The Central Bank: The devaluation of the dinar increased foreign exchange reserves by 16 billion dollars

Obelisk - the event as it happened

12/14/2021 18:42

  • number of readings 134
  • Section : Iraq

Baghdad / Obelisk: The Governor of the Central Bank of Iraq, Mustafa Ghaleb, revealed on Tuesday, December 14, 2021, that the country’s foreign exchange reserves had risen to $64 billion, an increase of about $16 billion since the devaluation of the local currency nearly a year ago.

In a statement, the bank said that the central bank has completed the preparation of a study of the currency structure project, indicating that the timing of the project’s implementation depends on the bank’s policy and the political and economic conditions of the country.

He added that the bank has no intention of issuing new denominations of the currency, pointing to the continuation of providing new banknotes to compensate for the damaged banknotes.

And about the negative effects caused by re-exchange of the dollar to 1200 dinars in the event that the next House of Representatives issues a decision to do so, the bank confirmed that this will affect negatively and will lead to the exchange rate in the parallel (local) market getting out of control and consequently sharp fluctuations in the exchange rate lead to Harm the interests of citizens and projects, noting that this will cause a destabilization of confidence in the stability of the financial system in Iraq, and such a decision will lead to the exit of local investment and production projects from competition, and thus exacerbate the unemployment crisis as a result of these projects stopping work.

He added that raising the exchange rate led to an increase in the competitiveness of the local product and thus an increase in its market share, as well as reducing the pressure of expenditures on the Ministry of Finance by 23%, which enabled the Ministry of Finance to overcome the crisis resulting from the drop in oil prices globally during 2020 and the first months of 2021, explaining This also led to an increase in the flexibility of public finances to carry out the necessary structural reforms to achieve fiscal sustainability in Iraq.

With regard to the central bank’s foreign currency reserves, the bank stated that the total foreign reserves during the month of December 2021 amounted to 63.793 billion dollars, pointing out that the volume of net foreign reserves during the current month reached 59.980 billion dollars.

Adviser to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, revealed that the country’s external public debt has decreased to $20 billion, and that the 2022 fiscal budget will be characterized by greater revenues and less deficit.

Saleh told Al-Masala that the year 2022 will be free of financial hardships and financing restrictions.

Saleh suggested that Iraq is in recovery and will inevitably live in the next 2022 without financial hardships or financing restrictions, caused by a lack of revenues, due to the recovery of the energy market and the boom in demand for oil, in addition to the increase in the proceeds of Iraq’s oil production by 400 thousand barrels per day.

He pointed out that the issue depends on the overall spending ceilings in the budget, and if it is assumed that the spending ceiling in the 2022 budget is the same in 2021, and that the average price of a barrel of oil achieved throughout the year is not less than $75, the oil revenues will alone cover the total expenses in The budget and achieve something from the surplus availability of other non-oil revenues.

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Al-Kazemi’s advisor on the delay in approving the 2022 budget: Iraq is committed to the Financial Management Law by spending 1/12

  •  Time: 12/14/2021 19:51:55 
  •  Reading: 325 times 
Al-Kazemi’s advisor on the delay in approving the 2022 budget: Iraq is committed to the Financial Management Law by spending 1/12

{Economic: Al Furat News} The economic and financial advisor to the Prime Minister, Mazhar Muhammad Salih, commented on Tuesday about the delay in approving the 2022 budget law and its impact on the local market. 

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Saleh told Al Furat News that: “The delay in approving the budget does not affect the economic situation for 2021 until the beginning of 2022. Iraq is committed to the financial management law by spending 1/12 of the corresponding month in the preceding year unless the 2022 budget is approved.” 
He added, “The exchange is for the actual current expenditures for the previous fiscal year, and there is a management of matters, and the law regarding financial revenues is fixed from the country’s oil resources and taxes, and its procedures are fixed.” 
Saleh pointed out, “A lack of law affects the economic situation, for not entering the country with any new project and its impact is in terms of investment projects, disrupting the economy, and preventing the conclusion of any agreement, treaty or legislation of any new financial law.” 
He stressed, “Indicating that the private sector remains ignorant of the economic situation and its trends, which creates uncertainty about the future economic situation.”
Saleh concluded, “The presence of budgets at the beginning of each year helps advance the economy more.”

