“The dinar exchange rate” enters the electoral fray in Iraq

The exchange rate of the income of the dinar Iraqi in the election campaign for many of the actors involved in the entitlement of the Iraqi parliament, as affects a large segment of the Iraqi people that have been affected by the reduced value of the end of last year.

It seems that the lists participating in the elections’ lack of files of achievements to speak to the public, which are expected to boycott a large segment of the elections, made them jump to topics that tickle the feelings of simple people and people with limited income, such as returning the Iraqi dinar exchange rate to what it was before the end of last year, Although it is difficult and perhaps impossible to achieve this within the next few years.
Issued Bank CBI on December 20 (December) 2020, a decision to reduce the value of the Iraqi dinar against the dollar , the US guarantees to sell it through the phases, the first purchase of the dollar from the Ministry of Finance B1450 dinars to sell the central bank of banks B1460 dinars and then to citizens B1470 dinars.

The previous price of the dollar was sold by the Central Bank at a price of 1180 dinars, and then it is sold in the Iraqi markets at a price exceeding 1200 dinars.

Shiite propaganda

The Shiite lists participating in the elections clearly used the issue of the exchange of the Iraqi dinar in the electoral campaign. The leader of the “Al-Fateh” list, Hadi al-Amiri, confirmed in a speech during the electoral announcement conference of his alliance, his quest to re-exchange the dollar raised by the government and the Central Bank, and to provide job opportunities.

The same positions were adopted by the leader of the “Coalition of State of Law” Nuri al-Maliki, the former Prime Minister, Haider al-Abadi, the “Islamic Virtue” party and some Shiite figures participating in the elections.

However, Shiite political blocs that were and still call for changing the exchange rate by returning it to its previous state, they denied that the purpose of their demands to change the exchange rate is electoral.

The representative of the “State of Law”, Kata Al-Rikabi, denied that his demand to change the exchange rate was part of the electoral slogan, explaining that his bloc demanded a change in the exchange rate months ago and during the vote on the budget.

Al-Rikabi added, “Our demand to change the exchange rate is not an electoral slogan, and we put forward our opinion and abstained from voting on the 2021 budget for this reason, and therefore our opinion is not part of the electoral race, because we do not make the Iraqi citizen a game between the conflicting parties.”

He points out that when the dollar exchange rate was raised, the “state of law” opinion was that the price “is not commensurate with the Iraqi citizen and is against the poor and the class below the poverty line, and it is our humanitarian and national duty to maintain this position and work to return the previous price.”

Able to change it

On the other hand, the representative of the Al-Fateh Alliance, Muhammad Al-Baldawi, believes that the coalition’s demand to change the exchange rate is not an electoral slogan, and he will work to change it, and that he was previously opposed to raising the exchange rate of the dollar.

Al-Baldawi added, “Many companies and contractors stopped their work as a result of the high exchange rate, which led to large losses, in addition to the fact that raising the exchange rate harmed the simple Iraqi citizen.”

He explained, “We are working to change the exchange rate in the future, and we have a vision on the matter and we have submitted proposals to the government, and the latter has a vision and we respect all visions, but we believe that the citizen should not bear the tax of wrong policies, and thus we will work after the formation of the new government, and we will present our vision to it to adjust the exchange rate.”

Gradual reduction in the future

In a related context, Ali Al-Lami, a member of the Parliamentary Committee on Economy and Investment, believes that the slogan of some political blocs regarding returning the exchange rate to its previous position falls into the door of the electoral conflict, suggesting that there will be a gradual future reduction.

Al-Lami added, “Some political blocs proposed working to return the exchange rate to its previous position as part of electoral propaganda, especially since those parties tried during months to return the exchange rate to its previous status, but they were unable, and therefore I do not expect it to change in the next stage.”

Shiite blocs, especially those loyal to Iran, put pressure on the government and the rest of the political blocs to return the Iraqi dinar exchange rate to its previous state, before it was reduced at the end of last year, taking advantage of the rise in food prices to obstruct the approval of the budget and threaten the Central Bank of Iraq and the government, and the spread in February (February) The “Hezbollah Brigades” militants in the capital, Baghdad, whose first goal was to comply with the demand of the Shiite forces.

