Wednesday Morning Iraq Economic News Highlights 12-14-22
Wednesday Morning Iraq Economic News Highlights 12-14-22
Al-Mandalawi: Quick And Decisive Measures To Stop The Rise In The Dollar Exchange Rate
Politics | 02:22 - 12/14/2022 Baghdad - Mawazine News, First Deputy Speaker of Parliament Mohsen Al-Mandalawi announced, on Wednesday, that swift and decisive measures will be taken to stop the escalation in the exchange rate of the dollar.
Al-Mandalawi said in a tweet on Twitter, "To protect citizens and prevent this from being reflected in the Iraqi markets, the measures that will be taken by us and by the prime minister and the central bank will be quick and decisive in stopping the escalation in the dollar exchange rate.”
"Enormous" Money Iraq's Treasury And The Continuous Increase In Cash Reserves.. How Can This Be Invested?
The source of the news /Alsumaria channel Commenting on the high levels of cash reserves, Al-Halfi suggested, “Establishing a special fund for surplus hard currency represented by (an investment fund for generations) with supervision and follow-up by a committee characterized by integrity and patriotism, which invests these Funds in building service projects, or tourism, or agricultural reclamation in order to increase the local product and export the surplus.
The economist added, in an interview with Alsumaria News, that “the establishment of the Generations Fund is very important during the next stage as a result of the increase in the number of the population with the increase in its crises and needs,” stressing that “The fund will give fruitful results after the next 10 years, and then we will move towards a free and expanded economy without relying on the economy.” rentier.”
He continued, "Some countries develop their investment funds within 15 or 20 years," noting that "the rise in Iraqi cash reserves is a golden opportunity to restore the investment wheel to Iraq."
Earlier, the Central Bank announced that the volume of currency reserves had reached its highest levels in Iraq's history, while noting that public finances have an opportunity to compensate all the disadvantaged and those with low salaries from retirees.
The Central Bank's advisor, Ihsan Shamran Al-Yasiri, said: “The central bank's reserves have reached their highest levels in the history of the Iraqi state and have exceeded $90 billion,” explaining that “what we are counting on is not the central bank's reserves, but rather the performance of public finances that are now enjoying a very sufficient abundance of funds.”
Al-Yasiri continued, "The central bank's work is to manage monetary policy and intervene to fix problems related to the exchange rate and others," noting that "the bank's reserves are still abundant and our procedures are rational."
And he stressed the need for “public finances to be disciplined and direct public spending to real priorities rather than scattering them,” stressing that “public finances have an opportunity to compensate all those lost during the previous years of fragile classes, social benefits and low -paid retirees, as these classes need subsidies.
Iraq continues to increase its holdings of US bonds at a time when it is witnessing huge numbers of oil revenues as a result of the rise in oil prices, as not a month passes without Iraq buying US bonds, at a value of approximately $1.6 billion per month.
The US Treasury said in its latest table, "Iraq rose two ranks to rank 32 among the countries with the largest holders of US treasury bonds of 38 countries listed in the table for countries with possessions of more than 32 billion dollars."
She added, "Iraq's possession of these bonds amounted to $36.9 billion for the month of September, an increase of 3.65% over August of 2022, and an increase of 105% over the same month of last year 2021."
She pointed out that “Iraq was the fourth largest Arab country after Saudi Arabia, Kuwait and the UAE, while Japan came at the top of the countries with the largest possession of these bonds, followed by China second and the United Kingdom third,” noting. that “the total bonds of the countries of the world amounted to 7 trillion and 296 billion dollars.”
And Iraq buys these bonds as a result of achieving a monthly financial surplus with a comparison between its expenses and revenues. Speaking of the financial surplus achieved in the current year 2022, Iraq's possession of US bonds in the last month of last year, December, amounted to $22.5 billion.
During the 9 months of this year until September, Iraq's possession of US bonds amounted to $36.9 billion, which means that Iraq bought during the first nine months of this year $14.4 billion in US bonds.
And while Iraq bought US bonds with about half of the financial surplus it achieved, the other half is divided between buying gold, which since the beginning of this year amounted to about 34 tons of gold that Iraq bought during this year so far, bringing its Reserves to more than 130 tons after it did not exceed 96 tons at the beginning of this year.
The average price of a ton of gold globally during the current year is approximately $50 million, which means that Iraq bought gold at $1.7 billion, in addition to bonds at $14.4 billion, meaning that it bought bonds and gold at more than $16 billion, and With this, it has converted more than From 50% of its financial surplus achieved so far into gold and US bonds.
You can also read the news from the source here
https://iraqakhbar-com.translate.goog/3809132?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en
Planning: There Is No Agreement To Change The Dollar Exchange Rate
News source / Mawazine News Economy 02:38 – 12/14/2022 Baghdad - Mawazine News The Ministry of Planning revealed, on Wednesday, the issuance of directives from Prime Minister Muhammad Shia al-Sudani related to addressing the effects of changing the exchange rate of the dollar.
The Undersecretary of the Ministry of Planning, Maher Hammad Johan, said, “Prime Minister Muhammad Shiaa al-Sudanese issued directives to contain the negative effects of changing the dollar exchange rate by providing job opportunities, addressing minimum wages, protecting the poor and marginalized, and increasing attention to the items of the food basket.”
