Iraq agree on financial monitoring program with IMF issue domestic & int'l bonds 1110
Iraq agree on the financial monitoring program with the IMF and issue domestic and international bonds
- (Petra) P h / a Q / h A
10/11/2015 - 19:06
Amman, November 10 (Petra) - from Faik Hijazin- Finance Minister Hoshyar Zebari said that the Iraqi government will issue bonds worth 7 trillion Iraqi dinars in the next year to pay off the balance, dramatized pressures faced due to terrorist threats and the growing number of displaced people and the decline in oil prices in the market deficit Global.
He said in a press conference held on Tuesday in Amman with the head of the IMF mission to Iraq, Christian nut, to announce the Iraqi financial and economic policy surveillance program agreement by the Fund, the bonds that will put the Iraqi government representing 5 billion trillion Iraqi dinars in domestic market and two billion Iraqi dinars in the international market.
He stressed that the government was planning to launch international bonds in the current year but fell against rising interest rates, "but after the Iraqi government agreement on the control of financial and economic policy program, we expect prices lower interest because of the increased confidence of donor institutions, and improve the classification of Iraq in front of the international financial institutions." .
He said, in response to a question news agency Petra, said the agreement with the IMF gave a lot of confidence of international donor organizations in the Iraqi economy, noting that the World Bank, and after agreement with the Fund, would give Iraq a loan of 2.1 billion dollars by the end of this year.
Minister Zebari announced to reach the Iraqi government to deal with the International Monetary Fund to monitor the financial and economic policies, does not include any funds or loans from the fund, "but it helps the government and boost its financial position to obtain loans from international financial organizations, and improve the credit rating of the country."
He stressed that the criteria contained in the agreement with the Fund does not include any reductions of salaries and social benefits provided by the government, or the disposal of the aid for displaced people and displaced inside Iraq.
He said that Iraq is in crisis and the threat of a terrorist organization Daash, as suffering from a drop in oil prices and large numbers of displaced people are all you need to measures and actions to address them.
In response to a question, the minister Zebari, the Iraqi government girl assumptions in the budget bill for 2016, submitted to the Iraqi Council of Representatives finally, at a conservative price of a barrel of oil by $ 45 a barrel.
In turn, the head of the IMF mission said to Iraq, Christian nut, had been to reach agreement on the level of Fund experts on a program watched by IMF experts begin the end of 2015, will be implemented under which the Iraqi authorities fiscal adjustment process to contain public spending in line with revenues and funds Available.
He added that the correction process aimed at reducing the non-oil primary expenditure by 4 percent of the total non-oil GDP to the end of the period of 2014-2016.
He pointed out that the agreement with the Iraqi government included needed to support public financial management measures, and measures to combat money laundering and terrorist financing and financial sector stability.
Coconut and pointed to the challenges facing Iraq, most notably the ongoing armed conflict with al Daash terrorist, which is exhausting the country's resources and lead to new waves of displacement, which exceeded with the number of Iraqis displaced four million displaced people until the end of last June, along with the challenge of low oil prices in the global market, that caused "significant external shock" to the Iraqi balance of payments, budget revenues, which depend primarily on oil revenues.
He predicted that the Iraqi GDP to grow by 5.1 percent in 2015 due to an increase in oil production in areas under the control of the Iraqi government, and in areas of the Kurdistan Regional Government.