IMF's objections are reasonable - MP
10/13/2011 8:38 PM
BAGHDAD / Aswat al-Iraq: A member of the Parliamentary Financial Commission regarded the objections of the International Monetary Fund (IMF) on Iraqi 2012 financial allocations as "reasonable," warning of an economic catastrophe if the oil prices drop.
MP Najeeba Najeeb told Aswat al-Iraq that the objections on the increase of financial allocations to 131 trillion Iraqi dinars are "reasonable," because the defined ceilings in the economic studies for the budget is 115 trillion Iraqi dinars, based on oil prices of 85 dollars per barrel.
She warned of an economic catastrophe if the oil prices fell below 85 dollars per barrel, because Iraqi economy depends on oil by 91 percent.
MP Najeeb called the cabinet to review the budget before submitting it to the parliament and reduce it below 115 trillion Iraqi dinars.
The IMP objected for the budget and called to review it before submitting it to the Parliament for voting.
The increase in the budget, compared to the last year, reached to 36 percent.