However, these attempts failed to force the Iraqi parliament and the Central Bank of Iraq to change the new exchange rate, which was passed in the country’s general budget approved on March 31 of this year.

Central bank authority

Al-Lami explains that Parliament does not have the authority to raise or lower the exchange rate, because it is within the authority of the Central Bank, and that Parliament does not have the authority to take this decision, noting that the House of Representatives wanted not to raise the exchange rate by this size, but rather gradually and to be accompanied by some measures taken by the government, especially in supporting the weak and low-income classes.

A member of the Parliamentary Economy Committee believes that there will be a gradual reduction in the exchange rate in the event that pressure on the Prime Minister or the Central Bank is increased by the political blocs, although the “Central” confirms that the rise is beneficial to the country’s economy.

It is constantly needed

In turn, the economic affairs specialist, Safwan Qusay, indicates that there is a need to continue at the current exchange rate, to provide good reserves of the dollar in the treasury of the Central Bank.

He adds that “if the Ministry of Finance finds that there is a surplus in revenues, it can support the Iraqi dinar in 2022, and that the support be gradual so that the reduction is according to a certain scale, and not a significant decrease,” noting that the government can reconsider salaries and social welfare expenses. Including reducing damage to the fragile layers.

Qusay continues that it is the Ministry of Finance that announces its capabilities to support the dinar or cover the fragile classes, and it is the one who determines the exchange rate, and members of Parliament do not have the decision as it is a financial measure and therefore they should not interfere in this matter, considering that the aim of these statements is to give an impression to the voter Al-Iraqi, that if elected, the exchange rate will be lowered.

He points out that strengthening the Iraqi dinar again means continuing to withdraw the central bank’s reserves, which leads to the weakness of its reserves, noting that any future decision in the reduction must be according to a gradual, studied ladder without confusing the market.

It is unlikely that the dollar exchange rate will be changed to less than 1460 dinars per dollar, explaining that the citizen’s purchasing power decreased, which was reflected in the sales of the Central Bank, and this is what the government bet on, i.e. a decrease in demand for hard currency, which contributes to compensating for the decrease in reserves.

80 billion reassuring reserves

Qusay continues that when Iraq’s reserves reach a reassuring level of 80 billion dollars in the coming period, then there may be a contribution from the central bank and the transfer of reserves into initiatives through the housing initiative, stressing that it is this monetary policy that corrects the exchange rate strike.

Iraq reserves 63 billion dollars

Iraq’s cash reserves of the dollar amount to about 63 billion dollars, after it was about 50 billion dollars at the end of 2020, which represented its lowest level in a decade, as it decreased from 90 billion dollars in early 2020 after a series of internal loans to the Iraqi government from the Central Bank And government and private banks, to cover salaries and expenses after the decline in oil prices, and it is dedicated to securing Iraq’s imports, as well as a cover for the local currency issued in the same year.

It’s hard to change it

The head of an institution specialized in economic studies, Manar Al-Obaidi, says that the independent policy of the Central Bank makes it difficult to respond to political pressures that seek to reduce the exchange rate of the dollar.

“Changing the exchange rate significantly will cause confusion in the Iraqi market,” he added, pointing out that the central bank’s policy is independent and does not follow electoral conflicts, and that politicians’ talk about the reduction is aimed at winning voters.
He asserts that the House of Representatives does not have the right to take the decision to reduce, but it is possible to question the governor of the Central Bank or dismiss him.

Currency smuggling continues

Regarding the control of currency smuggling, Al-Obaidi confirms that government figures show that there is a large smuggling of currency, and the Central Bank has not succeeded in reducing it, and the volume of remittances shows that it reaches the limits of 40 billion dollars, at a time when the volume of imports is 15 billion, which indicates A difference of $25 billion.

Despite the rise in the exchange rate of the dollar against the dinar, the Central Bank of Iraq’s dollar sales rose unexpectedly last July, as more than four billion dollars were sold, and the bank sold in five sessions before and after the Eid holiday about 200 million dollars in One session, in an indication of the return of the increasing demand for currency, which some interpret as most of it as part of currency smuggling out of the country.

