The Dinar Daily, Thursday March 26, 2015

[sczin11]

The Exchange Rate of Foreign Currency in Economic Feasibility Studies

Below are the central controls related to the exchange rate of the foreign currency to convert the project inputs and outputs from foreign currency to its equivalent in the local currency, and that is by calculating the net discounted present value standard and the internal return on investments in economic analysis that governs investment projects that costs excess one million dinars.

Estimate the shadow price of foreign currency:

1. It is necessary to put central controls to amend the official exchange rate * to reflect the shadow price of the foreign currency, and that is considered one of the necessary requirements to implement the net discounted present value standard and the internal return rate on investment in the economic calculation stated in the instructions, paragraph nine.

The central controls for adjusting market prices distinguished a group of outputs and inputs traded internationally, where the projects production or usage of them is reflected on the abundance of foreign currency in the economy and thus project outputs or inputs used of such are considered purely foreign currency outputs or inputs.

* What is meant by exchange rate: the number of units of foreign currency, expressed in dollar per one dinar.In particular the following outputs and inputs of foreign currency were distinguished:

• Export-outputs.
• Outputs marketed locally that substitute imports.
• Imported inputs.
• Inputs produced locally that usually go to exports.
• Foreign labor.

According to the pricing rules the value of the output and input (traded) is calculated using export prices (FOB) and import prices (CIF), according to what is listed in the pricing rules.

In other words the pricing rules calculate what the project produces from foreign currency (quantity of exports multiplied by the export price (FOB) in foreign currency or the quantity of substitute imports multiplied by the import price (CIF) in foreign currency, as well as what the project uses from foreign currency and imported inputs multiplied by the import price (CIF) in foreign currency …. etc.).

In a later step, project outputs and inputs must be converted from the foreign currency to its equivalent in local currency (dinars) by using a specific exchange rate for the foreign currency.

2. Justifications for exchange-rate adjustment: there are a number of important and powerful arguments which support the view that the official exchange rate reduces the real value of foreign currency for purposes of calculating the economic national profitability for investment projects and hence for the purposes of investment planning. It is demonstrated in this context to call for assessing the dinar for less than (3.208) dollar (official exchange rate) when assessing project outputs and inputs of traded goods of exports, substitute imports and imports… etc.

The justifications to call for the use of an exchange rate that is lower than the official exchange rate are:

• The use of an exchange rate that is lower than the official rate is the appropriate action at the investment planning level to translate the country’s economic strategy aiming at stimulating central investments in the sectors that encourage the development of non-oil exports, as well as sectors that encourage the expansion of domestic production base in order to reduce imports and compensate it with local commodities. This helps to reduce reliance on foreign exchange earnings from crude oil exports and increases the share of non-oil sectors in the local production.
• The application of the amended exchange rate on project imported inputs will assist in directing investments away from aggregated sectors dependent on imported inputs and the preference of those sectors that rely on locally produced inputs.
• The use of the amended exchange rate helps to correct the balance in favor of the traded goods sectors compared to non-traded goods.
• The real exchange rate has declined rapidly since the early seventies, through rapid rise of the level of prices and local costs which led by the steadiness of the official exchange rate to change in prices and actual local rate costs that gave an advantage for imported goods at the expense of locally produced goods, meaning that it led to deterioration of the competitiveness of alternative replacement goods and export commodities.
• This action shows that the official exchange rate overestimates the value of the dinar, compared to the foreign currency and from the promoting goods substituting imports and export commodities point of view of.

And in support to this view is the state’s utilization and in a broad approach to the customs and quantitative protection policies especially for consumer goods, as well as export subsidies that exports have through an amended export exchange rate.

3. Estimate the amended exchange rate of the Iraqi dinar to be used in technical and economical feasibility studies and for (1.134) dollar per dinar. This price should be approved for 3 years until re-appreciation by the competent authorities.


The Republic of Iraq – Ministry of Planning

and

A "flashback recap" of a Live Q and A Call from about a year ago - on THE DAILY DINAR NEWS BLOG...

In general terms – there were three main focal points of interest I wanted to cover and then allow listeners to ask whatever questions they liked.

1) the SIGR report…

2) the Gold Article…

3) the IIER report…

I started the conversation out last night by highlighting how crazy this campaign being fielded to contact our lawmakers and bank CEO’s and tell them how unfair it is they are getting to exchange (exchange is the right terminology BTW – NOT “CASH-IN”) at 32.00 per Dinar and we are not – is. It is nuts.

