Iraqi Stock Exchange and the efforts to revive the lost 8-24
Iraqi Stock Exchange and the efforts to revive the lost
August 24, 2016 in the media center
Organized by the Iraqi Stock Exchange in the first half of this year, four workshops as part of its efforts to attract local and foreign investmentsAnd the dissemination of investment in securities between various segments of society, and to attract savings, and the establishment of joint-stock companies, and strengthen investor confidence culture.
The discussions during these workshops, that the recession in the Iraqi economy caused by the significant decline in oil prices since 2014, and the costs of the war on terrorism, and other economic accumulations, led to a decline in the rate of growth in gross domestic product to 0.5 percent, the high unemployment rate to 30 percent, and the high level of poverty to more than 25 percent, and the fall in the savings ratio in exchange for the high proportion of compactness. Those factors combined have led to the decline in banking and economic sectors, share prices in the trading market rates ranging between 50 and 85 percent.
The right of officials in the Iraqi Stock Exchange Find ways that make them successful body, but in light of the circumstances in which they operate and the results achieved, the quest to make it successful requires a body another kind of effort. The problem of the Iraqi Stock Exchange is that the most important companies, namely, mixed companies (no contribution from the public and private sectors), which was established mostly in the eighties of the last century and was a successful performance standards and competing demand for its products, collapsed and stopped their activities influence the policies pursued by successive governments since the occupation in 2003, especially trade policy, which has adopted an open-door style on imports from all sources, so these companies are no longer able to compete with imported goods, most of which stopped working in total or partial form.
Add to that, several conditions, including the lack of security, terrorism and the spread of corruption and the migration of industrialists, have a negative impact on the possibility of the establishment of new companies, except banks, which has been associated with established influence and money for some parties and politicians who Offersthm occupation era. The banks contributed 64 percent of the total Iraqi Stock Exchange shares, as opposed to 36 percent for all other types of companies.
In light of these circumstances in which stopped working successful companies lost shareholders wealth, which they invested in, followed government policies that do not encourage the establishment of new companies, and the high rate of poverty in the Iraqi people to more than 25 percent, and the high proportion of compactness due to a lack of confidence put banks , any efforts or the efforts made by stakeholders in the stock exchange for the deployment of investing in the stock market culture and attract national and foreign savings, efforts are considered lost.
What should the Iraqi Stock Exchange is seeking to him in these circumstances is to address the government and not the public address. Valmswol about the current stock market situation is the government's policies, especially trade policy, and rampant financial corruption to a degree unprecedented since the founding of the first Iraqi government in the twenties of the last century, and not to adopt policies that encourage Iraqi Industrialists living abroad to return to Iraq and the exercise of industrial activity and agricultural produce, including companies new and successful intervention in the stock market, not to mention their laboratories restart stalled work since the start of economic sanctions in the nineties of the last century.
If addressed the stock of State for Financial and Economic Committee and urged in Parliament on the accountability of those concerned in the government on the feasibility of continuing the policy of the doors of legislation in front of all kinds of imports, and opened a serious dialogue and feasible with mixed companies to determine their needs and rehabilitation even resume their activities, the Iraqi Stock Exchange exercise futile efforts to increase efficiency their work and enhance their role in economic life.
It is hoped that there is the end of the war on terrorism and to achieve security and reduce corruption in the near future, a suitable environment in which the stock market can address the audience and attract their savings and the dissemination of investment in securities, including culture.