Academic calls for uncertainty to financial abundance Time

12/27/2015 0:00

BAGHDAD - Imad emirate
enjoys the Iraqi economy a high annual growth rate and full of appropriate financial abundance, but this situation does not mean that the economy is growing properly, oil exports are considered the catalyst for the economic growth President and the performance of other private commodity production economies are still weak both in terms of its contribution in the composition of output domestic product and hard, or in terms of annual growth rates, which negatively affects the balanced development of the total by the domestic supply of goods and services.

In this regard, said the economic academic d. Awad Fadhil »Sabah»: The interdependence between sectors subsidized economy limited the use of the financial resources available for investment purposes as a result of under-investment ratio rate to the savings rate, as well as lower absorptive capacity because the administration is inefficient and lack of technical knowledge, Ltd. is a lack of skilled labor, and the adoption of exchange rate policy challenge the competitiveness of local exports of goods tradeable internationally. And an increase in poverty and the unequal distribution rate, low utilization rate of the labor force in the national economy.

He added. Fadel. That the Iraqi economy since the political change lives successive waves of contradictions in macroeconomic management made ​​him dive into the warped monuments economic system works in the context of a weak economy, bad organization effectiveness. I've become these contradictions pose challenges requires a response and think carefully about the inevitability of policies agree macroeconomic to achieve monetary stability, and faith that the structural transformation of the economy of a developing process to a backward economy that is not the only union arm of economic development and are the customization and exploitation efficient resource productivity so as to maximize investment financially and socially .

He explained d. Fadel. Following the process of change entrusted with the task of improving the economic performance of the sectors of the national economy to the state budget through the channel of current government spending development, the common denominator remained between eras time periods continuation of the weight of the public sector in the conduct of the economy and increase dependence on foreign supply of goods and services to meet the needs of consumption and production of local , and confidence to financial abundance provided by the oil resource that time, and the funding is limited to policy development.

He concluded d. Fadel that this shift in development management method and the recovery of the domestic aggregate supply of goods and services did not achieve positive results noticeable at the level of increased costs and increase the flexibility of the production machinery and lifting substitution between domestic goods and foreign goods degree, and it intensified slide Aalaraca economy in further imbalance in the production structure coupled with productive activities to reduce the commodity to generate total economic activity.