Firstly, “they” are NOT being allowed to exchange “early” – or at 32.00 per Dinar. It makes you sound “stark raving MAD” to be caught saying such things. You would be better off barking at the moon. It is demeaning to the validity of a true currency play.

Secondly, this is entirely the wrong way to approach them. I pointed out on the call that Poppy and I fielded a very successful such campaign a couple of years ago. However, we sat down and came up with a much different approach. It was designed to get answers and to approach our lawmakers with respect and as their constituents. Not like a bunch of lunatics. We had extraordinary participation (because it made sense) and we received a good response from lawmakers. It started the conversation in a reasonable manner.

I asked one caller – “when was the last time you asked a banker for money and told him how unfair it was if he didn’t give it to you”??? Obviously – we chuckled…

Another caller asked me if (as DC had relayed) – the “zero’s were raised” and the lower denominations were in circulation??

I said plainly “no”…lower denominations being in circulation would (at the very least) imply there had been a value change. If there were no value change the lower denoms would not only be of little value, they would be such a hinderance – people might even throw them away just to get rid of them. So no – no lower denoms. I told the caller to check the CBI.iq website for “real” info on rate change.

The “zero’s being raised” or “deleted” – as explained by any reasonable researcher, economist or authority – is simply the process removing the large (3 zero notes) from circulation.

Referring to an Enorrste post from today onTHE DINAR OBSERVER DAILY(you may want to put this on your favorites and check in several times a day – we to it often )

“…I have never found a single article from the CBI or the IMF that equates “delete the zeros” to the idea of “move the decimal point.” Instead, the statements overwhelmingly come out to mean “remove the large notes from circulation.”…

Also – this recent internal memo put out by Wells Fargo is likely “push back” from this recent campaign. I pointed out that Pinnacle Bank published an article by an “affiliate” in their internal publication and then “highlighted it” in a similar internal memo a couple of years ago. It is just a defense mechanism. I’m sure Wells is tired of having their name dragged through the “internet rumor mill”. This is highly likely the reason for their vigorous denials about handling it in the future. They get so many useless calls – it isn’t worth the headache. Can you blame them??

Further, for any bank, lawmaker, adviser or official to state the “Dinar is a scam” is nearly as foolish as some of the internet “Gurus”. It is the official currency of a COUNTRY. I pointed out (below) the post from yesterday’s DINAR OBSERVER DAILY – highlights page 94 of the quarterly SIGR report to THE US CONGRESS in April of 2012…
__________________________________________________ _____________

THIS REPORT WAS SENT TO CONGRESS LAST MAY. IT PLAINLY SHOWS IN THIS REPORT THEY EXPECTED THE DINAR TO REVALUE AT AROUND A DOLLAR IN 2013.

We are seeing and hearing that the inflation rate is still climbing and they are pushing to get us our money?? This report is from page 84 of the massive SIGR report.




BGG ~This is a screen shot from the “Special Inspector General for Iraq Reconstruction” – Apr 2012, quarterly report to Congress. For members of our Government to say they have no idea what is going on here – means they haven’t read some very basic documents presented them.
__________________________________________________ ______________

I pointed out (last night) this is a highly speculative investment. We are, in no way, guaranteed anything. However, this SIGR report gives us some valuable insights…

1) This is information given to the US CONGRESS on a quarterly basis… I find it hard to believe such an information source would intentionally mislead Congress. They tend to frown on such behavior. Which goes directly to the validity of this adventure – against all advice from Wells Fargo or other such naysayers.

2) It points out there having been a legitimate “plan” – or time frame in motion…having been projected to be done in 2013. We are obviously in “over time” now.

3) It gives us an idea as to who is in charge…the CoM – or Council of Ministers. Who do they answer to?? Maliki. Period. When is he likely to push this forward?? Historically – he has been a “weak Dinar” policy advocate. However, rumor from his own inner circle admits he can’t win a third term in office without some currency reform.

I fully expect him to use every tool in his “wheel house” to win – his recent moves in Anbar and the disputed territories prove as much. Currency reform has to be a “biggie”. Though this WAS their thinking a couple of months ago – there is no promise it is still part of their political calculus. We shall see.

4) Though no guarantee of the actual future plan they wind up engaging – this report points out an increase in value that would have taken the Dinar from “one-tenth of a cent” to a value “of slightly less than $1″..

__________________________________________________ ______________

AND

Coins put on the market !!

Nora Albjara member of the committee of economy and investment in the House of Representatives revealed that the central bank completed its preparations for the issuance of metal coins of seven small groups, in conjunction with the implementation of the project to delete the three zeroes from the paper currency is currently in circulation.

