Austerity and declining consumer propensity diets significantly reduced economic Altdhm

Il Giornale 4 minutes ago

BAGHDAD Journal News
attributed the specialized economic affairs, low inflation indicators in Iraq during the last months of 2016, to a decline in marginal propensity to consume when citizens, noting that it represents individuals actions and attitudes towards spending cuts in tune with the government austerity and cost - cutting policies, due to lack of revenue the financial budget.

While the ministry confirmed Altaktt, that the decline in prices of food and non-alcoholic beverages by 0.8% contributed by 38.5% in the monthly change in the monthly inflation rate, which fell rate, rose 0.7% after it was 0.3% in October, while the annual inflation declined during the the same month, at a rate of 1%, compared with November 2015 a month.

He said economic analyst, a refuge of the Secretary, in an interview conducted by the Journal, said that "low inflation indicators in Iraq in recent months to 2016, declining marginal propensity to consume of the citizens, and that individual actions and attitudes represents about spending in harmony with the government's measures in the austerity and spending cuts with a lack of resources Finance in the budget resulting from the challenges facing the country and the most important challenge of terrorism and the war being waged by Iraqi forces in all its different forms against terrorist Daesh to liberate the usurped urban gangs. "

The Secretary, that "low inflation in Iraq, the end of the last year's indicators may be the gateway to the recovery of the Iraqi economy during the current year with the austerity announced by the Iraqi government and stop Altaaninat and reduce government spending and impose taxes on certain sectors, including employees and retirees' salaries, so most expectations are going to get the last significant decline in the inflation index will be during the first quarter of this year as a recovery in the economy and accelerate the trend towards creating an environment for the economy in terms of good families. "

He said the Secretary, that "the global outlook indicate a rebound in oil prices thanks to cut production when producing states agreement, which was implemented at the beginning of this year, this matter will reflect on Iraq, which is what we will see after the second half of this year, requires the government to maintain its policy of austerity to win more financial proceeds from the increase in oil prices and then employ them in investment projects be of benefit to the national economy and the individual. "

In turn, the official spokesman for the Ministry of Planning Abdul-Zahra al-Hindawi, said that "inflation is the base index fell by 0.3% from the previous month and rose at a rate of 04% for the month of October 2015," referring to the record year of consumer prices CPI for the month of November 2016 in Iraq 103.6% down 0.7% for the month of October 2016. "

Among al-Hindawi, that "the reason for this decline is due to a decline in the standard figures of the Department of Food and non-alcoholic beverages by 0.8%, Department of Housing 1.5%, CTO of 0.1%, department of recreation and culture by 1.8%, the Department of miscellaneous goods and services by 0.5%."

Hindawi pointed out that "the monthly change for the month of November 2016 compared to October 2016 a month due to lower prices of the Department of Food and non-alcoholic beverages by 0.8% to contribute by 38.5% in the monthly change and low fruit set rate of 2.0% from the previous month due to lower my sleep prices acid / importer 7.9%, and prices of oranges imported 4.7%, lower vegetable group by 2.4% from the previous month due to lower tomato prices by 13.7%, and the prices of okra by 9.1% and lower range Fish 1.0% from the previous month due to lower fish prices of fresh Karp attributes / local 1.4%, as well as lower milk, cheese and eggs by 0.2% from the previous month, a group because of the low chicken eggs imported prices by 0.8%, and also reduced other food group by 0.1% from the previous month, while Hafez tobacco section on the level himself in the monthly rate of change. "

He added that the "clothing and footwear division recorded a rise of 1.3% to contribute by 7 -13% in the monthly rate of change The reason for this rise to higher standard figures for the group clothing by 1.4 per cent and footwear by 0.7%, and housing department record a decrease of 1.5% to contribute by 70.0% in the monthly rate of change because of the low standard figures for a water and electricity supply by 15.2%, and a range of housing maintenance and services by 0.1%. "

He Hindawi considering that "the annual change for the month of November 2016 compared to November 2015 a month due to a decline in food and beverage prices of non-alcoholic amount of 4.8% to contribute by 2.156% in the annual rate of change comes changes due to lower meat group by 5.1%, lower Group of fish by 9.0%, as well as lower milk collection, cheese and eggs by 1.1%, as well as lower oils and fats by 0.5%, and decreased fruit set (6.5%) as well as lower vegetable group (12.5%), as well as low sugar and sugar products group by 1.5% . while other food products group rose by 2.0%, higher non-alcoholic beverages group increased by 0.4%. As the tobacco division record rise of 8.3% to contribute by 6.1% in the annual rate of change ".anthy

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