The current credit rating of Iraq fits and economic reality
Call to speed up installing formally
Baghdad - Mostafa Hashemi - Farah pumice
Seeks most governments and countries, companies or funding agencies to obtain credit rating in order to facilitate their access to finance that you want through the local markets or external reason to force the pace to get the highest degree of classification among the nations of the world to improve its reputation and economic development of the joints of the various productive sectors, to confirm for countries wishing investment to its sound economic and environment are valid, as well as the credit rating eases the cost of borrowing when the state needed to decode Achtnaqatha financial external debt.
Recognized credit rating
Known credit rating GCR, an acronym for (global credit rating) as a measure to assess the possibility of the borrower to meet its obligations in the face of the lenders or the sense of the other risks of non-payment of the lender (the source of the bond) to fulfill its obligations (the value of the loan and its benefits) to the borrower (the bondholder) . And is rated the world's credit rating ladder consists of 4 grades are A, B, and C and D as well as variables that represent signal + or - and Petkrarat different. The credit rating agencies of the three, the Standard & Poor's, Moody's and, in general, Fitch evaluates the risks associated with both versions of the debt of companies or governments. The ability of the source to meet the payment of debt interest and premiums incurred by him the most important indicator of creditworthiness upon which to build classifications by these agencies.
According to the economic expert d. Appearance of Mohammed Saleh, the rating Iraq credit now, although he did not specify yet officially, Vhually probably at Class B returned him a good indication of the reason for optimism, explaining in a statement (morning): This place in the classification is not official, but set the intensity on buying Iraqi bonds sold in global markets, amounting to 2.7 billion dollars annual interest rate steady at 5.8 percent.
He stressed that it is possible to get it through a contract from one of the government departments such as the Ministry of Commerce economic or financial planning, or with one of the three agencies for the recent turn to conduct a field survey of the situation of the political, social and financial embrace it result in the degree classification. He stressed that the existence of a credit rating, though low, is better than no rating basically.
He pointed out that the existence of Chapter VII was the most prominent obstacles to obtaining credit rating to raise it under international sanctions since the nineties of the last century, as the lack of classification was basically confirms and proves that the country was a threat to all countries in the world. He continued, but now after entering Iraq to item VIII of the UN Charter, it is important to move the government in this aspect for the purpose of obtaining formal classification to achieve the required development after the entry of foreign investment into the country.
The first round of the Conference of Finance and Commerce had been launched in June of 2012, agreed during the government with the American side to encourage investors to come to Iraq and classification of credit to be able to give credit to foreign investors, as well as the importance that goes on Iraq in this category in order to give the guarantees in opportunities for investors and confidence to recover their capital.
Iraq's financial strength
Salih stressed that the strength of Iraq's financial is very large, and what it takes to integrate into the global system and the existence of financial liquidity and high oil wealth, which would raise the grade credit rating of Iraq, as he needed at the current stage to attract investment and foreign companies for the reconstruction of infrastructure through get a credit rating in order to develop economic reality to stabilize its importance in attracting investments and give the right economic perceptions to the investing companies.
And the importance of getting Iraq on the credit rating of the sovereign of the international credit rating agencies and the application of the policies needed to improve the degree classification to become within the investment grade, which contributes to increase the resources of the state so as to enable the country to attract investors and access to global capital markets and obtain financing cost occasion.
He pointed out that there are differences between the credit rating agencies in the credit rating of sovereign debt, as well as the factor of financial is the most influencing factors in the credit rating of sovereign debt, which leads to a change in the degree of classification, pointing to the need to identify the differences among them in the methodologies credit rating for sovereign debt even canceled.
Saleh explained that the three agencies recognized because all countries in the world take these classifications also said Iraq needs to get them for the purpose of improving the attraction of investment and confirm the efficiency of Iraq financially.
For his part, stressed the point person on the financial sector Shirvan Anwar Mustafa importance for Iraq to global sovereign rating.
Mustafa said in his speech (morning): "There are ways and simple mechanisms for sovereign rating, especially that all countries of the world are dealing with the institutions of international calendar," returned him an important issue for the country and for the international deal, especially at the level of financial institutions.
He added that "in order to deal rating agencies and the international calendar with Iraq, must be plans and government policies are clear and stable without fluctuation, as well as to maintain the stability of the currency and a commitment to international conventions, adding that the current trend in the way of the signing of international treaties that give a guarantee to the investor, which is "favorable ground" for any international institution calendar to assess the situation in Iraq in general and to support to UN agencies.
Last week's large Oil and Gas conference in Erbil, which I attended, marked the probably inexorable progress of the Kurdistan Region to economic independence and better and more reliable relationships with the rest of Iraq and with Turkey.