The devaluation of the Iraqi currency is one of the most important conditions for international financial institutions, such as the International Monetary Fund and the World Bank, to support Iraq in 2021, as well as reforming the ration card system, lifting subsidies on fuel prices, and reducing the Iraqi government’s expenditures and the general salary rate in the country.

With the exception of the devaluation of the Iraqi currency and the start of reforms in the ration card system, the rest of the files were not moved due to the extensive political pressures on the Iraqi government to prevent it from implementing them, especially the reform of wages and salaries laws because they affect basic electoral segments of most Iraqi political parties.

Independentarabia.com

Tender for supplying the Central Bank of Iraq with paper currency packages tapes

The numbered tender ( 1 / 2021 and repeated for the third time ) for the supply of the Central Bank of Iraq with paper currency packages.

The Central Bank of Iraq invites officially approved companies and offices with experience, competence and qualifications to participate in a tender to supply it with (2,500) reels of paper currency bundle tapes according to the technical specifications and legal conditions prepared by this bank.

The Iraqi Central Bank / located in Baghdad – Al-Rasheed Street – Building No. (2) Floor (3) Legal Department / Contracts Department for the purpose of obtaining tender documents for an amount of (100,000) dinars (one hundred thousand dinars) that is not refundable and the closing date of the tender will be before the end of the tender Official working hours for Tuesday, 08/24/2021.

Cbi.iq

Al-Kazemi announces the launch of the economic reform plan within the white paper

Shafaq News/ Prime Minister Mustafa Al-Kazemi chaired the meeting of the Supreme Committee for Reform in Iraq.

Al-Kazemi said, according to a statement by his office, “Since we launched the reform white paper to address the rampant corruption in the country and we have been working to create an appropriate atmosphere for its implementation, and our meeting today is to announce the start of implementing the administrative and executive mechanisms for the economic reform plan within the white paper.”

He added, “We strongly aspire to restore the country’s economy to its strength after the situation reached very low levels as a result of rampant corruption. This plan would rebuild the Iraqi economy in a sound manner that would achieve sustainable development for the country.”

And Al-Kazemi continued during the meeting, “The reform plan will provide a solution to the chronic economic management crisis, which is represented by complete dependence on oil, and the lack of diversification of income sources. A comprehensive reform until it is completed within 5 years.

And he indicated that “the damage to the Iraqi economy is very great, and for this reason it is impossible to implement the reform plan in a short time, and everyone who promises to do so is delusional. Our goal is to advance the Iraqi state, not the current government. Governments go and the state remains, and for this we want with all our insistence.” To restore Iraq’s economic prestige.”

Al-Kazemi said, “Since we took over the administration of the executive authority of Iraq, we have been working hard to implement reforms in order to get out with the least losses for all of us. The future of our children is more important than anything, they are the builders of Iraq, and they are the ones who will lead it, so let’s leave our interests and think about our children.”

In October 2020, Al-Kazemi launched what is known as the “white paper”, which extends over 100 pages, which is a “project for a solution to the chronic economic management crisis, complete dependence on oil and the lack of diversification of sources of income.”

Shafaq.com

Deputy: Returning the dollar exchange rate to its previous price is a popular demand

Baghdad – Mawazine News: Independent MP Mansour Al-Baiji stressed, on Monday, that restoring the exchange rate of the dollar against the dinar to its previous price is a popular demand by all the people, and we will work to return it to its previous price during the next stage and as soon as possible.

Al-Baiji said, in a statement received by Mawazine News, a copy of it, that raising the dollar exchange harmed a large segment of the Iraqi people, and this matter could not continue, given that those affected by it are a large segment and this matter cannot continue, indicating that he will work to put pressure on the parties. The competent authority accompanied the decision in order to return it to its previous price.

Al-Baiji said that the decision to return the dollar exchange rate to its previous rate is inevitable and cannot be tolerated or accepted to continue with this rise because it burned the local markets in the country and that a large segment of the people affected by it must be reversed and returned to its previous price as soon as possible, adding that this One of our priorities during the next stage, and we will not allow this matter to continue for a long time in the service of our people who have been affected by this rise.

