Official: The issue of Iraq’s accession to the World Trade Organization is coming soon

Shafaq News / Undersecretary of the Minister of Commerce, Sattar Al-Jabri, considered on Tuesday that the issue of Iraq’s accession to the World Trade Organization was imminent, while he stressed that the current federal government would achieve self-sufficiency and not depend on the importer.

This came during his hosting of a discussion session on the sidelines of the seventh session of the activities of the third day of the Al-Rafidain Forum 2024 – Baghdad, under the title “Humanizing the Global Economy.”

Al-Jabri said during the hosting that the governmental curriculum developed by the Iraqi government is based on a strategy to keep pace with the development taking place in the global economy, as the government signed bilateral international memorandums of understanding in the field of trade and economics.

He stressed that “Iraq is seeking to enter the World Trade Organization, and the issue is coming soon.”

The Iraqi government official spoke about the issue of import and export, saying: There is no trade balance between exported and imported materials, as the monetary mass was going to other countries, and this is what the current government seeks to address by relying on self-sufficiency.

At the beginning of 2024, the Kingdom of Saudi Arabia announced its support for Iraq’s accession to the World Trade Organization, especially after the political obstacles that prevented it were removed.

Shafaq.com

The National: Iraq must diversify its economy and facilitate business

Information / translation… A report by the British newspaper The National confirmed that Iraq must diversify its economy after decades of wars, corruption, and malpractices obstructed economic reforms.

The report, which was translated by the Maalouma Agency, quoted a senior official at the International Finance Corporation as saying that Iraq must benefit from the current political stability and improved security situation to diversify its oil-dependent economy and implement reforms to strengthen the private sector.

The Regional President of the International Finance Corporation for the Middle East, Central Asia, Turkey and Afghanistan, Hala Shekhorokho, said yesterday, Tuesday, in Baghdad, “The goal requires simplifying how business is managed in the country and fighting rampant corruption,” adding, “Time is of the essence, and we need to act quickly and we need To work hard to implement the necessary steps to improve the quality of services and their accessibility for all Iraqis.”

She explained that “the aim of her visit to Baghdad is to strengthen the role of the private sector in the Iraqi economy and to enhance economic reform efforts in the country, as the country is the largest producer in OPEC after Saudi Arabia and oil revenues constitute about 95 percent of the annual budget,” indicating that “it is very important Enabling the private sector to flourish and be a good destination for investment by local Iraqis, Iraqis in the diaspora, regional investors, and international investors.”

She continued, “This requires simplifying and facilitating doing business, and finding ways to simplify bureaucratic processes.” It also highlighted the need for efficiency in registration and tax systems.

Almaalomah.me

The new Iraqi oil law undermines the dream of Kurdish independence

The new Iraqi oil law undermines the dream of Kurdish independenceWith the increasing importance of the role of energy resources in the independence of countries, the oil dispute between Baghdad and Erbil cannot be viewed as a mere emergency dispute, but rather extends beyond that to political calculations related to the option of Kurdish independence and providing the infrastructure for this independence.

Baghdad – Analysts believe that the new oil law being prepared by the Iraqi government in Baghdad will be the final factor that will end the dream of independence for Iraqi Kurdistan, which in turn will affect the future of Western oil companies operating in the region. On February 21, the Federal Supreme Court ruled that the Iraqi Kurdistan Regional Government must hand over “all oil and non-oil revenues” to Baghdad.

Economist Simon Watkins says in a report published by the American Oil Price website, “This puts an end to any discussion about the ability of the Kurdistan Regional Government to continue oil sales operations independent of the federal government and the Iraqi Oil Marketing Company (SOMO).” Watkins adds, “Even if the region was able to arrange channels to achieve its goal, it would have to hand over all its oil revenues to the federal government in Baghdad, giving the central government in Iraq complete financial control over it.”

The Federal Supreme Court added that the federal government will be responsible for paying the salaries of public employees in the Erbil government, with the amount paid at the source in Baghdad deducted from the regional government’s share, and the Kurdistan Regional Government must submit monthly accounts detailing each salary paid. This is effectively a more stringent reset of the original “budget payments for oil revenues” deal agreed between the KRG and the federal government in November 2014.

The agreement stipulated that the Kurdistan Regional Government would export up to 550,000 barrels of oil per day from its fields and from Kirkuk via SOMO. In return, Baghdad would send 17 percent of the federal budget, after subtracting sovereign expenses (about $500 million at the time), monthly in budget payments to the Kurds. This arrangement was not satisfactory, as the Kurdistan Regional Government often accused the federal government of not making full budget payments, and the federal government often accused the Kurdistan Regional Government of providing incomplete oil revenues.