It was the such third conference which usually showcase a big announcement that confirms Kurdistan's increasing role in the energy considerations of many countries. This year's conference took place amid an initially bewildering and complex process of negotiations between Erbil, Ankara and Baghdad.
The scene was set by KRG Prime Minister Nechirvan Barzani who told delegates that it is ‘very difficult to trust anyone who wants to decide our destiny’ and that its new energy sector means that ‘the door has been opened to the world.’
But observers focused on the words of the energy ministers for Turkey and Kurdistan, Taner Yildiz and Dr Ashti Hawrami. This year Yildiz actually attended the conference. Last year, Baghdad pointedly banned him in a crude display of power which did much to unify the Kurds and the Turks. This year, Yildiz first flew to Baghdad to meet ministers before visiting Erbil.
Turkey is seeking to become a world economic giant but has few energy resources itself and needs reliable supplies from its neighbour.
The evidently good personal chemistry between Yildiz and Hawrami illustrates a long sought-for and radical reshaping of relations between Turkey and Kurdistan. The development of a brand new energy sector has changed the equation. Turkey is seeking to become a world economic giant but has few energy resources itself and needs reliable supplies from its neighbour. Turkey becoming a new hub for secure and diverse energy supplies will also benefit Europe and the UK.
In the past year, Kurdistan has been trucking oil to Turkey. But trucking is not a sustainable export route and a new pipeline has been constructed. It is now ready, tested and tried and will export up to 350,000 barrels of oil per day in the coming year. This could rise to two million bpd in the coming years. The Kurdistan region could become a net contributor to federal coffers in Baghdad and account for a substantial proportion of the much-needed oil revenues of the whole country.
Yet some retain a Baghdad-knows-best approach and chide the Kurds for "smuggling" oil and allegedly acting outside the federal constitution agreed in 2005. They claim that the Kurds will transform economic into political independence.
The Kurds feel they have waited long enough to see the fruits of their natural wealth. There are huge pent-up demands for improved public services and diversifying a more sustainable economic base through developing tourism, agriculture and industry.
The Kurds insist that they have the right to exploit and export energy as they see fit within the Iraqi constitution while all revenues are shared by the Iraqi people. The sticking point is how Turkey pays for energy exports. Do revenues go to Baghdad or to Erbil to be shared out or can they be held in a state account in Turkey until Erbil and Baghdad finally agree a robust and reliable revenue sharing formula? Maximum transparency can reassure the federal government and others that exports are properly measured and monetised.
My initial take on it was that one could apply the old adage to Baghdad concerning how best to boil a frog. If you put a frog into boiling water, it will jump out but if you put it into cold water and gradually heat the water it will succumb. On reflection, I think this is too graphic and crude. It is not that Ankara and Erbil are making Baghdad an offer it cannot refuse as much as an offer that is too good to refuse.
The Kurds feel they have waited long enough to see the fruits of their natural wealth.
American opposition to the deal is unfortunate but American influence is not what it used to be and its position can be finessed. Other countries such as the UK can encourage a settlement. An amicable resolution between the key players - Erbil and Baghdad, supported by Ankara - is eminently achievable without anyone losing face.
Maybe Iraq will finally accept that it is a binational, federal country and that all gain from the success of the Kurds and their links with Turkey. It is a win-win position now moving towards its finale. Inshallah.
* The annual student debating competition between the English-speaking University of Kurdistan-Hewler and the American University of Iraq in Sulaimani also took place last week in Erbil. The debate was whether the invasion of Iraq was a success. The judges, including me, strictly assessed the quality of the debating skills of the teams rather than following our own positions. It was a close call but the UKH team, which opposed the motion, won. Most Kurds supported the liberation of Iraq and the UKH victory doesn't contradict that. It was a very impressive performance by both teams and followed closely by students at both universities. It augurs well for the future.
* Gary Kent is the administrator of All Party Parliamentary Group (APPG). He writes this column for Rudaw in a personal capacity.
Iraq, UN agree to open humanitarian corridor allowing relief move to Syria
Baghdad (NINA) - The Government of Iraq and the United Nations in Iraq have reached agreement to facilitate the opening of a humanitarian corridor that will allow UN relief agencies (UNHCR, WFP, UNICEF) to resupply their warehouses in Eastern Syria with quantities of food and non-food items, medical kits and educational supplies from reserves in Iraq.
The UN expressed gratitude to Iraq for facilitating the movement of humanitarian aid to the Syrian people, “The United Nations is grateful to the Government of Iraq and all who have worked closely on this important initiative. It is part of Iraq’s efforts to help alleviate the suffering of the Syrian people. I call on all to respect the humanitarian space and allow for the resupply to take place in an unobstructed manner,” said Mr. Mladenov, Head of the United Nations Assistance Mission for Iraq (UNAMI).
