WOTS THU MAR 3 22 Between the exchange rate and promises of reforms.. the fragile classes struggle with the high prices of the markets

 WOTS THU MAR 3 22 Between the exchange rate and promises of reforms.. the fragile classes struggle with the high prices of the markets

These are the articles I would  have  discussed if I had  done a My FX Buddies Podcast:

Al-Maliki calls for the formation of the next government

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Head of the State of Law Coalition, Mr. Nuri al-Maliki, receives the Serbian and Pakistani ambassadors to Iraq The head of the State of Law Coalition, Mr. Nuri al-Maliki, received in his office today, in two .separate meetings, the ambassadors of Serbia and Pakistan to Iraq During the meeting, they discussed the latest political and security situation in Iraq and the .region

His Excellency affirmed Iraq's keenness to strengthen its relations with all countries of the world in a manner that serves the interests of the Iraqi people, and not to allow all attempts aimed at harming its interests and foreign relations, and refuses to interfere in its internal affairs, indicating that the next new government needs the support of brothers and friends to be able to .achieve its goals

The head of the State of Law coalition indicated the need for political blocs and forces to invoke the supreme national interest in order to speed up the .formation of a government capable of meeting services For their part, the two ambassadors expressed their interest in the Iraqi situation and the need to .strengthen relations and cooperation in various fields

Between the exchange rate and promises of reforms.. the fragile classes struggle with the high prices of the markets

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The exchange rate of the dollar against the dinar is still standing against all attempts to reduce it by some political forces, amid the insistence and clear adherence of the Ministry of Finance and the Central Bank to the decision to maintain the price in exchange for reforms that the government will pursue in the coming period to reduce the damage caused to the fragile classes as a result of the rise The exchange rate, with assurances that there will be no point in any reforms as long as they are not accompanied by a reform process to combat corruption and end currency smuggling.

At a time when a parliamentarian stressed the importance of activating the automation system to combat corruption and currency smuggling, blaming the Minister of Finance and the Governor of the Central Bank for the reluctance to implement it, another pointed out that any sudden devaluation of the dollar against the dinar would have a similar damage to what happened at the time of its previous lifting, stressing the importance of Finding real remedies to reduce the damage to the poor classes and focus on supporting the ration card, social welfare and the lower classes of employees, while an economist stressed that all the justifications of the government and the Minister of Finance are of no value and she is well aware that her words are a distortion of facts and their goals do not serve the poor citizen.

Independent Representative Hadi Al SalamiHe stressed that the failure to activate the automation system caused the continuation of corruption, waste of public money and currency smuggling, stressing that the Minister of Finance and the Governor of the Central Bank bear full responsibility for this situation.

Al-Salami said in an interview with Alsumaria News, "Activating the automation system will be of utmost benefit in ending corruption and wasting public money and ending cases of manipulation of people's wealth, given that this step will lead to linking information technology and the tax and customs system withCentral Bank of IraqHe indicated that "these measures will lead to an end to the currency smuggling process and the inventory of tax issues and customs accounting, thus ending the issue of forged invoices used in the smuggling of hard currency abroad."

Al-Salami added, "These mechanisms, despite their importance in supporting the financial and monetary policy in the country, but the Minister of Finance and the Governor of the Central Bank did not abide by them and were not applied despite their inclusion in the enforceable laws, which caused the waste of public money and the continuation of corruption and currency smuggling."
He continued, "In order to defend the interests of the Iraqi people, who are considered the only victims of these wrong policies, we have submitted a complaint to the Attorney General, the Minister of Finance and the Governor of the Central Bank, due to the waste of public money and corruption."

Economic MonitorHamid Al-YasiriHe stressed that food prices have become unbearable and burden the simple citizen in a way that he is not able to face them, pointing out that the price of edible oil has reached prices equal to four times what it was last year, not to mention the high prices of sugar and edible oil in a reality that threatens The living situation of the simple citizen. For his part, the deputy confirmed

Al-Yasiri said in an interview with Alsumaria News, “The government should look at the situation of the simple citizen and bring those responsible for their ivory tower to the street and watch the systematic starvation of the poor classes by doubling food prices very dramatically,” stressing that “promises of reforms The citizen will not believe in it, and the only solution is to reduce the price of the dollar against the dinar, because if any reforms take place, they will benefit only certain segments and not all the Iraqi people, and it is not true that another class and starvation of the people are taken into account.

He added that "

He called for "the government and the finance minister to be with the Iraqi people and not against them, because all their justifications will not make the hungry citizen sleep at night comfortably." In an interview with Alsumaria News, Anouz said, "It is not possible to talk about a sudden devaluation of the dollar against the dinar, because it may lead to confusion, as happened when it was raised after information leaked before the decision to lift it was issued. Therefore, the reduction process in this situation will benefit the capital, especially the banks." Al-Ahly because it owns the dollar.”

Mohamed Anouz, that any sudden devaluation of the dollar against the dinar at the present time is something that cannot be talked about because it may lead to confusion in a similar way to what happened when it was raised more than a year ago, noting that the treatment for the repercussions of raising the price is by addressing all the obstacles that negatively affect the classes fragile.

He went on to say, "The trend that took place in the last parliament session after the Finance Minister presented his vision during hosting was through addressing the repercussions of raising the exchange rate."

And Anouz added, "The treatment is through addressing all the obstacles that negatively affect the fragile classes and working to support the ration card, social protection and minimum salaries for job grades, which reduces the repercussions of raising the price, in addition to coordination between all the ministries concerned with the file of price protection and importing goods to ensure that there is no raising Prices are exploited by greedy traders and market speculators.

He pointed out, "In the event that the government allocates sufficient funds to address the situation through direct and indirect support and obtain the necessary funds that the government needs, especially through customs, taxes and fees collected on Eid from state institutions in order to support the government's capabilities financially and provide assistance to the fragile classes, especially that the level of Poverty is high and the purchasing power of many citizens is weak for various reasons.

He stressed that "raising the dollar's price was with political approval and within convictions based on concrete conditions at the time regarding the issue of providing employee salaries while providing support to the fragile classes for you. In order to address the failure situation and reduce the burdens of citizens."

The Prime Minister of the Kurdistan Regional Government attacks the Federal Court and demands its re-formation

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Today, Thursday, the Prime Minister of the Kurdistan Regional Government of Iraq , Masrour Barzani, attacked the Federal Supreme Court in Baghdad, calling for it to be reconstituted, following recent decisions that were taken and interpreted as "political" decisions, especially with regard to preventing the candidacy of the Kurdistan Democratic Party's candidate. Hoshyar Zebari for the Presidency of the Republic, and its decision against the illegality of the "Oil and Gas Law" .

And the Federal Court , in the middle of last month, issued a decision stating that the law adopted in the Kurdistan region of Iraq regarding the extraction and export of oil and gas by the local regional government was unconstitutional, and obligated Erbil to enable the Ministry of Oil and the Federal Financial Supervision Bureau in Baghdad, to follow up on the conclusion of contracts for the sale of oil and gas in the region .

 

And last week, the authorities of the Kurdistan region of Iraq held a meeting on this, and decided to reject the court's decision related to the oil and gas law, stressing that it will take all legal methods to protect the rights and powers of the region, considering the decision "not neutral."

Barzani stressed, during a press conference, "the region's readiness for dialogue with the Baghdad government to reach a radical constitutional solution, end differences and outstanding issues, and the constitution will be the rule, and we, in turn, will abide by the constitutional duties in full," adding: "Senior Iraqi officials stressed that if the region did not have oil, it would not be able to Obligation to provide financial benefits to the people of Kurdistan.

