Source: Trump envoy expected to visit Iraq with security message for PM Al-Sudani
keep in mind Sudani just came back from Iran too
A political source revealed, on Saturday, that a special envoy of US President-elect Donald Trump is expected to visit Iraq soon, delivering a message to Prime Minister Mohammed Shia al-Sudani.
The video for this blogpost is below here:
The source told Shafaq News, "The American envoy is likely to arrive in Baghdad carrying direct messages from Trump about the security of the region and Iraq’s role in maintaining it." The visit, the source noted, might be unannounced and will include discussions on Al-Sudani’s recent diplomatic visits and Trump's perspective on evolving regional dynamics.
Last week, another political source disclosed that Prime Minister Al-Sudani had already received a message from Trump via a special envoy in an unpublicized visit.
The message reportedly focused on key issues, including controlling arms outside the state's authority, curbing the activities of Iran-linked factions, steering Iraq away from involvement in Syria, and supporting the formation of a new Syrian government.
A government source confirmed to Shafaq News that Iraq is actively working to promote stability in the region.
Notably, Al-Sudani has undertaken multiple regional visits following the collapse of the Bashar al-Assad regime in Syria, including trips to Jordan, Saudi Arabia, and, most recently, Iran. During these visits, he engaged in discussions on security matters, emphasizing Iraq's role as a mediator among rivals and a partner fostering friendly relations with all states.
Among them is the Iraqi Elina Habba.. Trump honors his supporters from the leaders of the Arab and Muslim community
US President-elect Donald Trump is scheduled to meet with leaders of the Arab and Muslim community in the United States and honor them, including the Iraqi Elina Habba, the lawyer who was known for being one of Trump's defenders and one of his most prominent supporters in the elections.
Leaders of the Arab and Muslim American community revealed that a meeting will be held between President-elect Donald Trump and his Vice President, Geddy Vance, with community leaders in Washington, DC, two days before the inauguration of the president-elect for a new term on January 20.
The leaders explained to the "Erem News" website that "this meeting is an embodiment of the commitment that Trump made to the community during his election campaign in Michigan last fall."
They pointed out that "the meeting will be a celebration of Trump's success in winning the elections, in addition to renewing the emphasis on the special relationship that has linked Arab and Muslim American voters to the Republican Party in recent years."
The leaders revealed that the list of invitees to this meeting will include, in addition to officials of Arab and Muslim origins who were appointed to the new Trump administration, community leaders who were in the front lines of supporting Trump’s campaign in an attempt to win the votes of the Arab and Muslim community in Michigan and the rest of the US states.
After announcing his victory in the elections, President Trump took the initiative to appoint Americans of Arab and Muslim origins to senior positions in his new administration.
Leaders explained to "Erem News" that there are other appointments on the way for more Arab Americans in the Trump administration in the days and weeks that will follow the president's swearing-in.
Among the names to be honored at the meeting are Trump's senior Middle East adviser, Massad Boulos, ambassador-designate to Turkey Tom Barrack, Iraqi-born lawyer Elina Habba, adviser to the president, and the appointed "Doctor of the Nation" of Jordanian origin, Janet Nesheiwat, in addition to Muslim physician Mehmet Oz and Egyptian-born physician Martha McCary, who was appointed director of the Food and Drug Administration.
It can become a major source of income in the economy.. Al-Sudani directs the maturation of tourism projects
Prime Minister Mohammed Shia Al-Sudani stressed, today, Saturday (January 11, 2025), the necessity of investing in Baghdad as the capital of Arab tourism to launch tourism development projects, considering that it can be transformed into a primary source in the non-oil economy.
The Prime Minister's media office stated in a statement received by "Baghdad Today" that "Al-Sudani chaired a meeting today, Saturday, devoted to presenting a package of tourism projects planned to be established in the capital, Baghdad, and the rest of the governorates."
According to the statement, Al-Sudani directed to work on maturing tourism projects and offering them as a single package, especially since developing this sector will contribute to strengthening and diversifying the national economy by activating vital sectors, including the tourism sector, which the government is keen to activate for the next stage, based on its government program.
He pointed out that tourism and its components are available in Iraq, and it is possible to transform into a basic source in the non-oil economy, with the availability of opportunities, local need, and the desire of citizens to benefit from and enjoy modern, advanced, and environmentally friendly tourism facilities. It also represents a gateway to expanding the elements of attraction for incoming tourism from abroad.
