KTFA:

DinarDiva1:  so if no budget needs to be approved ! When will the rate change? 

Tivon:  Listen you have to consider what impacts a budget. The economic performance of the things listed below are considered when a budget is being put together.

So if Hakim Al-Zamili or Mazhar Muhammad Saleh tell you that the FSL is being treated as a budget what is required for the below list to function economically to determine a fair exchange rate when it comes to economic exposure

A third impact of foreign exchange rate variations is uncontracted future cash flows from foreign operations or investments. This is considered economic exposure and requires policy decisions that are important to the budgeting process.

Strategic planning activities should consider policy decisions that include selecting and segmenting markets that minimize the effects of foreign currency fluctuation while maxi-mizing long-term cash flows. This could be the subsidized market regarding food which would impact the ration cards since this is included in the FSL.

This FSL is acting as a budget (Financially) until one is approved so the state can account for all revenues from every sector of public & private sector.

Why? Because the budget has access to the Final Accounts. The balance of the final account shows the increase or decrease in the state's assets or assets, which is embodied by the deficit in expenditures or the surplus in revenues during one fiscal year."

This is why it is important to actually have a general budget. Not necessarily because of money that is associated with one. They do not need the budget to allocate any funds, the FSL will do that.

So when they release a rate it will be because of the forecasted input/output o the Overall GDP that influence what price they decide to come out at.

Which is why the FSL covers so many economic areas. Let the CBI do their job because it's them who will release the rate. Not Parliament, or House of Representatives. Because most of them will be dissolved anyway. And Al-Kazemi will run the country. And be given all authority until elections.   IMO  

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Patriots 12:  Thank You Tivion.... great analysis... just slightly above my pay grade to fully comprehend.... no date but what next mechanisms are we looking for a rate IYO... is it now IYO whenever they feel like it ? essentially

Tivon:  Well the sense of urgency as to the approval of the FSL was performed under circumstances surrounding the reasons why the FSL was needed to begin with. Which they treated as an alternative to the general budget. Y

You have to consider what influences an exchange rate. A budget only exists as a provisional parameter that creates a margin on revenues that will come from the things listed below. All of the calculated revenue from these areas determines the exchange rate that could be put into a budget. Or in this case the FSL sense it is being treated as one.

So we wait for the CBI now. The political figures done their part. I highly doubt releasing an exchange rate while markets are already open is a good idea. I think this would be something that happens after closing/before opening.

The Oil Contracts 
The Oil & Gas Law
The Border Ports
Taxes & Tariffs 
Land & Border Ports 
The HCL/NGO
The Private Sector 
Retirement & Social Security 
Currency Auction Fraud

Electricity Sector 

Export Revenues 

Agriculture 

Gold Reserves 

Oil Surplus 

Social Welfare 

Ration Card

Private/Public Sector

IMO

Samson:  Al-Zamili: The Food Security Law is a victory for the rights of the poor

8th June, 2022

The First Deputy Speaker of the House of Representatives Hakim Al-Zamili, on Wednesday, blessed the Iraqi people to vote on the “Emergency Support for Food Security” law, stressing that the vote on the law is a great achievement and a victory for the rights of the poor, vulnerable groups, and others, stressing that he is following up with the relevant authorities and committees for the mechanism of disbursing the amounts allocated within the law to ensure reach those who deserve it.

In a statement received by Mawazine News, Al-Zamili indicated that the biggest challenge faced by the House of Representatives during the past period was to provide the requirements and needs of the people, and the House was keen to pass the "Food Security" law with the aim of supporting the poor by providing ration card allocations.

 Increasing social welfare salaries to include the largest number of beneficiaries, in addition to the sums needed to meet the needs of the electricity sector, adjusting the status of lecturers, administrators, procedure, metrology readers, holders of higher degrees and first graduates, electricity and oil contracts, and other ministries, and returning voided contracts from the security services. and military.

According to the statement, Al-Zamili thanked all the ladies and gentlemen of the parliament who participated in voting on the law today, praising at the same time the great efforts made by the presidency and members of the Finance Committee to come up with a law that meets the requirements of the current stage, adding that the parliament in its current session is proceeding strongly in issuing the legislation that it is in the service of Iraq and the Iraqis.    LINK

TheGreenTreesMusic:  First paragraph …..”mechanism”  let’s just sit back and let it play out….

Tivon:  Following up with "Relevant Authorities" to ensure the money is allocated to sensitive economic areas would of course be the CBI.

Ask yourself if the government is going on a 30 day recess who would be the "Relevant Authorities" to disburse the funds? They can't use the budget to allocate the funds because it's not approved and doesn't have any money in it because it all went to the FSL.

