The Minister of Finance announces good news for two groups of Iraqi citizens

Economie 04/07/2020 17:48 970    

Baghdad today – Baghdad

With the announcement of the new Iraqi government of its intention to implement broad reforms to address the economic and financial crisis facing Iraq, the Deputy Prime Minister and Minister of Finance Ali Allawi specified the size of the challenge and the general principles upon which the government reform program will be based.

And renewed d. Allawi, in an interview published by the official government of Iraq website, the government’s commitment to protect the income of public sector employees and retirees of low and middle income, saying that “the poor and middle classes responsible for the state directly are a red line and their salaries will never be touched or retired. This is a decision made from the beginning. These two Iraqi groups decided on it. ”

The Deputy Prime Minister emphasized that “the reform program seeks to support the low-income groups who work outside the state institutions as well.”

The Deputy Prime Minister stated that “this can be achieved by building a valid environment that encourages self-employment and investment, the private sector, merchants, craftsmen, businessmen and industrialists, and that this would create a real protection network for citizens.”

And d approved. Allawi said that “the investment environment in Iraq is deficient and does not encourage foreign and Iraqi investors, which increases the need to start implementing reforms to address these defects and remove any obstacles and restrictions that hinder the private sector and undermine investment.”

Excessive dependence on oil revenues and the

person of the Deputy Prime Minister and Minister of Finance are the main challenges facing the country, saying that it is represented by “lost revenue except oil revenues. Oil gives us 92% of the state’s resources and we do not have other revenues. Exporting oil. ”

He added that the financial deficit is caused by “that the state’s expenditures are much more than its revenues” in addition to other factors such as waste of public money and mismanagement, and for this the government will work to rationalize public spending and stop waste and address corruption, but he stressed that “the deficit exists, and as a result we will go to borrow from sources Domestic and international, however, borrowing is not a long-term solution.

The Iraqi parliament approved the borrowing law last week to enable the government to borrow $ 5 billion from foreign sources and approximately 15 trillion dinars locally. The Borrowing Law stipulates that at least 15% of all loans be spent on ongoing investment projects outside the oil sector, which creates fiscal space to achieve growth and ensure the continuity of these projects.

A white paper for reforms

The Deputy Prime Minister said that the government is preparing a comprehensive and integrated program for reforming and developing the Iraqi economy, adding that this “program will be presented in a white paper to the parliament during the next three months.”

The reforms will include all productive and service sectors in the Iraqi economy and aim to diversify the sources of state revenues by stopping wasting public money and increasing income from customs and direct taxes, according to Allawi.

Among the most prominent elements of the reform program are the development of the private sector and its liberation from bureaucratic restrictions and other factors that have restricted its work for a long time so that it can play its primary role in the economy, and helps to provide sustainable job opportunities and a decent life for all Iraqis.

The Deputy Prime Minister and Minister of Finance stressed that with the growth of the private sector, job opportunities will also increase and the level of domestic production will rise.

The Deputy Prime Minister and Minister of Finance touched on the priorities of the other government, and made it clear that the government is continuing to work for early, free and fair elections, but he stressed that implementing economic and financial reforms would create the appropriate environment for other political, electoral and social reforms that the government intends to carry out.

He stressed that “the government will seek to enable the Iraqis to participate in making the basic decisions that affect their lives on them and that it is determined to narrow the wide gap inherited between the government and citizens.”

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