MilitiaMan Monday Afternoon "Expectations Are Looking Very Promising" 10-24-2022

KTFA:

MilitiaMan:  Looks like they are making headway gathering signatures for the country and the government to be ready for the next move. Seat the government and issue currency publicly. 1190 was not a previous official rate. The demonstrators are getting antsy.. I would think that the Gov is on notice... Get seated or get left out.. imo.. The latter would not be pretty.. ~ MM

Samson:  Parliamentary direction to gradually restore the dollar exchange rate

24th October, 2022

A number of members of the Iraqi Council of Representatives demanded the inclusion of the voting paragraph on restoring the exchange rate of the US dollar against the Iraqi dinar to its previous official rate. 

A member of the Parliamentary Integrity Committee, Hamid Al-Shiblawi, said, according to an official document obtained by Shafak News Agency, entitled "Reducing the dollar exchange rate", that "due to the repercussions of the rise in the exchange rate of the dollar against the dinar, which negatively affected the economic situation of the Iraqi family, which burdened the citizen."

Especially those with low incomes. We, members of the attached list, ask the Presidency of the House of Representatives to include a paragraph to reduce the dollar exchange rate and gradually return it to the previous exchange rate within the work schedule of the next session in the public interest.

The list showed the signatures of 40 deputies so far. 

It is noteworthy that the Central Bank of Iraq, on December 19, 2020, officially announced the amendment of the foreign currency exchange rate (the US dollar) to be 1450 dinars, instead of 1200 dinars, for every 100 dollars, according to the state’s general budget for the year 2021 approved by the House of Representatives. .

As a result, according to specialists, the annual inflation in Iraq has risen significantly, so that all prices of materials and goods in the Iraqi market have risen significantly, which has sparked a wave of strong resentment among the popular circles, as well as the objections of some interested in economic affairs.

LINK

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Samson:  Ihsan Al-Shammari: The Sudanese government will be devoid of independents and will be consensual between the parties

24th October, 2022

Head of the Center for Political Thinking, Ihsan Al-Shammari, confirmed: "The government of Muhammad Al-Sudani will be devoid of independent ministers and will be consensual between the parties."

Al-Shammari said in a statement to the National Iraqi News Agency ( NINA ): "Al-Sudani will choose from the lists of names of candidates for the parties, personalities for the ministries according to special criteria that can implement his government program," pointing out: "Independents and technocrats are all slogans that were in the formation of previous governments because the ministers were of the political parties.

He explained that: "There is currently a scramble and competition between political parties over ministries and their monopoly, and this matter ends after the formation of the government, so that the Prime Minister-designate faces internal challenges, most notably services, unemployment, uncontrolled arms, corruption, poverty, economic, security, and external aspects and his relations with countries, most notably the balance that he must leave, because the world sees Iraq as an important country and it must take its part," he said.

He pointed out: "The biggest challenge for the Sudanese government is to implement a government program that meets the aspirations of the Sadrist street and with more than half of its demands. Otherwise, the Sudanese will be angry in front of the Sadrist Street."

Al-Shammari continued: "The Sudanese must also deal with the emerging parties and the Octoberists and their demands in a different form and vision from the previous one."    LINK

MilitiaMan:  Like I said.. The street wants their constitutional entitlements... They are not even quiet about it. There is talk of politicians in the Green Zone being extricated out if there is not sufficient reforms.. Extradition out of the Green Zone, is likely not something anyone would want. Might be deserved though.. ~ imo ~ MM

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Samson:  Iraqi Telecom inaugurates the "International Access Gates" project and announces the achievement of a "qualitative leap" and the recovery of hundreds of billions

24th October, 2022

The Iraqi Ministry of Communications opened on Monday the "international access gates" project, which it described as "strategic and important", declaring at the same time achieving a "qualitative leap" in the communications sector and recovering hundreds of billions of dinars.

The Minister of Communications, Arkan Al-Shaibani, said in a press conference attended by Shafak News Agency correspondent, on the sidelines of the opening of the project, that "the opening of today's project is strategic and important for the communications sector in Iraq," noting that "the project was supposed to be implemented since 2007."

He continued, "We have contracted with major international companies that have established these systems in all border areas," pointing out that "six stations have been seized in one of the border areas and an end to smuggling operations."

Al-Shaibani explained that "the project will prevent smuggling and will achieve additional sums for the telecommunications sector, as we have achieved a development in the speed of the Internet and jumped in the global ranking to 42nd after we were in 138th, meaning that we advanced 96 ranks, which is a qualitative leap in the telecommunications sector, and we also achieved great revenues and restored 134 one billion dinars to the Ministry of Finance, 10 billion to Dhi Qar Governorate, and 5 billion to Najaf.

And the Minister of Communications continued, "The access gates fight smuggling, reduce piracy and control the apparent chaos in social networking sites, pages and fake sites, as well as achieve greater benefit in ensuring large financial imports, and within one year we were able to pay 134 billion to the state's general budget."

He pointed out that "the speed of the Internet varies between companies, reaching 150_100 megabytes, and this is what made Iraq's ranking 42 globally in stages, and after operating the "Viber to Home" and entering the implementation phase and within 6 months to a year, I expect that Iraq's classification will be among the first 20 countries globally." 

For his part, Director of Al-Awsat Telecom, Mazen Ali Hassouni, said during the opening conference, "The project of international access gates to the Internet contribute to building the nation. It is not hidden from everyone that the telecommunications sector is important and more vital and represents the artery of other sectors, and that the percentage of profits in the telecommunications sector is constantly increasing." 

He explained that "the Internet sector in Iraq is an integrated and modern project to control capacities through telecommunications infrastructure, from international providers to local providers." He pointed out that "the Internet portals project covers all Iraqi governorates and with major sites for operation and capacity limits, it is based on controlling Internet capacities and limiting any illegal operation while providing high Internet capacities."   LINK

MilitiaMan:  Expectations are looking very promising... Imagine the revenues when all is up an running at full speed.. Amazing it will be and is starting out now.. imo ~ MM

Samson:  Deputy: An upcoming parliamentary hosting of the Governor of the Central Bank and the Minister of Finance regarding the reduction of the exchange rate

24th October, 2022

The representative of the Sadiqoon bloc, Suhaila Al-Sultani, announced today, Monday, the hosting of the Governor of the Central Bank and the Minister of Finance in order to reduce the exchange rate of the dollar against the Iraqi dinar.

Al-Sultani said, according to the media of her bloc, that "the signatures of more than 50 deputies were collected to host the governor of the Central Bank and the Minister of Finance in the new government in order to put pressure on reducing the exchange rate, even if it was in stages or gradually."

She added, "The exchange rate must be reduced because of the difficult standard of living that the Iraqi people are experiencing now and the high rate of poverty," stressing that "the representatives who signed the exchange rate cut will present a successful financial policy on which global policies are based."

And she added, "All deputies and political blocs are determined to reduce the exchange rate, and the number of deputies who signed will increase in the coming days."

A number of deputies had announced, earlier today, the collection of parliamentary signatures from all political blocs in order to work to reduce the exchange rate of the dollar. Raising the price of the dollar in a year.   

MilitiaMan:  They CBI Governor and the Finance Minister hosted a meeting on the exchange rate change. The call to get 50 signatures for reduce the exchange rate back to an official rate have been collected. The exchange rate change is on the table within days apparently.. It is the Governments job to issue currency and it is the CBIs job to issue an exchange rate with the approval of the Finance Ministry.... The amount of data out today on this matter is awesome.. imo ~ I like it.. ~ MM

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Article 110

The federal government shall have exclusive authorities in the following matters:
First. Formulating foreign policy and diplomatic representation; negotiating, signing,
and ratifying international treaties and agreements; negotiating, signing, and
ratifying debt policies and formulating foreign sovereign economic and trade
policy.

Second. Formulating and executing national security policy, including establishing and
managing armed forces to secure the protection and guarantee the security of
Iraq's borders and to defend Iraq.

Third. Formulating fiscal and customs policy; issuing currency; regulating commercial
policy across regional and governorate boundaries in Iraq; drawing up the
national budget of the State; formulating monetary policy; and establishing and
administering a central bank.

Fourth. Regulating standards, weights, and measures.

https://www.constituteproject.org/constitution/Iraq_2005.pdf?lang=en
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MilitiaMan:  In addition... Look at the amounts of assets Iraq has. Not to mention the new electronic system in place is returning 100s of billions of dinars...  All of this supports massive value for the exchange rate change success.. imo ~ MM

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Is Iraq exploiting the wealth of minerals instead of oil? LINK

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Iraqi Telecom inaugurates the "International Access Gates" project and announces the achievement of a "qualitative leap" and the recovery of hundreds of billions LINK

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Samson:  Will the price of the dinar change against the dollar?

24th October, 2022
Today, with the political changes, the theory of restoring the exchange rate of the dinar against the dollar has come to mind, and is there a possibility of restoring the exchange rate.

 "Despite the fact that the issue of raising the price of the dinar against the dollar is a popular demand as a result of its connection to high rates of inflation, although the price change was not the only factor in increasing inflation, now the public will put strong pressure on the political parties that have long called for the necessity of raising the price of the dinar against the dollar and returning to the price the old."

LINK

MilitiaMan:  See what I mean. We can all see that returning to the old price is the same as the past official exchange rate. They printed new money in 2018, they imo have distributed new money to where it will be needed internally and externally and the last part of the reforms is to seat the government cabinet so that there is legitimacy to the new government whereby, they can "issue" the new money on the books imo.. There is a difference between distribution and issuance. The latter part is where the exchange rate gets applied. imo. ~ MM

MilitiaMan "Focus by the UN, IMF, WB, UST ext..." Sunday 10-23-2022

KTFA:

Kurdish leader: Agreement to pass Al-Sudani booth in Tuesday's session

10/23/2022 11:58:18

 A leader in the Patriotic Union of Kurdistan announced a "political agreement" to pass the cabinet of Prime Minister-designate Muhammad Shia Al-Sudani in the parliament session on Tuesday.

Sherzad Samad told {Euphrates News} that "a political agreement to pass the Al-Sudani cabin on Tuesday, after the ministerial cabinet was completed."

He pointed out that "the National Union demanded the Ministries of Justice and Immigration and the Displaced, and there is harmony, consensus and understanding between the Sudanese and the leaders of the Union."