She said in her statement Albjara "The project will take between four and five years, and which will be the launch of the categories of small coins gradually."

He predicted the financial expert Hilal Taan inflation rate declines, with the issuance of metal coins of small denominations in the daily financial transactions, remarkable that 3% of the value of inflation in Iraq due to the presence of large cash block.

The economic expert on behalf of Jamil Anton, noted that he may not find metal coins accepted by a lot of Iraqis, especially young people, due to the existence of an entire generation of Iraqis had not trading coins due to stop use since the early nineties of the twentieth century

waradana.com

And

CBI is preparing to issue a monetary metal parts

Metal coins from the category of 25 fils were in circulation until the nineties of the last century

Nora Albjara member of the committee of economy and investment in the House of Representatives revealed that the central bank completed its preparations for the issuance of metal coins of seven small groups, in conjunction with the implementation of the project to delete the three zeroes from the paper currency is currently in circulation.

She said in her statement Albjara Radio Free Iraq, "said the project will take between four and five years, and which will be the launch of the categories of small coins gradually."

He predicted the financial expert Hilal Taan inflation rate declines, with the issuance of metal coins of small denominations in the daily financial transactions, remarkable that 3% of the value of inflation in Iraq due to the presence of large cash block.

The economic expert on behalf of Jamil Anton, noted that he may not find coins accepted by a lot of Iraqis, especially young people, due to the existence of an entire generation of Iraqis had not trading coins due to stop use since the early nineties of the twentieth century.

https://www.iraqhurr.org/content/article/26666313.html

and

Another "FLASHBACK"...

Economists Divided Over Deletion Of Zeros

By Amina al-Dahabi for Al-Monitor.

The Central Bank of Iraq (CBI) has been attempting to delete three zeros from the Iraqi currency since 2003. This project has raised many concerns among the Iraqi public and within the business community, and Iraqi economists are divided…

…Haider al-Abadi, the head of the Iraqi parliamentary Finance Committee, told Al-Monitor that while deleting zeros from the current currency is possible, this has been postponed until after parliamentary elections. He noted that studies are being carried out to ensure that, following the currency change, counterfeiting is limited and that Iraqis don’t go back to trading in the old currency.

The step to delete zeros from the currency has been postponed several times, leading the parliamentary Economic Committee to demand that the CBI accelerate this project, as Al-Sharqiya reported. In a news conference held July 6, the Economic Committee confirmed that the deletion of zeros will lead to an increase in the value of the Iraqi dinar and will have positive repercussions, including a reduction in unemployment and poverty rates in the country.

ARTICLE LINK

Crush Expected When Kuwaiti Banks Reopen Today

March 24, 1991|From Reuters



KUWAIT CITY, Kuwait — Thousands of Kuwaitis are expected to jam the country's banks today when they open for the first time since the end of the Iraqi occupation.

Customers will be allowed to withdraw funds and to swap pre-invasion money for a new currency issued to make more than $1 billion in pre-invasion dinars stolen by the Iraqis worthless.

"We expect a rush of people," said Issam Asousi, an executive with the Bank of Kuwait. He said it could be a chaotic first week because customers have a lot of questions about their accounts.

Kuwaiti banks continued operating during the seven-month Iraqi occupation under managers brought in from Iraq, but they have been closed since the U.S.-led alliance ousted the Iraqi army from Kuwait a month ago.

When the banks reopen today, customers will be able to withdraw up to 4,000 Kuwaiti dinars, equivalent to about $14,000 at pre-invasion exchange rates from their accounts, and to exchange a like amount for foreign currency.

Balances of customers' accounts will go back to what they were on Aug. 1, a day before the invasion.

Clients will not be able to exchange Iraqi currency issued during the occupation, when Baghdad pegged the rates of the strong Kuwaiti dinar to the far less valuable Iraqi dinar.

The new Kuwaiti money will be exchanged for old at a one-to-one rate.

https://articles.latimes.com/1991-03-..._kuwaiti-banks


BGG ~ Thanks to wmawhite for some facts on the subject.

Hi BGG,

Just thought I would drop you an email. I listened to the call, and was interested in what was said about Kuwait, if I may - I will add my 2 cents worth.

You were spot on with what you said, I have a close friend who's father made a killing on the KWD. He bought from people who had fled the country and he paid pennies on the dollar (we are in Australia). He took the chance that Iraq would be kicked back out and he was right.