He stressed, "We will proceed to defend the constitutional rights of the people of Kurdistan, which have been violated," stressing that "a number of constitutional articles were violated by the recent decision of the Federal Court (the decision of the unconstitutionality of the Oil and Gas Law)."

He continued, "We asked the Iraqi government to give us an opportunity for dialogue on oil and gas, but unfortunately we were not given this opportunity, and this unilateral decision was taken, contrary to the spirit of the constitution and the basic principles of the federal system," noting that "the Federal Court took this decision at a critical time." is very".

Barzani considered that the Federal Court was "unconstitutional, and was not based on the law in its formation," calling for its re-formation "in accordance with Article 92 of the Constitution."

He added: "The constitution determined what the Kurdistan region does, and we will never give up these constitutional rights," stressing: "We are part of federal Iraq, and we have not seized anyone's right, and we do not accept the seizure of our rights, and the gates of Kurdistan are open to the Iraqi people, and the region was A haven for the afflicted, and there are a million citizens from the central and southern regions who are on the land of Kurdistan,” calling on all the people to “defend their constitutional rights and the rights of Kurdistan.”

The recent decisions of the Federal Court came in light of a deep political division in Iraq, specifically between the tripartite alliance that includes the "Sadr Movement", the "Sovereignty Alliance" and the "Kurdistan Democratic Party" on the one hand, and the " Coordination Framework " alliance on the other hand, regarding the formation of the government and the election of President of the Republic.

The "coordinating framework" described the decisions of the Federal Court as "courageous", considering that they "restored the right to the Iraqis." And the representative of the coalition, Alia Nassif, said in a statement, "The regional government (Iraqi Kurdistan) disposes of Iraq's wealth as it wants, and oil and gas revenues disappear without That citizens benefit from it, whether within the region or in the rest of the provinces.”

She stressed that "the court's courageous decision will enable the Federal Oil Ministry to take control of the region's oil file and review and audit all previous contracts," calling on the Oil Ministry to "follow up on the implementation of all legal procedures resulting from this decision."

Mazhar Saleh expects the fiscal deficit to disappear as global oil prices continue to rise 

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The financial advisor to the Prime Minister, Mazhar Muhammad Salih, expected the ."disappearance" of the fiscal deficit in the federal financial budget with the continued rise in global oil prices Salih said that "the economic situation in Iraq in light of the high rise in oil prices will witness a remarkable improvement, as will the state of public finances, and at the very least the disappearance of the fiscal deficit of ".budgets if oil prices continue in this way

Saleh added, "However, there are global negative effects on this rise, because the rise in fuel is global and Iraq is an importing country, which will lead to bearing the inflation of imported materials. Food, because these two countries .produce 30% of the world's grain ".

Saleh added, "Iraq and the world will receive high inflationary waves

It is noteworthy that with the escalation of the fighting in Ukraine, it seems that Iraq will be affected, like other countries, but the degree of its impact will be great, according to experts who pointed to 3 strategic sectors that will .face major challenges due to the war: wheat, arms deals and oil

The Central Bank responds to a parliamentary question regarding )the dollar exchange rate (documents

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Iraqi Parliament / Office of Representative Soran Omar Saeed

 There is a question about the dollar exchange rate and money laundering

 good greeting...

 Your letter No. 0317D on 2/19/2020

We would like to point out that the information contained in your letter above regarding the (forged) invoices of some banks, which dates back to earlier dates, the Iraqi judiciary took its actions in a timely manner towards those banks, and the court’s decision was to reject the complaint against the banks and close the case for the absence of a crime because the permits submitted by the banks

 It was correct and supported by the relevant border crossings.

On the other hand, the instructions of the window for the sale and purchase of foreign currency issued in 2021 obliged all banks participating in the window, to finance foreign trade through documentary credits and foreign transfers, to open a file for each company (customer) that includes, among many things, an endorsement for purchasing the goods or obtaining  The service, confirmation of the transfer of the amount to the final beneficiary, confirmation of the bank’s search, investigation and verification of all parties related to the transfers.  In addition, the border outlets have to do their duty and endorse the correct invoices.  And that the banks that are proven to have submitted incorrect invoices are formally referred to the judiciary for action

 Legal action against her.

As for your inquiry about the possibility of changing the current exchange rate, we would like to clarify that the current exchange rate has achieved many positive results, including reducing the budget deficit, which achieved a surplus in 2021 compared to 2020, and that the fiscal space that was achieved for the Iraqi government as a result of the current exchange rate will  It helps it pay its obligations, including part of the internal and external debts, which contributes to enhancing financial sustainability, increasing support for the fragile classes and financing stalled investment projects.

 With regard to changing the exchange rate, we would like to point out the following:

Changing the exchange rate during short periods confuses local markets, threatens investment, creates economic stagnation, weakens confidence in monetary policy and the value of the local currency, and also contributes to increasing speculation in foreign currencies and increasing their hoarding as a safe haven and store of value more than the local currency.

 TODAY NEWs

 

The exchange rate change came to remedy the gap between the real value of the national currency (the dinar) and its nominal value, as the dollar was calculated at a low exchange rate, giving a high competitive advantage to imported goods and services, preventing the rise of the national product, while raising the exchange rate constituted a barrier to the importer.

And a competitive advantage for the national product equivalent to the rate of change in the exchange rate (about 23%).

It is worth noting that the decision to change the exchange rate is a national strategic decision that is not linked to interim conditions, and that the negative results that may have resulted from it, can be avoided by financial and governmental measures to support vulnerable groups and improve the vocabulary of the ration card and not retract this important decision.

 with respect.

 

Banks are shops to exchange currency... and a valid appearance: 170 trillion dinars, an increase in budget revenues

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The financial advisor to the Prime Minister, Mazhar Muhammad Salih, said, Wednesday, March 2, .2022, that the rise in oil prices will increase the revenues of the general budget by 170 trillion dinars Salih told Al-Masala that if the average price of Iraqi exported oil reaches about $100 per barrel, the revenues of the general budget will exceed 170 trillion dinars, noting that this figure represents a large record revenue in the financial .and economic life in Iraq

He added that the increase in total revenues when it is outside the limits of financing expenditures approved in the budget or exceeds the limits of planned financing, is subject to the provisions of Article 19 / second of the effective Financial Management Law No. 6 of 2019 which states: When actual revenues exceed the estimates in the Federal General Budget Law for the year After covering the actual deficit, if any, the surplus is provided for use in the budgets .of the following years in a sovereign fund

He continued: In all cases, generating official reserves to be used for spending in the coming years through a sovereign savings fund managed according to the best international practices in managing and investing the official reserves of countries and benefiting from the investment returns of those official foreign reserves or disposing of them . .in financing the budgets of the coming years and achieving the so-called financial sustainability

And he went on: If the 2022 fiscal year ends without approving the budget and starting to spend at a rate of 1/12 of the actual current expenditures for the year 2022, the financial surplus will go to a fund or reserve account that represents the sovereign wealth in preparation, adding that the priority will go towards the sustainability of financing .investment projects that contribute to National income development and economic prosperity

He added that there is a major development that came in the effective Federal Financial Management Law that was amended in 2020, whereby governorates that did not benefit from their share of the allocation for investment projects were allowed to keep those allocations in the following year in a trust account to undertake the resumption of spending on approved investment projects in the following year Non-stop even in the event of delay in approving the .budget

