A proposal on the government table to face the parliamentary economic and financial crisis warns!

Baghdad today –  The decision of the Parliamentary Finance Committee, Ahmed Al-Saffar, on Wednesday (May 20, 2020),

(1) warned against demands to raise the price of the dollar against the Iraqi dinar to confront the financial crisis and maintain the hard currency,

stressing that this decision is not in the interest of the Iraqi financial system.

Al-Saffar said in an interview with (Baghdad today) that:

(2) “raising the dollar exchange rate to face the financial crisis and preserve the hard currency is one of the proposals and monetary measures that the state may take to avoid the liquidity crisis.”

He added,

(3) “It is not in the interest of the financial system to raise the exchange rate of the dollar because it will lead to a decrease in the Iraqi dinar price and a decrease in purchasing power and will lead to inflation,” noting that “the classes with limited income and those with salaries will be the first affected by this decision.”

(4) Al-Saffar pointed out that “raising the price of the dollar depends on the government’s ability to apply the necessary public spending from other sources.”

(5) The economist, Rasem Al-Akidi, warned, Thursday (14 May 2020), of floating the Iraqi dinar against the dollar, that is, reducing the value of the Iraqi dinar against the dollar according to a proposal put forward by economists to provide additional funds for the Iraqi budget to be paid as salaries for employees.

Al-Aqidi said in an interview with (Baghdad Today),

(6) “The issuance of any decision to float the dinar against the dollar in light of the current conditions in Iraq is very dangerous for the country which is basically suffering from uncontrollable losses, namely fees, customs, taxes and many other financial resources.”

And that :

(6) “the flotation does not constitute an increase in the value of the Iraqi dinar, but rather we will see an increase in the exchange rates of the dollar due to the lack of its acquisition in the global market, especially with the decline in global oil prices.”

He added that :

(7) “the flotation will lead to a significant increase in prices, and will be paid by the poor,” noting that “the flotation is taken in light of the stable financial conditions of the state, as well as the diversification of the economy and its dependence on resources other than oil.”

Al-Akidi said that :

(8) “floating the dinar against the dollar is launching the process of buying and selling without any limits, and the country will face an unprecedented rise in prices with limited and steady salaries, so conditions will be more difficult, especially in the humanitarian context.”

Baghdadtoday.news

Deputy: The names of the vacant ministries are ready and awaiting a parliament session

BAGHDAD – Mawazine News, MP for the Al-Hikma block, Star Al-Jabri, confirmed that the names of the vacant ministries are ready and awaiting a parliament session to vote on them this week.

Al-Jabri said, “Prime Minister Mustafa Al-Kazemi held consultations with political forces and blocs to complete his ministerial cabinet, which had not been completed by 7 ministries, before Eid Al-Fitr.”

He added, “The names are ready and Al-Kazemi is presenting a request to the Presidency of Parliament to hold a session to pass it this week.” Ended 29 / A

Mawazin.net

Borrowing from the World Bank has negative effects on the economy of Iraq

Osama Chalabi, former deputy governor of the Central Bank of (time) borrowing from the World Bank has negative effects on the economy of Iraq

The interview was conducted by: Saad Al-Sayegh Chalabi said Osama – Deputy Governor of the Central Bank of Iraq until 2003 that monetary prejudice Balaanaat It represents the last gasp of the Iraqi financial situation , and that this should never happen.

And he added, in a short interview with Time in its international edition, that borrowing from the World Bank has conditions Humiliating and future effects, and pointed out that the currency auction has special conditions that have been discussed with The World Bank delegation.

In the text of the interview follows : ‭ ‬ ‭

‬Iraq is suffering from severe financial crisis due decline global oil prices and inability to secure salaries for employees and retirees Is Central Bank maintains Bkhozan reserves of hard currency ( dollar and gold ) to secure salaries?

The current monetary crisis was expected even before the emergence of the Krone Virus crisis and what we are in now, and in fact it is The Central Bank of Iraq still maintains a deposit of cash reserves in US dollars, as is well known to me Competent circles and it ranges from sixty to sixty two billion US dollars. A large proportion of this figure is a legacy prior to the occupation. The monetary reserve of states has special sanctity with the nations and a guarantee of the economic and monetary situation of the country and the prestige of the state. Precaution is difficult and not desirable and it represents the last breath.

As for gold, the central banks usually reserve a percentage of their cash capabilities with gold and deposit it with Swiss banks Deposit interest but low rates. Before the occupation, the Central Bank of Iraq had types of gold balances that were kept in its fortified safes Al-Majdat, who sold the siege period, bought from the world market, and another went special. I do not have accurate figures on the amount of its current balances, as it is one of the central bank’s characteristics.