From: Raghad Daham

https://alforatnews.iq/news/%D9%85%D8%B3%D8%AA%D8%B4%D8%A7%D8%B1-%D8%A7%D9%84%D9%83%D8%A7%D8%B8%D9%85%D9%8A-%D8%AD%D9%88%D9%84-%D8%AA%D8%A3%D8%AE%D8%B1-%D8%A7%D9%82%D8%B1%D8%A7%D8%B1-%D9%85%D9%88%D8%A7%D8%B2%D9%86%D8%A9-2022-%D8%A7%D9%84%D8%B9%D8%B1%D8%A7%D9%82-%D9%85%D9%84%D8%AA%D8%B2%D9%85-%D8%A8%D9%82%D8%A7%D9%86%D9%88%D9%86-%D8%A7%D9%84%D8%A5%D8%AF%D8%A7%D8%B1%D8%A9-%D8%A7%D9%84%D9%85%D8%A7%D9%84%D9%8A%D8%A9-%D8%A8%D8%B5%D8%B1%D9%81-1-12

The Central Bank announces the preparation of a study of the currency structure project and warns against changing the exchange rate

political| 07:48 – 14/12/2021

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Baghdad – Mawazine News
The Central Bank of Iraq announced, today, Tuesday, that it had prepared a draft currency structure study, while determining the negative effects when the dollar was re-exchanged to 1200 dinars.
The bank said, according to the official agency, that “the central bank has completed the preparation of a study of the currency structure project,” noting that “the timing of the implementation of the project depends on the bank’s policy and the political and economic conditions of the country.”
He added, “The bank has no intention of issuing new denominations of the currency,” noting that “continuing to provide new banknotes to compensate for the damaged banknotes.”
And about the negative effects caused by re-exchange of the dollar to 1200 dinars in the event that the next House of Representatives issues a decision to do so, the bank stressed that “this will affect negatively and will lead to the exchange rate in the parallel (local) market getting out of control, and consequently sharp fluctuations in the exchange rate that lead to to harm the interests of citizens and projects,” noting that “this will cause a destabilization of confidence in the stability of the financial system in Iraq, and such a decision will lead to the exit of local investment and production projects from competition, thus exacerbating the unemployment crisis as a result of those projects stopping work.”
He added, “The increase in the exchange rate led to an increase in the competitiveness of the local product and thus an increase in its market share, as well as a reduction in expenditure pressure on the Ministry of Finance by 23%, which enabled the Ministry of Finance to overcome the crisis resulting from the drop in global oil prices during 2020 and the first months of 2021.” , explaining that “this also led to an increase in the flexibility of public finances to carry out the necessary structural reforms to achieve financial sustainability in Iraq.”
With regard to the central bank’s foreign currency reserves, the bank stated that “the volume of the total foreign reserves during the month of December 2021 amounted to 63.793 billion dollars,” noting that “the volume of net foreign reserves during the current month reached 59.980 billion dollars.” Ended 29 / h

https://www.mawazin.net/Details.aspx?jimare=178429

Including the Chinese agreement and taxis.. the Council of Ministers takes several decisions

political| 06:30 – 14/12/2021

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Baghdad – Mawazine News 
, on Tuesday, the Council of Ministers took several decisions, including launching the financing of projects within the Iraqi-Chinese agreement. 
A spokesman for the Council of Ministers and Minister of Culture, Hassan Nazim, said in a press conference attended by / Mawazine News / that “the Cabinet agreed to release the exchange for projects funded within the Iraqi-Chinese agreement.” 
He added, “Two billion dinars have been allocated to the directorates of education in Muthanna, Diwaniyah, Dhi Qar, Maysan, Babil and Salah al-Din,” noting that “the sums allocated to education directorates are spent on rehabilitating schools and purchasing school supplies.” 
He pointed out, “The Council of Ministers voted to pay the differences in the salaries of the daily wage earners in the Ministry of Higher Education, and also authorized the Ministry of Commerce to use the cash it had to pay the dues of farmers and buy wheat.”

He pointed out that “a directive was issued by the Ministry of Interior to organize the issue of private cars competing for taxis to work.” Ended 29 / h

https://www.mawazin.net/Details.aspx?jimare=178417

News of an agreement between the alliances of progress and determination to renew Al-Halbousi

12/14/2021 16:38

  • number of readings 194
  • Section : Iraq

Baghdad / Obelisk: An informed source reported, on Tuesday, December 14, 2021, that the Taqaddam and Azm alliances agreed to renew a second term for the head of the Taqaddam alliance, to head the parliament.

The source told Al-Masala that a political agreement was signed between the Alliance of Progress, headed by Muhammad al-Halbousi, and the Alliance of Azm, headed by Khamis al-Khanjar, to renew al-Halbousi for a second term.

An expanded meeting was held in Baghdad between the delegations of the Alliance headed by Muhammad al-Halbousi and the Alliance of Azm headed by Khamis al-Khanjar, to study ways to get the country out of the current crisis according to a common vision.

