International loan economic measures of the government eased the financial distress

Views 18 Date 19/07/2016 - 21:16
BAGHDAD / Economy News ...

Affirmed the financial advisor to the Prime Minister, that the agreement with the International Monetary Fund and government actions ensured high flexibility to redefine its priorities to cope with the lack of material resources, they returned to it, "it softens" financial distress does not mean its completion, with the parliamentary finance committee affirmed Iraq's commitment to the International Monetary conditions are including a recruitment freeze for three years to come as well as the imposition of fees and taxes, and declared the Iraqi Central Bank to buy the care of minors and public retirement and two banks in treasury remittances worth 400 billion dinars.

He said the appearance of Mohammed Saleh, said that what the Minister of Planning and member of the cell, the governmental crisis, Salman al-Jumaili, concerning the infringement phase of the economic crisis, it is true as expressing the government's vision to the implementation of economic policies, "returned to" Jumaili was intended that the recent agreement with the International Monetary Fund has provided flexibility high Iraqi economy to face any shortage of resources Balnho which relieves him of financial distress, not termination. "

Saleh added that "financial distress still exist, but the risks I said as a result of the availability of easy paths and ways of financing through borrowing from the International Monetary Fund, and the restructuring of the budget and the retrenchment and re-prioritization," noting that it "eased the burden and the security of the government flexibility in the management of economic activity fiscal deficit estimated at best. "the Minister of planning, said in (the 11th of July present in 2016), that Iraq has overcome the economic stage more dangerous after the first half of 2016 ended, they returned to the world's confidence in Iraq has become stronger and encouraged the international community to deal positively with him after receiving a loan from the international Monetary Fund.

The financial advisor to the prime minister, it was revealed, in (27 May 2016), for Iraq, for "" an international financial umbrella of the convergence of twenty billion dollars, as a result of its agreement with the International Monetary Fund.
In turn, he stressed the parliamentary finance committee member Majda al-Tamimi, Iraq's commitment to the International Monetary conditions, including recruitment freeze for three years to come as well as the imposition of fees and taxes.

She said Tamimi, in a press statement that the financial crisis in the country because of low oil prices have made the Iraqi government in dire need of foreign loans to bridge the shortfall in the budget, but this does not mean that we make the country dependent on loans from the activation of other vital sectors, "noting that" Iraq has a large internal and external debt is still in his duty and is unable to repay "the Iraqi government. she said in a note published by the international Monetary Fund, it" will be applied to freeze the recruitment policy in most sectors and modify the payroll and imposing electricity tariffs in order to increase revenue. "

She added that "economic activity for Iraq shrank by 2.4 percent in 2015," expected "to grow by 10.3 percent in the current year."

The government, that "Iraq will cut spending in the non-oil budget in 2016 by 15 percent and Sestdan billions of dollars in light of falling oil prices more than expected."

The government said in a letter to the sender of the International Monetary Fund in June to apply for a loan under the demand that it "now expects to reduce the deficit to $ 4.9 billion in 2016 and then to $ 13.2 billion during the period 2017-2019."

She noted that "other sources of funding to fill this year's deficit may include loans worth more than two billion dollars from the World Bank participate in the guaranteed France, Britain, Canada and loans worth more than three billion dollars from the United States and other lenders."

The government also said the International Monetary Fund, according to the note that he is committed to "pay-out" of receivables overdue for international oil companies by the end of 2016, and estimated the arrears in the past year, billions of dollars.

For his part, the Iraqi Central Bank, to buy the care of minors and public retirement and banks remittances treasury $ 400 billion dinars, adding that the number of participants in the auction amounted to four subscribers.

The bank said in a statement, that the care of minors and public retirement and banks bought through public auction conducted by the central bank on behalf of the Ministry of Finance treasury remittances amounting to 400 billion dinars, "noting that" the duration of the transfer of 364 days. "

He added that the central "take care of minors and public retirement and banks bought the entire assignment and the highest price," pointing out that "the number of participants in the auction amounted to four participants."

The CBI said the bank independent Iraqi under the law in the March 62 004 and is responsible for maintaining price stability and the implementation of monetary policy and the management of foreign reserves and the issuance of currency management, and regulate the banking sector to promote a competitive and stable financial system.

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