He concluded his speech by saying: In addition to the foregoing and for the requirements of human and economic development and facing the problems of the standard of living, there are two issues that should be addressed from a financial point of view by adopting a draft law that, on the one hand, would help finance poor families, especially those covered by social care, and the other would run a package of new strategic projects that contribute In economic .growth and job opportunities and lead to the operation of the business sector without interruption

Oil prices continued to rise to levels not recorded in nearly a decade, while the European reference price of natural gas .recorded its highest price, due to the war in Ukraine, which continues to raise concerns about supplies

In this context, the former Parliamentary Finance Committee Chairman Haitham al-Jubouri revealed, on Wednesday, March 2, 2022, that the issue of the exchange rate is purely political auctions, noting that Iraq annually loses 9 trillion .dinars due to the lack of control over some outlets

Al-Jubouri said during a televised interview, which was followed by the obelisk, that the issue of the exchange rate is purely political bidding, and it is a government decision with a political cover, explaining that the Minister of Finance is .the owner of the proposal and his proposal because of the existence of a crisis and not out of a vacuum

He added: It was the option available at the time, and it was a necessary evil, stressing that the exchange rate should .not be a government decision

He added that 90% of banks are shops to change currency, noting that Iraq annually loses 9 trillion dinars due to the .lack of control over some outlets

The dollar exchange rate on the local stock exchange on Thursday (March 3, 2022), according to the monitoring of specialists.

Baghdad - the stock exchange  

147,050  

The price in most exchanges  

146,500  

147,500  

The Markets:

The Asian markets closed mixed NIK up by .70% HSI by .55% SHANG down by .09%

The UK markets are currently trading in the red  from .51% to 1.28% 

Our futures are currently trading down DOW at 34007 up by .32% SNP at 4395 up by .19% NDX at 13690 down  by .49%

Precious Metals:

Gold is green at 1930 Silver is green at 25.32 Copper is green at 475 Platinum is green at 1097 

Brent 111 WTI  108   Bitcoin: 43,692  10 yr yield: 1.89

Favorite Currencies Forex Quotes

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Symbol	Bid	Ask	High	Low	Open	Change	Time
USD/IQD	1458.0000	1462.0000	1456.8000	1456.7000	1456.7000	-0.4000	08:31
USD/VND	22800.0000	22890.0000	22841.7800	22813.6500	22813.6500	30.1700	08:31
USD/CNY	6.3186	6.3206	6.3200	6.3153	6.3195	-0.0015	08:34
USD/KWD	0.3030	0.3035	0.3032	0.3028	0.3029	0.0001	08:21
GBP/USD	1.3380	1.3381	1.3417	1.3362	1.3405	-0.0025	08:38
USD/IRR	42025.0000	42550.0000	42268.7000	42188.9000	42188.9000	65.2000	08:30
USD/IDR	14375.0000	14375.0000	14417.0000	14359.0000	14364.0000	11.0000	08:38

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Iraqi Articles:

Banks are shops to exchange currency... and a valid appearance: 170 trillion dinars, an increase in budget revenues

link

The financial advisor to the Prime Minister, Mazhar Muhammad Salih, said, Wednesday, March 2, .2022, that the rise in oil prices will increase the revenues of the general budget by 170 trillion dinars Salih told Al-Masala that if the average price of Iraqi exported oil reaches about $100 per barrel, the revenues of the general budget will exceed 170 trillion dinars, noting that this figure represents a large record revenue in the financial .and economic life in Iraq

He added that the increase in total revenues when it is outside the limits of financing expenditures approved in the budget or exceeds the limits of planned financing, is subject to the provisions of Article 19 / second of the effective Financial Management Law No. 6 of 2019 which states: When actual revenues exceed the estimates in the Federal General Budget Law for the year After covering the actual deficit, if any, the surplus is provided for use in the budgets .of the following years in a sovereign fund

He continued: In all cases, generating official reserves to be used for spending in the coming years through a sovereign savings fund managed according to the best international practices in managing and investing the official reserves of countries and benefiting from the investment returns of those official foreign reserves or disposing of them . .in financing the budgets of the coming years and achieving the so-called financial sustainability

And he went on: If the 2022 fiscal year ends without approving the budget and starting to spend at a rate of 1/12 of the actual current expenditures for the year 2022, the financial surplus will go to a fund or reserve account that represents the sovereign wealth in preparation, adding that the priority will go towards the sustainability of financing .investment projects that contribute to National income development and economic prosperity

He added that there is a major development that came in the effective Federal Financial Management Law that was amended in 2020, whereby governorates that did not benefit from their share of the allocation for investment projects were allowed to keep those allocations in the following year in a trust account to undertake the resumption of spending on approved investment projects in the following year Non-stop even in the event of delay in approving the .budget

He concluded his speech by saying: In addition to the foregoing and for the requirements of human and economic development and facing the problems of the standard of living, there are two issues that should be addressed from a financial point of view by adopting a draft law that, on the one hand, would help finance poor families, especially those covered by social care, and the other would run a package of new strategic projects that contribute In economic .growth and job opportunities and lead to the operation of the business sector without interruption

Oil prices continued to rise to levels not recorded in nearly a decade, while the European reference price of natural gas .recorded its highest price, due to the war in Ukraine, which continues to raise concerns about supplies

In this context, the former Parliamentary Finance Committee Chairman Haitham al-Jubouri revealed, on Wednesday, March 2, 2022, that the issue of the exchange rate is purely political auctions, noting that Iraq annually loses 9 trillion .dinars due to the lack of control over some outlets

Al-Jubouri said during a televised interview, which was followed by the obelisk, that the issue of the exchange rate is purely political bidding, and it is a government decision with a political cover, explaining that the Minister of Finance is .the owner of the proposal and his proposal because of the existence of a crisis and not out of a vacuum

He added: It was the option available at the time, and it was a necessary evil, stressing that the exchange rate should .not be a government decision

He added that 90% of banks are shops to change currency, noting that Iraq annually loses 9 trillion dinars due to the .lack of control over some outlets

CBI Update:  Just  a note:

They have been having auctions and the ISX has been trading regularly; the sites just don't update in time to put the information in this report, unless it is 
here.   

http://www.cbi.iq/

Click on the link above for the latest update.

The CBI for rate is 1460

The currency auction For March 3rd, 2022 total sales amount $113,670,566. 

including   $960,000. CASH 

The Central Bank of Iraq’s foreign currency sales schedule, Sunday 6/3/2022

ISX Update:   

www.isx-iq.net/

Shares Traded: 

Value Traded: 

closed up 1.26% 

https://www.dinarguru.com/
3-2-2022   Intel Guru MarkZ   [via PDK]   Iraq is still saying it will be a week. From their parliament they expect a stable improved rate within that time. There has been zero negative news.

3-2-2022   Intel Guru Frank26   Maliki, Sadr, Kazemi, The Minister of Finance Allawi, They're all talking about the same thing - the new exchange rate.  They are shoulder to shoulder.  They are standing in unison although parliament wants to say they are in charge of it and that's what's causing the delay right now.  But while we have the wait, we have the barrel of oil climbing.  And what does that do for you?  You have to know when to hold'em and when to fold'em...

3-2-2022  Newshound Guru Pimpy  You can't expect them to change the rate right now, the government hasn't been formed.  Remember the Central Bank of Iraq ...can make the recommendations.  Parliament can vote on it and then the rate change is announced...there are a lot of good things happening right now over there for Iraq ...

