After modifying the law the government can borrow from the central bank


Tariq Harb
legal expert
The first four days of the year 2016, experienced a frightening and terrifying statements from officials and are not responsible for the financial realities of Iraq, the financial crisis, even if other, arrived to say that the government will not be able to pay the salaries of employees in the next month of April, and as the Central Bank of Iraq, have money, up to sixty billion dollars, the bank also announced that, on 01/05/2016 m,
As the bank's money immunity and prevent the bank from lending to the government, are legal immunity, not constitutional immunity .. so that Article 26 of the Bank Law No. (56) of 2004, prevented the bank from lending to the government, the Constitution did not the rule in this Full money, and therefore it is possible to amend article mentioned in the Central Bank Act, a law issued by the Parliament, based on the draft of the government, including amending the provisions of Article (26), are includes passport government borrowing from the bank money, as if to be no more than a quarter of the bank's money. . any passport up to the amount that the government borrows to 15 billion dollars, and this is a large sum, meets the financial requirements for salaries and other .. but not much more than what is required, and the government prevents foreign loans and their benefits.
It is true that this amendment and this loan is considered harmful, but as before the damage most, a lack of funds for the disbursement of salaries .. serves to damage the lightest, a decrease in bank money, or influence on the economic level as has been said, the base legal (that necessity knows no law), and necessity here need to borrow from the bank, and the prohibition here is not to borrow, and the resulting economic damage, both are evil, and evil selection says the owners of wisdom, so the amendment of the Central Bank Law, it can be a solution that saves the government of the serious financial damage The grave, which is often repeated by the pessimists in the future of Iraq