The Prime Minister explained the importance of investing in the opportunity of choosing Baghdad as the Arab Tourism Capital for the year 2025, building attractive tourist and entertainment facilities and installations, overcoming bureaucratic obstacles, and creating more suitable conditions to attract foreign investment in this sector.
According to the statement, the meeting approved extending an invitation to a Spanish company specialized in tourism development in order to put projects related to this sector into action, as well as to develop the capabilities of specialized tourism cadres and keep pace with the latest developments witnessed by this sector globally.
21 tourism projects were also reviewed, including hotels, resorts, sustainable forests, cities and entertainment complexes in Baghdad and various governorates, which provide attractions, infrastructure and economic feasibility.
Salaries are secured and a committee is following up on Kurdistan’s dues.. Details of hosting Taif Sami in Parliament
On Saturday, January 11, 2025, the head of the Finance Committee, Atwan Al-Atwani, revealed the details of hosting the Minister of Finance, Taif Sami, within the committee, while indicating that the minister confirmed securing the salaries of employees during 2025 .
Al-Atwani said in a press statement followed by the "Al-Jabal" platform, "Minister of Finance Taif Sami confirmed during her hosting within the Parliamentary Finance Committee that employees' salaries are secured through 2025."
He added, "We have formed a subcommittee to follow up on the Kurdistan Region's dues for the years 2024-2025," adding, "The committee will submit its report in the next Monday's session regarding amending Article 12 / Second / Paragraph C of the General Budget Law."
Earlier today, the Iraqi Parliament's Finance Committee held a meeting, hosting Iraqi Finance Minister Taif Sami, to discuss the issue of amending the country's general budget law and securing employees' salaries.
A source from within the parliamentary finance committee previously told Al-Jebel platform that “this meeting (with the Minister of Finance) was supposed to be held before the legislative recess, but the travel of senior officials from the Iraqi Ministry of Finance prevented that,” adding that “the finance committee will collect all information related to the subject during the meeting to later submit it to the Speaker of Parliament.”
The Parliamentary Committee hosted the Minister at the Parliament headquarters to discuss with her the issue of amending the General Budget Law, which the Parliament is scheduled to conduct its first reading of next Monday, and securing the salaries of public sector employees for the year 2025.
The Iraqi Parliament is scheduled to hold a session on Monday, January 13, to discuss and read a set of proposed draft laws, including an amendment to the provisions of Iraq’s General Budget Law No. 13 of 2023.
The aforementioned amendment is related to the resumption of oil exports from the Kurdistan Region abroad.
Member of the Parliamentary Oil and Gas Committee, Sabah Subhi Haider, had previously stated to the Mountain Platform, “We conducted the first reading of the amendment and all that remains is the second reading and voting on it. All expectations are moving towards an agreement, and there is a political agreement as well as an international and regional agreement on the necessity of re-exporting Kurdistan’s oil at a rate of 400,000 barrels per day.”
He added, "The order to resume oil exports from the Kurdistan Region is still in place, through amending (Article 12, Paragraph/Second C) in General Budget Law No. 13 of 2023."
Oil exports from the Kurdistan Region to abroad via the Turkish port of Ceyhan were halted in March 2023, after the International Court of Arbitration in Paris issued a decision to adjudicate a lawsuit filed by Iraq against Turkey regarding (the illegality of exporting Iraqi oil from the port of Ceyhan without coordination with the Iraqi SOMO Company). According to official statements by officials, the losses of Iraq and the Kurdistan Region from stopping the export process exceeded $20 billion since last year.
2025 budget is on the verge of legislation, and delaying the schedules will not stop the decision
Kocher explained in a statement to {Euphrates News} that "the delay in the arrival of the tables will not affect the course of the budget legislation, indicating that the next legislative session will be quieter due to the preoccupation of the representatives with the elections, which will reduce their attendance at the sessions."
It is noteworthy that the financial advisor to the Prime Minister, Mazhar Muhammad Salih, said in a press statement that Article 77/Second of the Federal General Budget Law No. 13 of 2023, which regulates the preparation of the three-year budget, stipulates that the government sends the budget tables for the years 2024 and 2025 to the House of Representatives for approval before the end of the previous fiscal year.