3-2-2022   Newshound Guru Clare   Article:  "The International Monetary Fund warned Iraq of the “fragility” of its economic recovery." ...IMO… WHY IS THE IMF TALKING TO THEM ABOUT THE EXCHANGE RATE???? WHY NOW????... Quote:  “in addition to the support of the International Monetary Fund, to change the price at a reasonable rate.”  WHY DISCUSS THE EXCHANGE RATE IF NO NEW RATE IS FORTHCOMING? 

3-2-2022   Intel Guru Bruce   [via WiserNow]   ...on Monday ...Iraq was to do their thing with their new rate and seating their government...and basically getting Iraq out of the way so everything can go...the day they were to have it done – we were on a black-out from Iraq ...no more communication from Iraq...and the reason is – because they did not want the rate to come out before we were getting ready to exchange because they did not want people buying up the very last of the dinar that they could find...we found out today (Tuesday) that there still under a black-out...we think they did do what they were supposed to do...So this thing is going to go – you know darn well Iraq has been ready for a long time...

3-2-2022   Newshound Guru Godlover   Article:   "The Minister of Finance resolves the controversy over changing the dollar exchange rate"   One of many reasons I do not think the NSCN’s [Lower denomination notes] training happened yet. They would not train on something that hadn’t even been printed yet imo. Furthermore, with all the trouble of them forming the next government, is yet another reason. These articles have proven way more accurate than not over the years.

3-2-2022   Intel Guru MarkZ   [via PDK]   We are still in a holding pattern…waiting for the rate change out of Iraq. Last night we shared an Iraqi article where the Parliament told the finance minister to have a new rate within a week. Another article today is the international Monetary fund is telling Iraq to do something with their rate. Something realistic that doesn’t cause unrest in the markets. In other words…. High enough to make a difference but not high enough to mess with the markets… So it appears Iraq is pushing towards a new rate within one week from yesterday.

3-2-2022   Guest Guru From Belgium  I usually have a critical view when statements are made about them wanting to change the Dinar back to the 2003 rate, because all the articles seem to point in the direction of the 2020 rate. Which, according to me, they actually still do. I know they use terms like “previous era”, but I still didn’t see a single article clearly pointing in that direction…However, also IMO, I must admit that I see a situation that gives me more hope: the fact that there seems to be sooooo many articles coming out about this. A lot more than when they lowered the value of the Dinar. It really feels like something good is in the air! IMO

3-2-2022   Newshound Guru Pimpy   There is still more talk about the exchange rate.  I thought they had this thing settled but apparently not...  Article:  "Al-Kazemi's advisor: The state's loss will be great by adjusting the exchange rate"  Here's the issue.  The poor people were affected when their currency was devalued.  That means it cost them more dinars to get the same items they need just to survive.  Now you have inflation happening...as inflation increases that's called the hidden tax...purchasing power continues to be reduced, again affects the poor people.  The only way you can tackle inflation is you have to raise the interest rates and if you raise the interest rates it will affect the poor people...So how do you fix that?  The only thing they got left is to increase their purchasing power...JMO

3-2-2022   Intel Guru MarkZ   [via PDK]   [Any updates on the Vietnamese dong.]  It’s still expected to go the same time as the dinar.

3-2-2022   Newshound/Intel Guru Mnt Goat   Article:  "AL-ABADI AND ALLAWI CALL FOR THE ADOPTION OF A REFORM STRATEGY TO CROSS THE NEXT STAGE"  What do you think the “next stage” needs to kick it off?   ...It needs the dinar to be reinstated...

Catnip's Corner:

**********

ARTICLE 1 (from PM Kadhimi's website; posted only on Arabic side, not on English side)

Prime Minister Mustafa Al-Kadhimi receives the Assistant President of the Islamic Republic of Iran

The Prime Minister, Mustafa Al-Kazemi, received today, Wednesday, the Assistant to the President of the Islamic Republic of Iran and Chairman of the Foundation for Martyrs and Sacrifice, Mr. Amir Hossein Qazizadeh Hashemi and his accompanying delegation.

Mr. Qazizadeh conveyed the greetings of the President of the Islamic Republic of Iran, Mr. Ibrahim Raisi and the First Vice President of the Republic, Mr. Muhammad Mokhber, to Mr. Al-Kazemi, and the Iranian government's aspiration to develop bilateral relations between the two countries, and to further joint cooperation in various fields, in a manner that achieves the interests and aspirations of the two neighboring peoples in prosperity and development.

The Prime Minister welcomed the guest delegation and stressed the importance of developing bilateral cooperation at various levels and briefly briefed him on the experience of the Martyrs Foundation in the Islamic Republic of Iran.

Mr. Al-Kazemi stressed the importance of providing the best services to the families of the martyrs, the wounded and the disabled, who gave their most valuable possessions for the sake of the homeland and the security of the citizen.

Media Office of the Prime Minister

2- March 2022

*************

ARTICLE 2 (from Government of Iraq twitter account)

Cabinet discusses support for Iraqi community in Ukraine, approves measures in relation to border crossings

 02 Mar 2022 - 1:34 pm

The Cabinet held its regular meeting on Tuesday under the chairmanship of  Prime Minister Mustafa Al-Kadhimi.

 

At the start of the meeting, the Cabinet congratulated teachers and educators on the occasion of Iraqi Teacher’s Day.

 

The Prime Minister described teachers as the embodiment of giving and sacrifice, who play a critical role in forgoing the national identity of Iraq.

 

The Prime Minister said that the government is building one thousand schools as part of the Iraq-China agreement.

 

The Prime Minister then briefed the Cabinet on the latest developments and renewed his call for political parties to live up to the responsibility of forming a strong and effective government that provides services to citizens and support economic growth in the country.

 

On security, the Prime Minister praised the great efforts of the security forces of all formations, and their successes over the past few days in eliminating and arresting several Daesh terrorists.

 

The Cabinet then discussed a report submitted by the committee in charge of implementing the order of the Prime Minister in relation to improving the ration card system and discussed proposals to enhance its effectiveness in serving the intended beneficiaries.

 

The Cabinet received a briefing from the Minister of Foreign Affairs, Mr. Fouad Hussein, on the conditions of the Iraqi community in Ukraine, and the steps being taken to support them, including evacuating them to other countries in preparation to returning them to Iraq

 

The Cabinet agreed to provide an additional 300,000 USD to the Ministry of Foreign Affairs to support its efforts in this regard.

 

The Cabinet hosted senior staff of the Ministry of Electricity to discuss preparations for the upcoming summer season.

 

The Cabinet also hosted the Director of the Border Crossings Authority, Major General Omar Al-Waeli.

 

Following discussions, the Cabinet approved the following measures in relation to border crossings in Iraq:

 

• All ministries, the National Investment Commission, agencies not associated with a ministry and local authorities must specify the quantities and quality of the goods to be exempted from duty in coordination provided that the goods meet the actual needs of projects and are for the purpose for which projects were established.

 

• All ministries, the National Investment Commission, agencies not associated with a ministry and local authorities must ensure that exempted goods reach the intended beneficiaries only, and do not leak into the market or be used for other than the purpose for which they are imported.

 

• The Ministry of the Interior and its related regulatory agencies to take the necessary measures to monitor and control the exempted goods traded in the local market and take legal action against entities that sell and divert those goods from their intended purpose.