UNHCR, WFP, UNICEF, WHO and other UN partner agencies are presently working in Syria, including in the north-eastern part of the country to support the civilian population affected by the current crisis. Their activities are being coordinated by the respective agencies based in Damascus.
State of Law MP accuses some politicians of targeting Maliki
BAGHDAD / NINA / MP, of the state of law coalition, Mohammed al-Sayhood accused some politicians of targeting the Prime Minister Nuri al-Maliki for election propaganda before the election.
Sayhood said in a press statement that "there are two projects, one of them carries out foreign agendas tries to hit the national project and the second one is internal that is looking through the entry into the political process for personal interests."
He added, "There are two projects within the political process working to foil the national project, which is represented in the state of law, headed by Nuri al-Maliki, where some realizes he will get the third term, adding that the two projects, one of them carried out foreign agendas tries to hit the national project from the inside and the second is looking through the entry in the political process for personal interests so they are trying to push al-Maliki in various ways for their way after tests proved he did not want what they want. "
He added, " there are a number of politicians trying to get media famous by attacking the prime minister at any time in order to get election propaganda before the election."
It is scheduled to hold parliamentary elections in the thirtieth of April amid a lot of competition between the political blocs on the post of prime minister,.
Araji calls council of Ministers to send the Budget and not use it political differences
BAGHDAD / NINA/ The head of the Ahrar parliamentary bloc, Bahaa al-Araji called the Council of Ministers to speed up sending the General Budget for 2014 to the House of Representatives , noting that it is not reasonable , we are in the last days of 2013 did the Budget has not been sent yet .
A statement of the Ahrar parliamentary bloc quoted al-Araji as saying: I think this delay indicates the lack of professional to those who administer the state and it is intended by not sending the budget in order to be in front of a new political crisis used as a card in the next election .
He noted " the need to resolve financial disputes between the federal government and the provincial government away from the differences.
He hoped to send the budget this week to finish the discussion , wishing that all blocs to take care of important laws and the Iraqi people more than interest and private interests , including the elections .
Judiciary drops charges against Araji
Wednesday, 11 December 2013 11:22
Baghdad (AIN) –The Secret rate of al-Ahrar bloc within the Sadr Trend announces dropping the charges against the head of al-Ahrar bloc, Baha al-Araji, for affecting the public fund.
A statement by al-Ahrar bloc received by All Iraq News Agency (AIN) "Araji called to lift the parliamentary immunity from him and the judiciary approved him as not guilty due to the charges against him for affecting the public fund that was supported by fake documents used by a known political sides that targets Sadr Trend and Araji."
"Araji submitted a complaint to the judiciary against that political side," the statement concluded.
Study: Climate change has contributed to the outbreak of the Syrian crisis
11-12-2013 | (Voice of Iraq)
Alsumaria News / Baghdad
A new study has concluded that climate change caused by human factors, witnessed by the Arab region, especially Syria in recent years, which led to the occurrence of droughts, contributed to the outbreak of the Syrian crisis and what is known as the "Arab Spring."
The study results revealed during a meeting of the Federation of American Geographers, the drought that Syria witnessed in recent years, has had a negative impact on agricultural crops, which led to higher food prices and lower standard of living, in turn, contributed to the crisis in the ignition.
The study indicates that drought along with a number of factors to pay 1.5 million farmers to migrate from the countryside to the cities in Syria between 2002 and 2008.
The researcher said Colleen Kelly, who helped in the preparation of the study, these climatic changes in the region dating back to human factors, pointing out that he see the data back for 100 years.
He added: "I said the amount of rain that fell on Syria in recent years dramatically, and we believe that it happened as a result of human factors impacted negatively on the environment."
He continued: "With the decrease in the amount of rainfall affected crops dramatically, prompting many farmers to leave rural areas and migration to cities."
He pointed out that between 2002 and 2008, emigrated around 1.5 million farmers from the countryside to the cities in Syria.
Although affected by the food basket for Syria negatively, food prices rose and other requirements of life, which contributed to the strengthening of the crisis and turn it over time, along with other factors, to the war in flames, according to the study.
Maysan Oil Company announces completing digging Abu Ghraib 20 oil well
Wednesday, 11 December 2013 14:21
Baghdad (AIN) -Maysan Oil Company announced finishing the digging of the Abu Ghraib 20 oil well.
Director General of the company, Maarij al-Bahadili said "The cadres of the Iraqi Digging Company completed recently the digging of Abu Ghraib 20 well, pointing out that "The production size is expected to hit 2000 barrel a day."
"The well is one of those wells that were forwarded to Kosil Company, which in turn, contracted with the Iraqi Digging Company to accomplish the digging operations," he added.