Returning to the monetary situation, there are alternative methods other than compromising the cash reserve, which is borrowing from the World Bank This option is one of the traditional methods, but it is the largest in terms of negotiating difficulty and its conditions will be insulting in the future Until the price of oil returns to nearly its price before the current crisis. However, the crisis is inevitably coming, according to the schedule of oil revenues for the coming months, according to what Mr. Issam presented Chalabi in his important tweets a few days ago, as the nation will face a difficult time.

Another important issue is happening now, where a new government will be formed and headed by a capable prime minister who knows how to recover Even if a percentage of the money stolen to pay for breath, the nation is now in danger and the danger includes everyone and will record history Here guys did.

The continuation of the currency auction in the central bank, despite the stoppage of oil revenues and the accompanying smuggling of currency It has a significant impact on the rise in the price of the dollar against the value of the Iraqi dinar.

Currency auction The International Monetary Fund previously dispatched a representative three or four years ago to discuss an issue with me Currency auction. I remember that these meetings took place in the halls of the Intercontinental Hotel in Amman, where I briefed them on a formula The work of the auction, which raised the excitement of everyone about the bad process, because the subject of the auction must be dealt with wisely and in style sober.

Recently been put for printing Iraq meet staff and salaries retired currency Is this true procedure So what has been done?

The idea of ​​printing a currency is, I think, far and difficult because it will get a wave of higher prices for goods and services, as happened previously in the internal circulation and it is difficult to combine the two currencies , and we will go back to before twenty years ” original Swiss ” .

And that this proposal is not useful under the current circumstances and has major economic repercussions that Iraq suffered from in A lot of the time, and this happened during a period when the necessities for the action were necessary, as the country was saved from dire results. It also does not give any support to external trading.

As a result of the end, the Central Bank of Iraq and since the year two thousand and three bear full responsibility for the outcome of monetary policy . The talk is many and many, but the result is what we are today and God is kind to worshipers. Thank you.

Azzaman.com

The Judicial Council confirms its support to Al-Kazemi’s curriculum to combat corruption

Baghdad today – On Wednesday, the head of the Supreme Judicial Council, Faiq Zaidan, affirmed his support for the Prime Minister, Mustafa Al-Kazemi’s approach to fighting corruption.

And the judiciary media stated, in a statement, that “the head of the Supreme Judicial Council, Judge Faeq Zaidan, Mustafa al-Kazemi, to extend congratulations on the occasion of his assumption of the presidency of the Council of Ministers.”

The President of the Supreme Judicial Council, according to the statement, expressed his support for the “Prime Minister’s approach to combating crime in all its forms, both in the field of combating administrative corruption, terrorism and organized crime.”

The statement pointed out that “the two sides are important for cooperation between the executive and judicial authorities to enforce the rule of law.”

He pointed out that “the head of the Supreme Judicial Council was accompanied, on the visit, by the chief prosecutor, Muwaffaq al-Ubaidi, the head of the Judicial Supervision Authority, Jassem Muhammad Abboud, and the director general of the Judicial Guard Department, Rahim Abdul Hassan.”

Last Thursday, the House of Representatives voted to give confidence to Prime Minister Mustafa Al-Kazemi and 15 ministerial portfolios from his cabinet.

Baghdadtoday.news

Newspaper: Al-Kazemi intends to replace most of the heads of the 25 independent bodies

The information / Baghdad .. Al-Arabi Al-Jadeed newspaper revealed, Wednesday, Prime Minister Mustafa Al-Kazemi’s intention to open the file of independent bodies and replace most of its presidency.

With the advent of the new Prime Minister, Mustafa Al-Kazemi, today the file of independent bodies in Iraq , whose number exceeds 25 different bodies, exceeds some of the tasks and financial allocations allocated to them by government ministries.

She added that “extending the independent bodies in Iraq to more than 25 bodies, the most prominent of which are the Hajj and Umrah Commission, the Central Bank, the Martyrs’ Foundation, the Political Prisoners ’Organization, the Investment Authority, the Financial Control Bureau, the House of Wisdom (Cultural Foundation), the Provincial Authority, the Baghdad Municipality, The Reconstruction Council, the Integrity Commission, the Accountability and Justice Commission, the Media Commission, the Federal Revenue Authority, the Securities Commission, the Independent High Electoral Commission, the Communications Commission, and the High Commissioner for Human Rights, the most recent of which is the Popular Mobilization Authority that was introduced recently.