Samad added, "There is a tendency to grant the Ministry of Migration and Displacement, either to representatives of Sinjar or Mosul districts, an appreciation of their positions."

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A source reveals the ministries of the National Union and its candidates

10/23/2022 10:20:45

  An informed source revealed that the Patriotic Union of Kurdistan submitted the names of its candidates for the ministerial cabinet to the Prime Minister-designate, Muhammad Shiaa Al-Sudani.

The source told {Euphrates News} that "the Kurdistan Union submitted the names of its candidates to the Sudanese and demanded the Ministries of Justice and Immigration and Displacement."

He pointed out that "the candidate for the Ministry of Justice is Khaled Shwani. As for the Ministry of Immigration, the Patriotic Union submitted 3 names and granted Al-Sudani the freedom to choose one of them for the position." LINK

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MilitiaMan:  A necessary item for to be completed is the cabinet. Daytrader points out that Article 110 of the Iraq constitution shows that issuing currency is a part of the government work. Now we can see likely why there is a focus by the the UN, IMF, WB, UST, etc, etc.. to get the work completed and pronto!!! imo ~ MM

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Article 110

The federal government shall have exclusive authorities in the following matters:
First. Formulating foreign policy and diplomatic representation; negotiating, signing,
and ratifying international treaties and agreements; negotiating, signing, and
ratifying debt policies and formulating foreign sovereign economic and trade
policy.

Second. Formulating and executing national security policy, including establishing and
managing armed forces to secure the protection and guarantee the security of
Iraq's borders and to defend Iraq.

Third. Formulating fiscal and customs policy; issuing currency; regulating commercial
policy across regional and governorate boundaries in Iraq; drawing up the
national budget of the State; formulating monetary policy; and establishing and
administering a central bank.

Fourth. Regulating standards, weights, and measures.

Fifth. Regulating issues of citizenship, naturalization, residency, and the right to apply
for political asylum.

Samson:  The Minister of Finance holds a meeting with the general managers of Iraqi government banks

23rd October, 2022

Today, Sunday, the Agency's Minister of Finance, Hiyam Nemat Mahmoud, chaired, at the ministry's headquarters, an expanded meeting that included general managers of Iraqi government banks, regarding the mechanisms of banks' work and the obstacles they face.

And the media office stated in a statement that “Al-Naeem News” received a copy of it, that “the Minister of Finance witnessed a set of challenges, variables and exceptional circumstances, the most important of which was the Corona pandemic, which cast a shadow over the whole world and the accompanying economic downturn, especially in the oil-exporting countries.” 

She added that, “Nevertheless, the government banking sector was able to commit to providing the requirements to support the national economy and to spare it the negative effects of economic repercussions and international conflicts.

The minister stressed "the importance of strengthening joint cooperation between banking institutions, and understanding a common strategy, to improve and develop the Iraqi banking sector, and enhance its role in the local banking arena" and international.”

The minister also pointed out, "the need to strengthen the role of Iraqi banks through the development of executive mechanisms and comprehensive action plans. It serves the strategic goals of the banking sector, which revolve around the stability and balance of the local economy.”  LINK

MilitiaMan:  it looks like she hit the ground running.. And in an international manner... lol ~ MM

"Corruption, Theft and Integrity News" Posted by Samson at KTFA

KTFA:

Samson: The Iraqi Planning uses the "job number" to detect double salaries

23rd October, 2022

The Iraqi Ministry of Planning announced, on Sunday, that it is working on a survey of ministries, governorates, and entities not affiliated with the ministry to detect double salaries using the so-called "job number".

The Undersecretary of the Ministry of Planning for Administrative Affairs, Azhar Hussein, told Shafaq News, "The government assigned the committee to lead us to work on a survey of all functional sectors in the Iraqi state in various ministries, governorates, and agencies not associated with a ministry," noting that "each employee in the state will have a job number."

She added that "more than 90% of the job numbers were covered, and only some institutions remained, with the exception of the Popular Mobilization Authority," noting that the latter "confirmed its cooperation with the government committee and sending the data to the ministry."

Hussein continued, "There is a periodic change in the job number file in terms of the employee's salary, bonus, promotion, transfer and retirement," stressing that "the database is not on the triple name, surname and workplace of the employee only, but other names are entered in order to boycott the names and numbers, and therefore in the event of the emergence of functional intermarriage, it will appear directly."

Regarding retirees, social welfare and the private sector, the Undersecretary of the Ministry of Planning indicated that "these categories are not covered by the job number, noting that "there is an intention to cooperate with the Ministry of Higher Education to give a job number to workers in the private sector in universities and private colleges."  LINK

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Samson:  Integrity reveals 100 "fake and forged" agricultural contracts in Salah al-Din

23rd October, 2022
The Investigation Department of the Federal Integrity Commission revealed the arrest of (4) employees after it was revealed that they added (39) fake agricultural contracts, and tampered with (61) other contracts by increasing their area within the agricultural plan for the wheat crop.

And the department indicated in a statement to the authority, received by / NINA , that the staff of the commission’s investigation office in Salah al-Din, who moved to the Department of Al-Dur Cultivation Division, carried out the process of seizing (4) employees after revealing that they had added (39) fictitious agricultural contracts, and tampered with ( 61) Another contract by increasing its area within the agricultural plan for the wheat crop, indicating that those fictitious contracts and the manipulation of their area benefited from the plan to supply urea fertilizer at an amount of (165,098,690) million dinars.

She added that the field team for following up on the work of the Salah al-Din Tax Department succeeded in carrying out two separate seizures in the department, the first of which resulted in the arrest of an employee of the Real Estate Division red-handed for receiving a bribe from a citizen in flagrante delicto, while during the other operation an accused was arrested illegally tracking transactions.

She explained that, after investigation, follow-up and auditing, the team was able to detect (5) forged medical reports in the Governorate Health Department - Medical Committees Division, noting the arrest of two accused of forging the signatures of the medical committees on those reports.

The department reported that fundamentalist seizure records were organized in the operations that were carried out. Based on judicial notes, and their presentation to the specialized investigative judge, who decided to arrest the accused in the first and fourth operation in accordance with the provisions of Articles (331, 289 and 298) of the Penal Code.  LINK

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Samson, Parliamentary Legal: Successive governments have not implemented anti-corruption laws

23rd October, 2022

On Sunday, the Parliamentary Legal Committee held successive governments responsible for not implementing the laws enacted and enacted in the House of Representatives to combat corruption. 

Committee member Salem Al-Anbaki said in an interview with the "Information" agency, "The new government should coordinate efforts and joint work with the legislative authority in order to activate the laws in force to combat corruption."  

He added that "the laws enacted after 2003 until now have not been applied by successive governments due to the absence of real implementation mechanisms to fight corruption."  He pointed out that "Parliament is determined to put in place clear mechanisms to properly implement future anti-corruption laws to serve the public interest." 

Voices calling for banning the travel of the outgoing caretaker government, Mustafa Al-Kazemi, and some members of his government rose after the corruption cases that emerged, including the theft of tax secretariats.  LINK

Samson:  Alia Nassif: Three of the companies involved in the theft of tax deposits... are fake

23rd October, 2022

Member of Parliament, Alia Nassif, confirmed that three of the companies involved in the theft of fictitious tax deposits were registered last year, calling for determining the course of investigations towards the real accused and their accomplices, and not wasting time hosting people who have nothing to do with the case.

And she said in a statement today: that three of the five fake companies were registered in 2021, and the anti-money laundering official addressed the Registrar of Companies to inquire about the extent of the sobriety of the companies, and he replied that they are sober companies, and from here the disaster began and the companies began the process of looting tax deposits.

Nassif added that the parliamentary committees hosted a series of hosting officials from several bodies and departments, including the head of the customs authority. The Parliamentary Finance Committee also hosted the Director General, who came after him, Samer Abdel Hadi, and he remained in the position for two months, and he is also not related to the case, and therefore we must avoid mixing papers and making investigations derail, and avoid putting the names of departments and people unrelated to the case. LINK

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Samson:  Does the investigation file close by stealing tax deposits?

10/22/2022 22:28:58

 The economic expert, Abdul Rahman Al-Mashadani, suggested closing the file of theft of the funds of the General Authority for Taxes in order to reveal the gates of corruption greater than the theft of the funds of the trusts in the event that the investigation is completed.

  Mashhadani said; For the (Undisclosed) program broadcast by Al-Furat satellite channel tonight: "The companies involved in the theft of tax trust funds were established shortly before the theft and were revealed by the Minister of Oil under pressure from the oil companies that were demanding their deposited money." 

 He added that "the Minister of Oil was briefed on the theft file, followed by the funds of the trusts, and the Rafidain Bank cannot be exempted from stealing money, and that everyone is involved in the theft," noting that "the investigation into this matter may be closed because its completion will reveal portals of corruption greater than the theft of tax money." 

Al-Mashhadani continued, "Huge amounts were deposited in the company's accounts and were withdrawn on the same day," noting that "during 2021 with the currency window, we found that it was one of the reasons for the window to rise to 300 million dollars per day, knowing that the volume of imports to Iraq is fixed and does not change."

The currency window promised "one of the official ways to get money out in the form of hard currency and smuggle it abroad," expressing "astonishment at the central bank's lack of remorse for that."

Al-Mashhadani added, "The money that went to the banks of neighboring countries needs intensive investigations, and some money can be recovered by addressing the banks of the countries, and some of the properties that were purchased with the looted money have not been transferred." Al-Mashhadani concluded by saying, "The task of Prime Minister-designate Muhammad Shia'a Al-Sudani will be difficult to expose corruption files in all ministries, which include dozens of files of corruption and theft."

The Minister of Finance, Ihsan Abdul-Jabbar Agency, had revealed that there was a theft of money in the Ministry of Finance, with no less than 800 million dollars in a specific account in the Rafidain Bank, which was withdrawn in violation of the law. In the same regard, Faleh Al-Sari, a member of the Parliamentary Finance Committee and head of the National State Forces Alliance bloc, called on the Ministry of Finance to reveal the personalities involved in the loss of more than 800 million dollars.

On Sunday, Al-Sari revealed secrets about the theft of tax deposits, which included 3 trillion and 701 billion dinars, while announcing the identity of those involved. He clarified what happened that the sums that were collected through 5 foreign fake companies established in 2021 are now requesting the return of the trust funds, knowing that they did not record any trust amount with the General Tax Authority, but rather by agreement of officials starting from the rank of general manager to the financial department to the assistant financial department to those authorized in the exchange process .