When the money was reinstated, he exchanged it for AUD at a rate in the mid 3s. The interesting thing about it is, Iraq invaded in November 1990 (I think), they were kicked back out at the end of Feb 1991, the banks reopened with a brand new KWD in late March, that's not a bad time frame to get a currency designed, printed and made ready to use, also the time that the old KWD was valid was initially only for 2 months, then extended to 6, so it was valid until Sept 1991, interesting I think.

Also the other thing that seems to be a "fact" in Dinar land is Bill Clinton used the Kuwait RV to pay off the debt. However, Clinton was not President in 91, he did not take office until 93, even I know that and I am an Aussie.

Anyway thanks for the site and enjoy listening to your calls.

Kind Regards,
Kevin

[sczin11]

CENTRAL BANK OF IRAQ

CURRENCY CODE SELL BUY
US dollar USD 1166.000 1164.000

CURRENCY	CODE	SELL	BUY
US dollar	USD	1166.000	1164.000
Euro	EUR	1276.770	1276.132
British pound	GBP	1738.623	1737.753
Canadian dollar	CAD	931.980	931.514
Swiss franc	CHF	1218.264	1217.654
Swedish krona	SEK	137.370	137.302
Norwegian krone	NOK	148.575	148.500
Danish krone	DKK	171.141	171.055
Japanese yen	JPY	9.736	9.731
Special Drawing Rights	SDR	1622.349	1621.538

Indicative rates - 26.03.2015

https://www.cbi.iq/

[sczin11]

Economic Adviser to Ebadi: acceptance issued by private banks and financial instruments will support the liquidity of the state.



Long-Presse / Baghdad - Money in one of the private banks - The prime minister for economic affairs adviser to the appearance of Mohammed Saleh, on Thursday, the Economic Committee of the Cabinet decision on the admissibility issued by private banks instruments to pay taxes as "supports the financial liquidity of the State", while noting the central bank went to move the liquidity in the private banks.

Saleh said in an interview with the (long-Presse), that "the Central Bank of Iraq went to move the liquidity in the private banks, as well as providing financial liquidity of the State itself because the state today need money (Cash) therefore suggested to the Economic Committee of the Council of Ministers to accept instruments citizens who want to deal with private banks, which are the taxpayers. "

He Saleh, said that "this decision will facilitate the collection of the money paid to the banks, and that goes for any state not restricted tax payment process by the citizens on the Rafidain and Rasheed and diversity in different banks.

The CBI had announced a statement the day before yesterday (March 24, 2015) for the approval of the Economic Committee of the Council of Ministers on the central bank to accept a proposal issued by private banks instruments to pay all taxes and fees and without a fixed roof.


https://translate.googleusercontent.com/translate_c?depth=1&hl=en&rurl=translate.google.com&sandbox=0&sl=ar&tl=en&u=https://www.faceiraq.com/inews.php%3Fid%3D3655619&usg=ALkJrhgwLrAWL737geqh_HGhYdJbD-0DdQ

[sczin11]

Nassif: Integrity Commission is unable to combat financial and administrative corruption so withdrawn



Agency Sama Baghdad news - Baghdad Confirmed the high Nassif MP, that withdrawal from the Parliamentary Integrity Commission came thoughtful personal decision for lack of sufficient seriousness of the Committee for the follow-up files of corruption.

Nassif said in a statement, said that "my withdrawal from the Parliamentary Integrity Commission came thoughtful personal decision", saying "I did not find in this committee seriously enough in the fight against financial and administrative corruption in state institutions."

Nassif expressed regret that the Commission "is still in coma," adding, "opted to work in the Parliamentary Legal Committee, considering that there is a package of legislation required by the political document, and I will continue to corrupt files through periodic supervisory deputy in Parliament


https://translate.googleusercontent.com/translate_c?depth=1&hl=en&rurl=translate.google.com&sandbox=0&sl=ar&tl=en&u=https://www.faceiraq.com/inews.php%3Fid%3D3655636&usg=ALkJrhipgYd-tBq_vShADxV44e6-w2Sr2A

[sczin11]

General Directorate of Nationality: The proposed model unified national card with technical specifications sophisticated and difficult to forgery

{Baghdad: Euphrates News} The General nationality of the Interior Ministry Directorate, on Thursday, the proposed model of a unified national card with technical specifications sophisticated and difficult to forgery.

