Borrowing from the IMF is conditional on the lifting of subsidies on electricity supp
Borrowing from the IMF is conditional on the lifting of subsidies on electricity supply and reduce salaries
The IMF demanded the lifting of subsidies on electricity, ration for the Iraqi Government is trying to loan them to fill an expected shortfall in 2016 budget. The Fund also expressed strong reservations about the size of salaries paid as salaries, calling for reconsideration.
In the opinion of the members of the parliamentary Finance Committee that the conditions the Fund is not new, because the Iraqi side in previous budgets.
Previously, the International Monetary Fund to grant emergency aid to Iraq worth 1.25 billion dollars. And Iraqi officials said reserves the amount the Government is seeking to borrow from international institution that Washington-based.
Parliamentarians said last week (range), that the law "contains fictional loans budget exceeding $ 14 billion to fill deficits".
And sravya mp Jabar, a member of the parliamentary Finance Committee (term), "IMF reservations revolves around a Government-supported sectors included the electricity and fuel subsidies, ration card", stating that "the Fund wants to raise subsidies for these sectors to borrow".
And sravya said "these objections are not new terms put forward by the IMF in previous budgets to facilitate borrowing but not made because the situation and circumstances experienced by Iraq".
And about Iraq's negotiations, represented by the ministries of finance and planning, audit, Central Bank, International Monetary Fund, Finance Committee member explains that the "IMF solid global institution want to follow Government Exchange topic and does it supports international standards".
And the State of law bloc Member pointed out that the "primary objective of lifting subsidies on these sectors, demanded by the IMF to the Government will borrow her money goes to other sectors more important".
He is a member of the Finance Committee, saying that "the IMF thinks about how to recover these funds will borrow her Iraq rather than go to the consumer", pointing out that "the main objective of the Fund lies in trying to figure out where to go these funds will borrow her Iraq".
And sravya's attorney stated that "the sums allocated for ration card 2.5 trillion dinars, increasing by small amounts of electricity in 2016 budget".
The Attorney noted that "among the things that the IMF expressed its reservations regarding the payment of staff salaries with money weigh down from the shoulders the size of budget".
The IMF announced last Saturday that the Cabinet would adjust the balance in 2016 in line with the macroeconomic framework for the program that is being pursued by the Fund.
But the Finance Committee member of Jabbar Abdul Lateef denies that the Government withdraw the law on the federal budget from the House to make adjustments in line with IMF demands.
Turn Attorney confirms Kader Mohamed, another Member of the Finance Committee, that "the IMF provided advice to the Iraqi Government to raise financial support for the sectors of electricity, fuel and ration card and demanded that Iraq spending is proportional to the size of its income".
Says attorney Mohamed, (range), that "the IMF believes that if you reduce the size of public spending will be able to overcome the financial crisis and can pay back all the loans", adding that "IMF aims behind these reservations to improve the Iraqi economy for next year".
Member of the Finance Committee, warned that "If the Central Bank sold the dollar auction currency threatens to falling foreign exchange reserves, which the IMF deems dangerous".
However, the Finance Committee in Parliament, the figures contained in the budget "a fairy" and far from reality.
Committee Member said in an interview with Masood Haider (range) that "the figures in the budget are fictional and far-fetched", stating that "oil revenues based on exporting 3.6 million bpd and Iraq cannot export more than three million bpd".
Haider said that "Iraq sells its oil price of 45 dollars a barrel and must guess the oil based on the $ 40", pointing out that "oil imports up under the roof of export and world oil prices between 50-51 trillion dinars".
Haider stressed that "the non-oil imports to some extent August 2015 reached 1 trillion 200 billion Iraqi dinar could reach 2 trillion dinars in the best of cases upto 5 trillion dinars and difficult to reach 15 trillion".