Al-Sari indicated that a large part of the amount of 3 trillion and 701 billion dinars is still inside the country in the form of real estate in Al-Mansour and Al-Harithiya.  LINK

"Vietnam News" Posted by Samson at KTFA 10-23-2022

KTFA:

Samson:  Vietnam Blockchain Summit 2022 begins in Hà Nội

20th October, 2022

The Vietnam Blockchain Summit 2022 began yesterday in the capital city of Hà Nội. The event reflects the Southeast Asian country's enthusiasm for the adoption of cutting-edge technologies and the pursuit of innovation to spur national socio-economic development.

Speaking to participants at the summit, Trương Gia Bình, co-founder of FPT Corporation, one of Việt Nam's leading tech companies, and Chairman of the Vietnam Software Association (VINASA) said Việt Nam is ready to embrace the blockchain technological revolution.

"Twenty years ago, we believed Việt Nam would one day become a hub for new technologies," he said, "The summit this year is a recognition of our pathfinder spirit and the willingness to embrace the new technology."

He said the torchbearers today are the ones who will build a new world with technology as its foundation. He urged Việt Nam to strive to become a major tech hub to sustain its development momentum and to create technological breakthroughs in the future.

Industry experts, similarly, have considered Việt Nam, a developing country, as fertile land for blockchain tech with almost limitless potential for implementation and application. Of the world's top 200 blockchain businesses, ten were started by Vietnamese and offered various impactful tech solutions, setting a solid foundation for the future development of the new technology.

In 2021 alone, transactions worth US$6 trillion were settled on the Ethereum platform, according to crypto research firm Messari, in comparison to $1.25 trillion on Paypal and $13 trillion on VISA. The global blockchain market was valued at $4.67 billion last year. It has been projected to reach $7.18 billion in 2022 and $163.8 billion by the end of 2029.

Numerous countries around the world have started using blockchain for citizen ID and administrative applications. The world's largest corporations including IBM, Amazon and McKinsey have also taken advantage of the new technology to better manage their supply chains. Economists said they believe up to $450 billion can be saved annually by using blockchain to fight off counterfeits and reduce business risk in various fields.

Phan Đức Trung, Deputy Chairman of the Vietnam Blockchain Association, said the technology has the potential to open many new doors for the global economy. The summit, the first to be held in Việt Nam, offered great opportunities for blockchain players to connect, exchange ideas and contribute to the digital economy in the future.

The government of Việt Nam places great importance on the development of new tech and the country's digitalisation process with an objective to create value and economic breakthroughs, according to VINASA. The summit was considered an excellent opportunity for policymakers to listen to recommendations and feedback on how to build a blockchain economic model in Việt Nam.

As early as 2020, new tech has been named as one of the government's key priorities in R&D goals, as well as the adoption and implementation of the Fourth Industrial Revolution in Decision 2117/QĐ-TTg approved by the Prime Minister's Office.

A year later, Prime Minister Decision 942/QĐ-TTg has given the green light to the establishment of Việt Nam's legal framework to pilot, accept and adapt to next-generation digital services. The decision has been well-received by Việt Nam's tech community, which has spearheaded the development of new tech fields including blockchain, artificial intelligence (AI), virtual reality (VR) and augmented reality (AR).

Speakers at the summit also discussed the latest trends in development, how to train and develop human resources in the field, recommendations for countries to adopt and how businesses can utilise the new technology to improve business performance.

Vietnamese and international leading blockchain companies including Kyber Network, Gala Games, Sky Mavis, DFG, FTX, Binance, BNB Chain, Chainalysis, OKC and AAX were to hold talks and exhibitions at the summit, which ends today (October 20).   LINK

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Samson:  Vietnam’s economy registers strong growth in Q3: World Bank

21st October, 2022

Việt Nam’s GDP grew by 13.7 per cent year-on-year in the third quarter of this year and 8.9 per cent over the first three quarters, according to a report released by the World Bank (WB) on October 20.

The bank’s October report, Vietnam Macro Monitoring, shows that industrial production and retail sales posted another month of high growth rates (13.0 per cent and 36.1 per cent year-on-year) which could be attributed both to strong economic activities and to the low-base effects.

Both export and import growth moderated in September due to weakening demand from major export markets. FDI commitment fell in September, affected by the heightened uncertainty about global economic prospects while FDI disbursement continued to improve, the report says.

Despite softening energy prices, CPI inflation accelerated from 2.9 per cent in August to 3.9 per cent in September largely due to higher education costs and rents. Core CPI inflation accelerated as well, from 3.1 per cent in August to 3.8 per cent in September. The terms of trade deterioration eased in the third quarter compared to the previous three months.

Credit growth accelerated from 16.2 per cent in August to 17.2 per cent in September as the State Bank of Vietnam (SBV) raised credit growth limits on some commercial banks.

With strong demand for credit, the average overnight interbank interest rate rose from 3.5 per cent in August, reaching 5.48 per cent in mid-October, the highest since 2013.

The Vietnamese đồng continued to depreciate against a strengthening US dollar in September (1 per cent month-on-month and 3.8 per cent year-on-year). To stabilise the domestic currency, the SBV raised two key policy interest rates and the cap on key short-term rates on deposits denominated in local currency by 100 basis points, the first rate hike since April 2020.

The budget balance posted a US$0.5 billion deficit in September for the first time in 2022, but still registered a $10.5 billion surplus over the first 9 months of the year. Given the budget surplus, year-to-date government bond issuance reached only 28.7 per cent of annual plan, compared to 67.9 per cent in 2021.

According to the report, while the economic recovery has remained strong, heightened uncertainties related to the slowing global economy, rising domestic inflation, and tightening global financial conditions warrant increased vigilance and policy agility.

Given the economy has not fully recovered and growth in main export markets is expected to slow, continued active fiscal policy to support the economy should be closely aligned with economic outcomes and coordinated with monetary policy.

At the same time, as CPI and Core CPI are reaching 4 per cent – the policy rate set by the authorities – monetary authorities should be ready to consider further tightening of monetary policy to ensure inflation remains anchored.

Given the end of forbearance and tightening financial conditions, the financial sector faces heightened risks and prompt SBV guidance would help stem materialisation of such risks at the sector level, potentially affecting the real economy. LINK

Samson:  Việt Nam attends 29th APEC Finance Ministers’ Meeting

21st October, 2022

Việt Nam has posted high economic growth despite the fact the global economy and the Asia-Pacific Economic Cooperation (APEC) region faces many challenges as well as uneven incomplete recovery, Deputy Finance Minister Tạ Anh Tuấn said at the 29th APEC Finance Ministers’ Meeting held in Bangkok on October 19-20.

Việt Nam's third-quarter gross domestic product grew 13.67 per cent from a year earlier, raising its nine-month GDP growth rate to 8.83 per cent, he said

According to Tuấn, Việt Nam's proactive, flexible and effective management of fiscal and monetary policies has contributed to curbing inflation, maintaining macroeconomic stability, and creating momentum for economic recovery.

In order to promote growth, strengthen the economy's resilience, ensure macroeconomic stability and national financial security, Việt Nam will prioritise financial policies associated with perfecting regulations on mobilising national financial resources, strictly controlling the State budget deficit and public debt, and contributing to improving the resilience of national finance, he said.

The Vietnamese official also said that the contents of cooperation and international experience at the 29th APEC Finance Ministers’ Meeting are particularly practical to the current vision and mission of the Ministry of Finance. Themed “Advancing Digitalisation, Achieving Sustainability”, the meeting attracted the participation of more than 200 representatives from 21 APEC member economies and international organisations.

Participants at the event discussed economic and financial prospects and shared views on collaborative policy actions to achieve the Putrajaya Vision 2040, including the approval of the Aotearoa Action Plan with a view to developing an open, dynamic, resilient and peaceful Asia-Pacific community by 2040, for the prosperity of all its people and the world future system. The meeting reviewed and discussed the implementation of the 2022 initiatives namely "Sustainable Finance" and "Digitalisation of the Economy".

Thai Finance Minister Arkhom Termpittayapaisith affirmed that creating conditions for all economic sectors to have access to sustainable and effective finance is especially important to achieving inclusive and sustainable economic growth while fully harnessing the power of digitalisation for inclusive fiscal policy, including reducing the digital technology gap between different socio-economic groups.

Participants also shared their opinions on the economic situation in the post-COVID-19 period, positive and negative factors for economic recovery, and discussed financial policies to promote growth, focusing on  the implementation of "Sustainable Finance" and "Digitalisation of the Economy".   LINK

KTFA Members "News and Views" Friday 10-21-2022

KTFA:

Samson:  President of the Federation of Iraqi Chambers of Commerce: We cooperate with Russia and have developed solutions to the issue of transportation and payments

21st October, 2022

On Thursday, October 20, the Russian-Iraqi Business Forum was held in the Russian capital, Moscow, with the participation of an Iraqi delegation and the presence of the head of the Federation of Iraqi Chambers of Commerce, Abdul Razzaq Al-Zuhairi.

In addition to representatives of leading companies interested in importing food industries, timber, minerals, building materials and agricultural machinery, in Iraq, the meeting also included holding bilateral meetings between Russian and Iraqi businessmen. Al-Zuhairi spoke in an interview with "Sputnik" about ways to develop the industrial and trade sectors between the two countries.

What are the difficulties and obstacles facing the trade exchange between the two countries and ways to solve or avoid them?

Al-Zuhairi said: "I am visiting Russia for the fourth time, and my mission is to restore relations and work with the Russian side, because in Iraq we are very interested and know the capabilities of Russia and Russian industry. We were able to establish a business council during these years with the presence of a siege on Russia, and we in Iraq want to work with the Russians and link us with them." Old relations and the current approach of our economy, to deal with everyone without exception.”

  He continued, "Now we have an important issue that we are trying to finalize with the Russian side related to the issue of transportation because the distance is far and we have found a solution for it. 

 In addition to the issue of financial payments, we have in the group of participating businessmen businessmen in banks, and we held meetings with the Russian side in the banking sector for the purpose of Receipt of goods and payments to the Russian side. Russian goods are distinguished by their quality and cheap prices and are in demand in Iraq."