He added that the Ministry of Finance has announced that it is in the process of preparing the general budget schedules for the year 2025, in accordance with the constitutional mechanisms adopted by the aforementioned Triennial Budget Law.
Saleh noted that the federal general budget tables for the year 2025 will be based on the constants of Federal Budget Law No. 13 of 2024, taking into account international and regional economic conditions and their changes, in a way that ensures that the provisions of the budget tables for the year 2025 are adapted within the available legal texts, in addition to relying on the performance of the indicators of the general budget tables for the year 2024.
What is the justification?" Parliamentary Finance: The meeting with Tayf Sami did not set a date for sending the 2025 budget tables
The Finance Committee in the Iraqi Parliament revealed, on Saturday, January 11, 2025, that there is no specific date for sending the 2025 budget schedules by the Iraqi government, which it considered “unjustified.”
Committee member Mustafa Al-Karawi said in an interview with Al-Jabal that “the meeting of the Parliamentary Finance Committee today with the Minister of Finance, Taif Sami, did not specify a date for sending the 2025 budget tables.”
The Parliamentary Committee hosted the Minister at the Parliament headquarters to discuss with her the issue of amending the General Budget Law, which the Parliament is scheduled to conduct its first reading of next Monday, and securing the salaries of public sector employees for the year 2025.
Al-Karawi added that the Minister of Finance "did not reveal to us any of the details of the tables, what they include, what the deficit is, and what the allocations are for the operating budget or the investment budget," indicating that "the meeting discussed the financial situation of the country in general."
He continued: "We do not know what is the justification for delaying sending the 2025 budget tables, which are legally supposed to be sent to us before the end of the fiscal year," stressing that "this delay has economic impacts, especially on the issue of implementing projects and disbursing some funds that require spending items in each fiscal year."
The head of the Finance Committee, Atwan Al-Atwani, revealed the details of hosting the Minister of Finance, Taif Sami, inside the committee, and said that Sami "confirmed during her hosting inside the Parliamentary Finance Committee that the salaries of employees are secured through 2025," stressing that "the committee will submit its report in the session next Monday regarding amending Article 12 / Second / Paragraph C of the General Budget Law."
At the end of last year, a member of the Finance Committee, Moeen Al-Kazemi, told the “Al-Jabal” platform that “voting on the 2025 budget schedules will be delayed, and there is no specific date for those schedules to reach the House of Representatives and vote on them, in light of the political differences over amending a paragraph in the budget related to the region’s oil,” indicating that “not voting on the amendment will stop voting on the schedules.”
Al-Kadhimi stated that "the Iraqi government is waiting for the vote on amending the budget law, so that it can work on sending the 2025 budget tables according to the new amendment, but the differences are deep regarding this amendment, especially with the presence of demands by representatives for there to be additional amendments to the law. This will open the door to many desires, which will hinder the amendment."
Sabah Sobhi Haider, a member of the Iraqi Parliament’s Oil and Gas Committee, confirmed to Al-Jabal Platform that “the first reading of the budget law amendment has been completed, and all that remains is to conduct the second reading and vote on it, and there is a political agreement on the matter.”
UN Envoy: Iraq stable, UN respects its sovereignty
The United Nations Secretary-General's representative in Iraq, Mohamed Al-Hassan, affirmed on Saturday that Iraq “remains stable” under its current political framework and institutional system, reiterating that the “UN does not interfere in the country's internal affairs.”
Speaking at a press conference, following his visit to the historic Khan Al-Dhari building, which was organized at the invitation of Jamal Al-Dhari, Secretary-General of the Iraqi National Project, Al-Hassan highlighted Iraq’s ongoing progress, emphasizing improvements in governance, political freedoms, and unity among its people.
He praised the dedication of tribal leaders and politicians to Iraq’s security and their commitment to the political process, describing their efforts as “essential to the country’s progress.”
In turn, Jamal Al-Dhari described the meeting as “an opportunity to discuss Iraq’s future and aspirations for development,” underscoring the “UN’s role in helping Iraq avoid regional and international conflicts while supporting reconstruction and infrastructure projects.”
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Iraq does not have a liquidity crisis
A spokesman for the Kurdistan Regional Government (KRG) told Rudaw this week that Iraqi Finance Minister Tayf Sami blamed a lack of liquidity for the failure to send the Kurdistan Region’s December public salaries. But could there truly be a shortage of dinars in Iraq at this time?