According to a statement of the Information Office of the Ministry of Interior agency {Euphrates News} received a copy of it today that he "responded general sexual Directorate about what some of the press about the unified national card model denied Directorate cited these newspapers for inaccurate model and untrue unified national card, which is working Directorate Public sex in the Ministry of Interior issued to replace other identification archives. "

"The Directorate General of nationality showed that the proposed model is a technical specification developed in the very quality is difficult to imitate or falsified," adding, "It surprised by such news that do not support the resolution or media professional required," asserting that "the doors open to the media for the Last stages of development of the project ".anthy

https://translate.googleusercontent.com/translate_c?depth=1&hl=en&rurl=translate.google.com&sandbox=0&sl=ar&tl=en&u=https://www.faceiraq.com/inews.php%3Fid%3D3655626&usg=ALkJrhgPoZ4tXwI02kpra6kQTrRfvg1Lqg

[sczin11]

Barzani: We ask Baghdad $ 12 billion and independence is not "our agenda."

Assured the Prime Minister of the Kurdistan region, on Thursday, that the issue of independence for the region is not within 'our agenda' at this stage, pointing out that 'there are groups within the popular crowd moving without legal frameworks, such as what happened in Diyala, Baghdad and other areas.'

Barzani said in a newspaper interview, seen by the (news) today, 'We were shocked at the beginning of the war with Daash, but was then keep the organization on the borders of the Kurdistan region, and the reins of the fighting in our hands now.'

Barzani said 'We have agreements covering two separate tracks, the first covering the political relations and other economic relations, but the big disagreement is on the economic side', noting that 'the city of Baghdad in the amount of $ 12 billion from last year, and if they are willing to give us our money, we can negotiate' .

On the subject of the independence of Kurdistan, Barzani said 'If you ask about any Kurdish independence will say that he supported it, but at this stage of Independence is not a part of our agenda and the geopolitical situation is sensitive to Kurdistan, Turkey and Iran on the border with us.'

And the formation of the popular crowd, Barzani pointed out that the 'popular crowd was formed as a result of the advisory opinion of al-Sistani, has played a positive role in the fight against Daash, but there are groups within the crowd moving without legal frameworks, such as what happened in Diyala, Baghdad and other areas.'

And the role of Iran, President of the Kurdistan Regional Government 'he said when Daash began this war in Iraq, Iran was one of the first countries to put forward for the defense of Iraq, including the Kurdistan Region'.

https://translate.googleusercontent.com/translate_c?depth=1&hl=en&rurl=translate.google.com&sandbox=0&sl=ar&tl=en&u=https://www.faceiraq.com/inews.php%3Fid%3D3655396&usg=ALkJrhjnvvzzbuvyWOsJ1cOQKpEyIOaQbg

[sczin11]

sczin11- I find ALL THE RECENT RELEASES ON THIS "NEW" SMART CARD VERY INTRIGUING... IF MEMORY SERVES ME CORRECT, LAST YEAR THIS TIME, WE HEARD SIMILAR NEWS ABOUT THE RELEASE OF THESE "NEW" SMART CARDS, THE CARDS THAT WOULD COMBINE ALL THE OTHER EXISTING CARDS, AND ADD MORE INFORMATION..1 CARD WITH ALL INFO , PERSONAL , BANKING, ETC... WE HAVE BEEN READING ABOUT QI CARDS, SMART CARDS, MC/VISA, AND THE CONVERSATIONS, SEEM TO BE INTERCHANGEABLE WITH REGARDS TO THESE CARDS...NOW WE SEE THE "REAL SMART CARD"....THE ONE WE WERE TOLD WOULD BEGIN DISTRIBUTION STARTING MID LAST YEAR...ONLY THE RELEASE NOW STATES, MID THIS YEAR??? REFERRING TO NEWS OF LAST YEAR ONLY, NOT RELEASE! THE REASON I BRING THIS UP, IS THERE WERE MANY OPINIONS, THAT UNTIL THESE SMART CARDS WERE DISTRIBUTED THROUGH OUT IRAQ, TO ALL THE CITIZENS, THE MONETARY FORM PROJECT COULD NOT BE COMPLETED... OVER TIME, I HAVE GIVEN MUCH THOUGHT TO THIS IDEA, AND MORE QUESTIONS THAT I CAN NOT ANSWER, YET, ARISE... ARE THESE "NEW SMART CARDS" TO REPLACE/INCLUDE MC/VISA/ATM WITHIN IRAQ? ( I DONT BELIEVE THEY CAN REPLACE BANKING CARDS, AS WHAT IF ONE HAS MULTIPLE BANK ACCOUNTS?) IS THE "NEW" ELECTRONIC BANKING SYSTEM SET UP FOR THESE "NEW CARDS"? IF NOT, THEN HOW WILL THESE NEW CARDS TIE INTO THE BANKING/MONETARY REFORM? OR WON'T THEY? ARE THESE SMART CARDS PART OF THE "E-GOVERNMENT" PLAN? THEY SUPPOSEDLY WILL HAVE ALL YOUR PERSONAL DATA, INCLUDING INFO NEEDED FOR VOTING....REMEMBER WHAT IRAQ WENT THRU LAST YEAR FOR THE ELECTIONS, WITH ELECTRONIC BALLOTS BOXES, CORRUPTION ACCUSATIONS ETC...MY UNDERSTANDING IS THESE NEW SMART CARDS WILL ELIMINATE ALL THOSE NEEDS..AND MORE!
ONCE AGAIN, WE DON'T KNOW, WHAT WE DON'T KNOW! MAKES ONE WONDER

