Private sector reforms package. The second breakthrough

16/2/2016 12:00 am

The Iraqi economy and private sector development

Looking forward the Government's economic program to accomplish the tasks of implementation of articles 25 and 26 of the Constitution of the Republic of Iraq of 2005 containing; repair the Iraqi economy in accordance with modern bases to ensure full investment of its resources, diversifying its sources, and support and development of the private sector and encourage investment in various sectors. Implementation requires commitment to a series of structural changes at the level of the national economy, which in turn require adopting an integrated set of policies and legislation and procedures relating to various activities Economic development.

To achieve this the Government worked on the foundations of its economic programme in drafting the package of policies and procedures to support the private sector, reflecting the general trend directions As follows:

1. a national vision is shared between the public sector and the private sector, beyond the political and sectional interests and profile, to prolong the transition that began in 2003 Reid missed important opportunities, and to postpone the reform will have a negative impact.

2. the need to strengthen the capacity of the national economy on a sustainable growth, modernization of the production technology, diversification of sources of income, employment, and maintaining the national wealth of material and human resources and development.

3. reform of the Government program is linked to Government age; and the average 1-4 years, but;
Establish the future being effected structural changes in the structure of the economy determine roles and trails the private sector and its relationship with the State.
Do not lose sight of the implications of the current crisis and how to remedy them through the reform of public budget.

4. no development without the private sector varies between vision:
Given the leading role in the activities of the State withdraws (manufacturing, agriculture, trade, tourism, services, ...)
Partnership between the State and the private sector in certain activities within service sectors and funding And insurance.
State support for private sector initiatives in new activities.
Improve the business environment and investment climate through the Government to simplify procedures and remove legal and administrative obstacles.

5. the need to strengthen cooperation and perhaps integration or integration with the Arab economy and regional and global, requiring:
Upgrading to world standards and adherence to the General conditions of the WTO which seeks Iraq (and continuing) to join.
Partnership with international companies in existing or new projects in the various activities that have the products a competitive advantage in the domestic market or export markets. (Note that foreign investments and international companies prefer a partnership with the private sector and not Governments)

6. the policy of the Federal Government's jurisdiction and responsibility (under the Constitution), but the regions and governorates on policies and procedures in accordance with the priorities determined by the characteristics and conditions of the domestic economy, and will be implemented by local governments which in accordance with the powers conferred by the law of the provinces.

7. public sector reform and public sector, and the restructuring of public enterprises and the banking system, and the general budget.

8. private sector reform to ensure the reorganization and strengthening of the institutional aspect of negotiating positions and strengthen its representation before Government and global corporations.

9. strengthening civil society organizations, centres of research and studies to exercise its oversight role on the performance of the Government and the private sector to ensure the protection of Consumer.

10. the reform measures coincided with a media campaign, involving universities and educational institutions private sector information by government institutions.

11. the reform actions coincided with measures such as social insurance and retirement of employees in the private sector, and health insurance.

12. priority drivers and small loans for young people and women to raise the low participation rates in economic activity.

A package of policies and procedures to support the private sector

This package has been formulated on the basis of the study and the results of the last ten years experience, practical and theoretical insights which are involved in selected experienced with a broad group of government officials and the private sector, academia and civil society. I've worked for ministries and agencies and private sector organizations and international organizations over the past decade to develop plans, studies, and recommendations were made and implemented programmes, a background task for the team.

Programme progress procedures ranging from 2015 to 2018, however, lay the foundations of the economic structures and the roles of Government, local governments, the private sector and civil society, sound economic management and efficient style that will lead the national economy over the long term; if policy were integrated and implemented in one package.

1. the package of policies and procedures to encourage the private sector through:
The restructuring of State-owned public companies.
Encourage the private industrial sector.
Finance and insurance reform.
Improve the business environment and encouraging investment.

2. package policies and actions to diversify sources of income and employment creation, and include:
Agricultural and livestock activity.
Commercial activity.
Tourism activity.
Service activities.

3. reform of public budget by:
Maximize public revenue.
Rationalizing public expenditure.

4. social dimension by:
Gradual economic transition is less damage and negative consequences, through the application of new mechanisms for social security, restore the balance in favour of the private sector.