 

• The General Directorate of Customs – the Department of Investigation and Combating Smuggling to follow up on the exempted materials in coordination with customs centres at border crossing points to ensure that they reach their intended beneficiaries and do not leak to the local markets.

 

The Cabinet also discussed several other items on its agenda, including the latest health developments, the ongoing measures to contain the spread of the Coronavirus and the efforts to provide the necessary treatment and anti Covid-19 vaccines throughout Iraq.

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ARTICLE 3

Al-Jubouri reveals: 90% of banks are shops to change currency

2022-03-02 | 13:42

The head of the former Parliamentary Finance Committee, Haitham al-Jubouri, revealed, on Wednesday, that 90% of banks are shops to change currency, while noting that Iraq annually loses 9 trillion dinars due to the lack of control over some outlets.

Al-Jubouri said during his speech to the "Oana" program broadcast by Alsumaria, that "the issue of the exchange rate is purely political auctions, and it is a government decision with a political cover," explaining that "the Minister of Finance is the owner of the proposal and his proposal because there is a crisis and not out of a vacuum."

He added, "It was the option available at the time, and it was a necessary evil," stressing that "the exchange rate should be not a government decision."

Al-Jubouri pointed out that "foodstuffs are linked to an international stock exchange," noting that "placing the blame on finance without other ministries is short-sighted."

In addition, al-Jubouri said, "90% of banks are shops to change currency," noting that Iraq "loses annually 9 trillion dinars due to the lack of control over some outlets."

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ARTICLE 4

The Central Bank of Iraq calls for the suspension of contracts and financial transactions with the Russian side

2022.03.02 - 16:10

The Central Bank of Iraq called, on Wednesday, to suspend the conclusion of contracts and financial transactions with the Russian side.

According to a document, which "Nass" obtained a copy of, on March 2, 2022, "the Central Bank called on the General Secretariat of the Council of Ministers to suspend the conclusion of contracts and financial transactions with the Russian side, especially after the imposition of sanctions from the US Treasury Department on Russia."

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ARTICLE 5

A musical evening with distinction within the sixth live show of "IRAQ IDOL- Iraq's beloved"

02-03-2022 | 14:09 

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A musical evening with distinction, in which the eight participants sang in various lyrical colors, and were able to dazzle the audience and the tripartite committee composed of Hatem Al-Iraqi, Rahma Riad and Saif Nabil, with their voices and their high artistic performance, within the sixth live show of the second season of the program "IRAQ IDOL- Iraq's beloved" on "MBC Iraq". .

 

Since the beginning of the episode, the presenter of the program, Mais Anbar, has called on the audience to intensify their vote for subscribers through MBC VOTE, pointing out that this theater is a space to celebrate art and singing with the finest Iraqi talent, after only 8 subscribers reached this stage.

Prior to their appearance on the stage, the participants recalled places dear to their hearts, in which they feel comfortable and safe, and give them the ability to artistic creativity, so each of them revealed the places and people that push him to excel in singing. The eight participants passed in succession, and the chief of staff sang, followed by Hammam Sabah, Ali Al-Salam, then Muhammad Al-Jassem, then Ahmed Toban, Alaa Al-Fartousi and Afra Sultan, in addition to Badr Basem.

At the end of the episode, the participants stood on the stage waiting for Mays Anbar to announce the result, to reveal who would stand in the danger circle, and who among them would end his career in the program and leave. Anbar announced that the three participants who received the lowest percentage of votes from the audience are Alaa Al-Fartousi, Humam Sabah, and Ahmed Toban, adding that Hammam Sabah was the one who received the lowest percentage of votes, and will therefore leave the program. The remaining seven participants will sing live on stage at the next show.

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Iraqi News Catch up March 2nd 2022 International Monetary Fund warned Iraq of the "fragility" of its economic recovery

 Iraqi News Catch up March 2nd  2022 

International Monetary Fund warned Iraq of the "fragility" of its economic recovery

These are the articles I discussed on the My FX Buddies Podcast:

Al-Kazemi's advisor, Mazhar Muhammad Salih: The state's loss will be great by adjusting the exchange rate

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Today, Tuesday, the financial advisor to the Prime Minister, Mazhar Muhammad Salih, identified two directions for resolving the exchange rate crisis, while explaining the extent to which the currency market was affected by conflicting statements.
Saleh said, "The currency market is inevitably affected by information, and the bond sale market is also affected, which is a free market with duelists and an information market," pointing out that "sometimes there is false information that disturbs the market or may be truthful that leads to the exchange of buying and selling very quickly."

He added, "It is not possible to deviate from the contexts of the Ministry of Finance, but if the exchange rate is modified, it will have a benefit and a loss, and the state's loss will be greater because it has achieved revenues in the form of an inflation tax at a rate of 20%, and if the value of the dinar is raised, the value of the increase will be lost by public finance, especially And it relies on 93% of the value of its revenues that depend on oil, as it is a key player in managing the budget,” stressing that “the government must address the effects of this, especially on the poor.”

He pointed out that "there must be two directions to solve the crisis, the first is to re-evaluate the dinar and raise it alone, and it seems that there is no tendency on the part of the Ministry of Finance, but it must use the compensatory tendency such as taxes and customs fees, expand the base of social assistance and improve the food ration of the poor," pointing to That "the budget compensates the difference between the exchange rate difference by supporting the poor in the budget and expanding the base of support, and this is what the Ministry of Finance tends to do now."
He continued, "Among the solutions is also maintaining the prices of fuel and food and consumer goods in the markets to compensate for the income," stressing that "the market is stable at a low exchange rate and there is a high price difference, but inflation is still within the single decimal place, according to a statement by the Ministry of Planning."

And he warned, that "if inflation exceeds two ranks, it will become a danger," noting that "the biggest solution to treating inflation is interfering with the exchange rate."

How much does Iraq lose by "returning the dollar" to its old price? Economist explains

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Today, Sunday, the economic affairs specialist, Nabil Al-Marsoumi, revealed the expected losses for Iraq in the event of a return to the old dollar exchange rate.

The expected net oil revenues in 2022 = 70 billion dollars (after subtracting the costs paid to oil licensing companies and government imports)," Al Marsoumi said in a blog post seen by Alsumaria News.

He added that "oil revenues are denominated in dinars at the current exchange rate = 101.5 trillion dinars."

He continued, "Oil revenues are denominated in dinars at the old exchange rate = 78.260 trillion dinars."

And the specialist in economic affairs indicated that "the difference between the two prices = 101.5 - 78.260 = 23.240 trillion dinars," adding that "the internal debt of Iraq = 68.214 trillion dinars."

Al-Massoumi held thatMinistry of FinanceIt will pay at the current exchange rate 47.044 billion dollars to pay off the value of the internal debt, "noting that"Ministry of FinanceYou will pay at the old exchange rate $61.014 billion to pay off the internal debt."

He explained that "the difference between the two prices = 61.014 - 47.044 = 13.970 billion dollars."

And the economic affairs specialist added, "The total financial losses for Iraq in 2022 due to the return to the old exchange rate (after converting the dinar to dollars) will be about 34.757 billion dollars."

Al-Marsoumi concluded by saying: “This amount is equivalent to seven times the budget.”SyriaAnd more than twice the balanceJordanIn 2022, this amount is sufficient to complete the port of Faw in its three phases and complete most of the necessary infrastructure to connect with the Silk Road, which subsequently leads to an effective contribution to providing job opportunities and confronting and reducing poverty.”

