Report: the budget deficit will rise to $ 40 billion .. and aspirations of the Ministry of Oil unrealistic

Sunday 20 December 2015 | 18:02

BAGHDAD / translation .. multiple global economic analysis and a researcher at the specialized nature of the current Iraqi economy in light of the oil crisis as frequently, to provide a forecast of what will be the economic situation in Iraq, especially after the approval of the Iraqi budget for next year 2016.

In this context, the network "Gulf News" reported report translates as "eye Iraq News," talking about the absence of signs that confirm the view on which the Iraqi economic future budget for 2016, noting that expectations for a continued decline in oil prices, and at best , stability at the price of $ 30 throughout 2016, at a time when the Iraqi budget prepared on the basis the sale price of a barrel of oil at $ 45, which refers to the absence of a real study of the market situation as far as the network expression.

She said the network also, that the budget approved is currently experiencing a fiscal deficit is estimated at about $ 20 billion, while the site "Irak Oil Report", that Iraq and that it confirmed succeeded in collecting oil revenues as forecast currently set at about $ 59 billion, snapped considering stability price throughout the year and not Tztzbh, the site had confirmed that the government would still need to collect nearly 10 billion of taxes and other means, and will continue to suffer budget of twenty billion dollars deficit.

This comes at a time when the report also confirmed, that the stability of the sale of a barrel of oil price around $ 30 per barrel throughout 2016, and by Iraqi exports of 3.6 million barrels a day, the Iraqi fiscal deficit for 2016 will reach $ 40 billion, where the confirmed site "Irak Oil Report, "the figures.

It should be noted, too, that the report had confirmed that the current oil ministry solutions will not be enough, marked by relying on an instrument of financial bonds worth $ 12 billion for sale in the domestic and global markets through the Central Bank of Iraq, where he and the current Minister of Iraqi oil, "Adel Abdul Mahdi ", and through the prism of his on his page on Facebook, that Iraq had obtained Ward estimated $ 340 billion in revenue for the recent licensing rounds fired by, Mtqaibda costs to the extent of $ 34 billion only, in reference to the success of his strategy in dealing with the crisis through licensing rounds, which is exposed to growing criticism, which the report noted as being insufficient, especially since the production costs are increasing with the large-growing in the world oil market, which makes guesses impossible to Iraq has paid the costs of even up to produce six million barrier barrels daily, which is necessary to keep the economy alive and positive, stressing at the same time that the 35 allocated to Ttoerottnumeih oil fields billion will not be enough certainly over the next year, and that the growing production is sufficient to meet the high costs of production for oil companies operating in Iraq, also cited the report.

The report quoted the economic newspaper "Alekinomst", that the goal of Iraq's access to the output of oil daily estimated nine million barrels daily by 2020, is realistic, and he must be disregarded in the current trend to increase production explosively to cover the deficit resulting from low prices, noting The cost of producing a barrel of Iraqi oil equivalent to two instances that Saudi Arabia, and perhaps more, putting Iraq in late Export site because of the increased cost of production per barrel of oil for his Saudi counterpart.

Also worth noting, the report has pointed out the importance of the exploitation of a valuable resource, on a daily basis are thrown away in Iraq, which is natural gas, which are left in the first licensing round, the task of natural gas investment to the oil ministry, which according to the cited report, has failed to turn it into a financial resource values, confirming that the second round of licenses had been granted the right to natural gas investment into one of the oil companies, without the presence of any real reaction so far, especially since the current Iraqi politics do not have a roof or a clear standard of what could be the oil companies that burn gas through the process of oil production, which is causing a real waste of this resource.

This comes at a time the site of the Iraqi Oil Ministry, that it cited the proportion of what is burned from the gas and through November just a month, has reached 1,499 million cubic feet per day, by "42.44 million cubic meters per day," the equivalent of the amount of imports 250,000 barrels of oil Daily.

Also mentions that the report was confirmed, citing the achievement of the newspaper "Alekinomst" that the Iraqi city of Basra have been described during the investigation as "the endemic City", where promising economic investigation "militias and views" in control of the city as the largest economic factor that pulls Iraq's money .anthy 5