A warning about the collapse of the Iraqi economy .. The government resorts to “Treasury bonds” to secure salaries


Economy

Iraq salaries

2020-09-23 08:40

A- A A +

Shafaq News / The Parliamentary Finance Committee revealed, on Wednesday, a government proposal to resort to central bank treasury bonds to secure employee salaries in the coming period, warning of the collapse of Iraq’s economy in 2021.

Committee member Naji Al-Saeedi told Shafaq News, “The government needs 6   trillion dinars per month to secure the salaries of employees and retirees in the Iraqi state,” pointing out that “oil and non-oil revenues amounted to 3 trillion dinars and are not sufficient to secure their salaries.”

“The government has become unable to secure the salaries of employees in the coming months, so it has resorted to preparing a four-month budget covered by the new borrowing law,” he added.

Al-Saeedi pointed out that “there is a government proposal that includes resorting to central bank treasury bonds to secure salaries in the coming period,” noting that “this will cause the collapse of the Iraqi economy by 2021.”

Yesterday, Tuesday, an official source in the Iraqi Central Bank assured the employees that they could cover their salaries for the month of September and the following months . 

The source said, to Shafaq News Agency, that “the balance of the Ministry of Finance at the Central Bank of Iraq is sufficient to cover the salaries of state employees for the current month of September and subsequent months .”

This comes after an informed source revealed, earlier yesterday, that the Ministry of Finance had not started disbursing the salaries of employees for the month of September until now due to the lack of cash .

The source told Shafaq News Agency, this morning, that the Ministry of Finance is awaiting approval of the budget that includes the loan clause to proceed with the payment of salaries of employees and self-financing departments for the month of September .

He indicated that the finance needs 3 trillions to be added to the sums retained for it to distribute salaries, and the suspension comes in coordination with the Central Bank of Iraq .

Iraq is currently suffering from the difficulty of distributing the salaries of employees and retirees as a result of the global drop in oil prices, on which the federal budget depends, by 90%.

https://www.shafaaq.com/ar/%D8%A7%D9%82%D8%AA%D8%B5%D9%80%D8%A7%D8%AF/%D8%AA%D8%AD%D8%B0%D9%8A%D8%B1-%D9%85%D9%86-%D8%A7%D9%86%D9%87%D9%8A%D8%A7%D8%B1-%D8%A7%D9%82%D8%AA%D8%B5%D8%A7%D8%AF-%D8%A7%D9%84%D8%B9%D8%B1%D8%A7%D9%82-%D8%A7%D9%84%D8%AD%D9%83%D9%88%D9%85%D8%A9-%D8%AA%D9%84%D8%AC-%D9%84%D9%89-%D8%B3%D9%86%D8%AF%D8%A7%D8%AA-%D8%A7%D9%84%D8%AE%D8%B2%D9%8A%D9%86%D8%A9-%D9%84%D8%AA-%D9%85%D9%8A%D9%86-%D8%A7%D9%84%D8%B1%D9%88%D8%A7%D8%AA%D8%A8

2 thoughts on “A warning about the collapse of the Iraqi economy .. The government resorts to “Treasury bonds” to secure salaries

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s