 

In details.. the results of hosting the Minister of Finance in Parliament: a change in the exchange rate is unlikely.

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The Iraqi parliament hosted, on Monday, in its second session of the fifth electoral cycle, Finance Minister Ali Allawi, and discussed the dollar exchange rate and its repercussions on the local market, in the presence of 288 deputies.

The council discussed with Allawi, according to a statement received by Shafak News Agency, the repercussions of the high dollar exchange rate on the market, the damage to the poor segment, and the discussion of public debt and the financial policy of the Ministry of Finance and the proposed treatments.

Allawi reviewed, in a detailed explanation, “the reasons for changing the exchange rate and its relationship to economic reform, which was according to an extensive study in which concerned parties participated and was not an individual decision by the Ministry of Finance,” noting that “the exchange rate change at that time was against the background of the deterioration in global oil prices due to the impact of a pandemic.” Corona and the decline in the volume of Iraqi oil exports, according to the International Monetary Fund, amounted to (4.9%) as well as the failure to approve the 2020 budget due to the resignation of the government, which led to a stifling financial crisis that prevented the payment of salaries of employees and retirees, which prompted the House of Representatives to pass a legal deficit financing amounting to 27 trillion dinars.

The Minister of Finance pointed out that "the 2021 budget, which was developed according to reform plans, contributed to developing solutions, addressing the financial situation, and working to develop the long-term financial strategy by presenting the white paper that restored balance to the Iraqi economy, provided economic stability for people with limited income and corrected local investment."

And he indicated that "the imbalance in the Iraqi economy is due to the negative accumulations and the direct and indirect state control over the economy since the seventies of the last century," noting that "reconsidering the exchange rate of the currency in an unstudied manner leads to financial chaos similar to some countries, so the trend was to set the price of Exchanging the Iraqi dinar comfortably to protect it from any external changes in a proactive and correct step in coordination with the Central Bank and studying it with the Prime Minister, heads of political blocs and other parties, in addition to the support of the International Monetary Fund regarding changing the price at a reasonable rate.

The minister explained, "The draft budget law for the year 2021 focused on protecting vulnerable groups in society, applying some elements of the white paper, increasing non-oil imports, and the ministry's treatment of these groups by allocating more than 9 trillion dinars to help increase social protection allocations, improve the effectiveness of the ration card and support projects. In addition to increasing the pensions of retired people and the allocations for martyrs and political prisoners.

Allawi added, "The benefits of devaluing the Iraqi dinar increased government revenues by 23 percent, including maximizing the funds allocated to finance reconstruction projects, allowing the government to respond to the increase in citizens' needs and contributing to strengthening the balance of payments for the country and avoiding risks."

He pointed out that "the rise in prices in the Iraqi markets was not only due to the decrease in the exchange rate of the dollar, but rather as a result of the increase in global food prices since 2020," explaining that "the rise in global oil prices is beneficial for Iraq and at the same time affects its needs of foodstuffs and oil derivatives. And importing gas that is used to generate electricity by 30%, in addition to reducing the Iraqi external debt by 4 billion dollars in 2021.”

The Minister of Finance spoke of a global imbalance in the economy and a flaw in the commercial, import and institutional situation in Iraq, especially the uncontrolled outlets, as well as the weak absorption of the agricultural, industrial and private sectors of the economic changes taking place in the world, noting that "the rate of payment of farmers' dues amounted to 65 percent with the presence of many accumulations. for 2019 and 2020".

And he indicated that "the financial crisis that occurred in 2021 affected the possibility of implementing some of the items contained in the budget law," stressing that "the completion rate of the white paper, which included 322 axes, reached 61%, especially since" 60% of the border crossings are not controlled. including those located in the Kurdistan Region.

According to the Parliament’s statement, a number of deputies demanded to know the possibility of restoring the dinar exchange rate to its predecessor to reduce price inflation, address currency smuggling outlets and delay payment of farmers’ dues, in addition to the demand for the automation of border crossings and the reservation on the government’s reliance on foreign loan policy and overburdening the country with debts, and setting steps Actual reform without overburdening the citizen, and asking the financial authorities to manufacture small denominations of currency to avoid price hikes due to the lack of middle classes.

The First Deputy Speaker of Parliament, Hakim Al-Zamili, called on the government to "work to impose its control over the financial sectors and to put a basic solution to the commitment of the Ministry of Finance to support the simple classes in society."

In turn, Al-Halbousi indicated that "the background to the exchange rate change was due to the Corona pandemic, the decline in oil prices, the scarcity of Iraqi imports, and what caused a financial crisis, at which time the Iraqi government was unable to pay its obligations towards employees and retirees."

The Speaker of Parliament said, "The proposed solutions were identified by several options, including reducing employees' salaries by 30 percent, demobilizing a number of employees and referring them to compulsory retirement, but the parliament chose to amend the exchange rate, which generated state revenues of 22 trillion dinars and found a solution to the problem."

Al-Halbousi demanded, "finding effective solutions to maximize financial revenues that enable the state to restore the value of the Iraqi dinar," noting that "the largest corruption deals that occurred in Iraq were in 2012 when the dollar exchange rate was changed."

He also called on the Ministry of Finance to "work to present a new vision to address the negative effects that resulted from the exchange rate change, to be presented to the Council within a period of two weeks."

But the Minister of Finance indicated that this matter is not possible at the present time, as changing the exchange rate is difficult now, as it has achieved stability in the Iraqi economy, and its change is linked to the rise in financial abundance that meets ambition.

Member of the Democrat: The Federal Court's decision provided a constitutional solution and did not create a problem

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Kurdistan Democratic Party member Abdul Salam Barwari said on Tuesday that the decision of the Federal Supreme Court unconstitutional to open the door for candidacy for the presidency for the second time does not lead to a problem, but rather leads to a constitutional solution, stressing that the candidates of the second list can compete again for the position.

Berwari told Shafaq News Agency, "I think, in my personal opinion, that the Federal Court's decision unconstitutional to open the door for candidacy for the presidency of the republic by the Presidency of the House of Representatives, will not create a problem, but rather find a way to solve it."

He added, "According to this decision, it is possible to reject the list of candidates for the presidency of the second republic, but the House of Representatives can hold a session in the presence of an absolute majority of 165 deputies and put forward a draft resolution to reopen the candidacy door and it can be passed easily. Thus, the candidates whose constitutionality has been challenged the second time can be re-nominated and will not be re-nominated. The result changes."

Berwari continued, "In a more precise sense, the names of the candidates in the second list can be put forward again under a constitutional and legitimate banner, and in the end we will reach the same result, as long as there is the possibility for Parliament to vote to open the nomination door, which means that the same candidates will be presented again, and I think Riber Ahmed will be re-nominated again. ".

Today, Tuesday, the Federal Supreme Court ruled that it is unconstitutional to open the candidacy for the position of President of the Republic for a second time by the House of Representatives.

The court said in the text of its decision, which was reviewed by Shafak News Agency, that "there is no constitutional or legal text that grants the presidency of the House of Representatives the authority to reopen the door for candidacy for the position of President of the Republic."

And it indicated that "it is permissible to reopen the door for nomination again for the position of President of the Republic, but by a decision of the House of Representatives and not from the presidency of the Council."

The Federal Court ruled that it was unconstitutional to reopen the nomination for the Presidency of the Republic Urgent

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The Federal Supreme Court ruled that reopening the nomination for the post of President of the Republic for a second time was unconstitutional.

