Expert warns of a significant risk to hit the Iraqi economy in 2016


Monday 0.21 December 0.2015

Warned economist haven secretary, of significant risks will hit the Iraqi economy as a result of the construction budget that in 2016 the price of $ 45 a barrel oil, noting that the House of Representatives passed Iraq's budget for fiscal 2016 on the basis of the price of a barrel of oil of $ 45 card and export of 3.6 million barrels per day.

The secretary told the National Iraqi News Agency / Nina / that "legislators did not take into account when preparing the budget on the price of $ 45 a barrel oil, that oil prices may be falling to $ 30 a barrel through 2016, with the increase in costs of the war against al-Daash terrorist, as well as Iran's right to offset earlier losses in the export of oil since the imposition of international sanctions on it and filed with the beginning of the new year, which will be presented Iraq's economy to significant risk result in increased indebtedness of the country to fill the hole spending developing with the deterioration of the price of a barrel of oil.

"He noted, that" Low temperatures in the northern hemisphere and the increasing demand for oil for the purpose of heating during the winter did not save oil prices from rapid decline, because of the glut of global oil market in spite of a growing population, along with the adoption of the developed countries to cheap and environmentally friendly energy to meet the alternatives their needs.

"The Secretary of alternative energies for oil energy / solar energy and the exploitation of wind, waves and heat the ground, nuclear energy, gas /, can the country be exploited, but Iraq did not benefit from alternative energy lessons which overthrow its economy unilateral based on the export of oil side to finance all expenses Local over the next decade.

"Experts predict that falling oil prices to a low level does not cover extraction costs, what makes it imperative for Iraq and the oil-producing countries to proceed with the economic policy that makes oil revenues marginal figure in building the financial budgets and planning towards the implementation of an economic equation to ensure the gradual growth and building institutions the productivity of generating financial entry.

and passed the House of Representatives last Wednesday, 2016 budget based on $ 45 per barrel, the oil card and export of 3.6 million barrels per day.