The “Central Bank” warns against closing Iraq’s account with the US Federal Reserve: it will put our money at risk

Shafaq News / On Monday, the Central Bank of Iraq revealed the legal basis for depositing oil revenues in the US Federal Reserve.

According to documents issued by the bank and viewed by Shafaq News Agency, “The legal basis for depositing oil revenues in the Federal Reserve Bank of New York in the IRAQ2 account alternative to the DFI account is the expiration of the extension of the Executive Order issued by the US President No. 13303 issued in March 2003.” According to which immunity was granted to the Iraqi funds deposited in the Iraqi Development Account (DFI) at the time, and the end of the United Nations protection over Iraqi funds that was granted to it under UN Security Council Resolution No. 1483 of 2003 after the issuance of UN Resolution 1956 at the end of 2010.

The documents added, “Accordingly, an IRAQ2 account was opened, which is used to deposit funds from Iraqi crude oil exports, and they are transferred to the account of the Central Bank of Iraq at the Federal Reserve Bank within 24 hours of receiving these amounts to ensure that they are not exposed to the claims of creditors, as they are funds belonging to the Iraqi government derived from the export of crude oil.” This mechanism was organized through a (memorandum of understanding) signed between the Iraqi Ministry of Finance and the Central Bank of Iraq on 6/2/2014 for the purpose of organizing the work of the IRAQ2 alternative account for the Development Fund for Iraq, and this memorandum is the legal basis for establishing the aforementioned account.

She continued, “The immunity granted in accordance with these two documents includes sovereign funds only and does not include funds used for commercial purposes.”

The documents explained, “With regard to the answer to the third paragraph, foreign reserves may be deposited with several external parties, central banks and financial institutions, and not only in the Federal Reserve Bank, and interest rates vary according to the investment segment, the duration of the investment, and the institution with which the investment is made, in addition to the fact that the transport company is Orient is the company contracted by this bank to transport dollar shipments from the Federal Reserve Bank to Baghdad International Airport, with an insurance amount of (414,000) US dollars (four hundred and fourteen thousand US dollars per shipment, and transportation fees of (216,310) US dollars (two hundred and sixteen thousand three hundred and ten US dollars, Department of Parliamentary Affairs, Department of Parliamentary Oversight.”

She continued, “It is not possible to transfer the revenues from the sale of oil to the interior due to the impossibility of carrying out financial operations for Iraq if the funds are at home, and closing our account with the Federal Reserve Bank could expose Iraq to the risk of international claims, in addition to the inability to settle our payments in US dollars without the presence of… An account at the Federal Reserve Bank or other U.S. commercial bank.

Shafaq.com

Iraqi Dinar / US Dollar auction results for today 3-31-2024

Results of the foreign currency selling window for Sunday 3/31/2024

Advertisement No. (5096)

The amount:

Total amounts of transfers abroad (transfers, credits)
239,109,928

Total cash withdrawals
13,310,000

Total total sales
252,419,928

Note that: The selling price of documentary credits and international settlements for electronic cards is ( 1310 ) dinars per dollar.

The selling price for transfer amounts abroad is ( 1310 ) dinars per dollar.
The cash selling price is ( 1305 ) dinars per dollar.

cbi.iq/currency_auction

Prime Minister: We will hold accountable those who are negligent in implementing reform measures

Information / Baghdad… On Sunday, Prime Minister Muhammad Shiaa Al-Sudani chaired the first meeting of the Supreme Reform Committee, during which the actual steps and procedures that the government has proceeded to implement were discussed, within the framework of the priority of economic, administrative and financial reform included in its executive program.

Al-Sudani stressed, according to a statement from his office received by Al-Maalouma, “the necessity of moving forward with the reform adopted by the government,” stressing that “this government has worked on preparing a comprehensive reform program, according to a future vision aimed at improving the economic situation and building and reforming state institutions in various sectors.”