She added, “The majority of those bodies that have been run by the agency for years, and registered in the last two years serious corruption files associated with them, have become an indefinable file, especially since most of them are monopolized by political parties, while others have become redundant and can be merged or attached to other ministries in The area of ​​specialization or interest itself, which contributes to reducing spending and eliminating corruption. The sources emphasized that some of these bodies turned into party fronts for a number of political entities rather than official institutions.

The newspaper quoted the deputy from the “Al-Fath” coalition, the Charter of Al-Hamedi, in saying that “every file that has not been opened in the jurisdiction of the government of Adel Abdul-Mahdi , will be opened by the new Prime Minister Mustafa Al-Kazemi, and on top of that is the file of independent bodies,” explaining that “opening this file It will generate new political differences regarding the distribution of independent bodies among the political forces, but in the end there will be agreement, as happened with the formation of the Al-Kazemi government, which was closest to failure. ”End / 25

Almaalomah.com

The Central Bank of Iraq signs a “technical support” document with the World Bank

Twilight News / announced the bank ‘s central Iraq, on Wednesday, for the signing of the document arrangements banking with Bank International, referring to the goal of the document to obtain the support of technical and exchange of experience .

He said the bank, in a statement reported to the agency Twilight News, he signed a document arrangements for banking with a program consultant to manage the reserves of the Bank International (RAMP) Reserves Advisory & On Management the Program , explaining that it comes in the framework of its strategy for the development of management of its reserves of foreign in line with developments in the current And futuristic .

He explained that this document aims to enable the Bank central Iraq to obtain the support of technical than through the exchange of knowledge and experience in the field of management of portfolio investment based on the index performance which helps to maximize resources , financial, and building the head of capital human of through the sharing of knowledge and the development of expertise in the field The financial according to the best practices in the field of reserves management .

He said the central Iraqi, to that this program was developed from by the Bank International in the year 2000 , with a view to building capacity and providing services consulting and management of assets , and is the forum for a network of specialists , and serves more than 70 members around the world , mostly from banks , central, managing the nearly From (2) One trillion dollars of sovereign assets .

Shafaaq.com

Parliamentary finance comments on the ability of Iraq to print a monetary process

Baghdad / .. The Finance Committee in the Iraqi parliament, today, Thursday, commented on the possibility of Iraq printing a monetary process in order to confront the economic crisis and secure the salaries of Iraqi state employees.

Committee member Hanin Qaddo said to “Eye of Iraq News” that “Iraq cannot print a monetary process, in order to face the economic crisis, because Iraq is committed within the international monetary policy, and its taking such a step means the destruction of the Iraqi dinar.”

And Qaddo that “there are a lot of solutions and proposals, with the Parliamentary Finance Committee, as well as the Ministry of Finance, to cross Iraq its economic crisis, without going to the issue of currency printing, this will cause economic and financial disasters.”

Aynaliraqnews.com

Parliamentary committee determines options to address financial distress

[Baghdad-Ain] The Parliamentary Finance Committee, today, Tuesday, outlined several options to face the financial hardship due to the drop in oil prices due to the Corona crisis.
Member of the Committee, Deputy Muhammad Sahib Al-Darraji said in a press statement that “there are measures that must be taken to face financial distress other than internal borrowing or prejudice the reserves of the Central Bank,” noting that “among these options is changing the exchange rate and stopping imports in addition to stopping the currency auction and economic measures Other. ”

Al-Daraji pointed out that “if oil prices continue to decline, there must be special budgets, including a crisis budget that is based on a price lower than the price of oil to walk salaries and health matters as well as other important matters,” noting that “this challenge must be exploited and transformed into an opportunity of Through opening the door for investment and allowing the private sector to operate. ”

He called on the government to speed up the transmission of the budget in a way that reduces the deficit by reducing costs or by changing the exchange rate.

The Parliamentary Finance Committee had confirmed earlier the importance of harnessing all efforts to maximize non-oil resources, while it made a number of proposals to the Tax and Customs Authorities that contribute to increasing revenues for the purpose of reducing the budget deficit and advancing the Iraqi economic reality.

Alliraqnews.com

Lifting immunity of 20 members of the Iraqi parliament for investigation

Al-Kazemi’s war on corruption reaches the Iraqi parliament
The judiciary announces the launch of all the demonstrators … and an international warning against the fragility of the economy

The war announced by Iraqi Prime Minister Mustafa Al-Kazemi last week, after he took office, knocked on the doors of parliament yesterday, while the judiciary announced the release of all detained protesters.

