Tuesday Morning Iraq Economic News Highlights 7-25-23
Tuesday Morning Iraq Economic News Highlights 7-25-23
The Iraqi Dinar Is Declining Due To US Sanctions Affecting Local Banks
WRITTEN BY: CAIROEDITOR 07-24-2023 The exchange of the Iraqi dinar declined against the US dollar in the parallel local market transactions, in light of US sanctions against Iraqi banks, claiming violations related to the leakage of the dollar to penalized countries. The Wall Street Journal reported on Wednesday, quoting US officials, that Washington imposed sanctions on 14 Iraqi banks by preventing them from conducting transactions in dollars, as part of a comprehensive campaign to combat the diversion of green currency to Iran and other countries subject to sanctions in the Middle East.
And the Central Bank of Iraq confirmed that local banks deprived of dealing in dollars constitute only 8% of the total foreign transfers.
This morning, one of the owners of exchange shops in Baghdad told Al-Sharq, “The exchange rates of the dollar against the dinar rose remarkably, as the exchange rate recorded this morning, Monday, 154.5 thousand dinars for every 100 dollars, an increase of more than 16% from the official price, while the prices recorded yesterday, Sunday, in the parallel market 151.65 thousand dinars for every 100 dollars.”
He explained, "The reason for the rise is due to the lack of supply of the dollar in the markets in conjunction with the increase in demand to cover commercial transactions, as well as the procedures towards the central bank's application of the electronic platform for dollar demand."
The exchange rate of the dollar against the Iraqi dinar in exchange shops, known as the “parallel rate”, has witnessed stability during the past weeks, between 147 and 148 thousand dinars per 100 dollars, while the official rate approved by the Iraqi government is 132 thousand dinars.
For its part, the Central Bank of Iraq confirmed, in a statement yesterday, Sunday, that it would continue to meet legitimate requests for the dollar from the official and licensed outlets by it and at the official rate set, while calling for reporting a case of paying a price higher than the official price, so that the bank account or the exchange company with the bank bears compensation for the damage from the price difference. LINK
Parliament Conducts A Comprehensive Assessment Of The Parallel Dollar Market
Today 13:56 Information / Baghdad ..A member of the Parliamentary Finance Committee, Youssef Al-Kalabi, accused the advanced staff of the Central Bank of Iraq of failing to perform his duty in dealing with the dollar crisis.
Al-Kalabi said, in a televised interview followed by Al-Maalouma, that "the advanced cadre in the Central Bank has been nesting for years and should be reviewed and replaced."
He added, "The dollar crisis is great and cannot be tolerated, and there will be a detailed report on the failure of the Central Bank of Iraq towards addressing the rise in dollar prices."
He pointed out, "It is not possible to keep much silence about the insane rise of the dollar in the parallel market and the citizen's burden of additional expenses to meet needs." LINK
Obelisk Clock: The Burning Of Embassies Is One Of The Reasons For The High Price Of The Dollar
July 24, 2023 Baghdad / Obelisk Al-Hadath: The Obelisk publishes the most prominent interactions of TV dialogues:
Chairman of the Securities Commission, Faisal Al-Haimus, during a televised interview:
- The stock market works to reduce illegal transactions
- The Central Bank is required to address the reasons that led to the punishment of banks
- The government seeks to strengthen the value of the Iraqi dinar
- The government is committed to economic reforms and the Iraqi banking sector
- We need to accelerate the pace of reforms in the banking sector -
There is no solution for Iraq except by privatizing government companies and creating incentives for the private sector
- The government of Sudan has taken it upon itself to activate investments
- The government has challenged articles that are difficult to implement in the budget
- Submission of supporting documents has led to some problems in the electronic platform
- The Central Bank continues to communicate with the US Treasury to overcome obstacles
- the proposed Securities Commission law determines the percentage of foreign participation
- Iraq has reached significant trading levels now
The unfortunate events of burning the Holy Qur’an will not affect economic relations with the European Union
. The volume of trade exchange with Sweden is less than China, America and Turkey.
Head of the New Generation Parliamentary Bloc, Sarwa Abdel Wahed, during a televised interview:
– The worst country in the world does not allow the presence of banks operating in Iraq
– Iraq lacks a financial and monetary policy
– fake bills still exist and there is no control over the dollar
– the Kurdistan region is a “balwa”
Representative of the State of Law Coalition, Firas Al-Maslamawi, during a televised interview:
– The framework restored the state from a government of “no state”
– America’s policy in Iraq relies on “adequate nutrition and distraction”
– external and internal factors caused the dollar’sexchange rate to rise
– the government is considering reducing taxes on merchants
– merchants resorted to unofficial methods that caused the dollar to rise –
Parliamentary Finance formed a sub-committee to follow up on the work of banks
– the 14 banks are banned from dollars only and can operate in other currencies
– the Americans are tired of following up on multiple merchants’ transfers
– the plot is serial, starting from Iranian gas and passing through dollars And water
- the burning of embassies may be one of the reasons for raising the dollar
- Arab and Islamic countries had to take a position similar to Iraq
- the Sudanese government tried to build good regional and international relations
The state administration coalition works to make the government a success
More Than A Billion Dollars Of Iraqi Exports Of Petroleum Products During The First Quarter Of 2023
2023-07-25 01:18 Shafaq News/ Iraq exported more than one billion dollars for three oil products during the first quarter of 2023, according to the Oil Marketing Company "SOMO".
"SOMO" said, according to a table seen by Shafaq News, that "Iraq exported, during the quarter of the year 2023, three oil derivatives at an amount of one billion and 113 million, 220 thousand and 43 dollars, with a quantity of two million, 636 thousand and 736 tons."
