Iraqi News Wednesday Morning 5-25-22
Iraqi News Wednesday Morning 5-25-22
TLM724 Administrator BondLady’s Corner
Minister Of Finance: The Total External And Internal Debts On Iraq Are More Than 99 Trillion Dinars
Posted On2022-05-25 By Sotaliraq Today, Wednesday, Finance Minister Ali Allawi announced that the total external and internal debts on Iraq amount to more than 99 trillion Iraqi dinars .
Allawi said in a statement that "the only real commercial debt of Iraq is two of three Eurobonds with an interest rate of 5.8% and 6.72%, while the third with an interest rate of 2.149%, which is guaranteed by the US government, and all other debts are on very concessional terms."
He pointed out that "the external debt does not include the debts of the former regime, which amounted to 57.8 trillion dinars, or the equivalent of 39.9 billion dollars, which have been frozen since 2003 without interest or repayment as part of the Ministry of Finance's work to reduce debt ."
And Allawi stated, "The ministry has reconfigured all local debts, and the balance of all local debts has become with medium or long-term terms, after the government agreed with the Central Bank and public banks in 2020 to convert all current treasury bond transfers into loans for 10 and 20 years, with payment of installments starting from March." 2021 and a reduced interest rate to 2%,” while the total external and internal debts amount to more than 99 trillion dinars .
He continued, "The Council of Ministers, in its session held on Tuesday, April 5, 2022, approved the adoption of the strategy for repaying the internal public debt for the years (2022-2024), which was prepared by the Public Debt Department / Ministry of Finance within the draft federal budget bill. for the Republic of Iraq for the fiscal year 2022 . LINK
Allawi: Increasing The Cash Reserves Of The Central Bank Will Reach 90 Billion Dollars By The End Of This Year
Economie Wed, 25 May 2022 10:53 AM National News Center/ Baghdad Finance Minister Ali Allawi confirmed, on Wednesday, the increase in cash reserves with the Central Bank to 90 billion dollars by the end of this year, while setting the ratios of commercial debts to Iraq.
Allawi said, to the official agency, and the National News Center followed him, that "the devaluation of the Iraqi dinar led to the preservation of foreign currency reserves with the Central Bank of Iraq after the low and critical levels that reached in late 2020," noting, that "the recovery in oil prices and management Financially wise, help the reserves become $70 billion by April.”
He added, "It is expected that the continued recovery of oil prices will increase these reserves to more than 90 billion dollars by the end of 2022, which is a record level for Iraq," noting that "the depreciation of the Iraqi dinar against the US dollar in December 2020 contributed to the decline Demand for the US dollar, while the current demand for the dollar is higher than the declines seen in 2020, it is much lower than the period before 2020.”
He pointed out that “the continuation of the Ministry of Finance’s sales in US dollars reflects the increase in oil revenues, and the increase in the government’s provision of goods and services to citizens,” stressing, that “the increase in the Ministry of Finance’s sales of US dollars in return for the decrease in demand for the dollar will lead to an increase in foreign currency reserves with the Central Bank.”
And on the commercial debt of Iraq, the Minister of Finance said, “The only real commercial debt of Iraq is two of three Eurobonds with an interest rate of 5.8% and 6.72%, while the third at an interest rate of 2.149%, which is guaranteed by the US government and all other debts are on very concessional terms.” .
He pointed out that "the external debt does not include the debts of the previous regime, which amounted to 57.8 trillion dinars, or the equivalent of 39.9 billion dollars, which have been frozen since 2003 without interest or repayment as part of the Ministry of Finance's work to reduce debts."
And Allawi stated, "The ministry has reconfigured all local debts as follows: The balance of all local debts has medium or long-term terms, after the government agreed with the Central Bank and public banks in 2020 to convert all current treasury transfers (bonds) into loans for 10 years and for 20 years, With repayment of installments starting from March 2021 and an interest rate reduced to 2%, while the total external and internal debts amount to more than 99 trillion dinars.
He continued, "The Council of Ministers, in its session held on Tuesday, April 5, 2022, agreed to adopt the strategy for repaying the internal public debt for the years (2022-2024), which was prepared by the Public Debt Department / Ministry of Finance within the draft federal budget bill. for the Republic of Iraq for the fiscal year 2022.
He noted that "inflation in Iraq is lower than that of emerging economies and the group of oil-exporting countries." https://nnciraq.com/130513/
The Central Bank Allocates One Trillion Dinars To Purchase Clean Energy Systems
Economie Wed, 25 May 2022 11:48 AM National News Center/ Baghdad Today, Wednesday, the Central Bank of Iraq allocated one trillion dinars to finance the purchase of clean energy systems.
The Governor of the Central Bank of Iraq, Mustafa Ghaleb Mokheb, said during his speech at the Conference on Sustaining Economic Growth, organized by the Iraqi-British Business Council in the British capital, London, followed by the “National News Center”, that they “continue to support efforts to confront climate change with other government institutions, as the Central Bank allocated An initiative of one trillion dinars to finance the purchase of clean energy systems. https://nnciraq.com/130531/
The Cabinet Issues Several New Decisions
Today, Tuesday, the Council of Ministers issued new decisions during its regular session, which was held under the chairmanship of Prime Minister Mustafa Al-Kazemi.
The Media Office of the Prime Minister stated in a statement, "Prime Minister Mustafa Al-Kazemi chaired, today, the nineteenth regular session of the Council of Ministers."
