MilitiaMan and KTFA Members Wed. Night "Financial Controls and Iraqi Debt" 9-23-2020
KTFA:
Don961: Economic reform in Iraq
Tuesday 22nd September 2020
Sabah Mohsen Kazem
Perhaps the preoccupation of everyone in Iraq is how to advance the economic reality and the long-awaited economic development for four decades, due to the futile wars, the economic blockade and the debt-tie of Iraq due to the successive Gulf wars, after the sun of freedom, hope was legitimate towards prospects for advancement, but the delay in development projects, and the emergence of a phenomenon Financial corruption, then the "Corona" pandemic and its consequences led to the cessation of economic activity. The Iraqi society looks forward to providing a decent level of services, as in neighboring countries - with educational and health services and various sectors.
Iraq, with its topographical diversity, can invest in its land from the marshes environment, agriculture and archaeological tourism, with the capabilities to develop oil industries in (Basra, Amara, Nasiriyah) and to invest in the Samawah desert that extends to the Saudi borders, while the presence of the holy shrines in Karbala and Najaf makes them a destination for visitors from all countries of the world if it is developed as it does. Saudi Arabia around the city of Mecca or Iran in the holy city of Mashhad, Turkey, and the interest in its religious monuments, and Egypt with its Pharaonic civilization, has turned to establish an industrial base after establishing electrical stations and important transportation routes.
The completion of the strategic Al-Faw port project, which makes Iraq an important corridor for global trade, is an economic necessity, at a time when economic reform (industrial-agricultural) is facing a state of confusion. The advancement of Iraqi development is what is expected of every future elected government.
In his book (Economic Reform in Iraq Between Theory and Practice) on page 25, Dr. Abdul Rahim Al-Shaddd confirms that the concept of economic reform: (It is an expression of the policies that make domestic expenditures in harmony with the available resources by creating a combination of financial, monetary, commercial and exchange rate policies.
To ensure the existence of aggregate local demand that matches the composition of the aggregate supply, as well as adopting measures that stimulate the goods and services sector, adopting microeconomic policies that seek to achieve efficiency in the use of resources by eliminating price distortions and promoting competition, as well as reducing administrative control, which leads to the restoration of The internal and external financial balance, reducing inflationary pressures and reducing their negative effects, leading to an improvement in the balance of payments ...). !!!!!! lol
The reform package appears with the development of the economic performance that is reflected in the individual's life, and the lifting of the daily suffocation that society suffers from ... and thus the realization of the dream of the desired economic well-being, if the politician seeks to work carefully for his countrymen, the Iraqi economy is able to revive. LINK
This economist is supporting the importance of what they need to do to protect the citizens.
Post #46
Member of Parliamentary Finance: Every Iraqi child is born in debt with $ 3,000 of the country's debt
1,748 Economie 2020/09/22 21:27
Baghdad Today _ Follow up
The reporter of the Finance Committee in the House of Representatives, Ahmed Al-Saffar, said, Tuesday 9/22/2020, that Iraq's debts, when calculated and divided by the number of residents, that every Iraqi child who is born will be in debt, 3000 dollars, while he spoke about the file of appointments and salaries in the 2020 budget.
Ahmed Al-Saffar said, in a televised interview, followed by (Baghdad Today), that "successive governments have transformed the Iraqi economy from a producer to a rentier one that depends on a single resource, which is oil, and now there is no specific economic system in the country," indicating that "5% of the state's revenues It does not reach it as revenues from ports, taxes and customs.
Al-Saffar added, "The government is preparing a reform paper, and a committee has been formed that set goals and stages for economic reform through a white paper that includes solutions to reform the financial management of Iraq, which depends on borrowing and oil."
And he continued, "There are ministries that take more money than they need, and there is a waste of money and secrets who take high salaries, and the government does not know the number of its employees due to random appointments, especially partisan, and we have put in Parliament frameworks for a new salary scale to achieve justice among employees and we are waiting for a copy of the government to consider." .