Al-Kazemi described his government as “the government of difficult challenges,” vowing “to face crises, save what can be saved, and diversify the economy.”

Days after the campaign launched by Al-Kazemi against corruption, the Supreme Judicial Council announced in a statement yesterday that it had issued notes to lift the immunity of 20 members of the Iraqi parliament for investigation, in cases related to financial and administrative corruption.

In another step, within the promises made by Al-Kazemi, the Supreme Judicial Council announced yesterday that «the latest data submitted by all Iraqi courts to the administration of the Council indicates that there is no arrested or convicted of peaceful demonstrators, given that demonstrating is a constitutionally guaranteed right», according to a statement quoted German News Agency.

Last Saturday, Al-Kazemi directed the security services to release all detainees who participated in the demonstrations, and asked the Supreme Judicial Council to cooperate in the release of demonstrators who committed minor cases, with the exception of those involved in blood.

The Prime Minister, who faces difficult political and economic challenges, including the lack of completion of his government, which is still lacking 7 ministerial portfolios, announced in the second meeting of the new cabinet that “this government is the government of difficult challenges, the most important of which is the economic challenge, fighting poverty and unemployment among young people, and the equitable distribution of wealth ». He added, “We will not be courted at the expense of the citizen’s dignity and the interests of the country. We are working to save what can be saved, confront crises and diversify state resources. ”

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, announced that Baghdad is moving towards internal and external borrowing in order to overcome the financial deficit that the treasury suffers from. Saleh said in a press statement that “the government submitted a draft law to parliament in order to authorize it to borrow from internal and external financing sources, in order to bridge the deficit and enhance public financial liquidity when necessary.” He added that «borrowing came because of the financial hardship that the country is going through and in order to bridge the gap in the revenue shortfall against fixed expenditures, especially in the operational budget».

He explained that «the legal cover did not provide the government with internal and external borrowing due to the absence of the Federal Budget Law for the year 2020». He pointed out that “external loans will go toward supporting investment projects and completing the stalled ones and the urgent need to launch them, while internal loans will be allocated towards the operational budget and the government’s needs for insurance of salaries and others.”

Meanwhile, the United Nations representative in Iraq, Jenin Blashardt, considered the formation of the new government and the appointment of Al-Kazemi a “long-awaited development.” And it said in a report submitted to the Security Council via video from Baghdad, that it has become important “for the Iraqi government to demonstrate that it is able to accomplish the necessary tasks such as maintaining law and order and providing public services”, pointing out that “there is an urgent need for justice and investigation about those responsible for the killing and wound The demonstrators who went out in the past months in Baghdad and a number of provinces. And she saw that «the current economic situation revealed again the gaps in the Iraqi economy as a result of its dependence on oil mainly». She pointed to a number of key points that Iraq must take into account, in order to expand the state’s revenue base and economic situation, including “reducing dependence on oil, repairing and developing infrastructure, fighting favoritism, favoritism and corruption, and building state institutions that serve citizens and are sustainable.”

And I expected “the Iraqi economy to shrink by 9.7 percent this year, with increasing poverty rates to nearly 40 percent.” She stressed that “corruption is perhaps the biggest source of disruption in Iraq, works against the interests of the people and leads to the distancing of donors and investors.”

The UN official affirmed that “local and regional security developments negatively affect Iraq,” warning against “the continued use of Iraq and its territories as a proxy war zone between countries.” She stressed “the necessity to work to combat the emergence of violent extremism and to prevent the return of organizations like (ISIS) to increase their activities.”

The professor of national security, Dr. Hussein Allawi, considered that the major challenge facing the Al-Kazemi government is that “there is a conflict between two tracks of life in Iraq; Between civil life and a life based on the values ​​of political Islam. ” He explained to “Al-Sharq Al-Awsat” that “the forces of political Islam want to keep the traditional political game rules for running the country, while the civil forces want to change the rules of the political game in order to break down the barriers of the political process and transfer it from the style of closed power to open power and open the way for civil society to nominate its leadership Social participation in the management of government and state joints ».

Allawi added: «It seems that we are now moving towards building preliminary understandings that may move Iraq towards a balanced horizon between the two tracks, and therefore Al-Kazemi represents a turning point and the formation of a new national path with all goals, goals and strategies to produce a transformed Iraq towards new elections that produce a political class and change the map of political interaction and give the green light To move from quotas and power-sharing to political technocrats, putting Iraq first. ”

He believed that «whoever wants to thwart the prime minister and his ministerial approach is wrong because the Al-Kazemi path is a national path and works to reshape a third path between the traditional and contemporary tracks… there is an axis that is formed but its tracks are related to Al-Kazemi’s policy beyond the first 100 days of the government’s life, which receives support Large internally by the forces of moderation in all the components that began to view the Iraqi state as a necessity and not a choice.