He stressed the importance of “monitoring government performance in implementing this integrated vision, as the Supreme Committee will follow up on reform and hold accountable those who are negligent in implementing reform measures.”

The Prime Minister pointed out “the challenges facing the ongoing reform process, which is in the interest of citizens,” stressing “the government’s commitment to protecting vulnerable groups from any consequences that may affect the living situation of ordinary citizens.”

Almaalomah.me

Parliamentary Finance indicates a “high budget deficit”: It will deprive the governorates of new projects

Shafaq News / The Finance Committee in the Iraqi Parliament announced, on Sunday, a high deficit in the 2024 budget, the schedules of which the Council of Ministers have not yet approved.

A member of the Parliamentary Finance Committee, Uday Awad, told Shafaq News Agency, “The amendment to the budget law is stalled due to the high ceiling of the total budget deficit, which has reached more than 80 trillion dinars, so trends went to reduce public spending.”

He added, “The ceiling of projects in 2024 will be less than approximately in 2023, thus preventing the inclusion of any new project in the budget and being limited to ongoing projects. This will deprive many governorates of new projects due to the financial deficit and the failure to achieve non-oil financial revenues.”

Awad continued, “There is no specific date for sending the budget to the House of Representatives due to the lack of solutions to the financial deficit, and we expect the Council of Ministers to send it after the Eid.”

Yesterday, Saturday, Iraqi government spokesman Bassem Al-Awadi said that the Council of Ministers will approve the 2024 budget schedules within two weeks, indicating that the Minister of Finance will launch funding for the provinces tomorrow, Sunday.

Al-Awadi confirmed that “salaries are fully insured and amount to 69 trillion dinars.”

Shafaq.com

The Central Bank of Iraq announces an increase in the volume of loans and advances during 2023

Shafaq News / The Central Bank of Iraq announced, on Sunday, an increase in the volume of loans and advances granted by banks operating in Iraq.

The Central Bank of Iraq confirmed in a statement today that the volume of loans and advances granted by banks operating in Iraq amounted to (60.8) trillion dinars, at a rate of (17%) in 2023, after it was (51.9) trillion dinars, at a rate that reached ( 12%) in 2022, while the loans and advances granted in 2021 amounted to (46.1) trillion dinars, at a rate of (7%).

The Central Bank of Iraq noted the importance of loans and advances, which are important factors in stimulating the local economy.

Shafaq.com

Iraq signs a memorandum of understanding with two international companies to stop burning natural gas

Shafaq News / On Sunday, the Iraqi Ministry of Oil signed a memorandum of understanding with Siemens Energy and Schlumberger to invest, process, and stop burning gas in the fields.

Deputy Prime Minister for Energy Affairs and Minister of Oil, Hayan Abdul Ghani, confirmed in a press conference that signing the memorandum of understanding with the two companies comes within the ministry’s accelerated plan to convert gas into productive and useful energy to supply electric power generation stations and the national grid.

The conference came after the signing ceremony of a memorandum of understanding between the Ministry of Oil and Siemens Energy and Schlumberger to invest and process associated gas and convert it to electric power generation plants.

Abdul Ghani said during the conference that the Ministry aims, through this memorandum and the contracts attached to it, to implement the accelerated plan to invest and process quantities of gas from oil fields, thanks to the technology possessed by these companies, pointing to the signing of another memorandum by Siemens with the Ministry of Electricity, in support of the energy sector. .

For his part, the Chargé d’Affairs at the German Embassy, ​​Maximilian Rasch, praised the joint cooperation between the two countries, stressing his country’s support for Iraq to improve the energy situation and reduce emissions, expressing his hope to sign more contracts in other fields.

While the director of Siemens Energy Iraq, Muhannad Al-Saffar, said that this memorandum is the beginning of joint cooperation with the ministry to stop burning and processing gas, and employing it for the electric power generation sector, which contributes to achieving energy security in addition to reducing imports and preserving the cleanliness of the environment.