It was then decided to replace the deal with an understanding that could be reached between the Kurdistan Regional Government and the new federal government that was formed in October 2018. The federal government focused on the draft national budget law for 2019. This required it to transfer sufficient funds from the budget to pay the salaries of Kurdistan Regional Government employees in addition to To other financial compensation in exchange for the Erbil government handing over export operations of at least 250 thousand barrels per day of crude oil to SOMO. This arrangement did not work satisfactorily either.

The situation deteriorated in late 2017 for two reasons: The first was that September 25, 2017 witnessed a non-binding vote on the complete independence of Iraqi Kurdistan. The United States and its allies implicitly promised Iraqi Kurdistan independence in exchange for the Peshmerga army being at the forefront of the fight against ISIS. More than 92 percent of voters voted in the 2017 referendum in favor of independence. But forces from Iraq and Iran (also supported by Turkey) moved into the Kurdish region shortly after the results were announced, suppressing any further steps toward independence.

Iraq, Iran, and Turkey (countries with large Kurdish populations) cannot tolerate the repercussions of the growing Kurdish independence movement throughout the region. The second reason is Russia’s control over the oil sector in Iraqi Kurdistan through three main mechanisms. Moscow’s goal was not limited to securing large oil and gas reserves in Iraqi Kurdistan, but rather extended to sowing the seeds of destroying Kurdish independence and absorbing it into one Iraq in the long term.

It was Russia that fueled the lack of trust and escalation of discontent between the Kurdistan Regional Government and the federal government regarding the original “budget payments for oil revenues” deal for the year 2014, and this is what caused it to fail. It was the ambiguity of the phrase “oil revenues” in the Iraqi constitution that created the fault line that Moscow exploited to create chaos between the two sides.

The government in Erbil believes that it has the authority to manage oil and gas extracted from fields that were not in production in 2005 under Articles 112 and 115 of the Constitution in the Kurdistan Region. 2005 was the year during which the constitution was adopted by referendum. The Kurdistan Regional Government also confirms that Article 115 stipulates that “whatever is not stipulated in the exclusive powers of the federal authorities shall fall within the jurisdiction of the regions and governorates not organized into a region, and other powers shared between the federal government and the regions shall have priority over the law of the regions and governorates not organized into a region.” Territory, in the event of a dispute between them.

The Kurdistan Regional Government hereby confirms that it has the authority to sell its oil and gas exports and receive the proceeds from this process. The KRG also highlights that the Constitution stipulates that in the event of a conflict, priority is given to the law of the regions and provinces. But the federal government and SOMO argue that “oil and gas belong to all the Iraqi people in all regions and governorates” under Article 111 of the Constitution.

Things got worse for Iraqi Kurdistan at the end of 2021 when the United States ended its combat mission in Iraq, effectively opening the door to greater Iranian, Russian, and Chinese economic, political, and military influence in the country. It is not in the interest of any of these three countries for a pro-American Iraqi Kurdistan to exist. Moscow seems content to continue working in the fields of northern and southern Iraq, under the management of a friendly central authority in Baghdad.

Meanwhile, China is building its influence in southern Iraq, through multiple deals in the oil and gas sector that can then be leveraged into larger infrastructure deals throughout the south. The Comprehensive Cooperation Agreement was concluded between Iran and China for the year 2021. It represented an extension in the size and scope of the “Oil in exchange for Reconstruction and Investment” agreement that Baghdad and Beijing signed in September 2019, which allowed Chinese companies to invest in infrastructure projects in Iraq in exchange for oil.

That is why no one should be surprised by the statement made by Iraqi Prime Minister Muhammad Shia al-Sudani on August 3, 2023. He stated at the time that the new unified oil law administered from Baghdad would govern all oil and gas production and investments in Iraq and the Kurdistan region and would constitute a strong factor for the country’s unity.

Rawabetcenter.com

Parliament: The lack of unity of position hindered the resolution of the oil and gas law

Information/Baghdad… Member of the Parliamentary Oil, Gas and Natural Resources Committee, Bassem Ngheimesh, confirmed that the lack of unity of position and the differences between the political components and parties are behind the obstruction of many important issues in the country, the most important of which is the oil and gas law.

Naghimesh told Al-Maalouma, “Iraq lacks the unity of the political and component positions, and this makes negotiations with other countries difficult and weak and gives them an element of strength before the Iraqi negotiator.”

He added, “The lack of trust between political parties from different components and the absence of unity of position and decision are behind the neglect of many files, the most important of which is the oil and gas law, which regulates national wealth and grants all governorates their rights and revenues according to the law.”

