"Tidbits From TNT" Sunday Morning 5-22-2022

May 22

TNT:

Tishwash: We do not reveal everything to the media.. The coordination framework explodes it: the political blockage is destined for a solution!

The leader of the Al-Fateh Alliance, representative of the coordination framework, Rafiq Al-Salihi, said today, Friday, that the political blockage is being resolved and there are dialogues that we will not reveal in the .media

Al-Salihi said to (Baghdad Today), “The delay in forming the government affected the citizen, especially with the lack of access to the budget, because the caretaker government cannot send the budget, and accordingly many sectors were affected by its failure to pass, and therefore the budget step and its legislation must be preceded by the step of forming a government with full powers, and accordingly, the ”.endeavors are present.” for this matter

He added, "Dialogues to end the political blockage are ongoing and there are steps in the dialogue that cannot be revealed to the media at the present time, but the ".issues are heading towards a solution ink

Tishwash: Adoption of emergency support is a necessity.. Parliamentary finance talks about the difficulty of presenting the 2022 budget

The Finance Committee confirmed today, Sunday, that the approval of the emergency support is an urgent necessity, while noting that it is difficult to present the draft budget law.

A member of the Finance Committee, MP Khalil Al-Dosky, said that "after the first reading of the second emergency support bill for food security, it will be discussed from several sides and aspects, in addition to the Finance Committee."

Al-Dosky added that "the most important paragraphs that will be discussed are the ceiling of the amount of money that will be allocated in the law, and some items may be added or subtracted from it according to the requirements of the public interest and the expected financial abundance."

He added that "there is harmony between the members of the Finance Committee and a preliminary approval of the second food law in principle, except for some disagreements about the items they wish to be covered by the law."

And he continued, "Some members of the Finance Committee favor excluding some items or paragraphs, and some of them agree with all the paragraphs mentioned in the statement, with the addition of water resources."

As for the budget law, Al-Dosky stressed that "it is difficult to present the draft budget law, but the emergency support law, as the Finance Committee mentioned, is not a substitute for the budget, but there are urgent necessities for its approval."

Al-Dosky pointed out that "it is not possible to keep all the financial affairs of the state in line with the advances, especially after the existence of the financial abundance that reached billions of dollars or trillions of dinars, and therefore we cannot provide it with advances. link

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Tishwash: Increasing the capital of the Central Bank enhances its balanced monetary policy

The Central Bank of Iraq announced the decision of its board of directors to increase its capital to 5 trillion dinars, an increase of 40% over its previous capital of 3 trillion dinars. 2 trillion dinars.

From a specialized point of view, we see that this increase embodies the sobriety of the Central Bank and the solidity of its assets and will lead to the following:

1- Following safe investment policies, which will raise the financial position of the Central Bank and enhance its credit position internationally and restore confidence in the Iraqi economy and its banking relations with international banks and financial institutions.

2‐ Benefiting from the rise in global oil prices, reaching more than $100 per barrel, and building foreign cash reserves to cover imports and the local currency in circulation, and to maintain monetary and financial stability.

3- The continuation of the Central Bank’s intervention in supporting the national economy and stimulating and revitalizing the economic cycle in conditions of challenges and crises, and this now requires the government to invest the abundance available to it during the first quarter of 2022, which exceeded 11 trillion dinars and is expected to reach more than 45 trillion dinars at the end of 2022 And the equivalent of (30-35) billion dollars to pay off the internal debt, which amounts to about 46 trillion dinars, for the account of the Central Bank only.

4- Confronting the effects of reducing the exchange rate of the dinar and strengthening and activating the central financing and lending procedures and initiatives, which exceeded 15 trillion dinars during the years 2016-2022.

And that all of these measures led to an improvement in the government’s financial position and a reduction in the actual deficit rates in the 2021 budget and the plan for 2022, which achieved the central bank’s goal as far as its tasks and objectives contained in its Law 56 of 2004, in particular preserving its independence and what was mentioned in the reform objectives of the banking sector in the white paper .

All of this has clearly contributed to supporting the national economy and will give it flexibility and sufficient space to face the challenges that the economy suffers from for subjective and objective reasons.

Thus, the Central Bank, with its distinguished national team and its wise management, will be able to achieve its main tasks and objectives and is now proceeding strongly, effectively and with rational steps to achieve the objectives of strengthening the economy and banks for sustainable development and economic stability.

* Advisor to the Association of Iraqi Private Banks link

Mot: .... Ya Knows - Thinking ~~~~~