Iraq tops the list of World Bank loans worth $ 20 billion and warnings of a "squandered"

29/03/2016 11:32

Long-Presse / Baghdad

Finance Committee in the House of Representatives, confirmed on Tuesday that Iraq is suffering from a financial and economic problems, "sharp require international intervention," and promised that a key visit to the banks nations and Muslim Iraq had come on time, and as revealed that Iraq tops the World Bank projects loan list of $ 20 billion dollars, indicated its intention to provide $ 250 million loan for Iraq, and promises of the Islamic Development Bank to provide grants.

He said the Commission decision of meat Ahmed Rashid said in an interview (range Press), "The heads of the World Bank and the Islamic Bank visit timely, particularly since Iraq is suffering a severe financial and economic problems that require international intervention."

He said Rashid, that "the visit revealed that the World Bank's intention to provide $ 250 million in accordance with the benefit of time and reasonable, as well as the issue of Iraq existing Bank projects loan and a $ 20 billion allocated to countries in the Middle East," noting that "the World Bank president called for partnerships with World countries to lift the Iraqi economy financially, and participate in the rebuilding of Iraq through international experience. "

He meat, that "the Islamic Bank promised to give to a number of provinces in particular that has been devastated by the organization (Daash), and the granting of future industrial and agricultural sectors for the promotion of sectors," noting that "the Islamic Bank called for the deepening of relations between the private and public sectors."

Central Bank: amounts few international institutions and their negotiations on the government and not seek advice

The CBI has promised, that the amounts provided so far of the few international institutions and does not cover the fiscal deficit, calling on the Iraqi government to "negotiate with these institutions in accordance with the economic interests of the country, and not to deal with them as institutions consultant to advise you."

He said the Council of the Iraqi Central Bank board member Ahmed Rehn said in an interview to the (long-Presse), said, "We hope to provide loans to Iraq by international Islamic banks according pledged the World Bank to provide a loan to Iraq in an earlier meeting, which prepared a report on the Iraqi economy, published in the end of the year 2015 ", adding that" the Islamic Bank offers between two and other assistance to its members, including Iraq. "

Rehn said, "The amount being offered is still low and not commensurate with the file in the Iraqi budget deficit," pointing out that "on Iraq to deal with the international financial institutions and try to take advantage of them to the extent possible."

Rehn stressed that "the World Bank and International Monetary Fund loans advanced against the conditions," asserting that "these institutions could not provide much to Iraq in spite of dealing with them on a regular basis since 2003".

He called Rehn, the government "for its efforts with those institutions from the logic of negotiation and defend the interests of the country, according to the discretion and understanding, according to the responsibility for the Iraqi economy, not on the mind advisory institutions offering advice to Iraq," adding that "these financial institutions have the goals at the international level ".

Economist: loans are the easiest and the door wider to overcome the crisis and fears of corruption institutions

The Economist, that the solution to the economic crisis facing the country are two options are to reduce costs and increase revenue, or loans, with the exception of loans, "the door wider and easier" to overcome the crisis, he stressed that the international institutions will not provide loans in cash. "

The expert in financial matters on behalf of Jamil Antoine in an interview to the (long-Presse), said that "Iraq is facing today the plight of the great economic crisis can not be undeniable, due to lower imports of oil sales by more than 60%, and the lack of other sources," returned to "the economy was walking at random and unstructured, in the absence of the productive sectors, particularly industry, agriculture and tourism sectors, which would have been a very significant financial resource for the country. "

He added Antoine, that "the solution to the crisis facing the country is to reduce expenses or increase revenue and loans," noting that "the first option is not something or easy, to be accompanied by the imposition of taxes and fees, so the loans is the door easier and broader."

He pointed out Antoine, that "the World Bank financial organizations loans provided in accordance with the conviction of those institutions conduct of the Iraqi economy on the right path, and not according to the mood of the Iraqi judges," pointing out that "these institutions loans will not offer cash, but will be presented in the form of funding for a range of projects offered by Iraq, under the control of these institutions. "

He saw an expert on financial affairs, that "the deficit financing in the current year's budget must be through loans, one of which IDB's loan of $ 500 million," explaining that "search this loan feet, was lend Iraq $ 250 million of it."

Antoine promised, that "there is fear that the international institutions such loans marred by corruption operations, such as those that swallowed $ 800 billion through successive budgets without offering something tangible," stressing that "the loans will be subject to scrutiny and surveillance."

Warnings of the withdrawal of international institutions for "helping hand"

For its part, stressed the economic and investment commission in the Chamber of Deputies, the need to "preserve the funds to be provided by international institutions," while warning of "pull those institutions Walid aid in the event of wasting that money."

The Commission said the economy and investment parliamentary member Nora Albjara in an interview to the (long-Presse), said that "it is necessary to maintain the funds that will be transferred from the international and Islamic banks, stressing that" a lot of money from those allocated to help Iraq gone previously without knowing its fate. "

She called Albjara, to "seriously work towards the sustainability of communication with the international financial institutions, through the implementation of vital projects through loans," warning that "the withdrawal of those institutions Walid assistance in the event of non-implementation of these projects and the squandering of funds, leading to a fall in big trouble too because of the financial crisis experienced by the country. "

The World Bank President Jim Yong Kim announced, in (26 March 2016), the possibility of the bank to provide assistance to the Iraqi government headed by Haider al-Abadi "to achieve economic and administrative reforms," ​​and as he pointed to the allocation of $ 250 million to rebuild the areas liberated from al (Daash) He stressed, "and the international community stand with Iraq in the war against terrorism."

It is noteworthy that the Secretary-General of the United Nations Ban Ki-moon and the heads of the World and Islamic banks visited, in (26 March 2016), to the capital Baghdad on an official visit.