He stated that “the oil and gas law is one of the main issues in the country, but the Kurdish-Kurdish disputes and the lack of agreement with the rest of the components regarding this law were behind the postponement of its resolution and passage within Parliament. Therefore, unifying positions is sufficient to solve many issues, one of which is the aforementioned law.”

Almaalomah.me

Parliamentary Integrity: Legislating and amending 4 laws, including recovering the proceeds of corruption

Information / Baghdad… Member of the Parliamentary Integrity Committee, Hamid Al-Shablawi, confirmed on Tuesday his committee’s intention to legislate the law to recover the proceeds of corruption.

Al-Shiblawi said in an interview with the Maalouma Agency, “The Parliamentary Integrity Committee is working on legislating and amending some of the Law on Recovery of Proceeds of Corruption, the Integrity Commission, the Law, Where Did You Get This, and the Financial Management Law.”

He added, “There is joint coordination between the Integrity Committee and the regulatory authorities to develop new mechanisms to reduce the scourge of corruption.”
He pointed out that “activating the law, where did you get this, and the law to recover the proceeds of corruption, will be the decisive factor in resolving the issue of combating corruption and prosecuting the corrupt, whether inside or outside Iraq.”

Almaalomah.me

The Baghdad dollar is stable below 150 on Monday evening… and the decline continues

Baghdad – 964… The exchange rates of the US dollar continued, this evening, Monday, to fall below the level of 150 thousand dinars per $100 note on the main stock exchanges on the Karkh and Rusafa sides of Baghdad, with slight differences in the offices of the main exchange companies in Baghdad.

The dollar declines in Baghdad and merchants dispose of large quantities…
The dollar is falling in Baghdad, and traders are getting rid of large quantities for fear of a greater decline

The last price offered on the Kifah Stock Exchange, this afternoon, was 149,900 dinars for each note for large quantities of foreign currency.

Direct selling prices in the main exchange companies and their offices in Baghdad areas, this evening, ranged between 150,000 and 152,000 dinars per note, compared to purchase prices ranging between 149,750 and 149,000 dinars.

The exchange rates at the offices of exchange companies in Baghdad areas were as follows:

Al-Kifah – Al-Shorja
Sale: 150,000
Buy: 149.750

Harithiya
Sale: 150,000
Buy: 149.750

Al-Adl District – Al-Rabie Street
Sale: 150,250
Buy: 149.750

Al-Mansour
Sale: 151,000
Purchase: 149,000

ASSADAR City
Sale: 152,000
Purchase: 149,000

Sidiyah
Sale: 152,000
Purchase: 149,000

964media.com

Central Bank: Using The Best Internationally Approved Systems And Standards In The Field Of Electronic Payment

Earth News / The Central Bank of Iraq announced today, Monday, the use of the best internationally approved systems and standards in the field of electronic payment, while indicating that it spends hundreds of millions of dollars annually to develop infrastructure systems to build an important base for the development of electronic payment in Iraq.

Deputy Governor of the Central Bank, Ammar Khalaf, said in a speech at the first Iraqi Digital Economy Forum, attended by an Earth News correspondent, that “the digital financial transformation in Iraq began with the localization of the salaries of state employees and the opening of bank accounts, the primary purpose of which was to use electronic payment in daily transactions.” Whether inside or outside Iraq.”

Khalaf added, “Iraqi society prefers to rely on cash in daily transactions, but the government’s efforts to support digital transformation, especially in the financial sector and other sectors, gave a strong impetus to the Central Bank over the past year and it continues to encourage and activate electronic payment in Iraq by issuing many Among the laws, controls and instructions that encourage the use of electronic payment in Iraq.”

He pointed out that “some ministries responded quickly to the directives of the Central Bank and the Iraqi government, especially the Ministry of Oil by making collections at gas stations and others via electronic payment, as well as the Passports Directorate, which obligated payment to be electronic, in addition to the General Traffic Directorate and other ministries.” He stressed that “all this support gives a very strong impetus to electronic payment.”

He pointed out that “the Central Bank has been the only influencer for many years, as it has embraced the importance of digital transformation in most of its transactions, and spends hundreds of millions of dollars annually to develop infrastructure systems to build an important base for developing electronic payment in Iraq through the use of the best internationally approved systems and standards in this field.” “.

Earthiq.news

Al-Zaidi sends a message to Parliament regarding monetary policy in Iraq

The Secretary-General of the Iraqi Islamic Movement, “Imam Ali Brigades,” Shibl al-Zaidi, today, Monday, sent a message to the Iraqi parliament regarding the monetary (financial) policy pursued in Iraq.