The cooperation between the two countries is greater in the oil sector. Do we see cooperation in the future in other fields such as heavy industries or pharmaceuticals, especially after the success of the “Sputnik V” vaccine?

Al-Zuhairi said: "Today we have a great desire to import Russian medicines and we are interested, but unfortunately the representative of the health sector is not present. I hope that there are Russian industries inside Iraq to complement the oil industry, such as equipment and others. The law is easy and simple in Iraq and Russian companies can build factories, and get a percentage profits, according to Iraqi law, are 10 percent. This delegation is diverse from all sectors."

One last word you would like to give to Russian businessmen?

Al-Zuhairi replied, "You are brave men. We have already been through this circumstance and the siege in Iraq for 13 years, and we have passed it.  LINK

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Sir:  IMO- Well this smells like BRICS + to me good people. I see visions of that Golden Dinar in the near future. Guess they are going to put all that gold they have been accumulating to use here to back the new Dinar.

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DCDriver:  I see a parallel between seating their government and the midterms IMO. Let’s hope the ball really starts rolling after that  

KandG:  I agree - haven't completely put the pieces of the puzzle together but the CBI being in DC meeting with the US Treasury this close certainly begs one to ask if there is a connection.  We know Trump stuffed a large piece of dinar into the US Treasury (I personally saw / heard him say to Laura Ingraham in an interview).  Timing of all this doesn't seem coincidental - IMO

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Samson:  Iraq invites Russian companies to explore oil in new areas

21st October, 2022

Director of the Technical Department of the Iraqi Ministry of Oil, Ali Ward Hammoud, said that Iraq is interested in partnering with Russian oil companies, and called on Russian companies to participate in new licensing rounds for unexplored oil patches.

Hammoud said today, Friday, that "in the near future, plans will be drawn up to develop these fields, and I mean here the Eridu and Al-Salman fields for the purpose of accelerated production and commercial production."

He continued, "There is great optimism through drilling wells and exploration that the oil columns in the wells and the stock are very large, which will provide Iraq with a large production capacity, by 200 thousand barrels per day from the Arido field, and the Salman field, which is operated by the Basneft Company, is now in the evaluation stage, but there is commercial evidence for this field." 

He added, "There are plans for Lukoil in the Arido field (10th block), and this field has excellent oil evidence, and the first production from this field will be in the year 2025." He pointed out that with regard to new projects, "there are new licensing rounds for unexplored oil patches. I guess that there will be shares for Russian companies in this matter."   LINK

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KandG:  Wow - everyone wants to do business with Iraq - a country with a toilet paper exchange rate that keeps them from doing "real" business internationally.  Stay away from the 1 or 2 negative articles you see - we have been flooded with articles showing multiple countries engaging with Iraq since their announcement of Pres / PM - with pressure and anticipation from the world stage - we are in good shape folks - IMO

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Samson:  An Iraqi businessman reveals a plan to bypass sanctions during imports from Russia

20th October, 2022

An Iraqi businessman revealed Thursday, the mechanism for importing Iraq from Russia and bypassing US sanctions, while noting that the Iraqi market depends on Russian grain by 50%, especially with regard to feed grains

And Russian media quoted the director of the Iraqi Company for Production and Marketing, Mahmoud Atshan Dakhil, as saying, which was followed by (Baghdad Today), that “his company, as an agricultural company specialized in supplying fodder and grain (grain for feed) to Iraq, aims through its participation in the (Made in Russia) forum to Expanding business with the Russian side and consolidating direct relations with Russian companies away from intermediaries,” noting that “this will contribute to increasing purchases from Russia

On the impact of the sanctions on commercial cooperation between Russia and Iraq, the Iraqi businessman said, “The sanctions are a big obstacle, but work is underway to organize remittances with Russia through third countries,” and pointed out that “his company ships grain from Russian ports overlooking the Black Sea, and then through Turkey

Today, the events and activities of the International Export Forum "Made in Russia" were launched in Moscow, which aims to introduce international companies to Russian products and their advantages

LINK

Samson:  Quotas impede opening corruption files.. Arresting the corrupt is a war decision

21st October, 2022

Ideas attribute the deteriorating economic situation in Iraq, the oil-rich country, to corruption, which drains its revenues.

The theft of $2.5 billion in tax revenues is not the first of its kind, but has been preceded by the looting of hundreds of billions of dollars since 2003.

The judicial authorities used to form investigative committees, but not a single dinar was returned to the state treasury.

In the opinion of the independent political researcher, Ali Al-Shammari, that the current environment and financial abundance are a reason for the success of any government, regardless of its shape or color, at least in the first six months... But soon corruption will gnaw at its joints to return to the zero point.

Corruption deals are mostly done through import and export deals, or by providing financial covers for fictitious projects, using forged invoices and checks, and transferring huge sums of money from official departments and banks to bank accounts outside Iraq.

And the corruption deal related to importing counterfeit “explosive detectors” from which Iraq imported about 6,000 pieces in 2007, remained ambiguous, after which it became clear that officials had concluded the deal with a British company, with an amount exceeding 400 million dollars.

The electricity sector represents one of the most prominent files that Iraq spent about 30 billion dollars to provide, according to the reports of the Iraqi Integrity Commission, while Iraqis still suffer from its absence, particularly in the summer.

An investigative report read by the obelisk states that organized crime, which in 11 months devoured $2.5 billion from the General Tax Authority, occurred when tens of thousands of Iraqis were demonstrating to demand reform, an end to corruption , and governments in a country where a quarter of the population lives below the poverty line.

The file of oil smuggling is a mystery and has cost Iraq about 150 billion dollars during the past five years only.

In 2013, sources revealed that the Iraqi Ministry of Education was involved in the process of changing the expiry date of shipments of “biscuits” intended for school students. Parliament and the government promised to open an investigation, but it was closed, even though the deal was about $69 million.

And the currency auction, provides enough space to smuggle the dollar abroad.

The economist, Daoud Hashem, believes that our loss is not theft of 2.5 billion dollars. It seems that we have been stealing continuously and in larger amounts over the past years, but rather our loss, the greatest regret and the great disappointment with the fall of parties involved in corruption, their roles were exposed.

We believed their professionalism and impartiality as the protector and the eye that never sleeps on guard Public money.  And the Iraqi Prime Minister, Haider al-Abadi, estimated in 2017, the cost of economic losses during the war against ISIS, at more than $100 billion.

And the file of “the sinking of Iraqi funds” may be the most strange, when the former Central Bank Governor Ali Al-Alaq spoke, during his hosting in the Iraqi parliament, in November 2018, about the damage of seven billion dinars, as a result of the exposure of the Rafidain Bank’s coffers to the leakage of rainwater.

Millions of dollars were lost, due to the seizure of state real estate.

Activist Ali Atwani monitors internal looting with an external alliance, the theft of 2.5 billion dollars, and transferring the largest part of it outside Iraq. This is a corruption operation that has an international dimension, and the international factor is involved in this crime.

While the designated Defense Minister, Muhammad Shia Al-Sudani, says that he will never hesitate to take real measures to curb corruption, Iraqis believe that the results are the lesson after the many statements about fighting corruption and arresting public money looters failed them.

The researcher, Adnan Abu Zeid, hints at the lack of political will in combating corruption, considering that quotas even in corruption files will prevent progress, stressing that corruption, like terrorism, needs a decisive decision, as it has armed arms that throw the corrupt in prisons. Adnan Abu Zeid said that arresting the corrupt is a decision of war.   LINK

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Samson:  "The theft of the century” .. a warning against a “routine” procedure that dissolves the case

21st October, 2022

Today, Friday, an economic expert warned against relying on committees formed from within ministries and parliamentary committees to investigate what has become known as "the theft of the century" from tax trust funds.

The formation of investigative committees is a recurring procedure by successive governments, until it has become a routine procedure in every incident through which it is intended to absorb people's anger and contain their energies, whether on the street or on social networking sites.

The economic researcher, Ahmed Eid, told Shafaq News Agency, "There are huge funds that were stolen before the eyes of the regulatory and judicial authorities, and the issue of returning them to the state treasury is very important, especially as we are talking about billions of dollars in funds, and that ignoring their return is a serious matter and systematic and organized waste managed by influential parties in the Iraqi state," stressing that "the return of these funds is the responsibility of the Iraqi judiciary."

Eid added, "In these circumstances, we should not rely on investigative committees formed from within ministries and parliamentary committees, because this will lead to a gradual dissolution of the issue, as it happens every time," noting that "Iraqi funds are unfortunately in unsafe hands, and their theft and waste are legitimized by Through laws and legislation on the basis of which money is allocated to the pockets of the corrupt.”

He continued, "Iraq today possesses huge sums of oil revenues, and to strengthen the Iraqi state funds, institutions must be cleaned of the corrupt, and the investment law must be activated in the interest of the country and provides full opportunities for achieving integration, in addition to tax and customs funds and support for private productive sectors."

On the day before yesterday, the Second Karkh Investigation Court, which is specialized in integrity issues, issued an order to summon a member of the Parliamentary Finance Committee from the previous session, for his involvement in the theft of tax trust funds, according to a statement of the Supreme Judicial Council received by Shafaq News Agency.

In turn, the First Deputy Speaker of Parliament, Mohsen Al-Mandalawi, said in a statement received by Shafaq News Agency, "We will not tolerate the largest theft in the history of Iraq, and the Parliament will take real and serious measures until the imprisonment of those involved in this theft in cooperation with the judiciary to protect public money."

The First Deputy called on the judiciary to take appropriate legal measures against all those accused of "stealing the century", to deter anyone who begged himself to tamper with the people's capabilities, and to impose the most severe penalties against those who are proven to be involved in this crime, regardless of their position, in order to preserve the money and bounties of Iraqis from the hands of the corrupt.

Earlier, the Parliamentary Integrity Committee announced that it would prepare a detailed report dealing with the theft of two and a half billion dollars from the amounts of tax trusts in the Rafidain Bank.

Abdel Wahed said during a press conference held by a member of the Parliamentary Integrity Committee Sarwa Abdel Wahed at the parliament building with the participation of a number of members of the committee and attended by Shafak News Agency correspondent, that the Integrity Committee stressed the need to diagnose all those involved in the theft

Adding that there was talk about the former head of the Finance Committee, who is Now the Prime Minister’s advisor, and the Prime Minister’s Office has a hand in the matter and sent a letter to the Tax Authority, and those, including the Tax Authority, Rafidain Bank and the Prime Minister’s Office, must be referred to the judiciary, prevented from traveling, investigated, and the accused arrested.  LINK

MilitiaMan Thoughts "Internationalism" 10-20-2022

KTFA:

MilitiaMan:  Looking like they are gearing for international travel.. Investors will be looking for good fast, safe and reliable service from country to country.. A good sign things are getting closure to internationalism.. imo The new customs electronic systems are in place.. All pointing in the right direction.. imo ~ MM

Samson:  The first foreign flight departs from Kirkuk International Airport

19th October, 2022

Kirkuk International Airport is scheduled to witness, tomorrow, Thursday, the launch of the first foreign flight, after it was opened by the Iraqi authorities last Sunday. 

The flight schedule of Iraqi Airways showed, for tomorrow, Thursday, the allocation of the first foreign flight from Kirkuk International Airport to Medina in Saudi Arabia.

And last Sunday, the sixteenth of this October, the Iraqi Ministry of Transport inaugurated the Kirkuk International Airport, where a presidential plane landed on the airport's soil, authorizing the opening of the airport, with a high official and security presence.  

The civil airport was inaugurated suddenly and without inviting local and foreign media to cover the opening ceremony.

While the Kurdish component in Kirkuk expressed its displeasure with the timing and opening ceremonies of Kirkuk airport and the accompanying media blackout and popular and political marginalization, what it considered a "new coup" against the Kurds in the disputed province between Erbil and Baghdad.

It is noteworthy that Kirkuk Airport has completed all preparations to start the process of operating internal flights between the Iraqi governorates as a first step, and then it will launch to the horizons of the outside world.   LINK

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Samson:  Deputy for the law: The Sudanese are facing a difficult economic test, and we will press to reduce the dollar

10/19/2022

The representative of the State of Law coalition, Aref Al-Hamami, believes that the Prime Minister-designate, Muhammad Shia Al-Sudani, is facing a difficult economic test, while revealing the collection of signatures to pressure towards reducing the exchange rates of the dollar.

 
Hamami said; For the program {Al-Mastra} broadcast by Al-Furat satellite channel tonight, that: “So far, officially, the Saturday session has not been set by the Presidency of the House of Representatives, and we have not officially been informed of its contract, and the schedule has not yet been decided; but more than 50% of the ministries have been completed in the cabinet in general, and the sensitivity of the stage requires Scrutinizing the candidates for appointment, but there is no harm in voting for them and then joining the rest of the ministries."

And he expected, that "the portfolios of {oil, higher education, labor and social affairs} will be from the share of the law coalition," adding that "the Sudanese have a good space to choose their ministers and there is no pressure on him and the legitimate scramble for positions aims to serve the citizen."

Al-Hamami noted, "
Commenting on the return of the Vice-President of the Republic, Al-Hamami explained, "It is a constitutional entitlement and imposed by law, and the position is important and cannot be kept vacant as it is a legal violation, and social benefits funds can be removed from the three presidencies, but the names of these positions have not been resolved until now." 

However, he added, "As for the adoption of the oil and gas law, it has become an urgent necessity after the final and binding decision of the Federal Court. Oil revenues must be distributed equitably to all provinces, and there must be solutions."

Al-Hamami concluded, "The region's difference from the governorates of the center and the south is by a single decision. The problems of these governorates are linked to the center by the routine and the miserable administrative system in addition to the existing corruption, and the coalition of state administration with its multiple forces is responsible for the success and failure of the government, which will also be a criterion for holding early elections."  LIN
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MilitiaMan:  The collection of signatures is being applied to pressure in reducing the exchange rate of the dollar whereby increasing the value of the Iraq Dinar would be the reciprocal of that. Interesting again the mix the seating of the cabinet in with the exchange rate and the adoption of the oil and gas law. The latter is an urgent necessity after the final binding decision of the Federal Court. The needs of the citizens are front and center, as the oil revenues must be distributed equitably to all provinces. ~ All very timely and to the points.. imo ~ MM

KTFA Wednesday Night CC "Framework Framed" 10-19-2022

KTFA

KTFA Wednesday Night CC

Frank26:  10-19-22……FRAMEWORK FRAMED

This video is in Frank’s and his team’s opinion only

Frank’s team is Walkingstick, Petra, MilitiaMan and Eddie in Iraq

Playback Number: 605-313-5163   PIN: 156996#

What Frank’s suit color’s mean…. FRANKS SUIT COLORS FOR CC'S..... WHITE = NEW INFO…. SILVER = INTEL FROZEN…. RED= HIGH ALERT… PURPLE=GUEST WITH US…. BLUE = AIR FORCE…. BLACK = GROUND/FF’S…. GREEN= MR OR FAB 4 ... GOLD = CHANGE

https://www.youtube.com/watch?v=PGl2-HD83WE

Some "Wednesday News" Posted by Samson at KTFA 10-19-2022

KTFA:

Samson:  Planning : The new government will prepare next year's budget after its formation

19th October, 2022

The Ministry of Planning confirmed that the next government will prepare the Federal General Budget Law 2023 and send it to the House of Representatives in preparation for its approval, after its formation.

The Minister of Planning, Khaled Battal, stated, in a statement to the National Iraqi News Agency ( NINA ), that "the current government, the outgoing one, is the conduct of daily business, and it cannot present a budget, nor can it propose a budget at all, until the formation of the new cabinet."

He added, "The next government will legislate or propose a general budget law and send it to the House of Representatives later to proceed with its approval during the coming period," noting that "the current government is a caretaker that does not have the authority to send the budget law to the House of Representatives or any other party."  LINK

Samson:  A new currency will be introduced soon ... What is the economic feasibility of it ?

19th October, 2022

Iraq intends to introduce a new currency on the market soon, in a move described as "a patchwork", especially with the increase in popular demands to reconsider the Central Bank's decision to raise the value of the dollar compared to the Iraqi dinar, which caused an increase in the prices of all materials consumed in the country.

The currency to be introduced by the Central Bank comes with the aim of relieving pressure on the circulation of local currencies in the markets

On the sidelines of the Al-Rafidain Forum, which was held late last month in Baghdad, the Governor of the Central Bank of Iraq, Mustafa Ghaleb Mukhif, revealed an intention to present a banknote of 20 thousand dinars, while confirming that the bank has a project on raising zeros from the currency, but it needs to issue a law, especially since Deleting zeros affects the trade balance. 

What is the benefit of the new currency?

In conjunction with the efforts of the Central Bank and other sectors to reduce inflation in the local markets in Iraq, the World Bank said that the annual inflation of food in Iraq reached 6.4% between May and August of 2022.

Meanwhile, economic expert Salama Sumaisem believes, during her talk to "Ultra Iraq", that "the currency to be offered by the Central Bank came with the aim of reducing pressure on the circulation of local currencies in the markets."

The economic expert added that "the introduction of such a currency also serves to reduce the inflationary pressure that is trying to consume small groups of currency in the markets, as well as being a step to fill the shortage of existing currencies in Iraq."

According to previous economic studies, the annual inflation level rose for the month of July of this year, reaching in 2022 to 117.8, which is the highest inflation rate recorded in Iraq in more than 10 years.

Regarding the inflation that hit the markets, Sumaisem points out that "the best way to eliminate inflation lies in reducing the currencies circulating in the markets, because the more money increases in the market, the less its material value, in addition to improving banking performance by increasing reliance on sukuk and other securities."

No economic benefits

Economist Amer Al-Jawahiri says that "issuing the 20,000 dinars currency has no economic feasibility in terms of solving the inflation file in the markets, since this currency will fill the shortage of currencies circulating in the markets."

In an interview with "Ultra Iraq", Al-Jawahiri continues, saying that "the Iraqi economy is a meager one, and it depends mainly on imports, and therefore it is not possible to control inflation in the markets by offering this category of local currencies."

The weakness of domestic production with the increase in global inflation, all of which helped to increase the economic crisis in Iraq, and the words of Al-Jawahiri, who stressed that “supporting the industrial, agricultural and other sectors to meet the need for import is the only and optimal thing to reduce economic inflation in Iraq.”

At the end of his speech, Al-Jawahiri said, "The interest in the private sector and the implementation of stalled economic projects is the best way to solve the inflation crisis in the markets, because offering this currency does not help in resolving this file."

Meanwhile, there were conflicting opinions in the Iraqi street, especially among economic circles, regarding the feasibility of issuing this cash category, amid a statement issued by the Parliamentary Finance Committee, which confirmed that they would discuss with the Governor of the Central Bank the feasibility and motives behind the decision to offer a category of 20 thousand dinars.

Gateway to new categories

Mustafa Hantoush, a researcher in economics, says, for his part, that "the currency is considered one of the middle classes, and therefore it does not indicate the inflation of money in the markets," noting that "the issuance of such currencies indicates the existence of a balance and parity of prices in the local markets."

According to Hantoush's talk to "Ultra Iraq", the issuance of such categories opens the door to the issuance of other categories of currency, such as (15,000 Iraqi dinars), stressing that "the existence of this (new) category may fall within the marketing and contractual reasons."

The economic expert also indicates that this is a pricing category and does not have any harm to the economy of Iraq, explaining that "this step is within the Central Bank's steps to destroy the damaged currencies and issue new currencies."

Iraq owns 7 categories of cash circulating in the markets, which are: 

250 dinars is roughly equivalent to 17 cents. 

500 dinars is roughly equivalent to 34 cents. 

1000 dinars is roughly equivalent to 68 cents. 

5000 dinars is equivalent to 3.5 dollars.

10,000 dinars is roughly $7.

 25,000 dinars is roughly equivalent to 17 dollars.

50,000 dinars is roughly equivalent to 33 dollars.

The Central Bank of Iraq reduced the value of the dinar against the US dollar in 2020, in a measure that caused great anger among the Iraqi street as a result of the high prices in the markets and the low value of financial salaries in the country.

According to the official pricing of the Central Bank, the exchange rate amounted to 1,450 dinars to the dollar, instead of the previous rate of 1,190 dinars.  LINK

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Iraq is ranked second in the list of the most developed countries in 2022

19th October, 2022

Arab countries are among the top 10 countries that will record high GDP growth rates for the current year, according to the International Monetary Fund’s classifications issued in the October World Economic Outlook report

This comes while the global economy is witnessing geopolitical tensions and fears of a recession in the US economy extending to the European Union and Asia during the next year

The consequences of the Russian-Ukrainian war have added pressures on the world's economies through inflation, while the European Union countries are facing a shortage of gas needed for power generation, which casts negative shadows on their economies however, many countries will benefit from high growth rates due to the high demand for their trade, especially the oil-producing Arab countries, as well as other countries that have not witnessed any negative effects of the existing global conditions

The International Monetary Fund classified Guyana as the fastest growing economy in both forecasts issued last April and this October, with a growth rate of 57.8 percent this year. The sparsely populated country is growing thanks to new oil exploitation projects

In second place, Iraq came with economic growth expectations of 9.3 percent, driven by the rise in global demand for crude oil and natural gas, as Iraq is a major exporter of crude

Iraq is the second largest producer of crude oil in the Organization of "OPEC" after Saudi Arabia, with an average daily production of 4.6 million barrels per day, of which about 3.3 million barrels per day are exported under normal conditions

In third place came Ireland, whose growth has been significantly revised upwards, bringing the IMF's forecast of 9 percent this year but Ireland's GDP is notoriously volatile due to the many multinational corporations that are based there that benefit from favorable tax laws within the European Union

In fourth place came Kuwait, which is expected to record a growth of 8.7 percent this year, driven by the growth in global demand for crude oil, as the country produces an average of 2.8 million barrels per day

In fifth place came Saudi Arabia, which is expected to record a growth of 7.6 percent during the year, a growth that comes thanks to crude oil exports and its high prices. Saudi Arabia is the second largest producer of crude oil in the world, with a daily average of 11 million barrels, and the largest exporter of it, with a daily average of more than 7.4 million barrels

In sixth place came Colombia, which the International Monetary Fund expects to record a growth of 7.6 percent, driven by the production of fossil bullet sources, while in seventh place comes Panama, with a growth rate of 7.2 percent

In eighth place comes Vietnam, which is expected to record a growth of 7 percent this year, followed in ninth place by India, with a growth rate of 6.8 percent

India's GDP grew by 4.1 percent in the first three months of 2022, which cut annual growth slightly in 2021 to 8.7 percent due to Omicron's restrictions that hampered economic activity in the fourth quarter of the Indian fiscal year. While in the first quarter of the new fiscal year (April to June), growth returned to 13.5 percent, looking at the big picture Indian GDP growth is still doing well globally

And Egypt ranked tenth in the world, which is expected to record a growth of 6.6 percent this year, driven by a package of reforms in cooperation with the International Monetary Fund  LINK

Samson:  Iraq increases its holdings of US bonds by more than one billion dollars

19th October, 2022

The US Treasury announced, on Wednesday, that Iraq increased its holdings of US bonds to more than one billion dollars during the month of August.

The Treasury said in its latest schedule, seen by Shafak News Agency, that "Iraq's possession of US Treasury bonds for the month of August of 2022 increased by 1.043 billion dollars, or 3.02%, to reach 35.630 billion dollars, after it was 34.587 billion dollars in the month of July," indicating "These bonds rose from the same month last year, 2021, when Iraq's holdings of bonds amounted to $18.9 billion."

And she added, "Iraqi bonds, including long-term guarantees amounting to 23.430 billion dollars and short-term guarantees amounting to 12.200 billion dollars," noting that these bonds represent 0.44% of the world's bonds.

In the Arab world, Saudi Arabia comes at the forefront of the most possessing countries, reaching $122.089 billion, followed by Kuwait with $51.031 billion, the UAE third with $47.767 billion, then Iraq fourth, Oman fifth with $7.134 billion, then Morocco with $3.708 billion.

She pointed out that "the most holder of US bonds is Japan, with a value of 1,199.778 trillion dollars, followed by China, with a value of 971,808 billion dollars, followed by the United Kingdom, with a value of 644.710 billion dollars, and then Luxembourg with 305.974 billion dollars."  LINK

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Samson:  Economist: The tax has more than 100 trillion that has not been submitted to the final accounts

19th October, 2022

The economic expert, Dr. Safwan Qusay, confirmed that the tax has more than 100 trillion dinars as amounts that have been accumulated for decades, and have not been liquidated or final accounts have been submitted.

Qusay told Al-Maalouma that "tax deductions are deducted from government units according to purchases from suppliers, contractors and others, as many of the invoices submitted to those units are not real, but came from parties that manipulate the name of the store or the type of goods, and when they go Withholdings to the tax, the invoice holder does not review for the purpose of recovering the amounts because they are fake invoices.

He added, "The tax has accumulated amounts for decades that exceed 100 trillion dinars, and they have not been liquidated or final accounts are presented so that these trusts appear to those who return, and when the person concerned is not reviewed, it is assumed that they will turn into final revenues for the Iraqi state, but this procedure has not taken place."

And he indicated that "the corrupt were able to pass instruments to unknown parties, and it seems that there is more than one party responsible for the manipulation, especially since the party that confirms the entitlement is not the same as the one doing the disbursement, and therefore there is more than one party, as well as the body of the internal audit, in addition to the absence of a budget and lack of The presence of a return of the trusts indicates that there is a criticism that was seized by the issuers of the sukuk, and it is a criticism that does not belong to the parties to whom it was issued.”

He pointed out that "the investigations will clarify to whom the money was transferred, where it went and withdrawn, where the money will be recovered, and those who were behind the liberation of the fictitious checks will be punished."   LINK

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The Iraqi parliament is preparing a report on the "stealing of the century" and warns that the accused will be out on bail

19th October, 2022

The Parliamentary Integrity Committee announced, on Wednesday, that it will prepare a detailed report on the theft of two and a half billion dollars from the amounts of tax trusts in the Rafidain Bank.

This came in a press conference held by Sarwa Abdel Wahed, a member of the Parliamentary Integrity Committee, at the parliament building, with the participation of a number of committee members, and was attended by Shafak News Agency correspondent.

During the conference, Abdul Wahed said that the Integrity Committee will have a report to diagnose the main official responsible for the theft of the century, and everyone is responsible, indicating that the Iraqi judiciary must play an active role and the accused cannot be released on financial bail.

She called for the necessity of diagnosing all those involved in the theft, adding that there was talk about the former head of the Finance Committee and he is now an advisor to the Prime Minister, and the Office of the Prime Minister has a hand in the matter and sent a letter to the Tax Authority, and these, including the Tax Authority, Rafidain Bank and the Office of the Prime Minister must referring them to the judiciary, banning them from traveling, interrogating them, and arresting the accused.  LINK

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Samson:  Al-Mandalawi: We will not tolerate “the theft of the century” until those involved in it are imprisoned

19th October, 2022

Today, Wednesday, the First Deputy Speaker of the House of Representatives, Mohsen Al-Mandalawi, stressed that there will be no tolerance in the face of “the theft of the century” until those involved in it are imprisoned in cooperation with the judiciary.

The media office of the First Deputy Speaker of the House of Representatives said in a statement received (Al-Oula News), that “Al-Mandlawi chaired an expanded meeting of the Parliamentary Integrity Committee, during which the former Minister of Finance hosted the agency “Ihsan Abdul-Jabbar”, the Deputy Minister of Finance “Taif Sami”, and a number of officials in The concerned departments, to find out the details of theft of the sums of deposits collected at the General Tax Authority.

Al-Mandalawi affirmed, "He will not tolerate the largest theft in the history of Iraq," noting that "the Council will take real and serious measures until those involved in this theft are imprisoned in cooperation with the judiciary to protect public money."

The First Deputy called on the judiciary to “take appropriate legal measures against all those accused of stealing the century,” stressing the need to “deter anyone who begs himself to tamper with the people’s capabilities and inflict the most severe penalties against those who prove their involvement in this crime, regardless of their position, to save the money and bounties of Iraqis from the hands of the corrupt.”  LINK

KTFA Members "News and Views" Tuesday PM 10-18-2022

KTFA:

Samson:  State Administration Coalition: Saturday is the date for voting on the government

10/18/2022 12:32:18

 The State Administration Coalition intends to invite the House of Representatives to hold a session next Saturday to vote on the government with all its members.

 A statement by his office, which {Euphrates News} received a copy of, said: "The State Administration Coalition held its regular meeting yesterday, Monday, which was devoted to discussing the formation of the government, in the office of Parliament Speaker Muhammad al-Halbousi."

"During the meeting, they discussed the latest political developments in the country and the need to expedite the formation of the service government," he added.

The coalition announced its intention to "call the House of Representatives to hold a session next Saturday to vote on the government with all its members."  LINK

Digs:  After YEARS of Iraq dragging their feet on everything & anything, looks like they are now in WARP SPEED to get things done???  Wonder what happened to give them this new found sense of urgency?? AFTER they seat their New Government, wonder if they will continue their WARP SPEED Approach to adjust their IQD (RI / RV)

Zeeman:  they have never worked so so fast in their history. this all happened right after their  meeting in dc. its like someone put a bullet up  their  you know what. hopefully right after they seat their gov the cbi will do the same. Imo

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Samson: Deputy for Al-Fateh: We expected the speedy announcement of the cabinet and presenting it to the vote

10/18/2022 14:32:26

 The representative of the Al-Fateh Alliance, Salem Al-Anbaki, confirmed the expectations of politicians in the speed of announcing the ministerial cabinet and presenting it to the vote.

 Al-Anbaki indicated through {Euphrates News} that: "So far, no date has been set for holding the voting session on the cabinet, but we expected to complete it in the near time and present it to the vote and gain confidence." He added, "It is not important to choose technocratic ministers as important as choosing the minister and the personality he has."

Al-Anbaki said, "We saw the presence of a large number of independent ministers in previous periods who proved their worth, while the ministers of the parties did not succeed in providing anything because of the pressure on them." The State Administration coalition announced its intention to invite the House of Representatives to hold a session next Saturday to vote on the government with all its members. Rashid assigned the candidate of the most numerous parliamentary bloc (the Coordinating Framework) MP Muhammad Shiaa Al-Sudani to form the government within 30 days.

Al-Sudani pledged - in his first televised speech after his assignment to the position - that "he will make every effort to form a strong government that is determined to implement its goals and program through the synergy of political forces by nominating efficient, professional and honest personalities capable of carrying out their responsibilities." He stressed that "exclusion and marginalization will not be allowed in our policies, as the differences have cracked state institutions and lost many opportunities for Iraqis in development, construction and reconstruction."    LINK

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Samson:  The Arab Monetary Fund Organizes A (Remotely) Course On "Applications Of Modern Financial Technologies In The Financial And Banking Sector"

18th October, 2022

The training course on "Applications of modern financial technologies in the financial and banking sector", organized by the Institute for Training and Capacity Building at the Arab Monetary Fund, was inaugurated today, during the period 17-20 October 2022 , through the remote training method adopted by the Fund as a continuation of its training activity.

The acceleration of the entry of modern technologies into economic and financial activity and what is known as the digital revolution in recent times has led to major transformations in the financial and banking industry, in addition to the importance of digital transformation followed by the Corona Virus pandemic , as modern financial technologies have contributed to the continuation of services provided in the public and private sectors. 

Therefore, it is important to strengthen the digital infrastructure of the financial sector, encourage digital transformation, enhance the inclusiveness of digital financial services, and find development and investment opportunities in the areas of financial technology.

The rapid development of modern financial technologies has contributed to the emergence of different business models and new needs of customers, which has had a critical impact on how individuals and institutions obtain financial services, and the potential benefits for both providers and users of financial services. Innovations in modern financial technologies have simplified wealth management, online banking payments, mobile payments, remittances, crowdfunding, IoT, robo-advising, peer-to-peer lending, blockchain, innovations, online identification, and regulation and organizational.

On this occasion, the speech of His Excellency Dr. Abdulrahman bin Abdullah Al-Hamidi, Director General and Chairman of the Board of Directors of the Arab Monetary Fund stated:

Ladies and gentlemen,

It gives me great pleasure to welcome you to the opening of a course on "Applications of modern financial technologies in the financial and banking sector" organized by the Institute for Training and Capacity Building in cooperation with the Economic Department, hoping that the course will contribute to enriching and deepening your knowledge on this important subject.

Ladies and gentlemen,

The acceleration of the entry of modern technologies into economic and financial activity and what is known as the digital revolution in recent times has led to major transformations in the financial and banking industry, in addition to the importance of digital transformation followed by the Corona Virus pandemic, as modern financial technologies have contributed to the continuation of services provided in the public and private sectors. Therefore, it is important to strengthen the digital infrastructure of the financial sector, encourage digital transformation, enhance the inclusiveness of digital financial services, and find development and investment opportunities in the areas of financial technology.

Ladies and gentlemen,

The rapid development of modern financial technologies has led to the emergence of different business models and new needs of customers, which has had a critical impact on how individuals and institutions obtain financial services, and the potential benefits for both providers and users of financial services. Innovations in modern financial technologies have simplified wealth management, online banking payments, mobile payments, remittances, crowdfunding, IoT, robo-advising, peer-to-peer lending, blockchain, innovations, online identification, and regulation and organizational.

Ladies and gentlemen,

The payments and remittances sector is one of the most widespread sectors for the use of modern financial technologies in our Arab countries. This sector holds the largest share in the fields of modern financial technologies in our Arab countries, at 44 percent. Modern financial technology companies offer many solutions related to digital wallets for mobile phones, and payment gateways through the international information network, in addition to the opportunities these technologies provide for the regulatory and supervisory authorities in our Arab countries, in terms of using modern financial technologies for regulatory and supervisory purposes.

Ladies and gentlemen,

On the same level, the Arab banking and financial sectors have witnessed rapid developments with regard to the uses and applications of financial technology business models, as this technology has provided a variety of services to the financial and banking sectors, which casts a shadow on the future of traditional banking and financial services. On the other hand, both modern financial technologies and sustainable finance are among the most important pillars of the modern trend in the financial field, as the importance of the link between sustainability, finance, and modern technologies was significantly demonstrated during the period of the repercussions of the Corona pandemic, as the pandemic prompted the relevant authorities to rethink In traditional models, relying more on sustainable modern financial technologies. 

Based on the above, the course will cover the following main themes:

Applications of blockchain technologies in the banking sector.

Central bank digital currencies.

Software application interfaces for payments operations.

Index of Modern Financial Technologies in the Arab Countries.

Big data applications in the financial sector.

The role of modern financial technologies and their applications in Islamic finance.

The positive role of modern financial technologies in climate change and sustainable finance.

The role of modern financial technology applications in achieving financial inclusion.

Digital identity applications in financial services.

Ladies and gentlemen,

In conclusion, I would like to extend my thanks and gratitude to the colleagues at the Arab Monetary Fund for providing the course materials, and I also urge you to take advantage of this occasion to benefit from and interact with the various topics presented, thus maximizing the benefit of the course.

I wish you a successful session and may God protect you wherever you are.

Peace, mercy and blessings of God.   LINK

"Vietnam News" Posted by Samson at KTFA Tuesday 10-18-2022

KTFA:

Samson:  Việt Nam shines amid global economic volatilities

18th October, 2022

Despite global volatilities, Việt Nam’s economy has rebounded strongly this year beyond the forecasts of many international organisations, making the country one of the rare bright spots in the global gloomy picture and has the potential to become a new ‘tiger’ in Asia.

The latest report from the General Statistics Office (GSO) showed Việt Nam's GDP growth rate in the first nine months of 2022 hit a 12-year high to reach 8.83 per cent. Notably, the economy expanded 13.76 per cent in Q3 2022 compared to 7.72 per cent and 5.05 per cent in Q2 and Q1 2022, respectively. The 13.7 per cent GDP expansion in Q3 2022 was a record quarterly growth rate in Việt Nam and surpassed the rate of 13.5 per cent of India to become the highest in Asia this year.

The World Bank attributed Việt Nam’s rebound to a recovery of exports and the release of pent-up demand following the removal of COVID-19-related mobility restrictions and, more recently, the gradual return of foreign tourists.

Việt Nam’s economic growth was reported in all three key sectors, of which services increased by 10.57 per cent, industry-construction up 9.63 per cent, and agriculture-forestry-fishery up 2.99 per cent.

The country’s import-export turnover during the period increased by 15.1 per cent to US$558.5 billion with a trade surplus of $6.52 billion while total retail sales of consumer goods and services surged by 21 per cent. Besides, the business situation has been continually improving, with the number of newly established enterprises surging by 38.6 per cent to more than 163,000.

Disbursement of foreign direct investment (FDI) in the first nine months of this year also surged 16.2 per cent year-on-year to $15.4 billion, marking a five-year record high, the Ministry of Planning and Investment's Foreign Investment Agency (FIA) reported.

These positive figures showed foreign-invested enterprises have been constantly recovering and expanding their production and business activities in Việt Nam, which has reflected business confidence in the country’s success in maintaining macroeconomic stability, FIA said in its September report.

According to Prime Minister Phạm Minh Chính, the economy has recovered very positively, with many cities and provinces nationwide reporting impressive Gross Regional Domestic Product (GRDP) growth in the first three quarters, including HCM City with 9.97 per cent, Hà Nội with 9.69 per cent, Bắc Ninh with 9.7 per cent, Hải Dương with 10.14 per cent, Quảng Ninh with 10.12 per cent, Hải Phòng with 12.06 per cent, Cần Thơ with 17.57 per cent, Đà Nẵng with 16.76 per cent, Khánh Hòa with 20.48 per cent and Bắc Giang with 23.98 per cent.

Notably, Minister of Planning and Investment Nguyễn Chí Dũng said the country’s high economic growth has been accompanied by stabilising the macro-economy, successfully controlling inflation, ensuring major balances of the economy and improving people's living standards.

The GSO reported the country’s average consumer price index in the first nine months was only 2.73 per cent while State budget revenue and total investment capital of the whole society surged by 22 per cent and 12.5 per cent over the same period in 2021, respectively.

Many international organisations have been so far surprised by the very high growth rate of above 13 per cent of Việt Nam in the third quarter of this year. The impressive surge has resulted in their upgrade of the country’s economic growth forecast, of which Moody’s, Fitch Ratings, World Bank (WB) and International Monetary Fund (IMF) predict Việt Nam's GDP growth in 2022 at 8.5 per cent, 7.9 per cent, 7.2 per cent and 7 per cent, respectively.

The upgrade is very notable when the organisations have lowered their 2022 global economic growth outlook. For example, in last month’s report, while having raised its GDP growth forecast for Việt Nam this year to 7.5 per cent from 5.3 per cent in April, the World Bank projected the overall rate of the East Asia and Pacific region to slow to 3.2 per cent this year from 7.2 per cent in 2021.

Moody's Investors Service last month also upgraded the Vietnamese Government's long-term issuer and senior unsecured ratings to Ba2 from Ba3. Việt Nam is the only country in the Asia-Pacific region and one of four countries in the world that have had their credit rating upgraded by Moody's since the beginning of the year.

Moody’s noted in the report: “The upgrade to Ba2 reflects Việt Nam's growing economic strengths relative to peers and greater resilience to external macroeconomic shocks that are indicative of improved policy effectiveness, and which Moody's expects to continue as the economy benefits from supply chain reconfiguration, export diversification and continued inbound investment in manufacturing.

“The rating also reflects a sounder fiscal footing backed by contained borrowing costs, a conservative approach to fiscal policy and improved government liquidity, driven by the ongoing transition from external concessional borrowing toward longer-dated, low-cost domestic market financing.”

According to Trần Văn Sơn, Minister of the Government Office, international organisations have positive assessments of Việt Nam's socio-economic situation. They forecast the country's economic growth rates in 2022 and 2023 will be among the highest in Southeast Asia.

Economist Brian Lee Shun Rong at Malaysia's largest financial services group Maybank believed as a rising star in the global supply chain, Việt Nam has the potential to become a new ‘tiger’ in Asia after the Republic of Korea (RoK), Singapore, and China's Taiwan and Hong Kong.

Exceeding targets

The strong GDP recovery in the first nine months of the year, especially in Q3, has created a prerequisite for Việt Nam’s vigorous growth in 2022 and the country is so far estimated to meet nearly all 15 targets set for this year. According to the National Assembly's (NA) Committee for Economic Affairs, 15 social-economic development targets, except the social labour productivity growth rate, are expected to be met or exceeded this year.

Right after the nine-month socio-economic statistics were published, the Ministry of Planning and Investment also decided to adjust up the 2022 economic growth scenario. Accordingly, the ministry proposes to strive for a full-year growth of 8 per cent, about 1.5-2 percentage points higher than the 6-6.5 per cent target assigned by the National Assembly and set by the Government.