He concluded that the need has ended if it was a pretext taken by the competent authorities to raise the exchange rate after the world oil prices recovered, so the exchange rate of the dollar against the dinar must be reduced and fairness to our people who have suffered a lot in this rise and they are powerless and therefore we do not allow or accept this matter to continue It will be a long time and it will be a priority for all national representatives to do justice to their people, even if it is late. Ended 29/R77

Mawazin.net

The Kurdistan Region and America are discussing addressing the security voids

Shafaq News/ The Vice President of Kurdistan Region, Jaafar Sheikh Mustafa, and the US forces operations officer in Iraq, Colonel Michael Cullinan, discussed, on Monday, the latest results of the strategic dialogue between Iraq and America, the complexities and movements of ISIS in the region, the military operations of the army and the Peshmerga, and addressing the security gaps.

A statement by the region’s presidency, received by Shafaq News Agency, said that Sheikh Mustafa received the US forces’ operations officer in Iraq, Colonel Michael Cullinan, and his advisor, Peter Blades.

The statement said that the two sides discussed the latest results of the strategic dialogue between Iraq and America, the complexities and movements of ISIS in the region, the military operations of the army and the Peshmerga, the continuation of logistical assistance to the Peshmerga, reform, the unification of the Peshmerga, and addressing the conditions of areas in which there is a security vacuum.

The statement added that Sheikh Mustafa thanked the US forces and the international coalition against ISIS, and the cooperation and US military logistical assistance to the Peshmerga, and its high price, stressing the continuation of the joint operations of the Peshmerga and the Iraqi army with the support of the coalition to eliminate terrorists in the region.

The statement stated that Colonel Cullinan reiterated that his country will continue to cooperate and protect the region from any dangers that beset it, referring to the importance of the strategic dialogue between Iraq and America with the participation of the Kurdistan Region and expressed his pleasure to develop relations in the economic and military fields.

The statement indicated that the two sides were in agreement on coordination and greater desire for relations between America and the Kurdistan Region, and stressed the importance of unifying and reforming the Peshmerga forces and building a national united force, as well as filling the security voids in the regions. Larger.

Shafaq.com

Al-Kazemi announces the start of implementing the mechanisms of the economic reform plan within the white paper

Prime Minister Mustafa Al-Kazemi announced the start of implementing the mechanisms of the economic reform plan within the white paper.

Al-Kazemi said, while presiding over the meeting of the Supreme Committee for Reform, according to a statement issued by his office, that “Nas” received a copy of it, (August 2, 2021), that “since we launched the reform white paper to address the rampant corruption in the country, we are working to create an appropriate atmosphere for its implementation.”

He added, “Our meeting today is to announce the start of implementing the administrative and executive mechanisms of the economic reform plan within the white paper,” noting, “We aspire strongly to restore the country’s economy to its strength after the situation reached very low levels as a result of rampant corruption.”

Al-Kazemi continued, “This plan will rebuild the Iraqi economy in a proper manner, achieving sustainable development for the country, and the reform plan will provide a solution to the chronic economic management crisis, which is represented by complete dependence on oil, and the failure to diversify sources of income.”

He pointed out that, “We want to prove to the Iraqis that we are serious about reform, so the plan for managing the economy was not short-term, nor was it a timely solution, but rather aimed at an integrated reform until it is completed within 5 years.”

He pointed out that “the damage to the Iraqi economy is very great, and for this reason it is impossible to implement the reform plan in a short time, and everyone who promises to do so is delusional,” explaining that “our goal is to advance the Iraqi state, not the current government, governments go and the state remains, and for this we want With all our determination to restore Iraq’s economic prestige.”

And he stated, “Since we assumed the administration of the executive authority of Iraq, we have been working hard to implement reforms, in order to come out with the least losses for all of us,” noting that “the future of our children is more important than anything, they are the builders of Iraq, and they are the ones who will lead it, so let’s leave our interests and think about our children.

Nasnews.com

The Iraqi Prime Minister announces the start of implementing the economic reform plan

Today, Monday, Prime Minister Mustafa Al-Kazemi confirmed the start of implementing the administrative and executive mechanisms of the economic reform plan.

According to the Iraqi News Agency (INA), his media office said in a statement, “The Prime Minister chairs the meeting of the Higher Committee for Reform.”