The Federal Supreme Court confirmed in its session today that: "There is no constitutional or legal text that grants the presidency of the House of Representatives the power to reopen the door for candidacy for the position of President of the Republic."

And she indicated that "it is permissible to reopen the door for nomination again for the position of President of the Republic, but by a decision of the House of Representatives and not from the presidency of the Council."

The Federal Court holds its special session in the lawsuit filed regarding the constitutionality of reopening the nomination for the post of President of the Republic

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The Federal Supreme Court held its special session in the call regarding the constitutionality of reopening the nomination for the post of President of the Republic.

Before the session, the court held a closed deliberative meeting in front of the media.
Informed sources suggested that "the court will decide today its decision in the case and decide on the appeal submitted."

 Last week, the court had postponed its decision on the claim of reopening the door for candidacy for the post of President of the Republic until today, Tuesday, and the parliament was scheduled to vote on the election of most of the parliamentary blocs on February 7. 

The rule of law: a new inquiry to the Federal Court regarding candidacy for the presidency of the Republic

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The State of Law coalition confirmed, on Wednesday, that Parliament will open the door for nomination for the position of President of the Republic in the next session, which will be held next week.

The deputy from the coalition, Muhammad Al-Sihoud, told Shafaq News Agency, "The opening of the nomination door will be according to the voting mechanism, either by an absolute majority, or by two-thirds of parliament members, and given that the issue is related to the position of the President of the Republic, there will be an inquiry with the Federal Court about the mechanism for opening the nomination door. for the second time."

Chihod added, "The nature of the inquiry about the mechanism for opening the door for nomination, to know the way through which the door for nomination is opened and voted on, according to the majority or two-thirds of parliament members."

On Tuesday (March 1, 2022), the Federal Supreme Court ruled that it was unconstitutional to open the candidacy for the position of President of the Republic for a second time by the House of Representatives.

International Monetary warns Iraq and announces its position on the dollar exchange rathe International Monetary Fund warned Iraq of the "fragility" of its economic recovery.

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The head of the IMF mission in Iraq, Tohir Mizorov, said in a press statement: “Policies aimed at containing inflation and its impact should take into account the fragility of recovery in Iraq and the long-term goals of diversifying the economy and strengthening the private sector. It is to avoid making the problem worse by adopting domestic policies that would increase inflation, for example through expansionary policies.”

He added, "The second priority is to implement policies that are carefully targeted to protect the most vulnerable groups. At the same time, it will be important to avoid any measures that could weaken Iraq's economic capabilities without addressing the problem. For example, measures that undermine the competitiveness of local producers and encourage imports will not contribute to Realizing the benefits of remembering the weak groups, if they exist at all, and this explains the scarcity of countries with a fixed exchange rate to raise the value of their currency in economic history, and for the same reasons, it would not be advisable for Iraq to do so.

Mezroev pointed out that "the rise in prices leads to an erosion of the purchasing power of families' income and savings, and since more than one-fifth of the Iraqi population lives in poverty, protecting vulnerable groups from the effects of inflation is of paramount importance. To achieve this, the 2022 budget should give priority to strengthening cash transfers directed to helping families." the poorest during these difficult times."

"Also, continuing to work on improving the coverage of the social protection network will contribute to ensuring assistance to those who are really in dire need of assistance," he added.

Moreover, linking the increase in pensions, salaries of civil servants and low wages to inflation will contribute to protecting the purchasing power of their incomes and prevent them from falling into poverty. International experience has shown that such measures are the most effective in protecting the livelihoods of vulnerable groups. ".

And the House of Representatives discussed in its session last Monday, in the presence of Finance Minister Ali Allawi 

The Council discussed, during its hosting by the Minister of Finance, the rise in the exchange rate of the dollar and its repercussions on the market through the rise in prices and the damage to the poor segment, and the discussion of public debt and the financial policy of the Ministry of Finance and the proposed treatments.

Allawi warned during the session that reconsidering the exchange rate of the currency “in an ill-considered manner would lead to financial chaos similar to some countries, so the trend was to set the exchange rate of the Iraqi dinar comfortably to protect it from any external changes with a proactive and correct step in coordination with the Central Bank and study it with the President The government, heads of political blocs and other parties, in addition to the support of the International Monetary Fund, to change the price at a reasonable rate.

Allawi indicated that the benefits of devaluing the Iraqi dinar increased government revenues by 23 percent, pointing out that "the rise in prices in the Iraqi markets was not due to the decrease in the exchange rate of the dollar only, but rather as a result of the increase in global food prices since 2020."

The Minister of Finance explained that "the rise in global oil prices is beneficial to Iraq and at the same time affects its needs of foodstuffs and oil derivatives, and the import of gas that is used to generate electricity by 30 percent, noting that the Iraqi external debt will be reduced by 4 billion dollars in 2021."

Allawi suggested "supporting vulnerable segments of society by allocating a direct grant to be distributed through the ration card or social welfare and supporting small and medium-sized enterprises, especially in rural areas, as a result of the financial abundance resulting from the increase in oil prices."

The devaluation of the dinar .. did not save the Iraqi industry

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The percentages of contribution of the different sectors to the country’s GDP are one of the most prominent testimonies to the extent of success and failure of these sectors. The failure of the industrial sector in Iraq is clearly visible after its stability under 3%, according to figures that can be described as “optimistic” by the Ministry of Planning.

The contribution of the industrial sector to the GDP in 2019 amounted to nearly $3 billion out of a total GDP of $222 billion, which makes the industry’s contribution to the GDP less than 1.5 percent.

By excluding the year 2020, which is a year outside the possibility of comparison due to the closure of Corona, the industry’s contribution to the GDP appears to be 2.8 billion dollars, despite the increase in the price of the dollar and the devaluation of the Iraqi dinar, which the Ministry of Finance at the time justified as a step that will revitalize the local industry and make it more competitive compared to commodities. Imported, but the contribution of the industry has decreased 10%.

The devaluation of the dinar did not save the industry!

Economic researcher Manar Al-Obaidi says in a press clarification, “Although one of the objectives mentioned in changing the exchange rate is to increase the contribution of the industrial sector to the GDP, by comparing the figures achieved in 2021 with previous years, we find that there is no real increase in the domestic product, but rather a decline.” In the value of the industrial sector’s contribution to the GDP, from 2.95 trillion dinars in 2019 at current prices, compared to 2.8 trillion dinars in 2021.”

He added, "This means that no growth has been achieved in this sector despite the change in the exchange rate," noting that "a change in the exchange rate alone cannot increase the contribution of the industrial sector to the domestic product. Rather, it should have been accompanied by a set of reforms, including providing fuel to factories. Facilitating the procedures for registering factories and industrial projects and setting a strategic plan for distributing the geographical area of factories across Iraq.

He explained that "the Ministry of Finance failed in this goal, which it considered one of the most important goals in supporting the industrial sector and the domestic product."

The contribution of the industry has not yet risen

In the latest census of the Iraqi Ministry of Planning, it revealed that the contribution of the industrial sector to the country’s GDP amounted to 3% during the year 2020, which is a low level compared to its contribution before the siege, which amounted to 12%, which means that the contribution of the industrial sector in Iraq has declined 75% since the siege .

And the Central Bureau of Statistics of the Ministry said in a report that “the industry in Iraq has witnessed fluctuation and instability since the beginning of its development in the seventies, between rise and decline to witness progress in the period between 1989 and 1990 to reach 12%.”

