Specialists: government loans exceeding commodity flow and contribute to reduce unemployment

Economists stressed that the loans released by the government will move the wheel of the local economy with an emphasis on activating the laws that provide refunds with their profits without wastage, while the Committee of Economy in Parliament called for a "dissuasive" sanctions against banks that do not support small and medium enterprises initiative. The economist said Maytham defect in an interview for the "long", that "the amount of government loans contribute to the increase of commodity production, and works to reduce unemployment, and supposed that these amounts are distributed between small, medium and large enterprises, and pumping these amounts to the economy represented in addition to the demand and it played to an increase in trading activity. " He added that "is expected to go this money abroad the country, because most of them will be spent on the purchase of goods and investment services imported to the establishment of industrial plants and agricultural mechanization, as well as intermediate materials contribute to the production process." He said defect that "the positive effects can appear on term term, on the assumption that the money actually go to the truth, and not to go to the fake projects and do not go to investors Hakeyen projects, which presupposes the existence of real guarantees and controls to prevent get it. " He said the "Past experience has shown that a lot of the money that has been lent not return, a private industrial loans, home loans and other, so it requires the development of guarantees and the application of strict laws against defaulters, also requires a balance between controls and safeguards and between that the money go to the investors and industrialists, agricultural real.
"He stressed the need to" develop a unit to follow up these loans, paying greater part of them for large projects, so the selection of projects represent goods group are carefully selected and then distributed to the provinces to take into account issues of availability of raw materials, which are base to reduce the imported goods in the future. " .

He pointed out the need to "choose a smaller number of projects to facilitate the control process and follow-up instead of many small businesses and medium can be dispersed and difficult to control them and then lose the project its true value."

The Iraqi Central Bank announced on Tuesday 23/6/2015, the launch of loan amounts for projects medium and small by the Iraqi private banks early next month of July, and pointed out that the loan amounts will reach up to 50 million dinars, as he emphasized that banks benefit will not exceed 5.5%.

The governor of the Central Bank on the Keywords in an interview to the (long-Presse), The "The central bank's decision to allocate trillion dinars to the private banks and directed to establish medium and small projects will begin early next month (July)," noting that the goal of these projects is to achieve economic and social development and support for small and medium-sized economic projects and operation of premium skills workforce.

"He added Keywords that "the amounts to be allocated will target projects in the sectors (industrial, agricultural, housing, commercial, educational, health, tourism)," pointing out that "all Iraqi private banks covered by this decision for those who wish to work out."

Turn The head of the parliamentary Economic Committee Jawad al-Bolani, Thursday, to impose a "dissuasive" sanctions against banks that do not do the central bank for supporting small and medium enterprises initiative, while calling for the need to support those projects relying on private banks.

Bolani said, in a statement, received (range Press), copy it, that "the ball today in private banks stadium after the Central Bank of Iraq was launched for small and medium loans initiative in the previous time", calling for "the need for the effective contribution of private banks to support those projects."

He stressed Bolani, to "be there deterrent penalties against banks that this initiative does not do strict penalties of up to banks and denial of access to the foreign currency auction. "The Central Bank of Iraq was launched in the previous time a loan in the amount of trillion Iraqi dinars to support small and medium enterprises provide the form of loans to citizens through private banks.