The Undersecretary for Gas Affairs, Izzat Saber, confirmed that the memorandum comes within the Ministry’s endeavor to conclude more contracts to accelerate the investment of all quantities of associated gas from oil fields and process them in cooperation with specialized international companies, to contribute to supporting the electric energy sector, saving financial expenses, and preserving the environment.

The General Manager of Schalminger Iraq, Wissam Al-Azm, said that Siemens and Schlumminger will work to develop appropriate solutions and studies to improve the reality of sustainable energy using the latest technologies.

For his part, the spokesman for the Ministry of Oil, Assem Jihad, confirmed that the memorandum comes in line with the government program and the Ministry of Oil to accelerate gas investment and increase national production, within a pivotal plan towards enhancing energy security, reducing operational expenses and benefiting from gas resources, to supply electric power stations and all industries related to it. Pointing out that these projects constitute decisive progress in Iraq’s journey towards sustainable energy.

Shafaq.com

US challenge to White House invitation of Iraqi PM

Washington, D.C — In a letter to President Joe Biden, a group of republican U.S. Senators and Members of Congress have communicated their concern regarding the administration’s invitation to Iraqi Prime Minister Mohammed Shia al-Sudani. The signatories expressed “deep concern with your invitation to host Iraqi Prime Minister Mohammed Shia al-Sudani to the White House in April.”

The letter alleges that hosting Prime Minister al-Sudani “amplifies the message of your ongoing campaign to undermine Israeli Prime Minister Netanyahu,” and accuses the administration of preferring to “appease Iran, not supporting our allies.”

Addressing the influence of Iran, the legislators assert, “The Iraqi government remains under significant Iranian influence,” and criticize U.S. monetary policies, saying, “You continue granting sanctions waivers to the Iraqi government to import electricity and natural gas, all while using U.S. dollars transferred to Iraq from the Federal Reserve.”

The letter is signed by Senators Tom Cotton, Ted Budd, Bill Hagerty, and Rick Scott, as well as Representatives Jake Ellzey, French Hill, Michael R. Turner, and Michael Waltz,

The group criticizes the administration’s imbalance in its Iraqi relationships, “And while you invite the Iraqi Prime Minister to visit Washington, you have refused to meet with Kurdistan Prime Minister Masrour Barzani, a critical partner and the host of the most U.S. forces in the region.”

The letter concludes with a series of demands aimed at reducing Iranian influence and reinforcing U.S. interests in the Middle East, including, “You should focus on reducing Iranian influence in Iraq and shoring up support for our partners in Kurdistan. As a precondition of any visit by Prime Minister al-Sudani, you should require the immediate reopening of the Iraq-Turkey Pipeline.”

The signatories emphasize the urgency of their recommendations by stating, “Your appeasement of Iran has endangered American national security and weakened our relationship with our allies. While the corrective actions outlined here will not undo the damage you’ve caused, they represent an important first step.”

964media.com

Al-Shammari reveals the most prominent files of Sudanese’s visit to Washington and the government’s ambition regarding the dollar

The political advisor to the Prime Minister, Fadi Al-Shammari, revealed the most prominent files that will be discussed in the visit of Prime Minister Muhammad Shia Al-Sudani scheduled to Washington in the middle of next month, pointing to “the strong relationship between Al-Sudani and the leaders of the coordination framework.”

Al-Shammari said to the program (Before Suhoor) broadcast by Al-Furat satellite channel:

The Sudanese is a fierce follower and enters into details from multiple sections for the sake of achievement, not interference. Working with him is no comfort, but there is the pleasure of production.

The Sudanese follows up on many projects daily and resolves any obstacle or routine

Sudanese advisors are assigned tasks and work like a beehive. Some of their files are in the completion stages, and some of them will be closed after some of them had been idle for 15 years.