He added that the quantity of derivatives exported from natural gasoline amounted to 3 thousand and 191 tons at an amount of one million and 769 thousand and 453 dollars, while the exported derivatives of "naphtha" amounted to 317 thousand and 825 tons at an amount of 148 million and 205 thousand and 865 dollars.
It added that "the quantity of Iraq's exports of 'fuel oil' amounted to 2,315,720 tons, at an amount of 927,244,725 dollars."
Iraq exports some oil derivatives, such as regular gasoline, and imports the improved one.
Rather, it is a mixture of several types. The types of naphtha are divided into two parts: light naphtha and heavy naphtha. It is used primarily in the production of motor gasoline and is also used in chemical industries such as the preparation of ethylene and propylene. These products are used in the manufacture of plastics such as polyethylene and polypropylene.
As for fuel oil, it is one of the fractions resulting from the process of fractional distillation of crude oil. In general, it is any heavy liquid petroleum product that is burned in a furnace or boiler to generate heat or to generate electrical or driving power. LINK
Iraq Imports Goods Annually Worth 70 Billion Dollars
Money and business Economy News – Baghdad Economic expert Manar al-Obeidi revealed, on Tuesday, that Iraq imports goods annually worth $70 billion.
Al-Obaidi said in a statement, followed by "Al-Iqtisad News", that "Iraq needs daily 250-300 million dollars to cover imports and citizens' requests for travel for tourism and treatment."
He added, "Iraq is weak in managing the file of foreign relations with America, so it needs to establish lobbies inside America, especially since Iran uses Malaysia to sell its oil to China and India," noting that "there are 4 parties that check the remittances leaving Iraq."
Those interested in the economic issue see that, despite Iraq's arrival of 70 billion dollars annually in importing goods, its customs collection does not reach one billion dollars.
Views 19 7/25/2023 - https://economy-news.net/content.php?id=35328
A Member Of Al-Fateh Warns Against Passing The Oil And Gas Law: It Serves The Region In The First Place
Today 08:50 Information / Baghdad... A member of the Al-Fateh Alliance, Ali Al-Zubaidi, warned, on Tuesday, against passing the oil and gas law in a way that serves the region in the first place, pointing out that the near future portends heated discussions that precede the passage of the aforementioned law.
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Al-Zubaidi told Al-Maalouma, "The oil and gas law will regulate the relationship between Baghdad and Erbil, and will spare the two governments many problems if it is prepared fairly and proceeds with its legislation in parliament."
He added, "There is a lot of pressure exerted on the government of Muhammad Shia' al-Sudani in order to make concessions and pass the law in a way that serves the interests of the Kurdistan region."
He pointed out, "Basra oil cannot be in favor of the regional government, and therefore the future portends heated debates in parliament when the oil and gas law is put forward."
Al-Zubaidi pointed out that "there are a lot of differences that have occurred in the political community after the law was put forward in order to pass it." LINK
The President Of The Republic Receives A Written Message From His Chinese Counterpart
Time: 07/25/2023 14:23:55 Read: 351 times The President of the Republic receives a written message from his Chinese counterpart Afkgj-regerher
{Politics: Al Furat News} President Abdul Latif Jamal Rashid received a written message from His Excellency Chinese President Xi Jinping on the occasion of the (65th) anniversary of the establishment of diplomatic relations between the two countries.
A presidential statement, a copy of which al-Furat News received, stated that Rashid received today, at the Baghdad Palace, the Ambassador of the People's Republic of China to Iraq, Cui Wei, where the Chinese affirmed in his message that the friendly communication between the Chinese and Iraqi peoples is rooted in the depths of history, referring to the prominent contributions made by the Mesopotamian, Arab, and Chinese civilizations to the progress and development of societies, stressing the importance of developing relations and cooperation in the service of common interests.
The President of the Republic praised "the bilateral relations between Baghdad and Beijing, represented by continuous cooperation in many fields, in a way that serves the interests of the two friendly countries, and His Excellency Ambassador Wei entrusted his greetings to his Chinese counterpart, Xi Jinping."
In turn, Ambassador Tsui Wei affirmed his country's keenness to expand the horizons of constructive cooperation with Iraq politically, economically and technologically in order to achieve the aspirations of the peoples of the two countries for progress and prosperity. LINK
Member Of Parliamentary Energy: Political Interference With Foreign Agendas Impedes The Enactment Of The Oil And Gas Law
Time: 07/25/2023 14:30:56 Read: 481 times {Politics: Al Furat News} A member of the Parliamentary Oil, Gas and Natural Resources Committee, Zainab Al-Moussawi, revealed today, Tuesday, the existence of political interference with foreign agendas that impede the legislation of the oil and gas law.
Al-Moussawi told {Euphrates News}: "Certainly all of us in the oil and gas committee are continuing closely in the meetings to produce the oil and gas law, which stipulates that the responsibility for managing the oil fields in the country must be entrusted to a national oil company, which is supervised by Baghdad."
And she added, "There are political interferences working according to external agendas that work to obstruct the legislation of this law within the Iraqi parliament, and that there are political forces that do not want to solve Iraqi economic problems, including regulating the work of oil extractions that are determined by the oil and gas law."
And she continued, "The law will join the bilateral relations between Baghdad and Erbil and put the Kurdistan region obliged, according to budget laws, to hand over quotas of oil to the federal government, but the region has not fulfilled these quotas in any year since 2005."
From.. Raghad Dahham LINK