WHAT I AM TRYING TO GET AT HERE, IS THE CORRELATION BETWEEN THESE "NEW SMART CARDS" AND MONETARY REFORM, IF THERE IS ANY AT ALL...THEY SEEM TO BE MAKING A VERY BIG DEAL ABOUT THE DESIGN, ISSUANCE, AND SAFETY OF THEM, YET I DON'T SEE HOW THEY WILL BE USED IN THE FINANCIAL SECTOR, OTHER THAN FOR IDENTIFICATION PURPOSES...WHICH, OF COURSE IS IMPORTANT TOO!


Conscious / Interior: Standard card alternative archives probative and difficult to forge

26/03/2015 12:27 | Number of Views: 1



Conscious / Baghdad / MA
Interior Ministry Directorate General of sexual announced that a unified national card to be issued next June will replace the archives supporting four.
Interior denied in a statement received (news agency, media / INA) "cited some local newspapers for inaccurate and untrue unified national card and that the process of public sexual Directorate in the Ministry to issue them to replace other identification archives model."

Showed Directorate According to the statement, "The proposed model is a technical specification developed in extremely difficult to imitate the quality or falsified."

And was amazed Directorate "such news that does not rely accuracy or professional media required" explaining that "the doors open to the media for the last stages of the development project."

The Interior Ministry announced Monday its intention to issue a unified card in the next month of June.
The General Directorate of Nationality, announced on 12 May 2014 from the past, from the end of the first phase of a unified national card project, indicating that the first card will be issued mid-2015.

It is said that the government has contracted, in October 2013, with a German company to issue a unified smart card, in a move she said was abbreviated routine happening in the state institutions and the removal of the manipulation of important documents and strengthen the security of the electoral process and to ensure the functioning properly.

And includes a unified national card cancellation of four cards are supported at the present time, namely, (a certificate of nationality and identity of the Civil Status, and the ration card, and the card housing) to be in one card through data archiving and transfer restrictions to an electronic system that contains ten numbers represent a range of variables such as the province and the judiciary The birth and so on.

The appearance of Mohammed Saleh Economic Adviser to the Prime Minister Haider al-Abadi revealed in the fourth of this March for a government headed described powers "to activate the e-governance to government departments in the next few months, adding," The government today is heading towards e-governance service, which means good governance away from corruption and the high transparency.

https://translate.googleusercontent.c...MLlQ4kVo4ilbZg

and

Iraqi Interior announces the issuance of the unified card in next June

The new image of the card

The Interior Ministry announced the issuance of the unified card in the next month of June. The General Directorate of Nationality, announced on 12 May 2014 from the past, from the end of the first phase of a unified national card project indicating that the first card will be issued mid-2015. A statement of the Ministry for Information and Public sexual director emphasis on the need to support the unified media card project and the planned launch next month of June. The new card carrying Iraqi flags of Kurdistan. The Iraqi government had contracted in October 2013 with a German company to issue a unified smart card

https://translate.google.com/translat.../ar/news/iraq/

[sczin11]

Economist: identification and taxes levied reflected positively on the economic situation in Iraq

BAGHDAD / Source News / .. Economic stressed Ali Jabbar Frejee, on Thursday, that the adoption of a new mechanism in the Iraqi trade market based taxation according to standardized tables, will benefit the economic situation in Iraq.

