Saturday Afternoon Iraq Economy News Highlights 7-2-22

The Highest Monthly Revenue In The Country's History.. Iraqi Oil Announces Sales Of More Than 11.5 Billion Dollars Last Month

Posted On2022-07-02 By Sotaliraq   On Friday, the Federal Ministry of Oil announced the preliminary statistics of the exported quantities of crude oil and the revenues generated for the month of June, which is the highest monthly revenue in Iraq's history.

The ministry said in a statement that the total amount of crude oil exports amounted to (101) million (191) thousand and (236) barrels, with revenues amounting to (11.505) billion dollars.

The statistics indicated that the total quantities exported of crude oil for the month of June from oil fields in central and southern Iraq amounted to (97) million (980) thousand and (589) barrels, while from Kirkuk fields through Ceyhan port, the exported quantities amounted to (2) One million (910) thousand and (887) barrels.

She pointed out that the average daily quantities amounted to (3) million and (373) thousand barrels per day, and the average price per barrel amounted to more than (113.70) dollars.  LINK

Iraq Has Not Benefited From The “Highest Historical Oil Revenue.” 70% Of It Is Sent Abroad For Import, And The Rest Is Distributed As Salaries And Development Is “Absent.”

2022-07-02   Yes Iraq: Baghdad   Two months after the last announcement of achieving the highest historical monthly revenue for Iraq as a result of selling oil last March, Iraqi oil sales broke a new record in revenue last June, while these high sales came as a result of a slight increase in the price of a barrel of oil approaching from 6 to 8 dollars per barrel. .

In fact, Iraq records the highest historical monthly revenue from oil sales in 4 months in a row, thanks to this matter due to the rise in oil prices to historical figures that exceeded 100 dollars per barrel.

Last March, the price of a barrel of oil was more than $110 and exported 3.2 million barrels per day. The highest revenue in more than 50 years was achieved, amounting to $11 billion. In April, revenues declined slightly despite the export of 3.3 million barrels per day, but prices were It fell to 104 dollars a barrel, and revenues were 10.5.

In May, exports were 3.3 million barrels per day as well, at a price of $112 a barrel. Revenues came to break the record in March, reaching $11.47 billion, while the Ministry of Oil announced the following day, the initial revenues for June, which broke a new record of 11.5 billion dollars by exporting 3.37 million barrels. per day, at a price of $113 per barrel.

It is noted that the increase in the price of a barrel by one dollar adds more than 3.3 million dollars per day, or nearly 100 million dollars per month. .

This huge accumulation of financial revenues comes at a time when Iraq is witnessing the exodus of 24 million dunums of its lands from the agricultural area and it has become desertified, and the animal revolution has begun to “extinct”, according to the statements of the agricultural associations, as a result of drought in various cities of Iraq, especially the marshes, while about a quarter of One billion dollars a day abroad for the purpose of imports, which represents about 70% of the daily Iraqi oil sales, as the daily revenues amount to 350 million dollars (11 billion per month), while about 250 million dollars are transferred daily abroad for the purpose of importing, as well as the increase in the rest of the problems from The rate of crime, suicide, divorce and drug abuse.

During the first half of this year, Iraq's revenues amounted to 61.5 billion dollars, equivalent to 89 trillion dinars, according to oil expert Nabil Al-Marsoumi, who indicated that "however, part of it will not be invested, neither in creating a sovereign fund nor in modernizing and diversifying the economy."

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The Iraqi Authorities Indicate An Increase In The Rates Of Economic Crimes

Shafaq News/ The Ministry of Interior announced, on Friday, a rise in crime rates related to the economic aspect during the two years 2020-2021.

The Ministry's spokesman, Major General Khaled Al-Muhanna, said in an exclusive statement to Shafaq News Agency, that the ministry conducted a comparison study of the crime rate between 2020-2021, and it was clear through this study an increase in the rates of crimes that depend on the economic aspect, namely thefts and fraud, indicating a significant decrease. In the reality of violent crimes of murder and quarrels.

He explained that the crimes of theft and fraud are carried out in several ways, some of which are traditional and common, and others are novel and the criminals are mastered by, adding that one of the methods that has recently spread is what is known as hypnosis, and it turned out later that there is no such method, but rather a fraud through the use of Sleight of hand or many of the means that perpetrators use to take advantage of people's simplicity and deceive them in different ways.

The Iraqi Interior Ministry spokesman called on citizens to take precautions and follow up on fraud and fraud crimes that are being installed in society, and which the ministry publishes.   LINK

The Iraqi Finance Minister Points Out An “Unhealthy” Thing In Government Banks, “It Is Time To Fix It.”

2022-07-02 05:13  Shafaq News/ Today, Saturday, Iraqi Finance Minister Ali Allawi considered that there is something he described as "unhealthy" in government banks that has no parallel in the world, for their acquisition of 70% of deposits, stressing that "the time has come to fix it" in cooperation with the bank. central.

Allawi said during a speech at the Fifth Finance and Banking Exhibition Conference, which was held today, in the capital, Baghdad, and was attended by Shafak News Agency, that "the time has come for change and reform of government banks in cooperation with the Central Bank," noting that "these banks account for 70 percent of the Deposits, and this is not healthy in a system based on market foundations, and there is no ratio of this size in any country in the world, even in the socialist world.”

Allawi added, "If we do not reform the banks, they will not play their role in providing the economy with loans, financial and advisory support in the productive sectors, including industries, transportation and tourism."

