Central Bank Governor: we were surprised the IMF reserves surpasses expectations

Views 115 2016-09-12

The Central Bank Governor, said the relationship, Iraq's commitment to pledges made by the International Monetary Fund with specific timing, especially that they comport with its orientation and its goals, noting that the Fund was surprised that Iraq's foreign currency reserves are more than expectations by about 10 billion dollars.

And concluded in Oman, Jordan, Saturday, (10th of September 2016), a new round of talks between Iraq and the International Monetary Fund on standby credit program for a loan worth 18 billion dollars, to be completed in November.

The Central Bank Governor said the Agency, Ismail "relationship Central Bank introduced during the talks detailed report all actions carried out under the agreement with him," pointing out that "the report confirmed the Central Bank's commitment to implementing more than 20 pledge and full proposal within a specified time schedule.

He added that such relations "obligations within the Central Bank plan, concerning various aspects, the most important action against money laundering and financing of terrorism", noting that "the Bank integrated files provided on the regulations and controls and instructions and electronic systems that do this."

The Governor of the Central Bank, said that "the report also included capacity-building measures both for the Central Bank or other banks, with evidence relating to inspection and control," pointing out that "the Central Bank regarding code completion Islamic financial institutions and credit Bureau system at the national level, amendments to the law, the appointment of an external auditor to audit reserves and application and dissemination of indicators of financial stability".

And in another axis of modern, Central Bank reserves of foreign currencies, International Monetary Fund look to him, "said the IMF report, relations between the reserve with the Central Bank more than was expected by about 10 billion dollars," returned to "an important indicator on the performance and adequacy of Bank reserves, especially as they increase the amount of local currency, dinar, in circulation.

Iraqi Central Bank Governor said, "the International Monetary Fund evaluation proves that the Central Bank's performance was special in light of the challenges facing Iraq and unstable circumstances economically, financially and politically and in security."

Iraq acknowledges before mid-July 2016, approximately 634 million, representing the first installment of the IMF loan, immediately after the IMF Executive Board, authentication (the 7th of that month), the Convention on the preparation of credit with Iraq, given that the duration of the loan is five years low annual interest amounting to one and a half percent (1.5%), and the number of payments are 13 batch extending over 36 months.

The United States has been confirmed in the US, (April 20, 2016), that the Iraqi Government's economic reforms began to show their effects by increasing non-oil imports, indicating that the Iraqi Government's success in reducing the budget deficit means obtaining a loan from the International Monetary Fund for billions of dollars.

And had the appearance of Mohamed Saleh, confirmed in (26 January 2016), that Iraq agreed with the IMF to obtain long term loans, to implement development projects, indicating that the box under other conditions of government expenses, and certain procedures relating to economic policies, while counting the Economist that "most" of the loans is to know the amounts that will be obtained through 2016.

The IMF agreed in (13 January 2016), on financing the budget deficit through withdrawal of hard currency reserves, leading to lower those reserves of 59 billion dollars by the end of October 2015, to 43 billion by the year 2016.