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Don961:  Finance Minister: The salaries of the employees will be paid within two or three weeks

Posted 2 hours ago

 Al-Mustaqilla / - The Minister of Finance, Ali Abdul-Amir Allawi, set the date for the employees ’salaries to be disbursed, and while noting that there are no job grades in the next year's budget, he revealed the size of Iraq's internal and external debts .

Allawi said in an interview with the official agency, which was followed by the independent today, Sunday, that “the financial crisis that the country is going through is not a result of today, and it is the result of the decline in oil prices and the consequent reduction in production that affected Iraq's revenues in a large way due to reducing Iraq's share of exports Indicating that the reduction in oil exports caused an increase in the fees of contracting and licensing companies.

The financial crisis

He added, "The options to maximize revenues quickly and in the short term in order to bridge the deficit are almost impossible," noting that "increasing revenues from other sources through taking measures that require in the short term from 3 to 6 months, especially since the state was dependent on oil from Without paying attention to other sources for years.

He pointed out that "the current government faced the crisis without financial liquidity, so there is no choice but to borrow internally in the short term," noting that "external borrowing, which amounted to $ 5 billion, cannot be used to fill the deficit, but is allocated to finance projects.

Staff salaries

He continued, “The House of Representatives set a ceiling for the first internal borrowing, which reached 15 trillion, despite our objection, which was not enough to meet the salaries and expenses until last September, which forced the ministry to request a new borrowing with a higher ceiling of 41 trillion so that we could fill the deficit in salaries and related ruling expenses. By importing electricity, fuel, foreign debts, the ration card and supporting farmers, ”indicating that“ the amount included in the new borrowing covers salaries and expenditures for the remainder of the current year and the first two months of next year. ”

He emphasized that "the House of Representatives has the right to demand a reduction in the amount contained in the borrowing law, but this is the country's financial reality," stressing the difficulty of controlling expenditures entirely in light of the state building on a financially unstable base and expenditures based on unrealistic assumptions such as high oil prices.

He explained that the mechanism for repaying internal borrowing is through the revenues generated from oil and the benefits arising from hypothetically through an understanding with banks and the Central Bank without being subject to market controls.

He added that the government has taken short-term measures to maximize revenues and has an integrated plan for the purpose of facing the economic crisis.

He pointed out that the salaries of employees for the month of last October will be paid, perhaps within two or three weeks, in the event that the borrowing law is not approved, but in the event of voting on it, it will be launched directly.

He warned that "the monthly revenues from exporting oil with the funds in the Ministry of Finance are not sufficient to cover the salaries of all employees, but need some kind of scheduling," noting that "without resolving the basic crisis will remain accumulated and the delay in salaries will persist."
And that "oil revenues constitute 93% of the general budget and the remainder of non-oil revenues such as customs, ports, taxes and others."

He pointed out that "there is a decline in customs revenues for various reasons, including defects in the method of obtaining them, abuses, smuggling and thefts," stressing the importance of controlling customs in order to increase revenues, but they do not constitute 15% of oil revenues in addition to taxes that are difficult to work on. Increase it in light of the economic recession. ”

Activation of collection

He pointed out, "There is a strong trend to activate the collection of electricity by installing electronic meters to control it and covering part of the volume of allocations to the electricity sector, which amounts to about 14 trillion."

He stressed the necessity of spreading culture among the general public by paying the resulting taxes, stressing work to encourage investors in the sectors of generation, distribution and transportation.

Debts of Iraq

Allawi revealed the size of Iraq's debt, although it is not large, according to him, pointing out that "the foreign debt is estimated between 60 to 70 billion dollars."
He pointed out that "external debts, half of which are inherited, and the other added after 2003 for various purposes, including financing projects," explaining that "internal debts are also estimated at 60 trillion."

White paper

Allawi pointed out that "the white paper presented by the government needs time in order to change the method of work and the economic structure, and another needs legal or legislative change," indicating that "the white paper needs a complete institution that oversees the implementation and implementation process."

