MilitiaMan and Clare "News and Views" Wednesday Evening 5-11-2022

KTFA:

Clare:  Postponing the vote on the emergency food security support law until next Saturday  ???? lol

Thursday 12 May 2022 00:22 

 The Presidency of the House of Representatives decided to postpone the voting session on the draft law on emergency support for food security until Saturday, 14/5/2022, for the purpose of completing discussions and maturing the law and for the need for more time. LINK

MilitiaMan:  How do they postpone a vote after doing it, already noted below? Um.. Leakage? .. Or a timing issue.. lol ~ MM

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Parliamentary Finance hosts the Minister of Water Resources regarding the Food Security Law

Wednesday 11 May 2022

Baghdad / NINA / - After voting today, the Finance Committee hosted the Minister of Water Resources, Mahdi Rashid, and the Ministry's cadre, on the Food Security Law, after voting on its entirety.    LINK

Clare:  After its implementation in Iran… Is it possible to cancel the dollar exchange rate in Iraq? – Urgent

2022/05/11/19:52  Baghdad today – Special 

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, commented today, Wednesday, about the possibility of canceling the dollar exchange rate in Iraq after implementing this step in Iran. 

Saleh said in a statement to (Baghdad Today), that “the step taken by Iran means its official exit from the dollar area, whether in settling its foreign transactions with the world or in building its foreign reserves, and accordingly, it will deal with all existing international currencies and will allow the circulation of reserve foreign currencies in various forms, except for the United States dollar. 

He added, “Perhaps the exchange rate of the Iranian currency will be based in the future on the currency basket system, excluding the dollar, which means Iran will leave the International Monetary Fund system entirely, in addition to the embargo imposed by the United States on Iran since 2011, which stopped any Iran’s dealings with the world in the currency of the United States of America.”

Saleh added, “Iraq is completely different from Iran, as it is located within the dollar area, and its oil payments and foreign payments are closely linked to the US dollar and to the policy of a fixed exchange rate between the dinar and the dollar only.” 

He pointed out that “the exchange rate policy is flexible, as the dinar is linked with other reserve currencies, such as the euro, the Japanese yen, the pound sterling, and others.”  LINK

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MilitiaMan:  The possibility for Iraq to cancel the dollar exchange rate has been talked about, however, the reality is the Dollar is not imo going anywhere soon, it is on a tare now. It is pushing $104.02 lately to a basket of the same currencies noted directly above in green and then some. 

The Rial may have something a lot more valuable to trade in the short term. Yes, one that will be more valuable than the USD... Don't forget all boats rise with the tide. And the tide is out for some, but the Tsunami called the Dinar is about to fill the gap!!

imo Lets see how the tell us about what has already happened.. All good imo.. ~ MM

USD 104.02 +0.09

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Clare:  Iraq's decisive moment has come

10 May 2022  Toukhr Mazroev  

While the political blocs are busy forming the government in the coming weeks, it will
also be important to agree on the economic goals that the government will seek to achieve,
as these goals are likely to determine the economic future of the country.

 Iraq suffers from multiple economic challenges known to all. Every year, thousands of Iraqi children are born in difficult socio-economic conditions.

 More than one-fifth of the population lives in poverty in the absence of a reliable and sustainable
source of electricity, drinking water and other basic services. Universities are scarce of economic opportunities, which pushes them to take to the streets, demanding change.

The main lesson from Iraq’s recent history is the unsustainability of these policies and their inability to create sufficient job opportunities for the nearly eight hundred thousand young people who enter the labor market each year.

The rest of the urgent priorities, which makes public finances vulnerable to the risks of fluctuating
oil prices; Therefore, it is not surprising that Iraq finds itself on the brink of economic collapse after every sharp drop in world oil prices, and every time Iraq is exposed to such shocks, economic reform attempts are launched, but they are quickly abandoned as soon as conditions in the oil market improve.

This question is more central and important today than ever before. At a time when the world is struggling with climate change, every available opportunity like this may also be the last. In light of the raging global race to save the planet and the uncertainty it entails about the continued dependence on oil, Iraq is entering an existential battle for its economic future. At the same time, rising temperatures, frequent and intense heat waves, droughts and other natural disasters, as well as increased salinity and desertification, threaten to destroy the livelihoods of millions and make major parts of the country uninhabitable. 

Moreover, current demographic trends will increase pressures on already struggling urban water, sanitation and electricity systems. Without enacting urgent reforms that build resilience to the challenges of climate change and economic diversification, many sectors of the economy could disappear forever.

These reforms can only be achieved with broad political support, which was difficult to achieve
in the past. 

Global oil markets have presented Iraq with another opportunity to secure a brighter future for its citizens, and the response of the new government to that opportunity - before those opportunities disappear forever -may extend to future generations. Herein lies its historical significance.

* Head of the Iraq mission to the International Monetary Fund     LINK