The statement quoted Al-Kazemi as saying that “since we launched the reform white paper to address the rampant corruption in the country, we are working to create an appropriate atmosphere for its application,” noting that “today’s meeting is to announce the start of implementing the administrative and executive mechanisms for the economic reform plan within the white paper.”

He added, “We strongly aspire to restore the country’s economy to its strength after the situation reached very low levels as a result of rampant corruption,” stressing that “this plan would rebuild the Iraqi economy in a proper manner, achieving sustainable development for the country.”

He continued, “The reform plan will provide a solution to the chronic economic management crisis, which is represented by complete dependence on oil, and the failure to diversify sources of income.”

We want to prove to the Iraqis that we are serious about reform; Therefore, the economic management plan was not short-term, nor was it immediate, but rather aimed at an integrated reform until it is completed within 5 years.”

He stressed that “the damage to the Iraqi economy is very great, and for this reason it is impossible to implement the reform plan in a short time, and whoever promises to do so is delusional.”

He pointed out that “the goal is to advance the Iraqi state, not the current government. Governments go and the state remains, and for this we want with all our determination to restore Iraq’s economic prestige.”

And he continued, “Since we assumed the administration of the executive authority of Iraq, we have been working hard to implement reforms, in order to come out with the least losses for all of us,” noting that “the future of our children is more important than anything, they are the builders of Iraq, and they are the ones who will lead it, so let’s leave our interests and think about our children.”

Youm7.com

Iraq renews its desire to open up to the international community, both economically and commercially

Baghdad – Mawazine News, Secretary-General of the Council of Ministers, Hamid Al-Ghazi, discussed, on Monday, with the Italian ambassador to Iraq, the results of the Prime Minister’s visit to Rome, while stressing the government’s desire to open up to the international community, economically and commercially.

A spokesman for the General Secretariat of the Council of Ministers, Haider Majid, said in a statement received by Mawazine News that “Al-Ghazi met the Italian ambassador to Iraq, and discussed with him the results of Prime Minister Mustafa Al-Kazemi’s visit to the Italian capital, Rome.”

He pointed out that “the Secretary-General of the Council of Ministers renewed, during the meeting, the Iraqi government’s desire to open up to the international community in the economic and commercial fields.”

Mawazin.net

News From The Central Bank Of Iraq

The Independent/ The Central Bank of Iraq announced, on Tuesday, that its funds are “fortified” by an American decision, “and no party can seize them.”

The bank stated in a statement, that the legal authorities in the United States of America confirmed to the Governor of the Central Bank of Iraq that all the reserves and funds of the Central Bank of Iraq are fortified and that no party can seize them, and also confirmed that they will defend its immunity with the rest of the countries and these reserves cannot be compromised.

The Governor of the Central Bank is accompanied by the head of the Iraqi government in the delegation in Washington.

The bank added, “Iraq will complete during the coming period the full payment of the compensation and benefits accrued from it before 2003, as this will lead to the lifting of international immunity from Iraq’s funds abroad and it will be subject to implementation by some creditors from other parties and companies.”

He also added that those American legal authorities confirmed that the funds and reserves of the Central Bank of Iraq are protected under the laws followed in the United States of America, and pledged to defend what is in the central banks and banks in other countries.

Mustaqila.com

Reuters: Biden and Al-Kazemi will sign an agreement that officially ends the combat missions of US forces in Iraq by the end of 2021

Baghdad today – US President Joe Biden and Iraqi Prime Minister Mustafa Al-Kazemi will sign an agreement officially ending the combat missions of US forces in Iraq by the end of 2021, more than 18 years after sending US forces to the country.

With the decision to withdraw the last US troops from Afghanistan by the end of August, the Democratic president will conclude US combat missions in the two wars started by former President George W. Bush.

It is scheduled to meet Biden and Al-Kazemi in the Oval Office in the first direct talks between them as part of a strategic dialogue between the United States and Iraq.

A statement will be issued after the meeting to announce the end of US combat missions in Iraq, a senior Biden administration official said.

There are currently about 2,500 US soldiers in Iraq, whose missions are to confront the remnants of the Islamic State. And the US role in Iraq will change completely to being limited to training and advising the Iraqi army.

The shift is not expected to have little effect because the United States is already focusing on training Iraqi forces.

Baghdadtoday.news