Iraqi News Sunday AM 6-13-21
Iraqi News Sunday AM 6-13-21
TLM724 Administrator BondLady’s Corner
The Fair Exchange Rate .. Who Determines It?
Sunday 13 June 2021 95 Baghdad: morning During the past few days, the economic circles have traded the term fair exchange rate of the Iraqi dinar against the dollar, which was refuted by specialists, and stressed that there is no room to talk about a fair exchange rate at this time and the situation in the country and the approved economic work mechanisms.
The academic economist Dr. Qusay Al-Jabri stated that “a fair price is not an opinion that this person or that person puts forward, and when we talk about an appropriate exchange rate, there should be special models for estimating this price, and there are strong arguments to defend a specific exchange rate, and these arguments are behind it. Important economic goals, so they are not opinions to be presented.”
Trade Balance
He added, “No monetary policy can succeed without corresponding policies in the real sector (production sector) so that it is possible to correct the conditions of the trade balance and the balance of payments, but changing the exchange rate and trying to reduce it is an incorrect policy whose inevitable result is the impoverishment of people and the strengthening of inequality in the distribution of income.”
He pointed out that «strengthening economic stability in Iraq is not possible through monetary policy only or financial policy only, but rather comes from a system of effective and harmonious economic policies to achieve a set of goals, foremost of which is the strengthening of stability and giving a greater role for the private sector to absorb the momentum of unemployment and improve the balance of payments conditions. ».
Currency Value
Financial affairs specialist Ahmed Hathal explained that “some research determines the value of the currency on the basis of purchasing power in some countries or in the United States, and this is also inaccurate due to the different structure and structure of the production sector, as well as the quality of the commodity measured by it, even if we assume that the same factory produces in The United States and Iraq will have differences as a result of the difference in per capita income.”
Oil Revenue
In turn, the economist, Samir Fikri, said: “Who can determine the fair value of the exchange, and our sources of income are determined by external demand and linked to international oil prices, so there is no so-called fair value, as it is a value that fluctuates with the fluctuation of oil revenues, and it continues as long as the growth of government spending depends on the sector Oil and non-oil GDP growth exceeds the so-called fair value. LINK
Dollar Prices In Iraq Remain At The Highest Level
Pratha News Agency92 2021-06-13 Today, Sunday, the dollar exchange rates continued to record high levels in the Iraqi Stock Exchange and markets.
The exchange rates on the Al-Kifah and Al-Harithiyah Central Stock Exchange in Baghdad amounted to 150.100 Iraqi dinars, compared to 100 US dollars.
While the selling prices in banking shops in the local markets in Baghdad remained stable at 150,500 Iraqi dinars, and the purchase prices at 149,500 dinars per 100 US dollars. http://burathanews.com/arabic/economic/394298
6 Unions Launch A Campaign To Support The Dinar And The National Economy
Time: 06/13/2021 12:18:14 Reading: 2,717 times {Economic: Al Furat News} A group of unions and federations announced the launch of a national campaign to support the national currency and the economy and increase the citizen's confidence in the Iraqi dinar.
And 6 unions said in a statement that {Euphrates News} received a copy of it, in which it announced “the launch of a national campaign under the auspices of the Central Bank of Iraq to raise awareness to support the national currency and the Iraqi economy. Dentists, who represent a large segment of Iraqi society.
The statement added, "This campaign aims to shed light on the importance of dealing with the national currency and increasing the citizen's confidence in it, for the contribution of all sectors to maintaining the exchange rate and maintaining inflation at low rates, and reducing the rates of poverty and unemployment through the entry of Iraqi and foreign investors to work inside the country, which will lead to To increase the services provided to citizens, and this is fully reflected in the economy.”
He pointed out that "this campaign also includes a focus on the failure of the owners of retail and service stores to compel citizens." LINK
In Support Of The Iraqi Dinar.. Unions And Federations Adopt A National Campaign
Economie| 12:38 - 13/06/2021 Baghdad - Mawazine News, a group of unions and federations announced the launch of a national campaign to support the national currency and the economy and increase the citizen's confidence in the dinar.
This group said in a joint press statement that Mawazine News received a copy of it, that it is launching a national campaign sponsored by the Central Bank of Iraq to raise awareness to support the national currency and the Iraqi economy. dentists, who represent a large segment of Iraqi society.
The statement added that this campaign aims to shed light on the importance of dealing with the national currency and increasing the citizen's confidence in it, for the contribution of all sectors to maintaining the exchange rate and maintaining inflation at low rates, and reducing the rates of poverty and unemployment through the entry of Iraqi and foreign investors to work inside the country. The statement pointed out that the campaign also includes a focus on not forcing the owners of retail stores and services to force citizens to sell their goods in dollars, but rather in dinars.
The statement concluded, that the signatories to this national campaign are Wadih Al-Handal, the head of the Association of Private Banks, the Syndicate of Pharmacists, Dr. Mustafa Al-Hiti, the President of the Federation of Chambers of Commerce, Abdul Razzaq Al-Zuhairi, the Doctors Syndicate Jassem Al-Azzawi, the Syndicate of Engineers, Azhar Hussein Saleh, and the Syndicate of Dentists, Dr. Abu Bakr Ziyad Al-Rawi. End 29 /kh87 https://www.mawazin.net/Details.aspx?jimare=156794
Will Iraq Succeed In Overcoming Its Crises?
Sunday 13 June 2021 123 Yasser Al-Metwally We do not bring anything new if we say that the entire global economy was affected by the financial crises and the pandemic, even in varying proportions, according to the capabilities of countries and their economies’ endurance to the shock of crises.
Reports and news indicate a tangible recovery in the global economy as a result of the end of the causes of the financial crisis through the recovery of oil prices globally and the return of the recovery of trade and the global market accordingly.
As for the second reason, it is due to the decline of the Corona pandemic “Covid-19” after the discovery of relatively effective vaccines, so countries are rushing to take advantage of the opportunity to improve and recover in order to revitalize their economies.
The question here is, what is Iraq's share of these somewhat joyful results?
.International reports and studies indicate that Iraq ranks "10" among the richest countries in the world in terms of natural resources.
Iraq possesses stockpiles of its natural wealth represented by oil, gas, coal, gold, copper, uranium, iron, phosphate and sulfur.
All of this is in addition to the revenues of border crossings, communications, aviation and transportation, but you find the Iraqi economy is still stagnating in its place and if we do not say it is declining, what is the solution?
Therefore, it seems clear that Iraq's revenues are scattered and need two main factors in order to revive the economy Iraqi.
First, we need to invest neglected natural resources throughout this period since the stage of change until now. Of course, the need necessitates approving amendments to the investment law and working to attract specialized international companies and establish partnerships with them in order to find financial leverages capable of overcoming the financial deficit that caused the economy to stagnate.
Then, the need requires, secondly, to correct the course of the country’s fiscal policy through the proper management of public money, and this requires the speedy introduction of modern technology in obtaining state revenues through mechanization and electronic methods of obtaining resources governmental.
In addition, the rising price differentials of oil must be employed in order to activate the income-generating productive sectors.
At that time, whoever manages the economic file will be able to achieve the country's economic recovery.
Assuming stable trends in dealing with waste of public money and combating corruption, which has been talked about a lot.
We hope well for the recovery of the Iraqi economy in the near future so that it can address unemployment, reduce the poverty line and the rest of the challenges that afflict the country's economy, and to turn the page on the contradiction between the global perspective on Iraq's potential and the reality of the situation. LINK
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