He Frejee, academic at Harvard University, in a press statement I followed Agency / Source News /, that "the approval of the Economic Committee of the Council of Ministers on a proposal of the Central Bank to accept issued by private banks to pay taxes and fees instruments, is a step towards building a balanced tax program does Banking Movement in Iraq, "he said," This program represents a transition process differs from its predecessors, well that would be a mechanism of action, which can identify money laundering and tax evasion and smuggling currency out operations. "

Frejee and called for "the application of this mechanism properly to support and develop systems and bank credits and guarantees from private banks, which were the basis of many overtaking on the tax system and currency smuggling operations, as well as support for binding electronic system in all the processes and procedures that punctuated this system, in addition to adopting tax approach and clear of all transactions and archives all imported materials within a system of customs tariffs. "

He added that "the Economic Committee of the Council of Ministers to include approval of the proposal to the central bank, to determine a time limit or starting a test process for this program for a certain period (six months or more) to study the obstacles that can be faced by this program."

He said, "One of the ingredients needed by this program to organize training courses include all Iraqi banks, businessmen and institutions that manage the border crossings to establish the first step to launch."

The Central Bank of Iraq, announced last Tuesday, for the approval of the Economic Committee of the Council of Ministers to accept the proposal issued by private banks to pay taxes and fees instruments, without a specific timeframe. / End Q



https://translate.googleusercontent.com/translate_c?depth=1&hl=en&rurl=translate.google.com&sandbox=0&sl=ar&tl=en&u=https://www.faceiraq.com/inews.php%3Fid%3D3655832&usg=ALkJrhhDGkKMbe5SUx39tcxJDtvaYV8PAQ

[chattels]

Liberal candidates for the presidency reveal Alliance

Renewed Liberal Bloc, Wednesday, its position that the presidency of the National Alliance of the share of the national coalition, not state law, revealing the presence of two candidates for the presidency of the coalition. The leader of the Bloc Prince Kanani said that "the position of Chairman of the Coalition of the share of the National Coalition, the fact that the post of prime minister has become a coalition of state law," adding that "the National Coalition, which includes (Liberal, the Supreme Council, virtue, reform) and they have candidates, current for the position they Speaker Supreme Ammar al-Hakim, and the Secretary General of the Virtue Party Hashem al-Hashemi. " Kanani said that "the Liberal bloc unresolved position after, asking a candidate from the bloc for the post of president of the National Alliance, or support one of the candidates."

He said a member of the National Alliance and the Minister of Higher Education and Scientific Research, Hussain al-Shahristani (March 22, 2015) that the National Alliance to take a leading role and important in the political arena in the near term, stressing that the presidency of the National Alliance on its way to the solution and reliable rotating presidency between the components of the alliance is the closest to the application, what was considered that the provision of priorities in the "Daash" war is the reason for the postponement of the subject and not the differences.

https://translate.googleusercontent.com/translate_c?depth=2&hl=en&rurl=translate.google.com&sandbox=0&sl=auto&tl=en&u=https://8th-day.com/%3Fp%3D100864&usg=ALkJrhgiUVeX9aUWNKhQHb9ThOjv6xbvWw

[sczin11]

sczin11- HERE IS A GREAT, EASY READ, LONG BUT HELPFUL, TO UNDERSTAND THE PROBLEMS/NECESSITIES OF BUILDING THE AGRICULTURAL SECTOR IN IRAQ, AS WELL AS OTHER INDUSTRY TO MINIMIZE THEIR NEEDS FOR IMPORTS...AND HELP BUILD THE ECONOMY AND THUS BOOST JOBS, AND INCOME TO THE AVERAGE CITIZEN..

Imported goods crowd out local production in Iraq



Residents buy vegetables in a market in Baghdad's Karrada district, Aug. 14, 2012. (photo by REUTERS/Mohammed Ameen)

Author Wassim Bassem - BABIL, Iraq — Qasim al-Rubaie, a teacher from Babil province, told Al-Monitor in front of a grocery store, “You will not find any Iraqi grown vegetables and fruits.

Instead you'll find imported goods from Jordan, Turkey, Iran and the Gulf countries.”Flooded with imported goods, the Iraqi market is grappling with a serious lack of local products, due to the displacement of farmers, lack in government control and almost absent support for the domestic industry.

In fact, Iraqi agricultural products are not found in many local grocery stores, as if Iraq is no longer producing food products. The same applies to locally manufactured products, such as tissues, luxury items and drinks, which cannot be found in the markets. Yet, markets are overflowing with all sorts of imported goods.