He added, "The session witnessed a discussion of the general situation in the country, and a discussion of various economic and service files, and the Council was briefed on the procedures for implementing government decisions and recommendations related to confronting the global economic crisis, and mitigating its effects."
He continued, "The Minister of Finance presented a detailed report on the economic situation in Iraq and the positive indicators of the reports of the World Bank and the International Monetary Fund regarding the government's steps regarding the economy, which included several paragraphs, the most important of which are related to the GDP indicator, the sectoral contribution to the growth of non-oil GDP, and inflation rates." In Iraq last year and the first quarter of this year.
He pointed out that "the report also touched on the global food price index, the prices of selected foodstuffs in the world and in Iraq, indicators of the digital economy, and referred to the temporary financial stock (government balances), the financial balance and total foreign currency reserves, the money supply and deposits in foreign currencies in the banking sector. currency auction sales, as well as economic inflation, total debt and crude oil price forecasts.
And the office indicated that "the council hosted, in its session, charged with managing the Ministry of Electricity, who in turn gave a presentation on the current electricity reality and the ministry's preparations for providing electric power to citizens and overcoming the obstacles and problems it faces."
He stated that "the Council of Ministers, after discussing a number of issues related to the electricity file, issued the following:
- Approval of the recommendation of the Central Committee for the review and approval of the referral in the Ministry of Electricity, regarding the electrical linkage between the Republic of Iraq and the Electrical Interconnection Authority of the Cooperation Council for the Arab States of the Gulf, as far as the issue is concerned. With financial authority, after signing the aforementioned recommendation, from the supervisor of the Ministry of Electricity.
The media office stated that "the session witnessed a review of the epidemiological report, the procedures of the Ministry of Health to confront the Corona pandemic, the efforts made by the ministry to provide the necessary medical supplies, and its efforts to secure vaccines and urge citizens to take them."
He stressed that, "After discussing the topics on the agenda, the Cabinet issued the following:
First, the Ministry of Finance took over the financing of an amount of (3,000,000) dinars, only three billion dinars for the purchase of cleaning mechanisms and filling the deficit in services, and an amount of (2000,000,000) dinars, only two billion dinars for business Cleaning and developing the environmental reality in Najaf Governorate in line with its importance, the size of the large works in the governorate and the annual growing number of visitors, in implementation of paragraphs (1 and 2) mentioned in the letter of the Federal Financial Supervision Bureau No. (1/1/15/2443) dated 3 February 2021, facilities linking Cabinet Resolution (15 of 2022)
Second / Approval of the recommendation of the Supreme National Water Committee, according to the following:
Financing the Ministry of Finance an amount of (25 billion) dinars, only twenty-five billion dinars to the Ministry of Water Resources in two installments during the months (June and July); For the purpose of continuing to address the financial scarcity during the upcoming summer season, and to secure the necessary requirements for the work of the aforementioned departments of the Ministry in Diyala Governorate, distributed as follows:
1- (7 billion) dinars, only seven billion dinars / the General Authority for the Operation and Maintenance of the Tigris River Basin, allocated to the works of installing pumping stations Maintaining them, rehabilitating regulators, purchasing fuel and spare materials, and addressing the problem of Sayed Dakhil sub-district.
2- (2000,000,000) dinars, only two billion dinars / the General Authority for the Operation and Maintenance of the Euphrates River Basin, allocated to purification works and lining irrigation schedules, to mitigate the effects of water scarcity and to deliver water to streams.
3- (350,000,000) dinars, only three billion and five hundred million dinars/ the Department of Implementation of River Drilling Works, allocated to the works of removing dehydration and raising sediments from the front of dams and dams in Diyala Governorate.
In implementation of paragraphs (1 and 2) mentioned in the letter of the Federal Financial Supervision Bureau No. (1/1/15/2443) dated February 3, 2021, attached to the Cabinet Resolution (15 of 2022).
https://www.radionawa.com/all-detail.aspx?jimare=29624
Finance Minister: The Government Was Subjected To Internal Pressures To Refrain From Adhering To OPEC's Decision To Reduce Oil Production
Energy Economy News-Baghdad Finance Minister Ali Abdul Amir Allawi revealed, on Wednesday, internal pressures that Iraq was subjected to to push it to refrain from reducing oil production in 2020.
Allawi said in a report on the economic situation in Iraq for 2022 seen by "Economy News", that "the OPEC + agreement in April 2020 and in response to the historical collapse in oil demand after the emergence of the Corona virus restored the balance between supply and demand," adding that "this led to The stability of oil prices and then to the recovery and continued rise in oil prices, as the OPEC + agreement called for a reduction in oil production by 9.7 million barrels per day.
He considered that "Iraq's commitment to its share in the cuts, given its position as the second source in OPEC, played a key role in ensuring the success of the OPEC + agreement and in the rise in oil prices," noting that "this was one of the main decisions taken by the Iraqi government after its formation in May 2020, despite domestic pressure not to do so.
He pointed out that "the new world order after the Ukraine war will lead to a period of continued high oil prices, as evidenced by the futures contracts for Brent crude."
138 views Added 05/25/2022 - 10:51 AM Update 05/25/2022 - 6:41 PM
https://economy-news.net/content.php?id=28163
The Dollar Rises Against The Dinar
Economie | 09:28 - 25/05/2022 Baghdad - Mawazine News, the dollar exchange rates rose, today, Wednesday, on the Iraqi Stock Exchange.
The selling prices of the dollar were 148,250 dinars per $100, while the purchase prices of the dollar were 148,000 dinars per $100. https://www.mawazin.net/Details.aspx?jimare=194314
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