So someone tell me how these will be dispensed to the departments or ministries again? Let alone the citizens if there will be an inactive government for 30 days without a budget?

Who controls the mechanism? Can't be the government. They going on break right? So please let's allow this guy to do his job.

Today was about the vote, not necessarily the rate. We got that now. Let's look for the other part. Hakim, take it away maestro. 

Quote: The First Deputy Speaker of the House of Representatives Hakim Al-Zamili, on Wednesday, blessed the Iraqi people to vote on the “Emergency Support for Food Security” law, stressing that the vote on the law is a great achievement and a victory for the rights of the poor, vulnerable groups, and others, stressing that he is following up with the relevant authorities and committees for the mechanism of disbursing the amounts allocated within the law to ensure reach those who deserve it.   IMO

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DeepWoodz:  Imo.Here is what’s in the FSL. 

(6,000,000,000,000) The Ministry of Commerce is distributed as follows

Improving and purchasing the ration card vocabulary and buying the local wheat crop first, then the imported, watermelon and strategic storage

Paying the dues to the farmers, including the farmers of the Kurdistan Region

(4,000,000,000,000) Ministry of Electricity (Paying off external debts, import debts and purchasing gas and energy)

chamber Development of regions for governorates that are not organized in a region and distributed according to population and poverty rates for each governorate, provided that 30% of the Money Committee

Allocations of Baghdad Governorate to the Municipality of Baghdad Ministry of Labor and Social Affairs (inclusion of social protection and people with special needs, to be distributed according to the population ratios of the governorates)

Lecturers, administrators, contracts, employees, graduate degree holders, and graduates from among the first

Petrodollar allocations are distributed to the producing or refined governorates, according to the production rate. The 2019 production rate depends on calculating the ratios between the governorates, and the governorate has a choice between production or refining of oil.

Ministry Of Agriculture (7,000,000,000,000)

A. Seeds of wheat, barley, rye, fodder barley, yellow corn

B. Fertilizer support

C. Supporting the purchase of fodder to combat desertification

D. Pesticide support

E. Support for veterinary drugs

F. Support for irrigation systems and agricultural aircraft

G. Payment of previous dues for wheat, fodder barley and seeds

 

H. yellow corn

Oil Ministry (600,000,000,000)

I. Payment of production costs to the Basra Oil Company

J. North Oil Company

(500,000,000,000) Ministry of Construction and Housing Public Authority for Roads and Bridges Projects (new and ongoing

Emergency expenses at the suggestion of the Minister of Finance and the approval of the Council of Ministers (100,000,000,000)

11. Ministry of Water Resources (100,000,000,000)

Ministry of Education Maintenance of school buildings (150,000,000,000)

It is added to paragraph 3 of this table and distributed to the governorates according to the following percentages (20% Al-Diwaniyah, 20% Al-Muthanna, 15% Babil, 15% Maysan, 15% Wasit, 15% Salah Al-Din) (500,000,000,000)

Fund for the Reconstruction of Areas Affected by Terrorism, Dhi Qar Emaar Fund (550,000,000,000)

Law No. 20 of 2009 amending the Compensation for Victims of War Operations, Military Mistakes and Terrorist Operations Law (300,000,000,000)

Martyrs Foundation Grants and financial transfers / purchase of land / opening costs / mass graves (150,000,000,000)

Foundation for Political Prisoners Parliament Money Committee (100,000,000,000)

Border Patrol Command (25,000,000,000)

I tried to compile it neatly as possible. 
From an INA article “Full text of the provisions of the food security law that was voted in the parliament” 

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Tivon:  Wait a sec....wasn't Reconstruction, Farmers Dues, and Electricity originally a thing that the budget from previous years was supposed to address via a new exchange rate?

Now I'm not a rocket scientist. But looking at one of the line items that 500,000,000,000 for new & ongoing construction projects will be allocated to while the government is on a 30 day recess surely would present problems if they need a budget to finance something that requires a rate if it was approved right?

How else would these projects find the funds to begin anything right?

Unless there is something called an "Emergency Food Security Law" that just got approved today that will act as a budget right?

I don't think I'm using any 6th sense to come up with this logical input I'm imparting upon the thread today. Just saying that is alot of money to be distributed without a budget. And I only mentioned one of the areas on this list.

I guess some people have to hear it a thousand times before it gets through. I don't know how else this could get through after I have shown so many references to state officials and comments made from financial advisors why both the FSL & Budget are important for different reasons.

You tell me how they will accomplish everything on this list with a program rate without a budget?

Unlesssssss they have an alternative to one from which is posted above that covers all areas that are relevant to the citizens and GDP.    IMO