This phenomenon is not new, according to Alaa Najm, a merchant. He told Al-Monitor, “The presence of domestic goods in the markets began to decline in the late 1980s. The reason for that was the former regime’s military expenditures. Then agricultural and industrial production decreased, and the government’s support for these sectors vanished, factories became obsolete and agricultural land reclamation projects no longer exist.”

Najm began traveling to China in 2003, along with hundreds of Iraqi retail and wholesale traders, to import goods at a cheap price. Because of the traders’ import activities, foreign products have become abundant on the Iraqi market, in the absence of mechanisms to protect local production, obsolete production techniques and an unimplemented customs tariff law on imported goods.

In an interview with Al-Monitor, Maytham Elaibi, an economist and academic researcher at the University of Baghdad, said that the major collapse in the domestic production of goods is attributed to “the economic policies that have failed to support factories and farm owners in making their products profitable.”

Elaibi said, “The low salaries have prompted workers to move from the private to the public sector, which increased disguised unemployment, which is unproductive.”

According to Elaibi, “Under the trade policies [which have been adopted] of 2003, the border has been open and the customs tariff system controlling the entry of foreign goods has been canceled.” He added, “The subsidies policies have not encouraged the establishment of a real industry. Rather, they have encouraged dependency on government projects, which created a ‘parasite class’ that lives off unproductive contracting.”

Iraqis do not only suffer from the absence of local goods, but also from widespread low-quality imports. They accuse traders of importing cheap commodities at the expense of quality, to realize the greatest possible profits. These practices were confirmed by China's commercial attache in Iraq, Wang Xi Tong, who blamed the Iraqi traders of “importing poor-quality products.

The low-quality imports now also include medicines. There are multiple complaints and protests demanding to hold accountable the importers of poor-quality and expired medicines that have killed many citizens. In the city of Karbala, citizens complained about low-quality imported products. On Feb. 2, protests took place in Basra, southeast of Baghdad, demanding that the market be revitalized with locally made products. Member of the Council of Representatives of Iraq Hamam Hamoudi called on March 18 for buttressing the local industry with locally made products to boost the country’s economy.

In this context, Salama al-Salhi, cultural consultant to the prime minister, told Al-Monitor, “Since 2003, the Iraqi market has been wide open to the entry of goods from various origins and of bad quality.” Salhi attributed the low-quality products to “the absence of quality control and consumer protection laws,” and the declining industrial and agricultural production to “the displacement of farmers to the cities because of desertification and their integration into the ranks of the armed forces. Moreover, paralyzed production of electricity and lack of government support for the domestic industry were behind the importation.”

Salhi's statements in regard to the lack of national commodities in the Iraqi markets are supported by Mohi al-Masoudi, an economic researcher from Babil. He spoke of different reasons, namely “the war, occupation, terrorism, corruption and huge oil rents,” and said, “The cost of local agricultural and industrial products is higher than the selling price in the absence of subsidies.”

Masoudi did not rule out the presence of “political goals behind the lack of advancement of the Iraqi production.” He added, “A war is being waged against Iraqi products, in favor of [products from] countries such as Iran, Turkey and Saudi Arabia, which benefit from Iraq as a market consuming their goods.”

Government statistics show that Iraq’s imported goods are worth $65 million per year.
Ahmed Hashim Habobi, an engineer, told Al-Monitor, “In 2003, the year when Saddam Hussein’s regime was ousted, we witnessed a horrible collapse of the Iraqi industry, given the lack of electricity that is necessary for the operation [of factories] and declining security situation, particularly in the industrial areas bordering the cities.”

Saleh Sayyid Bakr, a political analyst, author and columnist for the online newspaper Elaph, spoke to Al-Monitor about the reasons behind the deterioration of agricultural and industrial production in Iraq. He said, “The security and political situations, the scarcity of expertise and treaties necessary for the advancement of the country and the lack of construction projects have prevented the development of Iraqi products.”
Bakr added, “Iraq has turned into a large consumer of agricultural products, although it has all of the key factors enabling it to be the first agricultural country in the entire region.” He attributed this to “the lack of land reclamation, the desertification of vast fertile agricultural land and the conversion of large agricultural land and orchards into residential areas.”

The interviewees mentioned many reasons behind the lack of competition between local and foreign goods. Yet, a stable security situation remains a key factor to achieve development. Without it, all of the attempts to develop production capacities will be in vain.


https://www.al-monitor.com/pulse/originals/2015/03/iraq-babil-basra-local-economy-products-imports-competition.html#ixzz3VUHoM4bY


https://www.al-monitor.com/pulse/originals/2015/03/iraq-babil-basra-local-economy-products-imports-competition.html