Al-Sudani listens well to his advisors and refers files to specialists, despite having experience, in order to mature decisions and ideas

Al-Sudani’s visit to Washington will be practical and will not be for taking pictures

The visit will discuss sensitive and basic files, including the identity of the relationship between Iraq and the United States and the incomprehensible interference in it, and we want to clarify it

The ambitions for the visit are very high, and we want to clarify Iraq’s relations with major countries, including the United States

The financial file will be present and strong, as will the trade file

The Iraqi delegation will ask the American side about the reasons for their decisions to impose sanctions on Iraqi banks

Our expectations are that the visit will be very successful, and this matter is based on our data, taking into account the changes in the world, and there are signs that will emerge from the Prime Minister’s mouth.

There is great exaggeration in the attempt to portray that the Sudanese are in a valley and the coordination framework is in a valley, but the reality is otherwise because there is participation in decision-making and the Sudanese is part of the leaders of the framework.

There is a balanced relationship between the chief executive officer (the Sudanese) and the framework leaders

The Sudanese government’s title is service and the opening of 9 hospitals in Baghdad this year

Revealing multiple networks led by security leaders who have electronic armies to bring down military figures and incite public opinion against personalities.

Measures were taken against 16 soldiers involved in extortion networks

Blackmail networks include media figures whose goal is to bring down government and military figures

Investigations will reveal the facts, and no one can pressure the investigative committees

Some parties are close to Sudanese, but the Prime Minister does not show courtesy at the expense of the people

The decline in the dollar exchange rate is a cumulative indicator of the actions and monetary policy of the central bank and the government

The decline after narrowing the space for currency smuggling and the black market is subject to supply and demand mechanisms

The dollar is on its way down and will be subject to supply and demand areas

The government is planning to reduce the dollar to the official rate. This is certain, but it takes time

10% of merchants used to go to the electronic platform, and today the percentage has risen to 70%

The path of development is proceeding at a stronger pace than it was when it was announced, and the Basra-Nasiriyah section is ready for work.

The Sudanese did not put pressure on the resistance factions to stop their attacks against the American bases. Rather, there was a constructive dialogue based on the interests of Iraq and with the cover of the majority of the forces of the coordination framework.

Talking about early elections is a “media show” and the Prime Minister believes that it is too early to talk about elections, and his time is now devoted to the success of the government.

Alforatnews.iq

A deputy expects the dollar exchange rate to reach 140 Iraqi dinars

Information/Baghdad… Representative Mudar Al-Karawi confirmed today, Thursday, that the parallel market decreased by 10% within 3 months in Iraq.

Al-Karawi told Al-Maalouma, “The efforts of the Central Bank and the measures of the Ministry of Finance reduced the influence of the parallel market and led to a reduction in the exchange rate by 10% within 3 months.”

He added, “The exchange rate reaching 140,000 dinars per $100 is very likely in the coming weeks.”

He pointed out that “reducing smuggling, automating procedures, and controlling the movement of money and payments are all reasons that contributed to creating financial stability and pushing the parallel market to decline, even if very slowly.”

Almaalomah.me

Al-Yasiri: The American administration is working hard to destroy the Iraqi economy

Information/Baghdad… The political and security analyst, Muhammad Al-Yasiri, today, Thursday, accused the American administration of continuing its hostile policy to destroy the Iraqi economy.

Al-Yasiri told Al-Maalouma, “The US Treasury Department continues to restrict the flow of dollars to the Central Bank of Iraq and reduce cash liquidity.”

He pointed out that “the American administration is working hard to restrict the Iraqi government and discourage it from demanding the removal of its occupying forces from the country.”

He continued, “The American restrictions on Iraq regarding the dollar clearly confirm the lie of the so-called friendship of the United States of America with Iraq.”

The US Treasury Department recently imposed economic sanctions on eight Iraqi banks, preceded by sanctions on fourteen others, and prevented them from dealing in the dollar currency, as the reasons behind the imposition of such sanctions were not explained.

Almaalomah.me