those with experience and skill in partnership with holders of higher degrees in the disciplines associated with the subject, pointing out that" indicators of Iraqi market consumption according to specialists consume about three billion dollars annually Materials that are easy to manufacture in Iraq. "
He referred to "supporting agricultural and industrial projects, livestock and their food industry by tightening procedures, controlling border crossings and activating the standardization and quality control body."
He pointed to "unifying the customs tariff in all outlets and doubling the fees on the importer similar to the local product." And the statement continued: "Restricting import with a permit with a specific activity and for materials that cannot be manufactured locally."
He continued: "Monitoring the currency auction activity in order to adhere to its sale of hard currency with the above procedures. As a result, large sums are available, the profits of which were acquired by parasitic banks that do not engage in any developmental economic activity. Those recovered sums can be directed to support industrial and agricultural productive projects."
He added, "Canceling Cabinet Resolution No. (435) for the year 2018 regarding entry into damaged cars and working with Cabinet Resolution 145 of 2016, which will provide job opportunities for a large number of car maintenance professionals and reduce hard currency out of the country."
He stressed, "obligating all ministries and state departments to purchase locally manufactured products and conform to standard specifications."
He stressed, "Addressing the issue of foreign workers in Iraq, it is unreasonable that Iraqi youth suffer from the lack of job opportunities while hundreds of thousands of foreign workers are flocking." LINK
The Presidency Office Urges To Facilitate Entry Procedures To Stimulate Tourism, Investment And Economic Movement
Time: 11/21/2020 10:33:44 Read: 2,184 times (Baghdad: Al Furat News) The Office of the Presidency of the Republic stressed, today, Saturday, the need to facilitate procedures for issuing passports and granting entry visas in order to support the tourism sector and the movement of the economy and investment.
The President of the Presidential Office Muhannad Hussam al-Din said in a statement that Al-Furat News received a copy of, that “after the Corona crisis resolves with the help of God, Iraq needs to extend new bridges to communicate with various countries of the world, and to facilitate procedures for granting entry visas to foreigners to visit the country. Tourist, religious and heritage places, which opens the way for the opposite party to initiate and reciprocate. "
He added during his meeting with Director General of Civil Status, Passports and Residence, Major General Riyad Al-Kaabi, "We must take the initiative and strive to revitalize the tourism, cultural, economic and investment aspects, rapprochement with the various peoples of the world, and break the barrier of anxiety and hesitation in international tourism companies, so that it is possible to closely examine the reality of Iraqi cities and social life." And the multiple activities, which provides added opportunities for economic, commercial and investment cooperation, and the exchange of tourist groups. "
The statement indicated that “the work of the aforementioned Directorate, which has made good strides and achieved remarkable successes, in the areas of facilitating the procedures for issuing passports and the unified card, with its advanced database, can be used and used from its information to achieve economic and security ranges, and to provide an adequate amount of information. And the data that serve the electoral process that is scheduled to take place in the middle of next year. LINK
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