He explained that the mechanism for implementing the White Paper will be presented to the Council of Ministers and perhaps also to the House of Representatives for approval, indicating that “the process of pivotal change in the Iraqi economy requires persistence and continuous follow-up, and this needs a specialized body for follow-up, as well as working to change some laws, legislation and contexts over a period of years and not limited to a government. She is six months or a year old. ”

2021 budget

He pointed out that "the 2021 budget will be presented this month that includes a plan based on the medium term and basic changes to be implemented in the first phase of the white paper."
He pointed out that "the price of oil was based on $ 41 in the budget for next year," indicating that the majority of employees are not included in the proposed deduction in the allocations, which is under discussion in the budget, "indicating that the deduction from the allocations includes specific categories without prejudice to the nominal salary."

He emphasized work to reduce the GDP from 25% to become from 10 to 12 during the next three years.
Allawi warned that there are many proposals, the most important of which is the implementation of the main objectives of the White Paper without prejudice to the poor classes and the majority of employees and work to support them.

He pointed out that the 2021 budget does not include functional degrees, but there is the possibility of investing in the degrees of deletion and creation.

He announced the existence of large projects for public works, support for projects with a social aspect, moving contractors, and launching various projects, including paving roads, in addition to supporting small projects.

Retirement of the private sector

Allawi revealed that there is a tendency to collect the retirement pension of workers in the private sector with the National Retirement Authority and work on guarantees and conditions for organizing work with the private sector covering the conditions applied in the public sector in terms of unifying the years of retirement referral, deductions and so on. “.

Regarding Resolution 315, the Minister of Finance emphasized the difficulty of implementing it in the absence of the budget law.

The post Minister of Finance: salaries of employees will be paid within two or three weeks appeared first on Independent Press Agency.  LINK  

MilitiaMan:  There you have it. They are confirming that the salaries have a time frame to be paid. It all hinges on the rate at which to pay them, imo. 

Take note that they are saying that if the borrowing law is passed they will be paid directly. If not and it is not passed they have an auto pay scenario of within two to three weeks.

Well, even that is going to not sit well with the citizens, imo. The below is why the pressure is on.

They state not paying the salaries is  a crime against humanity. Well, if that is not pressure, I am not sure what. is.. Regardless they have given us a time frame. There words not mine.. Huge..

The rate has to be exposed to vote on the law and then that can pay the salaries, in that order. imo. ~ MM. 

Samson:  Learn about the legal articles that the government has violated by delaying payment of salaries

18:12 - 02/11/2020

Legal expert Ali Al-Tamimi revealed, on Monday, the legal articles that the federal government violated during the delay in paying employees' salaries for the month of October.

Al-Tamimi said in a statement to / al-Maalimah /, that “the delay in paying salaries contravenes Articles 3, 23 and 25 of the Universal Declaration of Human Rights and Articles 2, 6 and 7 of the Charter of the International Covenant and Economic and Social Rights which affirm the right to live and the state’s duty to provide wages for work.” 

Pointing out that “the Iraqi constitution affirmed in Articles 15, 22 and 33 the right to work and the right to live and the state’s obligation to do so, the relevant laws, including Law 24 of 1960 Law of Civil Service and Law 22 of 2008 Law on Payroll and Unified Pension Law 45 of 2009 amended which are similar to the laws of the world Which confirms that salaries are paid every 30 days, which is what has been the case for decades.

He added, "It is not the responsibility of the employees to have a financial deficit, and the continuation of this will lead to crimes against humanity that devastate society," noting that "delaying the payment of salaries is a violation of human rights."

The Parliamentary Finance Committee confirmed, today, Monday, that the government is concerned with paying the salaries of employees and not the Parliament, while it indicated that Parliament will vote on the borrowing law to pass salaries and medicine only.   LINK

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Samson:  Hoshyar Abdullah: The Government That Is Unable To Pay Salaries Should Go

2nd November, 2020

MP Hoshyar Abdullah attacked the government because of its delay in paying the salaries of employees and retirees.

Abdullah said in a tweet that he posted today on his personal account on Twitter: “Delaying salaries is a purely political issue between the government and parliament.

"On the other hand, more than once they stated that salaries are secure, and after that they retracted their statements, if you cannot pay the salaries, leave."   LINK