“The effects of changing the exchange rate are not all negative,” Johan added, in an interview with the official news agency and followed by Mawazine News, stressing that “ there is no agreement, whether in the House of Representatives or in the Central Bank , to change the exchange rate.” You can read the news from the source here:
https://iraqakhbar-com.translate.goog/3809248?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en[/rtl]
A New High For The Dollar In The Baghdad And Kurdistan Stock Exchanges
2022-12-14 03:35 Shafaq News/ The exchange rates of the US dollar against the Iraqi dinar rose today, Wednesday, in the main stock exchange in the capital, Baghdad, and in the governorates of Kurdistan Region.
Shafaq News Agency correspondent said that the two central Al-Kifah Stock Exchanges in Baghdad recorded 152,300 Iraqi dinars for 100 dollars at 12.5 pm, while the Erbil Stock Exchange, the capital of the Kurdistan Region, recorded 151,850 dinars for 100 dollars, and the Sulaymaniyah Stock Exchange recorded 151,250 Iraqi dinars for 100 US dollars.
He added that the buying and selling prices rose in the exchange shops in the local markets in Baghdad, where the selling price reached 152,500 Iraqi dinars per 100 US dollars, while the purchase prices reached 152,000 Iraqi dinars per 100 US dollars.
Dollar prices witnessed a gradual rise after 14 banks were suspended by the Central Bank from entering the currency auction, as a result of the sanctions imposed on it by the US Treasury, while the bank seeks to reduce the gap between the official price and the stock exchange prices in the local markets. LINK
With The Rise Of The Dollar.. The Rise In Food Prices And The Markets Are Empty Of Shoppers
2022-12-14 04:30 Shafaq News/ The exchange rate of the US dollar against the Iraqi dinar is witnessing a continuous and noticeable increase, which led to disruption of commercial activity in the local markets, and contributed to the rise in food and consumer prices, especially in the wholesale markets in the Jamila commercial area in Baghdad.
This area, along with the large shurja market, in the Iraqi capital, has become almost devoid of shoppers, which some merchants and economists see as linked to the rise in the exchange rate of the dollar in the parallel (black) markets.
A wholesaler in a beautiful area, Muhammad Abdel-Hussein, told Shafaq News agency, "The rise in dollar prices has definitely affected the prices of foodstuffs, whether rice, flour or vegetable oils," noting that "these materials are imported in dollars, and therefore their sale is also in dollars.”
He added that "the trader is not affected by the rise in dollar prices as much as the buyer is from the owners of retail stores and citizens," pointing out that "the only damage that falls on the trader will be in the lack of purchase quantity as a result of this rise and the hesitation of some to buy because they expect prices to drop in the future, which is What makes a beautiful market almost empty of shoppers today.”
For his part, financial and economic expert Hilal Al-Taan confirmed to Shafaq News agency, "Any rise in dollar exchange rates directly affects the market," noting that "currency and black market traders are present and taking advantage of opportunities in the absence of government control over the markets, and thus this rise It will affect citizens, especially the low-income and poor classes."
Al-Taan pointed out that "this rise affects the market's activity and its movement, because the citizen will avoid buying because of this rise," stressing that "the best solution to reduce dollar prices is the central bank's tendency to sell dollars directly to citizens through widespread bank branches and at specific prices to reduce the gap." between what the bank sells and what is currently in the market.
And the exchange rates of the dollar rose on the main stock exchange in Baghdad to more than 152 thousand dinars for every 100 dollars at a time when the central bank sells one dollar for 1460 dinars.
Dollar Exchange Rates Jump To 151 Thousand Dinars On The Baghdad Stock Exchange
Posted On2022-12-13 By Sotaliraq Today, Tuesday, the exchange rates of the US dollar against the Iraqi dinar jumped to 151,000 dinars on the main stock exchange in the capital, Baghdad.
The central Al-Kifah and Al-Harithiya stock exchanges in Baghdad recorded, at 1:15 a.m. today, an exchange rate of 151,000 dinars against 100 dollars.
And the prices had recorded this morning, Tuesday, an exchange rate of 150,300 Iraqi dinars for every 100 US dollars.
Our correspondent indicated that the buying and selling prices rose in exchange shops in the local markets in Baghdad, where the selling price reached 151,500 dinars for every 100 dollars, while the purchase price reached 15,500 dinars. LINK
Contractors In Basra Hold Their Hopes On The Federal Budget
with video 14-12-2022 | 05:30 Source: Sumerian 73 views Dozens of contract owners in Basra governorate went out in a demonstration to demand that they be confirmed as permanent owners, while hopes remain pinned on the new government to include them in the federal budget.
The political situation in the country exacerbated the crisis of employing large numbers of contractors in the provinceBasraThey spread the earth here in order to demand their long-awaited fixation, but the responsible authorities reneged on their promises, which prompted them to go out in protests to put pressure on the concerned authorities.
A new government has been formed, and everyone here is waiting for their justice after the previous governments failed them in the city, the richest in Iraq, where its citizens are struggling with administrative corruption that affected all aspects of the state. The demands are many, but they need to be implemented.
Hope remains hanging on the new government after its formation, and how it will deal with these large numbers of contractors and transfer them to the permanent staffing of state departments, despite the fact that the higher general budget is devoid of job grades. LINK