According to the latest report by the Iraqi Ministry of Finance, published on its website, revenues for 2024 as of the end of October stood at 124.66 trillion dinars, while expenditures were 122.72 trillion dinars. This means that the Iraqi government had no deficit up to that point, with expenditures remaining below revenues. So why would the government face a liquidity issue?
No deficit, no crisis
Iraq’s revenues primarily come from oil exports, accounting for 90% of total revenues as of the end of October, according to the Ministry of Finance’s report. The ministry receives these dollars and exchanges them with the central bank for dinars to meet its obligations as mandated by the budget, such as the payment of salaries, pensions, and so on.
“There is no liquidity crisis. The Iraqi government has no liquidity problems at all,” according to Ahmed Tabaqchali, a senior fellow at the Institute of Regional and International Studies (IRIS) and a non-resident senior fellow with the Atlantic Council.
“The budget law for 2024 allows the government to borrow up to 45.8 trillion dinars, even though it does not need to borrow at this stage. Assertions of liquidity problems are baseless,” he said.
“The government can easily borrow up to 28.04 trillion dinars domestically through a combination of T-Bills issuance discounted by the CBI, borrowing from state owned banks, and issuance of bonds - with these limits set by the budget law,” he added.
The role of dollar auctions
The central bank’s dollar auction process is often misunderstood. These auctions, where the central bank sells $250 million to $300 million daily, are not directly related to liquidity or liquidity shortages. The cash auctions are primarily aimed at enabling commercial banks and authorized foreign exchange companies to provide US dollars at official rates for specific purposes, such as tourism or medical travel abroad. However, the majority of auctioned dollars facilitate foreign trade by approving corporate imports of goods and services.
Starting in 2025, the Iraqi Central Bank (CBI) plans to end its online platform for dollar auctions, transferring the responsibility for dollar supply and foreign remittances directly to commercial banks. While the extent of this implementation remains unclear, the central bank’s website continues to display daily auction data. Even if the auctions were to cease entirely, a liquidity crisis would still be unlikely.
Central banks and currency printing
Central banks have the unique ability to create a country’s national currency as needed. For Iraq, this means the central bank can produce dinars to meet the government’s requirements. These dinars become a liability on the central bank’s balance sheet and an asset for the holders of the dinars. However, the Ministry of Finance can borrow dinars by issuing T-Bills, which are mostly bought by the state-owned banks such as Rafidain, Rasheed, or the TBI, who then discount them at the central bank, even if the Ministry of Finance lacks sufficient funds to meet its obligations, provided that the government has the authority to borrow according to a budget law or authorized by parliament. Borrowing by the state, by issuing T-Bills or bonds - whether domestic or foreign - is standard practice.
For instance, the budget law for 2024 planned for a 64.04 trillion dinar budget deficit, of which 71.5% was to be financed through domestic or foreign debt. However, high oil prices averaging above the budgeted $70 per barrel and increased domestic revenues meant that the Ministry of Finance did not need to borrow by the end of October.
What triggers a liquidity crisis?
A liquidity shortage occurs only when the Iraqi government’s revenues decline significantly due to factors like falling oil prices or reduced oil exports. This was evident in 2020, when oil prices collapsed, with Brent crude falling to $19 per barrel and WTI even dropping to -$37 per barrel. Despite this real liquidity issue in 2020, parliament allowed the government to borrow, ensuring its operations continued.
“Even in 2020, when oil prices collapsed and there was a real liquidity issue, the government borrowed after parliament authorized the government to borrow up to IQD 27.0 trillion and managed the situation. Today, there is no such thing as the government having a liquidity crisis,” said Tabaqchali. “People are not using data and so are talking about something they don’t understand.”
The claims of a liquidity crisis in Iraq are unfounded. With revenues exceeding expenditures, robust oil income, and the central bank’s ability to provide liquidity when needed, Iraq’s financial position remains stable. Discussions of a liquidity crisis appear to stem from misunderstandings or misinformation, not from the realities of Iraq’s economic landscape.
The decline in the dollar price against the Iraqi dinar in local markets: Is this the beginning of stability?
