More Iraqi News Saturday PM 10-2-21
More Iraqi News Saturday PM 10-2-21
TLM724 Administrator BondLady’s Corner
Warnings of economic optimism due to high oil prices
Saturday 02 October 2021 68 Baghdad: Haider Falih Al-Rubaie Industrial development and investment consultant, Amer Al-Jawahiri, warned of “economic optimism” due to the rise in oil prices, and the increase in the country’s financial returns, stressing the need to exploit these increases in establishing strategic investment projects that can diversify the economy, and gradually reduce dependence on “black gold” revenues.
While he called for the necessity of implementing major projects that invest in oil, gas and various mineral resources such as phosphates, sulfur and sodium sulfate, he urged the importance of establishing partnerships between the public and private sectors in order to attract direct investments (local and foreign).
Big Investment
Al-Jawahiri said in an interview with “Al-Sabah”: The calls for diversifying the national economy are now limited to improving the collection of taxes, customs and fees, pointing out that despite the importance of these points, they cannot contribute to achieving clear economic progress, compared to their actual size as a result of the presence of a “volume of Lots of unofficial activities coupled with massive corruption,” the spokesperson said.
Al-Jawahiri sees the danger of an increase in the “volume of optimism” as a result of the improvement in oil prices and the consequent rise in revenues, indicating that the positives of that improvement can be reflected in bridging the planned deficit gap in the current year 2021 budget and gives a glimmer of hope to avoid the deficit in the 2022 budget. The reality of the situation indicates a large deterioration in the infrastructure and the need for large investments at different levels, according to the priorities in the process of diversifying the economy and the educational, social and political support it requires.
Diversification Of The Economy
The industrial development consultant explains that the increase in revenues gives a positive indication “despite the fluctuation of oil prices”, so it has become necessary to invest these increases in a timely and executive frequency in business and projects that lead to diversifying the economy and reducing dependence on oil revenues. gradually.
Al-Jawahiri suggested a set of solutions that would contribute to finding financing outlets other than oil, putting at the forefront of these solutions “accelerating the development of infrastructure, which is in harmony with development strategies and plans, indicating that this requires the implementation of projects to provide electricity, production, transmission and distribution, and road and railway projects. advanced iron and communications.”
Big Projects
Al-Jawahiri believes that among the solutions to diversify the economy, and take advantage of the financial increases as a result of high oil prices, is “the implementation of major projects in all sectors, especially the productivity that invests oil, gas and various mineral resources, such as phosphates, sulfur, sodium sulfate, silica and others, as well as the implementation of economic cities.” own Grand.”
The speaker also stressed the need to “empower the private sector and benefit from its capabilities and solid international alliances to contribute to the implementation of various works and projects,” calling at the same time to the importance of attracting direct investments (both local and foreign) and through the method of partnership between the public and private sectors.
Al-Jawahiri explained that "the process of diversifying the economy, and achieving optimal investment of financial resources, require the availability of rational management, discreet expertise, will, capabilities and sustainable determination to implement visions and plans, with the need for actual improvement of the work and investment environment." LINK
Oil Prices Are Approaching $80 A Barrel
Saturday 02 October 2021 09:05 | EconomicNumber of readings: 302 Baghdad / NINA / - Oil prices rose, approaching the $80 barrier, supported by expectations that OPEC ministers will maintain a moderate pace to raise production.
Brent crude rose 97 cents, or 1.2 percent, to $79.28 at the settlement, marking the fourth consecutive weekly rise. West Texas Intermediate crude advanced 85 cents to settle at $75.88, with a sixth week of gains.
US energy companies this week increased oil and natural gas rigs for the fourth consecutive week, as more offshore units damaged by storms resumed service in the Gulf of Mexico.
Energy services company Baker Hughes said: "The number of drilling rigs rose to 528 in the week ending October 1, the highest level since April 2020. / End 8 https://ninanews.com/Website/News/Details?key=930290
Iraq's Oil Exports To America Drop To Zero
Energy Economy News _ Baghdad On Saturday, the US Energy Information Administration announced that Iraq did not export any amount of crude oil to the United States during the past week.
The administration said in a report seen by "Economy News", that "the average US imports of crude oil during the past week from eight countries amounted to 5.389 million barrels per day, an increase of 383,000 barrels per day compared to the previous week, which amounted to 5.006 million barrels."
And she added, "America did not import crude oil from Iraq during the past week, after it imported 42,000 barrels per day in the previous week.
She pointed out that "most of America's oil revenues during the past week came from Canada, at a rate of 3.034 million barrels per day, followed by Mexico, whose imports amounted to 764,000 barrels per day, followed by Saudi Arabia, whose imports amounted to 561,000 barrels per day, then Russia, with an amount of at a rate of 561,000 barrels per day. 265,000 barrels per day.
According to the administration, "the amount of US imports of crude oil from Colombia for each of them amounted to an average of 255 thousand barrels per day, followed by Ecuador, whose imports amounted to 235,000 barrels per day, and then came Brazil, whose imports amounted to 211,000 barrels per day, and finally Nigeria, at a rate of 64 thousand barrels per day. Views 147 Date Added 02/10/2021
https://economy-news.net/content.php?id=26483
Raising The Credit Rating Of Iraq Through Reforms And Activating The Private Sector
Saturday 02 October 2021 103 Baghdad: Mustafa Al-Hashemi The Ministry of Finance announced that the Iraqi economy will continue to maintain its credit rating as a result of economic reforms.
The GCR, which is abbreviated to (global credit rating), is defined as a measure of estimating the borrower's ability to meet its obligations in the face of lenders, or in other words, the risk of the lender (the issuer of the bond) not paying its obligations (the value of the loan and its interest) to the borrower (the bond holder).
A ministry statement received by Al-Sabah stated that "according to a report submitted by Standard & Poor's on the credit rating, the Iraqi economy continues to maintain its credit rating as a result of the ongoing economic reforms of the financial policy in Iraq."
The two international institutions, Fitch and Standard & Poor's, have set Iraq's credit rating at -B with a stable positive outlook, at a time when specialists in economic affairs see the possibility of raising the rating to A or -A by activating the private sector and providing job opportunities that will boost GDP. to height.
The statement added that "the new classification came to reflect the continued maintenance of the level of foreign currency reserves that exceeds the service of the external public debt and the fulfillment of other external financial obligations, as a result of the rise in crude oil prices and their recovery in the third and fourth quarters of this year."
Iraq had obtained a rating of B-, which is the first credit rating issued by international rating institutions for Iraq, after the year 2003. Economists confirm that Iraq's obtaining of a sovereign rating at a better degree than the current one means that the country is considered one of the stable and attractive areas for investment. According to the statement, the agency confirmed the possibility of improving Iraq’s credit rating,
in the event of a high rate of economic growth in Iraq, diversification of the state’s oil and non-oil public financial revenues, an increase in the per capita income share of national income, and the continuation of measures to reform the financial and economic policy as stated in the economic reform paper ( White Paper), which will enhance the financial and economic policy of the government. LINK
To read more current and reliable Iraqi news please visit BondLady’s Corner: