Iraq Economic News and Points to Ponder Wednesday AM 1-1-25

The Dinars Entering The Finances Are 20% Less Than The Amount They Need.. Iraqis Start Their New Year With Anxiety About Salaries

 Economy      2024-12-31 | 3,743 views  Alsumaria News   More than 6 days have passed since the supposed date for the release of employee salaries, while   fears are mounting with the possibility of the salaries of Iraqi retirees being delayed as well, while the date of their salaries will coincide with holiday tomorrow.

the New Year  Iraqi employees often receive their monthly salaries no later than the 25th to 27th of the month, but  the current month ended today, and  there are still no indications of the possibility of disbursing salaries, as salaries were released in “installments” for some categories, ministries and departments and not others, due to the lack of liquidity.

That is, the Ministry of Finance does not have the Iraqi dinar in its coffers.

 This matter prompted the Ministry of Finance to issue a “denial” statement,

 but the denial appears to be a denial of “the inability to release salaries,” and not a denial of their delay, as the Ministry said in a statement that

 “the information circulating through social media claims an apology for disbursing the salaries of state employees for this month.” Due to a lack of liquidity, it is completely incorrect and has nothing to do with reality.” She added:

 "We are fully committed to the process of financing employee salaries, as the Accounting Department has financed salary entitlements to ministries, governorates, and unrelated entities for the current month of December according to the schedules specified for each of them, and

 it is continuing its efforts to ensure the continuity of disbursing financial dues without any delay or interruption."

 It is clear that the Ministry only denied that “it was not possible to disburse salaries this month,” and did not deny the existence of a shortage of liquidity or a delay in disbursing salaries.

The problems of delaying the disbursement of salaries began to appear more than once during the past few months, with the increase in spending requirements compared to the revenues entering the state.

 For example, current spending alone alone during the past ten months amounted to more than 91 trillion, excluding investment spending, that is, an average.

 More than 9 trillion dinars per month are needed by the Ministry of Finance to ensure current spending such as salaries and other mandatory requirements.

 On the other hand, Central Bank data show that the Ministry of Finance last November sold only $4.4 billion, equivalent to 5.8 trillion dinars, to the Central Bank.

 As for non-oil revenues, they average 1.4 trillion dinars per month, according to Ministry of Finance data, which means that the total non-oil and oil revenues resulting from the sale of the dollar to the Central Bank amount to 7.2 trillion dinars, while what is required is more than 9 trillion dinars per month.

Accordingly, this means that there is a 20% deficit in the funds required for the obligatory monthly current expenses,

 which makes the Ministry of Finance unable to collect all the funds at one time for the purpose of releasing the salaries of all ministries at the same time, as was the case previously, and it proceeded to release them in “installments,” and whenever It gradually became liquid.

 Member of the Parliamentary Finance Committee, Jamal Cougar, says that the liquidity shortage crisis will continue in 2025, and

 if the price of a barrel of oil falls to $60, we will not be able to secure employee salaries.   

  https://www.alsumaria.tv/news/economy/511383/الدنانير-الداخلة-للمالية-أقل-بـ20-من-المبلغ-الذي-تحتاجه-العراقيون-يبد     

Iraq Ends Dollar Auction Platform: Economic Transformation And New Challenges

  Jawad Al-Samarraie December 30, 2024 Packs of US dollars and Iraqi dinars. Photo: Pukmedia

 Baghdad (IraqiNews.com) – As Iraq steps into 2025, a pivotal change is set to reshape its financial landscape.

The Central Bank of Iraq has announced the termination of its electronic platform for monitoring foreign currency movements and transfers.

While experts have hailed this decision as a “bold step” with significant economic and regulatory implications,

the move also raises concerns about potential challenges that could disrupt the country’s financial stability.

Why End The Dollar Platform?

 The electronic platform, established in early 2023, served as a mechanism to monitor foreign currency transactions, ensuring compliance with international standards.

 However, the Central Bank of Iraq intends to decentralize currency transfers by allowing local banks to engage directly with correspondent banks abroad.

 This shift aims to streamline operations, enhance transparency, and reduce dependency on intermediary systems like the Federal Reserve’s oversight.

According to Kadhim Al-Shammari, a member of Iraq’s Parliamentary Economic Committee,

the platform was a temporary solution to manage the economic chaos and legal loopholes that plagued Iraq’s financial system. Al-Shammari emphasized that

while the Central Bank’s core role is to preserve monetary reserves and stabilize exchange rates, selling dollars should remain the purview of private banks.

However, this transition must be accompanied by stringent regulations to ensure responsible currency distribution.

Potential benefits of ending the platform

 Nawar Al-Saadi, an international economic expert, highlights the advantages of this decision:

  1.  Enhanced transparency: Decentralizing transactions could promote more straightforward and transparent dealings between local and correspondent banks.

 2.   Cost Reduction: Eliminating the platform’s maintenance expenses could save significant resources for the Central Bank.

 3.   Direct international compliance: By adhering to global banking standards, Iraq can reduce bureaucratic barriers and foster stronger financial relationships with foreign institutions.

 4.   Efficient financial operations: Simplified processes can reduce delays in currency transfers, benefiting traders and importers.

 The Central Bank’s strategic shift also aligns with its efforts to diversify currency usage, facilitating trade with key partners like China, India, and the UAE using alternative currencies such as the euro, yuan, and rupee.

 Challenges And Risks

Despite its merits, the decision to end the platform is fraught with challenges:

1.   Increased black market activity: Economic experts warn that the absence of robust mechanisms could push traders towards unregulated markets, driving up exchange rates.

 2.   Limited bank participation: Only five out of Iraq’s 60-70 banks have the capacity to handle direct international transfers, which may create bottlenecks and operational delays. 

3.   Inflation risks: A rise in exchange rates could elevate import costs, triggering inflation and reducing purchasing power for Iraqi citizens.

 4.   Economic uncertainty: Traders reliant on the platform may face disruptions, potentially slowing commercial activity and increasing unemployment in import-dependent sectors.

 Adil Al-Alawi, head of the Iraqi Economic Alliance, underscores the importance of implementing rapid regulatory measures and capacity-building initiatives to mitigate these risks.

 The lack of effective oversight could exacerbate financial crimes, including money laundering and tax evasion, tarnishing Iraq’s global economic reputation.

Expert Recommendations

 To ensure a smooth transition, financial analysts propose the following:

 1.   Gradual implementation: Phasing out the platform while providing adequate training and resources for local banks to adapt.

 2.   Enhanced oversight: Establishing strict regulatory frameworks to monitor dollar distribution and curb illicit activities.

3.   Market stability measures: Increasing dollar availability through official channels to reduce reliance on parallel markets.

4.   Public awareness campaigns: Educating traders and importers about the new system to minimize confusion and resistance.

 Central Bank’s Roadmap

 In a statement issued in September 2024, the Central Bank reassured stakeholders about its comprehensive plan to transition to the new system.

 By the end of 2024, 95% of foreign currency transactions had already shifted from the platform to direct banking channels, with only 5% remaining to be integrated.

 The Bank also introduced alternative mechanisms, such as facilitating personal transfers through electronic payment systems and ensuring dollar availability for legitimate purposes at official exchange rates.

 Looking Ahead

 Iraq’s decision to end the dollar platform marks a significant milestone in its economic reform journey.

 While the move promises long-term benefits, its success hinges on meticulous execution, robust oversight, and proactive stakeholder engagement.

 By addressing potential challenges and leveraging international banking best practices, Iraq can strengthen its financial resilience and pave the way for sustainable economic growth.

 As 2025 unfolds, all eyes will be on Iraq’s financial sector to assess the real impact of this bold initiative.

 The outcome will not only shape Iraq’s domestic economy but also influence its standing in the global financial arena.     https://www.iraqinews.com/business/iraq-ends-dollar-auction-platform-economic-impact/     

Arab Bank Group Gains Approval To Relaunch Operations In Iraq Starting 2024

  Business Iraq Jawad Al-Samarraie December 30, 2024

Arab Bank Group Relaunch In Iraq   Baghdad (IraqiNews.com) – Arab Bank Group has received final approval from the Iraqi Central Bank on December 24, 2024, to relaunch its banking operations in Iraq.

 The bank is set to begin its official activities in the new year, marking a significant development in the Iraqi financial landscape.

 This move highlights Arab Bank’s ambition to expand its footprint in the Arab region and strengthen external investments,  making Iraq a pivotal market in its broader strategy.

 Arab Bank’s History And Legacy

 Arab Bank’s approval to operate in Iraq brings back an institution that has a rich legacy in the country.

 The bank previously operated four branches in Iraq from 1945 to 1964, serving as a cornerstone for Iraq’s financial development during that time.

 Arab Bank was founded in 1930 by Abdul Hameed Shoman in Jerusalem, Palestine, with an initial capital of £15,000 and seven shareholders.

 Following the events of 1948, the bank moved its headquarters to Amman, Jordan, where it became a publicly traded company.

 During the 1940s and 1950s, Arab Bank expanded rapidly, establishing 43 branches across the Arab world and beyond.

 In 1961, the bank achieved another milestone by becoming the first Arab financial institution to establish a presence in Switzerland.

 Today, Arab Bank operates over 500 branches worldwide, making it one of the most influential financial institutions in the region.

 A Promising Step For Iraq’s Banking Sector

 The re-entry of Arab Bank into Iraq signifies the increasing appeal of Iraq’s financial market to international and regional investors.

 The bank’s presence is expected to enhance the Iraqi banking sector by introducing modern financial practices and fostering increased economic activity.

 This development not only strengthens Iraq’s financial infrastructure but also provides a gateway for other Arab and global institutions to invest in the country.

Looking Ahead

Arab Bank’s return to Iraq marks a promising step forward for the country’s banking and economic development.

 As Iraq continues to rebuild and attract foreign investment, Arab Bank’s role will be critical in fostering financial collaboration and regional integration. 

  https://www.iraqinews.com/business/arab-bank-relaunches-iraq-2024/     

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

“Tidbits From TNT” Wednesday Morning 1-1-2025

TNT:

Tishwash:  Al-Hassan congratulates on the New Year: Iraq is able to overcome challenges

The representative of the Secretary-General of the United Nations in Iraq, Mohammed Al Hassan, confirmed in a message on the occasion of the New Year, today, Tuesday, that the Iraqi people have the ability to face challenges.

The Special Representative of the Secretary-General of the United Nations in Iraq congratulates the Iraqi people and government on the New Year: 

Al-Hassan said in a tweet on the {X} platform, "I congratulate the Iraqi people and the Iraqi government on the achievements made during the year 2024."

He added, "In 2024, we witnessed great achievements in development and infrastructure, and this was achieved thanks to the strong and ambitious will of Prime Minister Mohammed Shia al-Sudani's government to improve the lives of Iraqis."

Al-Hassan continued, "We have great confidence in Iraq to draw a better future," calling on the Iraqi government to "continue working sincerely to improve services throughout Iraq.

Iraq is capable of overcoming challenges and regaining its regional and international standing." link

Tishwash:  International Report: 2025 will be the largest year for projects inside Iraq

The International Data Bank, one of the international organizations concerned with monitoring the internal affairs of the countries of the world, issued its annual report for the year 2024, accompanied by estimates for the coming year 2025, confirming that the current year witnessed the issuance of the largest number of investment and service contracts inside Iraq. 

The bank said, according to its report, which was translated by "Baghdad Today", that "Iraq spent $83 billion during the year 2024 on infrastructure and reconstruction projects, and awarded contracts to implement other projects during the year 2025 worth $126 billion," expecting that "this will lead to a doubling of the growth rate of the national GDP to about 4.1% during the next year."

The bank also explained that the largest projects were the share of the country's main roads for the Ministry of Transport, which are expected to be fully completed in 2029, noting also that oil investment projects and the construction of residential complexes in Baghdad, specifically (the integrated Nasiriyah oil project and the city of Al-Rufail in Baghdad) came in second and third place as the largest government projects for the year 2024. 

The information issued by the World Bank also confirmed that the contracts awarded for the coming year were distributed as follows (39.9% allocated to construction, 39.9% allocated to energy and industry, 24.3% allocated to electricity and water service projects, while 22.6% was allocated to road and transportation projects). link

Tishwash:  Starting to implement ASYCUDA global system for automating customs operations

The Prime Minister's Media Office announced on Tuesday the start of using modern automation systems to facilitate the entry of goods into border crossings and monitor them centrally, and the agreement to implement the global ASYCUDA system to automate customs operations.

The office said in a statement, seen by "Al-Eqtisad News", that "in implementation of the directives of Prime Minister Mohammed Shia Al-Sudani regarding administrative and financial reform, which is included among the priorities of the government program, a special meeting was held today in the Prime Minister's Office headed by the Prime Minister's Advisor for Border Customs and Ports Affairs, where the procedures related to the governance of border ports and customs systems were discussed."

The statement added that "the meeting witnessed the announcement of the completion of the necessary infrastructure to link all border ports with the latest technologies, and the start of the use of modern automation systems to facilitate the entry of goods into border ports and monitor them centrally. It was also agreed to implement the global ASYCUDA system for automating customs operations, enhanced with electronic payment services starting from January 1, 2025."

He pointed out that "this step will contribute to achieving automation in ministries and institutions, including the e-government project and providing electronic payment services, which contributes to enhancing transparency and accountability, simplifying procedures, facilitating services and reducing bureaucratic obstacles, in addition to establishing good governance and combating corruption."  link

Mot:  Finally Made sum - Realistic Resolutions

Mot: .. good ole ""Earl"" to the Rescue!!!

Iraq Economic News and Points to Ponder Monday Afternoon 12-30-24

The Collapse Of Monetary Policy In Iraq.. Investment In Banks Is Almost Non-Existent And The Central Bank Is Going Against The Grain
 
Economy | Today, 12:13 |  Baghdad today – Baghdad  Financial and economic expert Mustafa Akram Hantoush commented today, Tuesday (December 31, 2024), on the performance of the Central Bank of Iraq for the current year.

Hantoush said in an interview with "Baghdad Today",
 
"The reality of monetary policies in Iraq is heading in the opposite direction to the process of building monetary policies, and there have been problems for years that have led to a clear collapse in Iraqi monetary policies."
 
He added, "For years, the banking system has been subjected to near annihilation. 32 banks are subject to sanctions, and the rest are banned from receiving the dollar only in specific currencies, and the mechanism is still unclear."
 
He pointed out that "there are more than 70 Iraqi banks without lending, because the central bank did not establish a clear lending policy of loans, categories, and guarantees."
 
He continued, “The policy of attracting deposits is more than 80 to 85% of the currency issued by the Central Bank, and it does not appear in the monthly transactions in the monthly banking system, so this currency is supposed to be offered as marketing deposits, so the banking system does not enter into this process,” indicating that “The investment policy of the Iraqi Bank is almost non-existent.”
 
Hantoush explained that the policy of investment banking operations is not specific in direction, and the remittance policy also has a problem with the cancellation of the platform, “so I see a clear collapse in Iraqi monetary policies.”
 
Hantoush called on the Central Bank to reform its monetary policy, set new standards for developing the Islamic banking system, and go further to keep pace with the requirements of the current and future economic stage.    
  
https://baghdadtoday.news/264928-انهيار-السياسية-النقدية-في-العراق.-الاستثمار-في-المصارف-شبه-معدوم-والبنك-المركزي-يسير-عكس-التيار.html

The Central Bank Decides To Stop Withdrawals And Deposits (Document)
 
Sweeteners     2024-12-31 | 11:52  Source:  Alsumaria News     5,252 views  The Central Bank of Iraq decided, on Tuesday, to stop withdrawals and deposits for a period of four days.  According to a document, the bank decided to close its doors on January 2, 2025 and stop conducting banking transactions for customers.
 
The bank also decided to stop withdrawals and deposits on savings accounts in bank branches for the period from 12/30/2024 to 1/2/2025 for the purpose of completing annual budgets.
 
Below is the text of the document  
 
https://www.alsumaria.tv/uploadImages/ExtImages/Images1/ExtImage-7471324-690056192.jpg
  
' https://www.alsumaria.tv/news/localnews/511467/البنك-المركزي-يقرر-إيقاف-عمليات-السحب-والإيداع-وثيقة 

Integration Requirements
 
December 31, 2024   
    In order to speed up the procedures and complete the merger transactions for the exchange companies of categories (A and B) under establishment and all brokerage companies for buying and selling foreign currencies, please provide us with the attached merger requirements at once ..
For more, click here.    https://cbi.iq/static/uploads/up/file-173564321769246.pdf
  
https://cbi.iq/news/view/2754    
  
~~~~~~~~~~
 
[approximate and incomplete translation of https://cbi.iq/static/uploads/up/file-173564321769246.pdf 
 
DATE :   2024/12/27
 
Exchange companies for the two categories (A,B) under all establishment
 
Mediation companies by selling and selling all foreign currencies
 
M/ Integration requirements
 
In order to accelerate procedures and complete the completion of your companies’ integration.
 
Please provide us with the accompanying integration requirements, so that this directorate can proceed with this directorate.
 
Integration without delay or delay, as the delay in completing the requirements of integration will lead to the delay in granting you Nbfi.supervision@cbi.iq.
 
To abide by what was mentioned above.  With appreciation
 
For accompanying/ 
 
- Schedule of number (3) with integration requirements.
 
 A schedule with documents to be submitted for the purpose of integration and obtaining the final license
 
[three page table in Arabic listing required documents, followed by…] 
 
With the presentation that all the aforementioned forms are published on the website of the Central Bank of Iraq  On the link below:    https://cbi.iq/news/view/1223  

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/

Insiders Dumping Stocks, Preparing For 2025 Reset? - Year-End Panel - Holter, Macleod, Schectman

Insiders Dumping Stocks, Preparing For 2025 Reset? - Year-End Panel - Holter, Macleod, Schectman

Liberty and Finance:  12-30-2024

In this 2024 year end panel discussion featuring Andy Schectman, Alasdair Macleod, and Bill Holter, the tone is starkly cautionary as they analyze the fragile state of global financial markets.

The conversation highlights a rapidly deteriorating situation where the dollar is on a "slippery slope" and market dynamics show, among the insiders, an overwhelming number of sellers compared to buyers.

Schectman, Macleod, and Holter point out that, while gold has made significant gains, investor enthusiasm remains low, with the public continuing to unload assets while institutional investors quietly buy.

They all agree that the real economy is slowing down, with the ominous possibility of a 2025 downturn resembling the Great Depression of 1929.

The trio also emphasizes the risks facing the banking system, which is attempting to de-risk itself, but is still vulnerable to a larger collapse.

INTERVIEW TIMELINE:

0:00 Intro

 2:41 2024 takeaways

8:30 Secret central bank gold buying

15:05 Insider selling

19:00 Global credit bubble

 30:45 Retail market update

 44:29 2025 look ahead

https://www.youtube.com/watch?v=rip2-Y3EJ1I

Iraq News Highlights and Points to Ponder Tuesday AM 12-31-24

Monetary Policy Collapses In Iraq.. Investment In Banks Is Almost Non-Existent And The Central Bank Is Going Against The Tide - Urgent

Economy |Today, Baghdad Today – Baghdad   Financial and economic expert Mustafa Akram Hantoush commented, today, Tuesday (December 31, 2024), on the performance of the Central Bank of Iraq for the current year.

Hantoush said in an interview with Baghdad Today, " The reality of monetary policies in Iraq is heading in the opposite direction to the process of building monetary policies, and there have been problems for years that have led to a clear collapse in Iraqi monetary policies."

He added, "The banking system has been subject to near-annihilation for years.  32 banks are subject to sanctions, and the rest are banned from the dollar only, in specific currencies, and the mechanism is still unclear."

He pointed out that "there are more than 70 Iraqi banks that do not lend, because the Central Bank has not set a clear lending policy in terms of loans, categories and guarantees."

He added that "the policy of attracting deposits of more than 80 to 85% of the currency issued by the Central Bank, and it does not appear in the monthly transactions in the monthly banking system, so this currency is supposed to be offered as marketing deposits, so the banking system does not enter into this process," indicating that "the Iraqi bank's investment policy is almost non-existent in its investments."

Hantoush explained that the investment banking operations policy is not defined in any direction, and the remittance policy also has a problem with the cancellation of the platform, "  therefore I see a clear collapse in Iraqi monetary policies."

Hantoush called on the Central Bank to reform its monetary policy, set new standards to develop the Islamic banking system and go beyond standards that keep pace with the requirements of the current and future economic stage.  LINK

Economist: Relying On Oil As A Source Of Revenue Will Have Serious Consequences

Today 10:29  Information/Baghdad...  Economic researcher Diaa Abdul Karim found that the primary reliance on oil exports as a main source of revenues and salaries will have serious consequences in the future.

Abdul Karim told Al-Maalouma, "The world's dependence on oil and its derivatives will gradually decline over time, especially with technological advancement and reliance on clean energy methods in many countries, in addition to the start of work on producing electric cars, as manufacturing countries have begun to resort to this option as an alternative to liquid fuel and its harm to the environment."

He added, "The dependence on oil and its derivatives will never stop, but it will decrease significantly over time. Therefore, the countries exporting oil need a strategy to save them from the decline in oil revenues."

He pointed out that "Iraq depends mainly on oil revenues to finance the budget and pay salaries, and this poses a threat to the country, especially with the rise and fall in oil prices, which requires governments to resort to other options to diversify the sources of the economy to avoid the global trend towards moving away from oil." End25  LINK

Customs: Our Revenues Increased By 128% During The Current Year

Faw Port   Money and business  Economy News – Baghdad  The General Authority of Customs revealed, on Monday, that its revenues increased by 128% during the current year compared to last year, while confirming that administrative reforms and the ASYCUDA system contributed to the increase.

Director of the General Authority of Customs, Ahmed Al-Akidi, said in a statement reported by the official news agency, and reviewed by "Al-Eqtisad News", that "the revenues of the General Authority of Customs for the period from 1/1/2024 to 30/11/2024 amounted to one trillion and nine hundred billion dinars, compared to 892 billion dinars in 2023, with an increase rate of 128%."

He added that "administrative reforms, the ASYCUDA system, and simplification and facilitation of customs procedures contributed to increasing revenues."

 Al-Akidi explained that "the General Authority of Customs is working according to plans represented in a number of axes, including developing the competencies and skills of employees, in addition to completing the installation of the ASYCUDA system in customs centers that have not been automated," noting that "by the end of 2025, all customs centers will be automated."

He continued that "automation consists of multiple stages, the first stage is done by automating the centers, then linking with government departments within the country is considered the second stage, and the third stage is linking with the customs programs of neighboring countries." Added 12/30/2024   https://economy-news.net/content.php?id=51450

Dinars Entering The Ministry Of Finance Are 20% Less Than The Amount It Needs.. Iraqis Start Their New Year With Salary Anxiety

Economy   2024-12-31 | 1,818 views  SumerianNews  More than 6 days have passed since the supposed date for the release of salariesStaffAs concerns grow over possible delay in pension paymentsIraqisAlso, their salaries will be due tomorrow.vacationNew Year's Eve

Iraqi employees usually receive their monthly salaries no later than the 25th to the 27th of the month, but the current month ended today, and there are still no indications of the possibility of disbursing salaries, as salaries were paid in “installments” for some categories, ministries and departments and not others, due to the lack of liquidity, i.e. the Ministry of Finance does not have the dinar.IraqiIn her closets.

This prompted the Ministry of Finance to issue a “denial” statement, but the denial, as it seems, is a denial of “the inability to release salaries,” not a denial of their delay, as the ministry said in a statement that “the information circulating on social media, which claims to apologize for the disbursement of salaries of employees,The StateThis month due to a lack of liquidity is completely incorrect and has no relation to reality.

She added: “We are fully committed to the process of financing employees’ salaries, as the Accounting Department has financed the salaries due to ministries, governorates and non-affiliated entities for the current month of December according to the schedules specified for each of them, and it is continuing its efforts to ensure the continuity of disbursing financial dues without any delay or interruption.”

It is clear that the ministry only denied “the inability to disburse salaries this month,” and did not deny the existence of a lack of liquidity or a delay in disbursing salaries.

Problems of delayed salary disbursement have begun to appear more than once during the past few months, with spending requirements increasing compared to the revenues entering the state. For example, current spending alone during the past ten months amounted to more than 91 trillion, excluding investment spending, i.e. an average of more than 9 trillion dinars per month that the Ministry of Finance needs to ensure current spending such as salaries and other mandatory requirements.

In contrast, Central Bank data shows that the Ministry of Finance sold the Central Bank only $4.4 billion last November, equivalent to 5.8 trillion dinars.

As for non-oil revenues, they average 1.4 trillion dinars Monthly according to the Ministry of Finance data, which means that the total non-oil and oil revenues resulting from selling the dollar to the Central Bank amount to 7.2 trillion dinars, while the required amount is more than 9 trillion dinars per month.

Accordingly, this means that there is a 20% deficit in the funds required for the mandatory monthly current expenditures, which makes the Ministry of Finance unable to collect all the funds at the same time in order to pay the salaries of all ministries at the same time as was the case previously, and it resorted to paying them in "installments", and whenever it has gradual liquidity.

Member of the Parliamentary Finance Committee Jamal Kojer says that the liquidity shortage crisis will continue in 2025, and if the price of a barrel of oil drops to $60, we will not be able to secure employees' salaries.   LINK

With More Than 30 Billion Dollars... A Leap In The Projects Market In Iraq

2024-12-31 00:32  Shafaq News/ The English magazine "Med Projects" revealed that the projects market in Iraq rose to 8.6% in November.

The magazine said in a report it published and reviewed by Shafaq News Agency that Iraq witnessed a significant increase of 8.6 percent or $31.7 billion in the value of its market projects in November, ranking fourth after the UAE, Saudi Arabia and Iran.

She added that the increase in the value of projects in Iraq reflects the view that Baghdad has shifted its focus to rebuilding and modernizing the country's deteriorating infrastructure. LINK

Seeds of Wisdom RV and Economic Updates Tuesday Morning 12-31-24

Good Morning Dinar Recaps,

XRP, HBAR, XLM, AND OTHER UTILITY-BASED NETWORKS SHAPING THE FUTURE OF FINANCE

▪️XRP, Stellar, and Hedera are reshaping global finance and driving utility.

▪️These platforms are now gaining mass attention for their roles in various industries.

The adoption of utility-based protocols like Ripple’s linked XRP, Hedera (HBAR), and Stellar (XLM) is gaining momentum. According to entrepreneur and writer Max Avery, these networks are driving transformation in the global financial system.

The Role of Utility-Based Networks In Financial Systems

In a series of X posts, Avery highlighted the role of utility-based networks in the financial system. The analyst pointed out the contributions of experts like Hiromi Yamaoka, a former official at the IMF, in pursuit of an effective financial system.

According to Avery, Yamaoka has developed frameworks to promote collaboration between central banks and private firms.

This collaboration combines the technological efficiency of private companies with the trust and control of Central banks. Private companies like Constellation, Hedera, Stellar, and Ripple aim to innovate with programmable solutions. On the other hand, Central banks offer supervision and issue stable assets, such as Central Bank Digital Currencies (CBDCs).

"This is done by a joint effort. Central banks issue stable assets, like CBDCs, and provide oversight. Private entities, like Ripple, Stellar, Hedera, and Constellation, seek to innovate with programmable solutions. This partnership combines banks’ trust and control with private…"
— Max Avery (@realMaxAvery) December 29, 2024

XRP is a vital component of institutional finance as it allows instantaneous and cheaper cross-border payments. Additionally, it eliminates the need for pre-funded accounts and offers instantaneous currency bridging and on-demand liquidity.

Avery described the XRP Ledger (XRPL) as more than a payment system. He highlighted the blockchain’s function in tokenizing assets such as real estate and carbon credits. Moreover, the XRPL has a decentralized exchange for direct asset trading and possesses lightweight smart contracts via Hooks to expand its utility.

Also, XRPL distinguishes itself from other blockchains in terms of energy efficiency. Unlike Bitcoin mining, XRPL utilizes a consensus mechanism that’s faster, greener, and scalable. It demonstrates that innovation in finance is possible without compromising the environment, providing a sustainable way forward.

Like XRP, Stellar’s native token, XLM aims for financial inclusion. The network charges less for small transactions and supports scalable private CBDCs. At the same time, it helps the underbanked and enables global economic access.

Hedera, another popular utility-based network, is also shaping the future of financial systems. Hedera’s native asset, HBAR, enables low-cost, high-speed transactions and supports Decentralized Applications (dApps).

Additionally, HBAR is utilized for staking, which supports network governance and security. It provides an effective and scalable solution for a range of financial services.

Complementary Networks

Intriguingly, these networks are complementary to one another. For instance, while XRP transforms institutional finance, XLM ensures access for all. They address the entire financial spectrum, creating a complete solution for modern financial systems.

Meanwhile, the adoption of utility-based networks is gaining momentum. Specifically, Ripple’s partnerships with banks are growing, as CNF reported. This development highlights Ripple’s growing integration into the global financial system.

As regulation improves, Avery believes adoption will skyrocket.

Avery concluded that the future of utility is unfolding, contrary to some people’s opinions.

“These networks are leading the shift by blending their advanced technology with real-world utility. It’s the present, taking shape in real-time, whether people want to believe it or not,” he noted.

@ Newshounds News™

Source:  Crypto News Flash

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BRICS NEWS: 2 COUNTRIES SETTLE $37 BILLION TRADE IN LOCAL CURRENCIES

BRICS member Russia is aggressively pushing the de-dollarization agenda by making developing countries settle trade in local currencies. Russian President Vladimir Putin is convincing emerging economies to ditch the US dollar and push local currencies for cross-border transactions. The move will strengthen their native economies and give their local currencies a boost in the forex markets.

Russia is successfully bypassing US sanctions and keeping its economy afloat by making other countries ditch the US dollar. The development is hurting the US more as emerging economies as seriously considering advancing the de-dollarization initiative.

BRICS: Russia & Belarus Settle Trade Worth $37 Billion in Local Currencies

In 2024 alone, BRICS member Russia has settled trade worth $37 billion with Belarus using local currencies. The trade between the two nations surged 8.4% this year indicating that de-dollarization could soon be the norm. Developing countries are cutting ties with the US dollar and pushing local currencies to become the main source of all transactions.

The next few years could change the way the US operates the global financial order. BRICS is looking to create a paradigm shift with an alternate economy leaving the US behind. Local currencies could soon be accepted by like-minded countries who aim to topple the US dollar from the world’s reserve.

“Growing trade turnover indicators are clear evidence of the efficiency of the Russian-Belorussian integration. Alexander Grigoryevich (Belarus President) already shared his expectations for this year’s numbers. This forecast, I believe, is right on the money. According to our statistics, trade grew by 8.4% from January to September, topping $37 billion. By the end of the year, it will likely approach the figures President Lukashenko projected,” said Russian President Vladimir Putin.

@ Newshounds News™

Source:  Watcher Guru

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“Tidbits From TNT” Tuesday Morning 12-31-2024

TNT:

Tishwash:  40 trillion dinars is Iraq's internal debt.. Does the government have the "key" to repay it?

Member of the Parliamentary Finance Committee, Jamal Kojer, revealed Iraq’s internal debts, which exceeded 40 trillion dinars.

Kocher told {Euphrates News} that: "Regarding Iraq's internal debts, the numbers speak of more than 40 trillion, and the majority of the debts belong to the government banks, Rafidain, and TBI." 

He added, "The government is now able to pay these debts if it opts for withdrawing them from the bank reserve. " Kocher stressed "the need to schedule debt repayment as a result of the banks' role parallel to the government's role in providing job opportunities and supporting the private sector."

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, announced that Iraq has exited the risks of external debts, and that (Iraq) is a well-fortified country.

He stressed that the ratio of debts to the gross domestic product does not constitute a burden on the state, as it amounts to (5) percent of the gross domestic product, and is confined within the (government banking) system.  link

Tishwash:  Sudanese advisor reveals government's philosophy for future of national economy

The economic advisor to the Prime Minister, Mazhar Muhammad Salih, revealed the government’s philosophy for the future of the national economy, represented by the idea of ​​establishing a sovereign wealth fund.

Saleh told {Euphrates News} that: "The initiation of the idea of ​​a sovereign wealth fund is essential and is consistent with the renaissance of natural resources and undoubtedly comes in parallel with the development path strategy and its outcomes in generating a leading industrial renaissance in the national economy.

This is Iraq's outline in building the future of its economy for the twenty-first century and in two directions {the export-oriented development model and the other, and the development model directed towards maximizing the input-output tables and replacing imports within the national economy}.

He added, "Therefore, the sovereign wealth fund will adopt a vision that expresses the strength and basis of the interconnections between the outputs of national wealth from natural resources and the inputs of the production function in the national economy, which requires another model in managing sovereign wealth funds directed towards the interior."
Saleh explained that "the sovereign fund will work to accelerate the diversification of the three basic sectors, which are the manufacturing industry, agriculture and services, in an advanced digital age. This is what the government program aspires to in its philosophy for the future of the national economy, which did not neglect the idea of ​​partnership between state activity and market activity in sustainable development." link

************

Tishwash:  Al-Sudani starts 2025 with a visit to Iran

 An informed source revealed on Monday that Prime Minister Mohammed Shia al-Sudani will begin a visit to Iran at the end of next week, to discuss developments in the region .

The source told Shafaq News Agency that Al-Sudani will discuss several files with Iranian leaders, most notably the recent developments in Syria .

Al-Sudani had made several visits to countries in the region after the fall of Bashar al-Assad's regime, including Jordan and Saudi Arabia, where he discussed security issues with the leaders of these countries. Iraq also participated in the Aqaba Conference held in Jordan, with the participation of several countries, including the United States .

Iranian President Masoud Pezeshkian   visited Iraq on September 11, and made a three-day tour that included Baghdad, Erbil, Sulaymaniyah, Najaf, Karbala and Basra .

On May 22, Al-Sudani also visited Tehran to participate in the funeral of Iranian President Ebrahim Raisi, who was killed in a plane crash . 

Mot:  These Life Changing Decisions - Still Plaguing Me They is! 

Mot:  ... New Years Eve - As Ya ""Season""

Mot: YEPPERS!!! ~~~~ Staying up  for new years eve

MilitiaMan & Crew Iraq Dinar News-Commemorative Coin?-Investment Attractive-Dollar Auction Done by End of Year!

MilitiaMan & Crew Iraq Dinar News-Commemorative Coin?-Investment Attractive-Dollar Auction Done by End of Year!

12-30-2024

The Crew:  Samson, PompeyPeter, Petra, Daytrader, Sunkissed, GIGI and Militia Man

Be sure to listen to full video for all the news……..

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

Iraq News Highlights and Points to Ponder Monday Evening 12-30-24

Observers: The Central Bank Claims The Success Of Its Monetary Policy Without Any Effect On Reality

Written by: social Baghdad  12-30-2024  The Central Bank claimed the success of its monetary policy in 2024, claiming that the four percent increase in deposits in operating banks is an indicator of the success of the monetary policy.

Observers believe that the Central Bank, which claims the success of its financial policy, must find a new outlet to feed the demand for the dollar without going through the foreign currency auction to eliminate the whales of corruption and preserve the bank’s foreign currency reserves,

stressing that developing the Iraqi stock market increases the absorption of individual savings and hoards and re-injecting them into development and investment projects,

pointing out that the lack of banking awareness and lack of interest in developing the sector contributed to creating a random monetary policy, pointing out that the Central Bank’s claims of the successes it has achieved have no effect on reality.  LINK

A “suspicious” scenario that needs answers: Iraq pays two million dollars a day to Turkmenistan for gas Consumed By Iran?

Posted on 2024-12-29 by sotaliraq  In late 2023, Iraq signed a memorandum of understanding with Turkmenistan to supply gas to Iraq, and in the middle of this year 2024, Iran and Turkmenistan signed a contract to supply Turkmen gas through a “bilateral barter” method for the benefit of Iraq, before Iraq returned after about 3 months to sign the official agreement with Turkmenistan to supply gas via Iran.

The “bilateral swap” is known as Turkmenistan exporting about 25 million cubic meters per day to the northern Iranian territories, which Iran is unable to deliver gas to, then giving Iraq equal quantities of its gas from nearby territories via pipelines, meaning that Iraq buys Turkmenistan’s gas and pays money to Turkmenistan in the amount of 20 to 25 million cubic meters per day and bypasses the issue of sanctions first, then Iran consumes this gas that Iraq paid money to Turkmenistan, in its northern provinces, in return giving Iraq equal quantities of gas from its fields close to Iraq via pipelines.

However, Iran’s continued cutting off of gas to Iraq under the pretext of maintenance and other reasons, without adhering to the contract signed with Iraq, has opened the door to questions and fears that Iraq has fallen victim to a “fraud.” Iraq is obligated to pay money to Turkmenistan for 25 million cubic meters per day, at a value of $2.5 million per day, or nearly $1 billion annually, but in return, Iraq does not impose conditions on Iran, as it seems, in the contract.

This is what economic researcher Ziad Al-Hashemi says, who pointed out that Iran has not only cut off gas to Iraq, but it is also consuming Turkmen gas, which Iraq pays for, and burning and consuming it in its northern provinces.

A dangerous scenario reveals the extent of the negotiating gap, with Iraq not announcing or disclosing the official terms of the contract with Iran or even Turkmenistan, while Alsumaria had previously prepared a report that raised a number of questions about this contract. (You can read it here)

The Al-Sumaria report at the time, which was published in July 2024, described this agreement as carrying many paradoxes, question marks and inquiries.

The first is that Iraq will buy Turkmen gas for Iran, meaning that it will pay its money to Turkmenistan but will never receive this gas. Rather, this gas will go to northern Iran. In return, Iran will give gas in the same quantities, perhaps to Iraq from its local gas at the same time.

Here, Iraq will pay the price of Iranian gas, but without handing over the money to Iran, but rather handing it over to Turkmenistan, which will bypass the issue of sanctions.

Other questions relate to the price of Turkmen gas. Will Iraq buy Turkmen gas at the same price as Iranian gas, or will it pay more money to Turkmenistan in exchange for the same Iranian gas it previously imported?

The third question is whether Iraq will bear the cost of the pipeline extending from Turkmenistan to Iran, considering that Iran does not need to establish this network and import Turkmen gas, but rather it took this step for the benefit of Iraq only, as it can suffice with its local gas and stop it from Iraq and use it for domestic consumption.

Iraq will buy gas that “will never enter its stations”.. Two benefits and 3 suspicious paradoxes of the Iran-Turkmenistan agreement

The third and serious question at the same time is: Will Iran deal with the gas coming from Turkmenistan, which Iraq pays for, as not being gas for exchange that Iran takes in exchange for giving Iraq part of its gas?

In other words, will Iran consider itself a “transit land” for Turkmen gas to Iraq, and thus take additional transit fees? Although this is not what will happen, as Turkmen gas will never reach Iraq, but will be exchanged, meaning that Iran will take it and give Iraq part of its local gas that it has been supplying to Iraq for years.  LINK

Economist: The Decrease In The Actual Value Of The Dinar Will Lead To Inflation

12/28/2024 - Economic expert, Munar Al-Abidi, confirmed that “the value of any currency is determined based on two basic factors: the amount of currency issued, which is the total cash pumped by the central bank, and the size of reserves, which includes foreign currencies, investments, and gold held by the central bank.”

Al-Obaidi said in a tweet seen by (Al-Masry - Today, Saturday), that “at the end of 2023, the amount of currency issued reached 101 trillion dinars, and the value of official reserves reached 145 trillion Iraqi dinars.”

He added, "As for the situation at the end of 2024, the amount of currency issued remained at the same level of 101 trillion Iraqi dinars, and the value of official reserves decreased to 139.7 trillion Iraqi dinars."

He pointed out that "the continued decline in the actual value of the dinar will lead at some point to an increase in inflation as a result of the decline in the strength of the dinar compared to reserves alone. All this while the average price of Iraqi oil was high, so how will things turn out in the event of a decline in oil prices?"

He continued, "The impact on the value of the Iraqi dinar, despite the stability of the issued monetary mass, the decrease in the value of official reserves by 5.3 trillion Iraqi dinars led to a decline in the purchasing power of the dinar, and as a result of this decrease in reserves, the actual value of the Iraqi dinar decreased by 5.3%."  https://almasra.iq/113717/

With the beginning of the new year, the US dollar enters a new phase in Iraq

KTFA:

Clare:  With the beginning of the new year, the US dollar enters a new phase in Iraq

12/30/2024

US dollar dealers in Iraq are awaiting the arrival of the new year 2025, which is now approaching and will end the work of the electronic platform for monitoring the movement and transfer of currencies outside the country, according to what the Central Bank of Iraq announced.

Financial and banking experts consider the suspension of the dollar selling platform by the Central Bank of Iraq a “bold step” as it has multiple economic and regulatory dimensions, but on the other hand, the suspension of the platform may open the door to new challenges.

Experts confirm that the success of this decision depends largely on how it is implemented. If the Central Bank is able to provide strong regulatory alternatives and ensure comprehensive awareness for traders and importers, it may be able to achieve the desired goals of this step.

However, if the process is not managed carefully, it could have negative effects on the stability of the financial market and the overall economy of Iraq, according to experts.

In detail, Kazem Al-Shammari, a member of the Economic Committee in the Iraqi Council of Representatives, says, “The job of the Central Bank is to maintain the cash reserve and the unified exchange rate, so it is not its job to sell the dollar, but rather it is the job of the banks, but because of the economic situation and legal chaos, the Central Bank has taken control of selling the currency.”

Al-Shammari confirmed to Shafaq News Agency, "The committee is in favor of banks selling the currency, but it must be subject to strict restrictions and monitoring, as there are many uses for the currency, and the US administration has imposed sanctions on many banks because of this matter."

Al-Shammari believes that “there are Arab or foreign banks that receive more than 40 to 50% of currency sales, and this causes great harm to the Iraqi economy. Therefore, we must focus on Iraqi banks that are not sanctioned and are able to deliver the dollar to those who deserve it, including traders and industrialists.”

He pointed out that "the House of Representatives is currently in legislative recess, and after the resumption of the House's work, the Governor of the Central Bank will be hosted in this regard, and work will be done to impose strict control over currency exchange and purchase entities."

 Fear of unexpected obstacles

For his part, the head of the Iraqi Economic Alliance, Adi Al-Alawi, says, “Transfers, whether buying dollars for travel or otherwise, were made through a platform linked between the Central Bank of Iraq, the US Federal Reserve, another company for auditing accounts and information, and the Iraqi banking authority. When any of these four entities stops working, the entire process stops.”

Al-Alawi explained the platform’s working method to Shafaq News Agency, saying, “The transfer goes through a series of stages starting with submitting invoices to the bank, which in turn submits them to the platform, then to the Central Bank, the auditing company, and then the US Federal Reserve, to decide whether to proceed with it or return it. If it approves it, it goes to an intermediary bank, which sends the amount to the beneficiary.”

He added, "These stages have been shortened and the new process has become much easier, as the bank sends the transfer directly to the intermediary bank without going through the Central Bank of Iraq and the US Federal Reserve, while the auditing company remains. Thus, the bank that raises the transfer is the decision-maker and responsible before the Central Bank of Iraq and before the entire global financial sector."

He points out, "But the problem is that the Iraqi banks that have correspondents are only five out of 60 to 70 banks, so only five banks will operate in the next phase, which may cause congestion in withdrawals until things are arranged and organized."

Al-Alawi points out that “the Central Bank’s step is correct and we support it, but the Central Bank does not have real tools and a supervisory authority to rely on, so there is a fear of unexpected obstacles that usually arise during practical application, which requires quick measures and a response to the requirements of reality, which the Central Bank lacks based on previous experiences.”

Pros and Cons

In turn, international economic expert, Nawar Al-Saadi, says, "The suspension of the dollar selling platform by the Central Bank of Iraq is a bold step as it has multiple economic and regulatory dimensions."

Al-Saadi told Shafaq News Agency, "The main goal of this measure, as stated by the Central Bank, is to enhance transparency in financial transfer operations, and reduce reliance on a platform that was considered a primary tool for monitoring the flow of dollars."

He added, "For years, the platform has provided an effective means of regulating dollar sales and ensuring that they are directed to authorized purposes, such as imports and supporting the Iraqi economy, while trying to limit money laundering or smuggling of dollars abroad."

He believes that “this decision is supposed to be part of efforts to improve compliance with international banking standards, by moving to a more direct system in dealings between local banks and foreign correspondent banks, reducing bureaucracy and simplifying financial operations.”

Al-Saadi added, “Also, this decision could help reduce the operational costs associated with maintaining and managing the platform itself, which could be interpreted as a positive economic step towards rationalizing resources.”

But on the other hand, stopping the platform “may open the door to new challenges, such as the possibility of increasing reliance on the black market to obtain dollars, especially if there are no clear mechanisms to ensure that dollars reach traders and importers,” says Al-Saadi.

“This could lead to a rise in the exchange rate of the dollar against the Iraqi dinar, which would put pressure on local prices and raise inflation rates. In addition, small traders may find themselves in a difficult situation, as their reliance on the platform provided them with easy access to foreign currency,” he added.

Another challenge that may arise, according to Al-Saadi, is “the issue of the lack of strict oversight that the platform used to provide, as the platform allowed for close monitoring of financial transfers, thus reducing illegal activities such as money laundering or terrorist financing.”

“In the absence of an effective alternative, there may be a risk of these activities increasing, putting Iraq in a sensitive position on the international financial scene,” Al-Saadi said.

The international economic expert confirms that "the success of this decision depends largely on how it is implemented. If the Central Bank can provide strong regulatory alternatives and ensure comprehensive awareness for traders and importers, it may be able to achieve the desired goals of this step."

“However, if the process is not managed carefully, it could have negative effects on the stability of the financial market and the overall economy of Iraq,” Al-Saadi said.

Potential damage to the economy

The financial and economic researcher, Diaa Al-Mohsen, agrees with what Nawar Al-Saadi said about the potential damages, whether to Iraqi traders or to the Iraqi economy in general, as a result of stopping the platform.

Regarding the most prominent damages, Al-Mohsen explained to Shafak News Agency, "It is likely that the suspension will lead to an increase in demand for the dollar in the parallel market, which will push its price to rise significantly."

He added, "There is also a negative impact on the economy, which may lead to an increase in the prices of imported goods and services, which in turn leads to an increase in the inflation rate and a reduction in the purchasing power of citizens."

He added, "In addition to the decline in commercial activity resulting from traders' reluctance to import due to high shipping costs, which leads to a shortage of goods in the markets and an increase in their prices."

"There may also be difficulty in obtaining the dollars needed to import goods, which affects their business," Al Mohsen added.

Al-Mohsen points to the possibility of “an increase in unemployment rates as well, given that any slowdown in business activity results in increased unemployment, especially in sectors that depend on imports, which may generate social unrest such as protests and demonstrations.”

He points out that "the damages may not appear immediately, and may take some time to fully appear, noting that the severity of these damages depends on many factors, such as the duration of the suspension, the economic policies followed, and the general economic situation of the country."

To avoid damage to the monetary authority, the financial and economic researcher calls for the importance of “taking alternative measures, such as gradually increasing the supply of dollars in the market, facilitating procedures for obtaining dollars for traders, and supporting the affected economic sectors.”

The possible reasons for stopping the platform, according to Al-Mohsen, are “an attempt to control the parallel market, as the Central Bank wants to reduce the difference between the official and market exchange rates by reducing the supply of dollars in the market.”

Al-Mohsen adds that it also "represents a step to reduce corruption and tax evasion, and the Central Bank of Iraq is also trying to protect foreign reserves from depletion."

Platform Termination Statement

According to a statement by the Central Bank on September 4, the electronic platform for foreign transfers began at the beginning of 2023 as a first phase to reorganize financial transfers in a way that ensures proactive oversight of them instead of subsequent oversight by the Federal Reserve auditing daily transfers.

The statement added that this was "an exceptional measure, as the Federal Reserve does not usually do this, and a gradual shift was planned towards building direct relationships between banks in Iraq and foreign correspondent and approved banks, mediated by an international auditing company to conduct a preliminary audit of the transfers before they are executed by correspondent banks."

He continued: "During the year 2024 and until now, 95% of the transfer process from the electronic platform to the correspondent banks mechanism directly between it and Iraqi banks has been achieved, which means that only about 5% of it remains within the platform, which will be transferred using the same mechanism before the end of this year and according to the plan."

The statement of the Central Bank of Iraq indicated that "some expectations about possible effects on the exchange rate and transfer operations are baseless, because the process will not be sudden or in one payment at the end of this year, but rather it was achieved in the past period with effort and careful follow-up, except for the remaining small percentage that will be accomplished in the coming short period."

The Central Bank of Iraq confirmed that trade with the UAE, Turkey, India and China represents about 70% of Iraq's foreign trade as imports, which prompted the Central Bank of Iraq to find channels for transfer in euros, Chinese yuan, Indian rupees and UAE dirhams, through approved correspondent banks in those countries.

He added in this regard: "13 Iraqi banks have actually started conducting transfer operations with the prior audit mechanism that has been agreed upon and approved, in addition to transfers in dollars, with the provision of channels for personal transfers for legitimate purposes and external purchases through electronic payment channels and international money transfer companies and cash sales to travelers, and the payment of cash dollars for incoming transfers to the parties and purposes specified in the Central Bank's published instructions."

The bank noted that it has placed foreign transfer operations and meeting dollar demands on sound paths consistent with international practices and standards and the Anti-Money Laundering and Terrorist Financing Law.

The Central Bank’s statement concluded that “providing the aforementioned channels for all purposes at the official dollar price makes this price the true indicator of economic practices, which is proven by the reality of price stability and control of inflation.

Any other price traded outside of these channels is an abnormal price that those with unorthodox or illegal practices resort to, who avoid official channels in their dealings, and bear the additional costs alone by purchasing at a higher price than the official price to deceive others about the difference between the official price and the other.”  LINK

Iraq Economic News and Points to Ponder Monday Afternoon 12-30-24

40 Trillion Dinars Is Iraq's Internal Debt.. Does The Government Have The "Key" To Repay It?

Time: 2024/12/30 17:56:16 Reading: 819 times  {Politics: Al Furat News} Member of the Parliamentary Finance Committee, Jamal Kojer, revealed Iraq’s internal debts, which exceeded 40 trillion dinars.

Kocher told {Euphrates News} that: "Regarding Iraq's internal debts, the numbers speak of more than 40 trillion, and the majority of the debts belong to the government banks, Rafidain, and TBI."

He added, "The government is now able to pay these debts if it opts for withdrawing them from the bank reserve.

" Kocher stressed "the need to schedule debt repayment as a result of the banks' role parallel to the government's role in providing job opportunities and supporting the private sector."

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, announced that Iraq has exited the risks of external debts, and that (Iraq) is a well-fortified country.

He stressed that the ratio of debts to the gross domestic product does not constitute a burden on the state, as it amounts to (5) percent of the gross domestic product, and is confined within the (government banking) system.  LINK

Exchange Rates Rise In Baghdad, Stabilize In Erbil With Closure

Economy  | 12/30/2024  Mawazine News - The US dollar rose against the Iraqi dinar in Baghdad markets on Monday, while it stabilized in Erbil, the capital of the Kurdistan Region, with the closing of the stock exchange.

The dollar also rose with the closing of the two main stock exchanges in Baghdad, Al-Kifah and Al-Harithiya, to record 151,750 dinars per 100 dollars, while it recorded 151,600 dinars per 100 dollars this morning.

Selling prices rose in exchange shops in local markets in Baghdad, where the selling price reached 152,000 dinars per 100 dollars, while the purchase price reached 151,000 dinars per 100 dollars.

In Erbil, the dollar recorded stability, where the selling price reached 151,700 dinars per 100 dollars, and the purchase price reached 151,600 dinars per 100 dollars. https://www.mawazin.net/Details.aspx?jimare=258060

Iraqi Oil Stabilizes At High Level At The Beginning Of Year-End Trading

Economy  | 12/30/2024  Mawazine News - Follow-up of  the Iraqi oil record at the beginning of the end of the year's trading, today, Monday, stability at an increase during the opening of the week's trading in global markets.

According to economic data, Basra Heavy crude recorded $70.19 per barrel, while the average recorded $73.29 per barrel, with a change of -0.16, respectively, for February 2025 delivery.

The data also showed an increase in global crude prices, with British Brent crude recording $74.30, while US West Texas Intermediate crude recorded $70.66 per barrel, with a change of +0.13 and +0.05, respectively.  https://www.mawazin.net/Details.aspx?jimare=258046

Gold Prices Stabilize In Baghdad

Stock Exchange  Economy News – Baghdad  The prices of foreign and Iraqi gold stabilized in the local markets in the capital, Baghdad, today, Monday.

Gold prices in the wholesale markets on Al-Nahr Street in Baghdad this morning recorded a selling price for one mithqal of 21 karat Gulf, Turkish and European gold of 556 thousand dinars, and a purchase price of 526 thousand dinars.

The selling price of one mithqal of 21-karat Iraqi gold reached 526 thousand dinars, and the purchase price was 522 thousand dinars.

As for gold prices in goldsmiths’ shops, the selling price of a mithqal of 21-karat Gulf gold ranges between 560,000 and 570,000 dinars, while the selling price of a mithqal of Iraqi gold ranges between 530,000 and 540,000 dinars.  82 views 12/30/2024 - https://economy-news.net/content.php?id=51436

Sudanese Advisor Reveals Government's Philosophy For Future Of National Economy

Time: 2024/12/30 Read: 1,131 times   {Economic: Al Furat News} The economic advisor to the Prime Minister, Mazhar Muhammad Salih, revealed the government’s philosophy for the future of the national economy, represented by the idea of ​​establishing a sovereign wealth fund.

Saleh told {Euphrates News} that: "The initiation of the idea of ​​a sovereign wealth fund is essential and is consistent with the renaissance of natural resources and undoubtedly comes in parallel with the development path strategy and its outcomes in generating a leading industrial renaissance in the national economy. This is Iraq's outline in building the future of its economy for the twenty-first century and in two directions {the export-oriented development model and the other, and the development model directed towards maximizing the input-output tables and replacing imports within the national economy}.

He added, "Therefore, the sovereign wealth fund will adopt a vision that expresses the strength and basis of the interconnections between the outputs of national wealth from natural resources and the inputs of the production function in the national economy, which requires another model in managing sovereign wealth funds directed towards the interior."

Saleh explained that "the sovereign fund will work to accelerate the diversification of the three basic sectors, which are the manufacturing industry, agriculture and services, in an advanced digital age. This is what the government program aspires to in its philosophy for the future of the national economy, which did not neglect the idea of ​​partnership between state activity and market activity in sustainable development."  LINK

Exchange Rates Rise In Baghdad, Stabilize In Erbil With Closure

Economy  | 12/30/2024  Mawazine News - The US dollar rose against the Iraqi dinar in Baghdad markets on Monday, while it stabilized in Erbil, the capital of the Kurdistan Region, with the closing of the stock exchange.

The dollar also rose with the closing of the two main stock exchanges in Baghdad, Al-Kifah and Al-Harithiya, to record 151,750 dinars per 100 dollars, while it recorded 151,600 dinars per 100 dollars this morning.

Selling prices rose in exchange shops in local markets in Baghdad, where the selling price reached 152,000 dinars per 100 dollars, while the purchase price reached 151,000 dinars per 100 dollars.

In Erbil, the dollar recorded stability, where the selling price reached 151,700 dinars per 100 dollars, and the purchase price reached 151,600 dinars per 100 dollars. https://www.mawazin.net/Details.aspx?jimare=258060

Iraqi Ports Announces 2024 Achievements: Electronic Automation And Increase Of Revenues To One Trillion Dinars
Economy   | Mawazine News - The Iraqi General Company for Ports announced,  Today, Monday, the most prominent achievements for the year 2024, which included the introduction of electronic automation and the implementation of reform measures in port work, which contributed to raising port revenues to exceed the barrier of one trillion Iraqi dinars.

The company's general manager, Farhan Al-Fartousi, confirmed during a press conference that "work on the Grand Faw Port project has achieved remarkable progress, as the completion rate of the five projects in the port exceeded 80%. He also pointed to the start of the operating phase through the competition of 11 international companies to operate Container Terminal No. 1."

Al-Fartousi added that the number of ships that entered Umm Qasr Port during the current year exceeded 3,000 ships, while the number of containers exceeded 1.8 million containers, which reflects the development in port performance and the achievement of a qualitative leap in the management of Iraqi ports.   https://www.mawazin.net/Details.aspx?jimare=258062

For current and reliable Iraqi news please visit:  https://www.bondladyscorner.com/