Today, the Iraqi local markets witnessed a slight decline in the exchange rate of the US dollar against the Iraqi dinar, as the selling price of 100 dollars reached 152,000 Iraqi dinars, while the buying price recorded 150,000 Iraqi dinars. This decline comes in light of the efforts of the government and the Central Bank of Iraq to control the exchange market and enhance the value of the dinar.
This decline is attributed to a number of factors, most notably the increased injection of foreign currency into the markets, the imposition of strict controls on exchange operations, and the improvement of financial and economic policies. Citizens and traders are anticipating the continuation of this trend, as the stability of exchange rates reflects an improvement in the local economy and alleviates the burdens of living.
For his part, a source in the Central Bank confirmed that the steps taken aim to achieve long-term stability in the exchange market, noting that the bank continues to monitor the markets and take appropriate measures to maintain price balance.
All eyes will be on the coming days to see how long this decline will last and how it will impact the Iraqi economy as a whole. Are we on the cusp of a period of monetary stability?
MP: Lack of planning and clear vision hinders investment in Iraq
Member of the Parliamentary Investment Committee, Mohammed Al-Ziyadi, confirmed today, Saturday, that the absence of planning and clear vision hinders investment in Iraq.
Al-Ziyadi said in a statement to Al-Maalouma Agency, “Investment in Iraq suffers from many problems due to the lack of planning and clear vision, stressing that any step that is not preceded by sound planning faces failure or ambiguity.”
He explained that "the current investment law, with all its articles, suffers from many shortcomings, which makes the investment environment in Iraq unsuitable for economic development."
He pointed out that "government institutions do not fully comply with the law and that there are exceptions granted by decisions of the Prime Minister to some investors, which leads to discrepancies in the application of the law and harms institutional investment."
He added that "ministerial institutions often operate in isolation from the regulatory laws," noting that "there are articles in the law that do not guarantee the protection of the final consumer, but rather only benefit the investor, which weakens the citizen's confidence in investment projects."
He also pointed out that "the lack of a clear vision for preparing the infrastructure before starting investment projects leads to obstructing the entire process," stressing that "these factors make investment in Iraq unstable and lack the ability to provide real and continuous services to citizens "
He explained that "granting an investment license in agricultural areas is a legal violation," noting that "there are exceptions granted to these projects by decisions of the Prime Minister, which harms the infrastructure and distorts the image of investment in the country."
Amending the Investment Law...the first step to combat corruption and develop the country's economic sectors
Amidst speaks of many government facilities to develop the investment sector in Iraq, the parliament is moving towards making amendments to the investment law in order to keep pace with the need and solve the problems it suffers from after many years of its legislation.
Investment Law No. 13 of 2006 consists of 37 articles divided into several axes and paragraphs that regulate investment work in all economic sectors within the country.
Member of the Parliamentary Economic Investment Committee, MP Mohammed Al-Ziyadi, confirms that the amendment of the Investment Law came to consider many clear points in the implementation of the law and the granting of investment licenses to unauthorized parties. The process of granting exceptions from the higher government committees in the Prime Ministry must also be re-corrected.
Al-Ziyadi said in a statement to Al-Maalouma Agency, “His committee submitted the amendments related to the investment law to the State Council to study them and then submit them to the House of Representatives to approve the amendments and return them to Parliament for the purpose of legislation."
He said, “The amendments to the investment law were made with the approval of the political blocs, and they are determined to amend the law during this year to be a unified investment law in the country.”
He added, "The amendments to the investment law will abolish all investment bodies in ministries and governorates and abolish the method of exceptions, which will achieve positive results for citizens, in addition to eliminating corruption."
He pointed out that "the committee is seriously following up to urge the State Council to complete the study of the amendments and send them to the Council of Ministers for approval and submission to Parliament."
It is noteworthy that the reasons for amending the investment law all come in light of the deterioration of the country's infrastructure and the spread of corruption in state institutions, whose population is close to 43 million people, while the government is looking to introduce the private sector into new investment experiences such as the energy sector and the health sector, in addition to new investment opportunities for cities integrated on the outskirts of the capital that can attract hundreds of thousands of residents directly.
For his part, the economic expert, Nabil Al-Ali, confirms that, as many years have passed since the law was enacted, there is a need to make amendments with the change in the investment environment because it has begun to suffer from some weak points that must be reviewed, the most important of which is the issue of bureaucratic complexity represented by administrative approvals and their ramifications among state departments, as in each governorate there is an authority affiliated with the National Investment Commission in Baghdad.