According to experts, production and service activities in Việt Nam have returned to normal and the country will continually benefit from the global supply chain shift, which will contribute to strongly boosting up the country’s exports. However, in the context that the world economy will continue to face many difficulties in the last months of the year and the demand for imported goods from countries that are the main trading partners of Việt Nam such as the US and the EU will decrease, members of the NA’s Committee for Economic Affairs said it is necessary to have policies to support credit for exports in the remaining months of the year and in 2023. Besides, Minister Dũng noted the country needs to promote the disbursement of public investment capital to achieve a high growth rate in the rest months of the year.

According to the Ministry of Finance, the total public investment capital will be some $24.3 billion in 2022, about $4.2 billion larger than in 2021. By the end of September, the disbursement of public investment increased to more than $10.6 billion, but the new rate reached merely 46.7 per cent of the plan assigned by the Prime Minister, 0.7 per cent lower than in the same period 2021.

Besides, Dũng said, to promote economic growth in Q4, it is also necessary to better implement the Government’s socio-economic development and recovery programme, which includes a VNĐ40 trillion interest subsidy package for pandemic-affected customers, as the capital disbursement of the package remains limited.  Higher economic growth rates in Q4 and the whole of 2022 will be a driver for the country next year when many potential risks emerge, Dũng said.  LINK

Samson:  FDI inflow from Korea helps Vietnam move up global value chain ladder

18th October, 2022

The strong foreign direct investment (FDI) inflow from the Republic of Korea (RoK) has been giving a significant push to Việt Nam in the battle to move up the global value chain ladder and promote sustainable development.

RoK has been by far the most important source of FDI to Việt Nam and contributed greatly to accelerating the socio-economic development of the Southeast Asian country.

The latest figures of the Ministry of Planning and Investment (MPI) showed that the cumulative registered FDI from the RoK in the period from 1988 – when the first Law on Foreign Investment of Việt Nam was put in force - to September 2022 amounted to more than US$80.5 billion with more than 9,400 valid projects, making RoK the biggest investor in Việt Nam so far.

Starting to invest in Việt Nam in 1990s, the RoK quickly became a major investor in the Southeast Asia country, especially after the two countries established the strategic cooperative partnership in 2009. Since the Việt Nam – Korea Free Trade Agreement (VKFTA) officially came into effect in 2015, the RoK’s registed FDI into Việt Nam almost doubled.

The milestone was marked in 2014 when the RoK became the largest investor in Việt Nam with a total registered capital of $7.32 billion. Statistics of the Ministry of Planning and Investment showed that the registered FDI from the RoK hit a record of $8.49 billion in 2017 but slowed down to $7.2 billion in 2018 and $7.57 billion in 2019.

Due to the impacts of the COVID-19 pandemic, the FDI from the RoK dropped to $3.95 billion in 2020 but bounced back to $4.95 billion in 2021.

From January to September this year, the RoK registed to pour $3.8 billion worth of FDI in Việt Nam, a slight drop of 2.38 per cent against the same period last year. Although ranking second in terms of registered FDI value in the January-September period after Singapore, the RoK was the partner with the highest number of investors who showed interest and made new investment decisions in Việt Nam in the period, the ministry’s report revealed.

The RoK was increasingly becoming an important investor in Việt Nam, not only because of its huge capital value but also because of the compatibility of the investment to Việt Nam’s FDI attraction policies. The presence of Korean enterprises in most economic sectors in Việt Nam was contributing significantly to the country’s economic restructuring, export growth and job creation.

According to the MPI's Foreign Investment Agency, Korean investment was mainly poured into the processing and manufacturing industry (74 per cent as of November 20, 2021) thanks to the heavy investment of high-profile investors such as Samsung, LG, Hyundai, and Posco, followed by the real estate business (13.1 per cent) and construction (3.8 per cent).

Research by Bùi Thị Hồng Ngọc and Đoàn Thị Thu Hương from the Việt Nam Institute of Economics pointed out that the strong FDI inflow from the RoK helped Việt Nam upgrade its participation in the global value chain as well as change the export structure. Việt Nam’s export structure was shifting from large percentage of low added value products like agro-foresty-fishery and raw materials to products with high technology content and high added value such as electronics.

The presence of Korean investors such as Samsung, LG, Hyosung, Hanwha, Hyundai, CJ, Lotte and Posco promoted the development of the part-supply industry in Việt Nam.

Notably, the network of local vendors to Samsung increased to 254 as of the end of 2021, 51 of which were tier-1 vendors, from just four in 2014.

Samsung, now the most high-profile Korean investor in Việt Nam with an estimated investment of more than $20 billion, said that the group would continue to provide support to enable domestic enterprises to participate more in the global value chain.

It was estimated that there were more than 8,000 Korean enterprises operating in Việt Nam which provided 1 million jobs domestically and contributed around 25-30 per cent of Việt Nam’s export revenue every year.

How to remain a FDI sweet spot to RoK

Việt Nam has been arising as an attractive destination for FDI in the global production shift, thanks to its stable macro-economy and the Government’s drastic efforts to improve the investment climate.

The Vietnamese economy scale reached $370 billion in 2021, making it the fourth largest economy in Southeast Asia with income per capita of more than $3,700. Việt Nam signed 15 FTAs with more than 60 countries and territories, including the largest markets in the world, which helped diversify the markets, products and supply chains.

The General Statistics Office expected the Vietnamese economy to beat the target to reach a growth rate of around 7.5-8 per cent this year, after strong post-pandemic growth of 8.83 per cent recorded in the first nine months of this year.

The International Monetary Fund (IMF) on October 11 forecast the Vietnamese economy to expand at 7 per cent this year, compared to 2.6 per cent in 2021, as the country was benefiting from its growing importance in global supply chains.

The Vietnamese economy was a highlight in the region when the IMF’s growth forecasts for Asia and the Pacific were lowered to 4 per cent this year, well below the 5.5 per cent average over the last two decades, as inflation exceeded central bank targets in most countries.

The ASEAN+3 Macroeconomic Research Office (AMRO) in its 2022 Annual Consultation Report on Việt Nam published on October 12 also predicted 7 per cent growth for Việt Nam in 2022 on the back of strong external demand, a recovery in domestic demand and strong FDI inflows.

AMRO’s previous studies suggested that strong FDI inflows were one of the key factors behind Việt Nam’s economic transition to manufacturing, leading to stronger participation in global value chains over the years. However, the annual export growth of Việt Nam was driven by FDI companies and their import-export activities, which unfortunately implied that local companies did not participate in the global value chains as much. One of the reasons was that many local companies did not yet possess the skills and capabilities to produce the quality inputs required by multinational companies. AMRO urged Việt Nam to make further efforts to develop domestic supporting industries in the manufacturing value chains.

Phạm Thanh Tùng from the Ministry of Industry and Trade’s Department of Industry said that it was important to enable more and more local companies to participate in the global value chains to maximise the benefits of the FDI inflows. He pointed out that there were currently about 5,000 enterprises operating in the part-supply industry, 88 per cent of which were of small and medium scale with limitations in production and technology capabilities.

A recent MPI's report to the Government revealed that the loose linkage between the FDI and local companies remained the biggest limitation in FDI attraction and use. The average local procurement remained low, at around 20-25 per cent.

It’s a tough road for Vietnamese enterprises to participate and move up the global value chain ladder, Trần Thị Lan Anh, General Secretary of the Việt Nam Chamber of Commerce and Industry said, stressing the important roles of the FDI inflows and the support in improving capacity for domestic partners from FDI companies.

Just support from FDI companies could not push the supporting industry, Đỗ Thị Thuý Hương from the Việt Nam Electronic Industry Association said, adding that the Government should raise policies to promote the development of the supporting industry. Local companies must also make efforts to improve their competitiveness, she said.

Yoon Chang Woo, President of Posco – Vietnam, said that Việt Nam needed to develop an ecosystem for the part-supply industry in which local companies could produce high-quality and reasonably-priced spare parts and could upgrade their participation in the supply chains of FDI companies. Only through this, could Việt Nam attract more FDI into industries with high added value. In addition, it was important for Việt Nam to enhance the quality of the labour force with a focus on well-trained technical talents in order to attract quality FDI, including from the RoK, he stressed.

With a young population, Việt Nam held great potential to become a powerhouse of skilled workers which would help attract more sophisticated FDI. He said that a number of Korean firms were looking to promote investment into Việt Nam, urging more efforts from the Vietnamese Government to continue to push on with its economic reforms and improve the investment climate.

The global trends such as zero emission and digitalisation which were promoted strongly in Việt Nam would also help attract quality FDI into the country, Yoon stressed.

At the dialogue with the RoK’s Ambassador Park Noh-wan and representatives of Korean associations and enterprises in Hà Nội in late July, Prime Minister Phạm Minh Chính pledged to create more favourable conditions for foreign investors in general and the Korean business community in particular, to invest efficiently, successfully and sustainably in Việt Nam, with a focus on administrative reforms.

Việt Nam expected to receive more investment from the RoK in the fields of high technology, innovation, research and development, digital technology, renewable energy, electronics and infrastructure development, Chính said.

The Prime Minister expressed hope that the FDI inflow from the RoK would help integrate local firms into the global supply chain network while promoting the development of a digital economy, green economy, circular economy and sustainable development of Việt Nam. 

VIDEO IN ENGLISH - Promoting investment flow from South Korea into Vietnam   LINK

Monday Night KTFA CC with Frank26: "Let's Roll" 10-17-2022

KTFA

KTFA Monday Night CC

Frank26:  10-17-22……LET’S ROLL

This video is in Frank’s and his team’s opinion only

Frank’s team is Walkingstick, Petra, MilitiaMan and Eddie in Iraq

Playback Number: 605-313-5163   PIN: 156996#

What Frank’s suit color’s mean…. FRANKS SUIT COLORS FOR CC'S..... WHITE = NEW INFO…. SILVER = INTEL FROZEN…. RED= HIGH ALERT… PURPLE=GUEST WITH US…. BLUE = AIR FORCE…. BLACK = GROUND/FF’S…. GREEN= MR OR FAB 4 ... GOLD = CHANGE

https://www.youtube.com/watch?v=AmNCBB4mXFs