He added that "the industry witnessed a significant decline during the years of the economic embargo imposed on Iraq in August 1990 until 2003, as the industry's contribution to local production amounted to less than 2% in 1997."

He pointed out that "the industrial sector has not witnessed a significant development in its contribution to the gross domestic product within the activity of manufacturing industries, since that date due to the almost total dependence on oil production."

As for the period of the Corona pandemic, the report stated, “The percentage of GDP increased by 1% in light of the drop in global oil prices, to reach 3% in 2020.”

While the industry's contribution to the GDP in 2003 reached 2%, it has been at this level for 18 years and has never progressed.

The number of factories affiliated with public sector companies in Iraq is about 227, of which only 140 are operating, according to data from the Ministry of Industry and Minerals, and 87 others are suspended.

As for the number of fully established industrial projects, it amounts to 20,415 projects, and only 2,248 projects are operating, which means that 90% of industrial projects are suspended.

The low contribution of the industry to the GDP explains the reason why oil is the dominant one in the GDP, as it reached during 2020 57 percent, while the activity of wholesale and retail trade and hotels came second in terms of contributing to the GDP by 8.05 percent.

Al-Kazemi assures an Iranian official of the importance of developing bilateral cooperation at various levels

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Prime Minister Mustafa Al-Kazemi received today, Wednesday, the assistant president of the Islamic Republic of Iran and head of the Foundation for Martyrs and Sacrifice, Amir Hussein Qazizadeh Hashemi and his accompanying delegation.

A statement from his office, of which Al-Furat News Agency received a copy, said, "Qazizadeh informed the Prime Minister of the greetings of the President of the Islamic Republic of Iran Ibrahim Raisi and the First Vice President of the Republic, Muhammad Mokhber, and the Iranian government's aspiration to develop bilateral relations between the two countries, and to further joint cooperation in various fields." In a manner that achieves the interests of the two neighboring peoples and their aspirations for prosperity and development.

The Prime Minister welcomed the guest delegation and stressed the importance of developing bilateral cooperation at various levels and briefly briefed on the experience of the Martyrs Foundation in the Islamic Republic of Iran.

Al-Kazemi stressed "the importance of providing the best services to the families of the martyrs, the wounded and the disabled, who gave their most valuable possessions for the sake of the homeland and the security of the citizen."

He praised the joint cooperation agreement signed by the heads of the Martyrs Foundation in Iraq and Iran; To provide the best medical, educational and welfare services to the families of the martyrs and the families of the wounded and the disabled.

Al-Rasheed Bank launches the "Credit Card", adding a balance of (5) million dinars to its holder 

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Al-Rasheed Bank decided on Wednesday to launch a "Credit Card" connected to a "Nakheel" card for employees of Master Car holders (Nakheel).

In a statement received by Shafak News Agency, the media office said that "the advantages of that card are that an amount of (5) million dinars is deposited as a maximum for its holder."

And he indicated that "the ceiling of the balance added to this card is three monthly salaries, depending on the lowest salary that was deposited in the (Nakheel) card during the last three months and was received by the employee."

He added, "This card is issued to the employee whose net monthly salary received is not less than (1,000,000) million dinars at the present time, and the amount of deduction is (5%) of the net salary deposited in the card."

In The Document.. The Central Bank Proposes To The Government To Comply With US Sanctions Against Russia

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The Central Bank suggested, on Wednesday, March 2, 2022, that the Iraqi government wait in .concluding any contracts with Russia as a result of the economic sanctions imposed by Washington on Moscow Central Bank Governor Mustafa Ghaleb Makheef said: We would like to inform you that as a result of the current war between Russia and Ukraine, the US Treasury has imposed sanctions on Russian financial and economic institutions for the purpose of limiting Russia’s capabilities in the war, and for the purpose of protecting the Iraqi financial system, we suggest that we should wait for the time being about Conclusion of any government contracts with the Russian side .and the need to be patient in transferring any financial payments that pass through the financial system in Russia The Governor of the Central Bank called on the Secretary-General of the Council of Ministers to "circulate this to the various ministries and agencies, with the need to provide us with the aspects that each ministry deals with the Russian side for the purpose of finding the appropriate mechanism in this area in a way that ensures the integrity of the ".financial system in Iraq

 

Al-Halbousi receives an invitation to visit Tehran

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Today, Wednesday, the media office of Parliament Speaker Muhammad al-Halbousi said that al-Halbousi thanked "the official invitation to visit Iran, which he promised to meet as soon as possible", after a meeting between them today in Baghdad.

The meeting between Al-Halbousi and Qazi discussed the joint memorandum of understanding on the issues of martyrs, victims and their families.

Al-Halbousi stressed, during the meeting, "the legislative authority's support for the memorandum of understanding and the work of the Martyrs Foundation and everything that serves this segment and guarantees its rights, in appreciation of their sacrifices and service to their families."

An Iraqi trade delegation visited the Iranian Chamber of Commerce in early December, and both sides stressed that pursuing bilateral trade worth $20 billion between the two countries is not a far-fetched goal.

It should be noted that relations between Iraq and Iran are based on mutual interests, as Iraq relies on Iranian gas and electricity, but its imports have recently been irregular due to outstanding payments.

The Democrat describes the Federal Court's decision as a "dictator" and talks about Kurdistan's percentage of the budget 

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Today, Wednesday, the Kurdistan Democratic Party described the Federal Court's decision that the oil and gas law in Kurdistan is unconstitutional, while revealing the region's percentage in the federal budget for each year, noting that the region .received only 7%

A member of the Kurdistan Democratic Party, Imad Baglan, said in an interview that I followed (Baghdad Today), that "the constitution confirmed that the decisions of the Federal Court are obligatory to implement, but this does not mean that the court issues absurd and unconstitutional decisions, as the constitution remains superior ".and higher than the judges

He pointed out that "the decision of the Federal Court was not based on any constitutional article, and that the oil and gas law does not intersect with the constitution, but is committed to it," noting that "the court's decision does not concern a person or a candidate, but affects an entire people and imposes an .economic siege on them, and this means back to dictatorship

He stressed, "Since the decisions of the Federal Court are final, there are other solutions, including the enactment of the Federal Oil and Gas Law, as it will give everyone his right, including the southern provinces, but the political forces impede ".its passage because it will expose its falsity and thefts Regarding the budget of the Kurdistan region, Paglan explained that "the region will continue to demand its percentage, which is 17 percent of the value of the federal budget, and this percentage was approved years ago, but in fact it received only 7 percent of it every year," noting that "there are many articles of the constitution that must To be applied first, so that we, in turn, comply with the Federal Court’s ”.decision

Honest: The Increase In Oil Prices Is Useless For Several Reasons

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The Sadiqoun Parliamentary Bloc confirmed, on Wednesday, that the increase in oil prices is useless and will not benefit the people for several reasons.

Representative of the bloc, Suhaila Al-Sultani, said in a statement to the “Information” agency, that “the increase in oil prices is hidden and useless as a result of the rise in prices in the local markets,” noting that “the rise in commodities and prices came as a result of the Russian-Ukrainian war, which will increase the difficulties of the global economy.” .

She added that "the presence of the Russian-Ukrainian war makes commodity-exporting companies impose large additional fees on the goods they transport to ensure and secure the continuity of their means."

And she indicated that "the Russian-Ukrainian war will raise prices, as they are among the most important countries exporting oils, wheat, oil and many other products."

It is noteworthy that oil prices have recently jumped to their highest levels as a result of the imposition of Western sanctions on Russia