Al-Ali said in a statement to Al-Maalouma Agency, “If the law is amended and includes positive solutions to the problems, it will have a positive impact on the flow of investments to Iraq, which needs various large projects, especially for power generation stations using renewable energy, in addition to the need for real estate and infrastructure projects due to the housing crisis with the rise in land prices and construction costs.”
In 2006, Iraq witnessed the approval of the first investment law, No. (13), which is represented in the establishment of the National Investment Commission, from which branches are established in all Iraqi governorates. It is concerned with attracting local and international investments in order to improve the country's service and infrastructure reality and create job opportunities for Iraqis.
This law did not succeed in achieving any of the goals for which it was enacted, according to many experts
International Banking Day
At the end of 2019, the United Nations approved the International Banking Day, which is held on December 4 of each year. According to its organizers, it aims to shed light on the important role played by banks in financing sustainable development, by providing financing, technical advice, and assistance in implementing projects that promote the eradication of poverty, reducing inequality, and combating climate change.
Based on this goal, the following question can be asked: Have local banks contributed, and do they contribute, to financing sustainable development, and what are their contribution rates to implementing projects that enhance poverty eradication and reduce inequality in light of their total capital, deposits and reserves? Have they exercised the role for which they were created after their capital matured through establishing this role via night investment and currency auction from ten billion dinars according to the Iraqi Banking Law No. 94 of 2004 to about 450 billion dinars as in the Central Bank’s instructions that recently stipulated this minimum ceiling for the operation of any bank in the Iraqi banking arena by the end of this month?
This means that the bank that started with ten billion dinars in the years following 2004 has become or will have 450 billion dinars at the end of this month, otherwise it will be subject to merger or cancellation, and this is thanks to the monetary policy that was followed in order to support the Iraqi banking sector and make it a sector qualified to deal with international banks and financial institutions according to what the international banking industry has reached, and in a way that makes it capable of introducing modern banking technologies and programs to complete financial exchanges and transactions with countries of the world.
In return, what are local banks required to provide now in light of the economic transformations that the country is witnessing?
The "government and private" banks have contributed effectively to turning the wheel of the economy during the past years despite the many observations surrounding their work, but some of these banks did not rise to the level of support they received, and others were busy achieving more profits at the expense of their development duties. This is evident in the movement of money flowing through the daily currency auction with the aim of achieving more profits under the pretext of financing foreign trade in exchange for the decline in credit rates that indicate the desired goal of establishing these banking institutions whenever their rates rise, while deposit rates in many of these banks decline due to the lack of attention to the axis of attracting customers and restoring confidence with the public with the aim of withdrawing the cash mass and circulating it in credit operations and then contributing to development operations and enhancing the elimination of poverty and reducing inequality, and this is what is required.
Western report: Tehran reviews its strategy in Iraq and fears Trump's return
A report issued by the American Foundation for Defense of Democracies revealed the need for the new administration headed by Donald Trump to adopt a firm stance in dealing with Iran and its role in Iraq, while increasing pressure on the Iraqi government to sever its ties with the militias supported by Tehran and dismantle them.
The report, published by the institution and followed by “Al-Jarida”, added that Iraqi Prime Minister Mohammed Shia al-Sudani discussed with Iranian President Masoud Pezeshkian during his recent visit to Iran, regional developments and infrastructure projects, in addition to developments in Syria after the overthrow of Bashar al-Assad’s regime, where al-Sudani stressed “Syria’s sovereignty and limiting foreign influence.”
The report indicated that Iran is conducting reviews regarding its “proxy” doctrine, explaining that the commander of the Quds Force, Esmail Qaani, held secret meetings in Iraq with leaders of armed factions and Iraqi politicians, which addressed the issue of “restructuring and dismantling armed factions” that work on behalf of Tehran. The report explained that “Washington is pressuring the Baghdad government to dissolve these factions or integrate them into the Iraqi armed forces.”
The report considered that the "Axis of Resistance" is preparing for the possibility of Trump's return to the White House, noting that "Tehran's agents" have stopped their attacks on Israel after the US presidential elections. The report also added that Iraqi factions are re-evaluating their strategies towards the next US administration.
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