CBI reserves to fall to 60 billion dinars & budget faces shortfall up 25 Billion 9/9
Central Bank reserves to fall to 60 billion dinars and budget faces a shortfall of up to 25 billion
Iraq today - Iraqi Central Bank Governor yesterday said that the decline in oil revenues reduced the country's foreign exchange reserves to about $ 60 billion, enough to cover the needs of imports in about 18 months for the second-largest oil producer in OPEC.
Iraq's public finances has come under tremendous pressure because of the decline in oil prices since last year's war with al Daash. The government expected a deficit of about $ 25 billion in the current year's budget amounting to about $ 100 billion.
The International Monetary Fund said that these factors also reduced international reserves, which fell to $ 66 billion at the end of 2014 from 78 billion at the end of 2013.
But conservative on the Keywords told Reuters that the low dollar-denominated expenses also also reduced demand for foreign currency.
He said in an interview at his office in central Baghdad, 'the level of reserves in Iraq comfortable' and added that the reserves are decreasing month but "not too much".
Keywords brushed off concerns that the continued downward pressure the Iraqi dinar, which the central bank sells to banks and dealers who obtained licenses at a price fixed in 1166 dinars to the dollar.
He said 'If we look at the markets these days .. we will see that the price is very stable .. and very reasonable. So you do not need to worry about this at the moment '.