Aawsat.com

The Cabinet decides to reduce and rationalize the administrative structures of the country

Baghdad / Al-Sabah – During its second regular session headed by Prime Minister Mustafa Al-Kazemi yesterday, the Council of Ministers decided to reduce and rationalize the administrative structures of the state, and while it formed the Emergency Cell for Financial Reform and Managing the Financial Situation in the Light of the Current Crisis, directed the Ministry of Labor and Social Affairs in coordination with the Ministry of Planning and Finance to study the expansion of the base covered by law Social protection.

A statement of the Prime Minister’s Office received by Al-Sabah stated that “Al-Kazemi opened the session with a speech in which he emphasized that this government is the government of difficult challenges, the most important of which is the economic challenge, the fight against poverty and unemployment among young people, and the fair distribution of wealth.” And work to develop state institutions, not political action. ”

The Prime Minister reiterated his “protection of the right to demonstrate and intolerance of any aggression against the demonstrators, and that the government aims to achieve their legitimate aspirations,” noting by saying: “We will not be courted at the expense of the dignity of the citizen and the interests of the nation, and we will work to save what can be saved, confront crises and diversify state resources.”

On the work of the armed forces, Al-Kazemi stressed, according to the statement, that “the heroic army and security forces have endured a lot, and the prestige of the military and security institutions must be restored.”

The Cabinet issued a number of decisions, including:

1. Reducing and rationalizing the administrative structures of the state by providing each government agency with its vision in this area.

2. Take appropriate measures to legislate the laws required for the success of the e-government, and for ministries and government agencies to expedite their procedures to automate their work, especially in the area of ​​customs and tax, and to provide monthly reports on rates submitted to the General Secretariat of the Council of Ministers.

3.Re-examine the draft laws related to fighting corruption, and to activate the measures to combat it and strengthen their efficacy, and to emphasize strengthening the role of the institutions concerned with that from the Integrity Commission and the Federal Financial Supervision Bureau in coordination with the General Secretariat of the Council of Ministers.

4. Emphasizing the freedom to exchange information and the right to obtain it by expediting the legislation on the right to obtain information.

5. Assigning the Ministry of Planning in coordination with the concerned authorities to review instructions for implementing government contracts to ensure updating of the approved standards in the awarding of tenders, and also to update the approved standards in selecting investment projects.

6. Providing the Federal Service Council with the appropriate staffing for taking its role and exercising its duties.

7. Agreeing that the Reconstruction Fund for areas affected by terrorist operations implement mobile hospitals to quarantine and treat patients with HIV in the regions that are agreed with the Ministry of Health and the provinces through the grant provided by the Federal Ministry for Economic Cooperation and Development through the German Development Bank of (15,000,000) Fifteen million euros.

8. Accelerate the legislation of the general budget law in line with the requirements of the financial situation, the low level of the oil price, and diversify the budget sources.

9. Urging the Ministry of Oil to expedite the completion of the draft oil and gas law.

10. The Ministry of Labor and Social Affairs, in coordination with the Ministry of Planning and the Ministry of Finance, study to broaden the base of those covered by the Social Protection Law by improving the inclusion mechanism through demographic targeting by adopting poverty and social research data, and the study is presented within a period of one month.

11. Forming an emergency cell for financial reform, forming a cell to manage the financial situation in light of the current financial crisis and putting the necessary solutions to achieve financial reform and improving the performance of financial institutions. The cell will be headed by the Prime Minister and he may authorize the Minister of Finance to manage the sessions in his absence and the membership of each of the Minister of Finance The Minister of Foreign Affairs, the Minister of Planning, the Governor of the Central Bank, the Prime Minister’s advisers whom His Excellency calls the Secretary General of the Council of Ministers, and a representative of the General Secretariat of the Council of Ministers. The cell carries out the following tasks:

1 – Ensure the provision of financial liquidity.

2- Take decisions regarding financial reform by rationalizing expenditures, maximizing resources, and reforming financial institutions, including restructuring them.

3- Establishing financing plans for the reconstruction, development and investment projects, including financing resources and mechanisms outside of government spending.

4- Improving procedures and automating systems in financial institutions.

Alsabaah.iq