Al-Zaidi said in a tweet followed by Al-Sumaria News, “One of the common mistakes in the monetary (financial) policy pursued in Iraq since the fall until now is that we are subject to the American mood and its fluctuations and under its absolute control, and it has been noticed recently that the American Treasury aims to punish 37 banks.” Iraq calls for ending Iraqi banking activity and replacing it with foreign and Arab banks and restricting the currency auction and remittances to those banks, as well as controlling banking services and remittances. This is what legislators in the Iraqi parliament must pay attention to by working to issue legislation that prevents the participation of foreign banks in the auction.

He added that if there is an urgent need for such an auction, it is for the people of the country exclusively. Likewise, exits must be found that free us from mortgaging the Iraqi economy to the American port, as oil can be sold in other foreign currencies and imported from those countries, or the barter system can be adopted in development and economic projects that provide job opportunities. New projects for citizens or service projects with long-term contracts through the oil barter system.”

He continued, “Reviving industry, trade, and liberal professions and supporting them will advance the economic reality of the country and contribute to creating an outlet for monetary policy and breaking American restrictions.” He pointed out that the current situation is good but is subject to collapse when wars and crises end. Which is ravaging the world at the present time, but the puzzling question is: What if oil sales prices changed in a country where 25% of its people receive salaries depending on its sales?

Alsumaria.tv

Iraqi oil exports to America exceeded 4 million barrels last month

Shafaq News / The US Energy Information Administration announced on Monday that Iraq’s oil exports to the United States exceeded four million barrels during the month of February.

The administration stated in a table seen by Shafaq News Agency, “Iraq exported 4.379 million barrels of crude oil to America during the past month, with an average of 127 thousand barrels per day, lower than January, when its exports amounted to 5.387 million barrels, with an average of 173 thousand barrels per day.” “.

She added, “Iraq did not export crude oil to America during the first week of February, while it exported an average of 43 thousand barrels per day in the second week, and an average of 226 thousand barrels per day was exported in the third week, and in the fourth week the average export reached 240 thousand barrels per day.” .

She indicated that “Iraq ranked fifth in its exports to America during the past month after Canada, Mexico, Saudi Arabia, and Brazil, and ranked second in the Arab world after Saudi Arabia, whose exports amounted to more than 9 million barrels.”

Shafaq.com

The International Monetary Fund praises the Iraqi Central Bank’s steps to support the economy

Experts from the International Monetary Fund mission praised the measures taken by the Central Bank of Iraq, which contributed to maintaining the stability of the Iraqi economy and working to raise its capabilities.

The mission stated in the final statement on the sidelines of the meetings held in the Jordanian capital, Amman, according to a statement from the Central Bank of Iraq received by Al-Rab’a, that “growth has returned in the non-oil sector in a strong way in the year 2023, with inflation receding, and growth in the real gross domestic product is estimated.” Non-oil prices increased by 6 percent in 2023, after declining in 2022, and overall inflation declined from the high level it reached at 7.5 percent at the beginning of 2023, to 4 percent by the end of the same year, thus reflecting the decline in food and energy prices across the country. international level.”

The mission attributed the occurrence of these developments to “the return of trade financing operations to their normal course and the stability of the foreign exchange market. After some interruptions occurred following the implementation of new controls to combat money laundering and combating the financing of terrorism on cross-border payments in November 2022, improved compliance with the new system led to “And the initiatives of the Central Bank of Iraq to reduce the transaction processing time led to a recovery in trade financing in the second half of 2023, and this ensured the private sector’s ability to obtain foreign currency at official rates for import and travel purposes.”

The mission welcomed “the initial steps taken towards establishing the Treasury Single Account (TSA), which is considered a critical tool for improving cash liquidity management.”

The mission praised “the efforts made by the Central Bank of Iraq aimed at getting rid of surplus liquidity. The Central Bank increased the interest rate on monetary policy tools and raised mandatory reserve requirements. It also began issuing treasury bills with a maturity of 14 days last summer.”

The Fund called for “supporting existing efforts by the Central Bank by consolidating unused government deposits in the unified treasury account, refraining from pro-cyclical financial policy, reducing reliance on monetary financing, and improving public debt management,” noting “continuing efforts.” “Aiming to establish an interbank market with the support of technical assistance provided by the International Monetary Fund.”

The mission welcomed “the steps taken by the authorities to accelerate the pace of digitization of the economy, reduce dependence on cash and enhance financial inclusion.”

Alrabiaa.tv