The advantages of privatization

2/15/2016 0:00

Louay Qais Abdullah *
Partial privatization of some government installations is one of the proposed solutions to the financial crisis, lies the importance of the subject in determining Alldoralmentzer the private sector in addressing or resolving the financial crisis, which is going through Iraq through the privatization of some government installations in whole or in part, at least.

The private facilities It is originally self-financed but do not cover even their employees and their workers wages Maydtrha to take grants from the Ministry of Finance to cover its expenses and poses an additional burden on the state budget is indispensable and can get rid of this pressure or burden on the state budget through privatization of all or part of these facilities to cover expenses as a first stage and a profit in the other stages, a regrettable relieves a big burden for placed upon it.

In this area, for example, can be proposed privatization of entire ministries because these ministries are originally productive but turned into ministries unproductive but consumer pressure on the state budget and that due to poor management and indifference ( corruption and theft because of poor

One of these ministries as a first step could be privatized and is expected to generate funds to fill the sizeable budget deficit are the ministries of transport and industry and minerals starting. It is a bold step for the government can block the budget deficit in the long term in the event of a continued decline in oil prices and in the case of high oil prices can thus move to reduce the budget on oil imports to adopt in order to spare the country such crises in the future.

In conclusion, this proposal is just an idea There are steps in the quiver of the writer and detailed solutions to be implemented in the event of the government's determination to benefit from such proposals.

* professor of accounting theory in the College of Mesopotamia University