Allawi pointed out that "investment is only made through savings, and this only comes from three sources, either from the state, the savings of people and companies, or from the external flow," explaining that "the external flow is subject to the political and global situation and cannot be relied upon."

And he indicated that "foreign investment is nothing," explaining that "the reception of the outflow must completely change the environment."

Allawi was considered that "the activity of the government's economic institutions has failed, except for the financial ones," noting that it is not possible to "create profits that support government investment."

Allawi stressed the need for "the existence of competition for the private banking sector over deposits equally with government banks," noting that this "does not exist, and therefore one of the government's most important priorities is reforming banks, which can only be reformed by changing their legal systems, especially the internal ones with regard to a bank." Al-Rafidain and Al-Rasheed.

Allawi pointed out that "the privatization process lasted for a year and a half, as it required a review of laws and legislation," explaining that "the State Council recently gave the position that we can change the banking system of government banks towards not privatization, but rather changing the percentage of our representatives in the private sector in these banks."

He explained, "We dismissed the board of directors and the executive management and used the banking and commercial law," stressing that "all the concepts of governance of the Central Bank will be applied to government banks as a first step."

He continued, "The second step is related to restructuring the banks, which is not an easy step, as these banks have been isolated from international banks for 40 years."

Allawi believed that "the first process to reform government banks and to be a qualitative leap to an independent reality that supports the financial institution needs at least three years," noting that "the next government must continue with this achievement for the other step, to reform government banks, and it will be for another 2-3 years, The focus is on the profitability of these banks."

He wondered, "What is the meaning of profit if the outputs are subsidized by the government and the inputs are also subsidized," stressing the need for "there to be competition with the private banking sector."

At the conclusion of his speech, Allawi expressed optimism about "the reform of government banks and a qualitative leap for them."   LINK

Oil Prices Rise 3% In The Last Sessions Of The Week... And Brent Closes Above $111

Energy   Oil prices rose by about 3% in Friday’s trading, to compensate for most of the declines of the previous session, after the outages of supplies in Libya and expected closures in Norway outweighed expectations, with the possibility that the economic slowdown would lead to a decline in demand .

Brent crude futures rose $2.60, or 2.38%, to $111.63 a barrel, while US West Texas Intermediate crude futures rose $2.67, or 2.52%, to $108.43 a barrel .

Both contracts fell about 3% on Thursday, ending the month lower for the first time since November .

Oil prices gave up some gains on Friday after industry data showed US manufacturing activity slowed more than expected last month .

However, lower supplies of crude oil and fuel supported the oil market even as stocks fell and the US dollar rose, which usually has an inverse relationship with crude oil .

And the Libyan National Oil Corporation announced in a statement Thursday, the state of force majeure in the ports of Sidra and Ras Lanuf and the El Feel oil field .

The corporation said that force majeure is still in force in the ports of Brega and Zueitina .

She stated that oil production fell sharply, as daily exports ranged between 365 thousand and 409 thousand barrels per day, a decrease of 865,000 barrels per day from production rates in "normal conditions. "

In Norway, a trade union said on Thursday that 74 oil workers at three Equinor rigs announced they would start a strike on July 5, which will likely halt 4 percent of Norway's oil production .

The OPEC+ producer group, which includes Russia, agreed to stick to its production strategy after two days of meetings. The group avoided discussing policy from September onwards .

Previously, OPEC + decided to increase production per month by 648,000 barrels per day in July and August, up from a previous plan to add 432,000 barrels per day per month .

A Reuters survey showed that OPEC pumped 28.52 million barrels per day in June, down 100,000 barrels per day from the revised total in May .

A Reuters poll on Thursday showed that oil prices are expected to stay above $100 a barrel this year as Europe and other regions struggle to wean themselves off Russian supplies, but economic risks may slow their rise .

India imposed export duties on gasoil, gasoline and jet fuel on Friday to help maintain domestic supplies, while imposing an unexpected tax on oil producers who have benefited from higher global crude prices.

https://economy-news.net/content.php?id=28733

National Security: Thwarting The Smuggling Of About Two Thousand Tons Of Wheat And The Arrest Of 13 Suspects

Iraq  12:33 - 07-02-2022   Today, Saturday, the National Security Agency announced that it had thwarted attempts to smuggle about (2,000 tons) of wheat, and arrested (13) suspects.

The agency stated in a statement, that "through the audit and follow-up operations carried out by the National Security Agency throughout Iraq, and after obtaining judicial approvals, the device's detachments in Najaf Governorate were able to seize (1,500 tons) of wheat stored in a non-original way."

He added, "In Al-Qadisiyah Governorate, our detachments were able to thwart a smuggling operation of the wheat crop with an amount of up to 190 tons), which was distributed on five carrying wheels, and the owners were arrested. The items intended for the food basket are “prohibited from selling and circulating,” as the person responsible for them was arrested.

In Nineveh Governorate, the statement clarified, "The device's detachments seized six wheels loaded with (140 tons) of wheat prepared for sale on the black market, and arrested their owners."

In Wasit Governorate, the device’s detachments were able to seize a loading wheel (type of caravan) intended for smuggling the wheat crop with an amount of up to (28 tons), which was on its way to Babylon Governorate, where it was intercepted and its owner arrested.

The statement stated, "The materials seized above have been confiscated and handed over to the relevant authorities, and all the accused have been referred to the legal authorities to receive their punishment in accordance with the law."    https://kirkuktv.net/AR/Details/7209