Regarding the Iraqi private sector, Al-Saffar stressed "the failure of the public sector due to the state's economic system," noting that "one study says that the productivity of the Iraqi employee is 20 minutes a day," stressing at the same time the need to "move the stalled sectors such as agriculture in which the volume of what is planted has decreased. 48 million acres in 2003 achieved self-sufficiency, which reached 12 million.
Regarding the public debts owed by Iraq, the reporter of the Finance Committee in Parliament said, "If Iraq's debts are calculated and divided among the population, every Iraqi child is born in debt of 3000 dollars."
And the former central bank governor, Ali Al-Alaq, revealed, earlier, that Iraq's external debt amounts to about $ 23 billion, while the internal debt is about 40 trillion Iraqi dinars.
Al-Alaq said in his study on "lowering the exchange rate of the Iraqi dinar, determinants and alternatives," published by the official website of the Central Bank, that "Iraq's external debts amount to about $ 23 billion except for pre-2003 outstanding debts amounting to $ 40.9 billion." About 40 trillion dinars, representing treasury transfers and discounted bonds with government banks and the Central Bank of Iraq. "
Al-Alaq added, "When the country is in debt and pays its debts and interest on it in the currency of the creditor country, the burden of debts incurred by it in this case increases in the state's general budget as a greater amount of its national currency is allocated in repayment of its debt in foreign currency."
LINK
MilitiaMan: Those that look at this closely may see that the former CBI Governor explained some about the country of Iraq's debt and a bit about that to pay external debts increases the budget.
The budget as we know for 2020 has not been fully exposed yet, imo. There is a reason for that, as to protect the rate in which debts are to be paid, just as the rate will have effect on the budget.
There are 40,222,212 citizens as of today and they say they have a debt of $3,000.00 USD per every new child born. Well that is just the debt. Feel free to do some math.
Imo, if you see what I see you may think like I do. It is nice a amount and then think about the budget, they need more value to pay for the budget too, hence they don't tell us directly.. imo
They do have solutions.. imo One being lowering the exchange rate, as in deleting the zeros from the exchange rate. imo ~ MM
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Iraq Population (2020) - Worldometer
1. Population of Iraq: current, historical, and projected population, growth rate, immigration ... The current population of Iraq is 40,422,212 as of Wednesday, September 23, 2020, ... Iraq ranks number 36 in the list of countries (and dependencies) by population. The population density in Iraq is 93 per Km2 (240 people per mi2).
The Central Bank is discussing with the International Monetary Fund the latter's readiness to help Iraq
104 Economie 09/23/2020 09:22 ta
Baghdad today - Baghdad
The Governor of the Central Bank of Iraq, Mustafa Ghaleb Makheif, held a meeting today, Wednesday, through visual communication with the International Monetary Fund, to discuss the latter's preparations in helping Iraq.
"During the meeting, topics related to the economic situation in Iraq and the readiness and willingness of the fund to help Iraq by providing support and technical advice and coordinating financial and monetary policies and financial control plans were discussed," the Central Iraqi Media said in a statement received by (Baghdad today).
He added, "The fund's team also offered the congratulations of the fund’s executive director, Dr. Hazem Al-Beblawi, to the governor of the Central Bank on his assumption of the position."
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"Financial controls are the procedures, policies, and means by which an organization. monitors and controls the direction, allocation, and usage of its financial resources. Financial controls are at the very core of resource management and operational efficiency in any organization."
MilitiaMan: Now the thing about this article above is that the IMF is telling us they are prepared to help Iraq and in some very key places and one that is so very integral to the success of Iraq's reforms, is the Financial Controls.
They go to the core of what we are looking for.. imo... This is huge and why it is so important, it is related to the exchange rate, interest rates, etc..
The theme to this all is the Financial Controls have a very key roll in the exchange rate policy decision making. There is now no denying that there is a movement to get the country of Iraq to a social market economy, imo.
With the help of the International Monetary Fund involved!!! This is going to be seen to the end and that is a good thing!! imo ~ MM