A joint statement indicated that, in the most prominent decisions of the meeting, the preparation of a joint paper to be presented to the political partners, which includes a unified vision and ideas about partnership in managing decision-making in the country.

He added: The paper also includes addressing several strategic files, including the issues of the forcibly disappeared, returning the displaced, taking into account the rights of the liberated governorates in the general budget, allocating the necessary funds for their reconstruction, and other crucial files, and emphasizing the presentation of competent personalities to participate in the next government according to the principle of partnership, not participation.

The statement continued: It was decided to form a unified negotiating delegation, comprising the alliances of progress and determination, to negotiate with the rest of the partners, in addition to setting timetables for periodic weekly meetings between the two alliances, in order to discuss developments in the political situation.

He stressed the aspiration of the two alliances to form the next government as soon as possible in accordance with the constitutional obligations, to meet the needs of the citizen and preserve the sovereignty of Iraq and the prestige of the state.

The head of the Progress Alliance, Muhammad al-Halbousi, had met earlier with the head of the Azm Alliance, Khamis al-Khanjar, and his accompanying delegation.

It is noteworthy that the Progress Alliance won 37 seats in the final results of the parliamentary elections that were held last October. 

Al-Halbousi assumed the presidency of the House of Representatives during the last session (2018-2021).

obelisk

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The Governor of the Central Bank of Iraq meets the Minister of Labor and Social Affairs of the Kurdistan Regional Governmentbanknote

The Governor of the Central Bank of Iraq meets the Minister of Labor and Social Affairs of the Kurdistan Regional GovernmentH His development initiatives that brought about a shift in securing liquidity for the real sector, which faced serious challenges after the Corona pandemic. For her part, the Minister commended the Central Bank’s initiatives and contributions to relieving the pressures facing the Iraqi society, and praised the Bank’s support for the Small Projects Finance Fund in the region, especially training programs and support for shelters for orphans and homeless and the role of the Association of Iraqi Private Banks. His Excellency promised to support the Ministry’s plans and programs to alleviate the suffering of our people.Central Bank of Iraq information OfficeDecember 14, 2021

https://cbi.iq/news/view/1898

OPEC: Iraq and Saudi Arabia led the highest increase in oil supplies last month

energy

Economy News _ Baghdad

The Organization of the Petroleum Exporting Countries announced, on Tuesday, that Iraq and Saudi Arabia led the highest increase in oil supplies among the nine countries that raised their oil production last November.

The organization said in a report seen by “Economy News”, that “the production of oil by the 13 member states of OPEC rose by about 285,000 barrels per day during the past month, to reach 27.717 million barrels per day, supported by increased supplies from nine countries, including Iraq.”

And she indicated that “the largest increase came from Saudi Arabia, as its oil production rose by 101 thousand barrels per day, to reach 9.897 million barrels per day, and Iraq came second with the largest increase in its oil production by 91 thousand barrels per day to reach 4.240 million barrels per day.”

And she added, “Nigeria raised its oil production by 85,000 barrels per day to reach 1,420 million barrels per day, Kuwait raised its production by 29,000 barrels per day to reach 2.531 million barrels per day, and the UAE increased by 21,000 barrels to reach 2,850 million barrels per day.”

And OPEC indicated that “Venezuela raised production by 15,000 barrels to reach 625,000 barrels per day, Gabon and Algeria raised their production by 9,000 barrels per day, while Equatorial Guinea raised its production by 1,000 barrels per day for the month of November.”

She pointed out that “oil production fell in 4 OPEC countries last month, which are Angola by 38,000 barrels per day, Libya by 15,000 barrels per day, the Congo by 14,000 barrels per day, and Iran’s production decreased by 9 thousand barrels per day.”

The Organization of Petroleum Exporting Countries (OPEC) reference basket consists of: Basra Light (Iraq), Sahara Mix (Algeria), Girasole (Angola), Djeno (Congo), Zafiro (Equatorial Guinea), Rabie Light (Gabon), and Iran Heavy (Republic of Islamic Iran), Kuwait Export (Kuwait), Es Sider (Libya), Pune Light (Nigeria), Arab Light (Saudi Arabia), Murban (UAE) and Miri (Venezuela).

https://economy-news.net/content.php?id=26947

Oil sets the date for the launch of a forum on energy in Iraq

Oil Ministry headquartersenergy

Economy News – Baghdad

The Ministry of Oil announced, on Tuesday, the date of the launch of a forum on energy in Iraq.

The ministry said in a statement seen by “Al-Iqtisad News”, that it “set next week the launch of the work of the national forum to discuss the prospects and challenges of the energy sector in Iraq, pointing out that” the Energy Ministerial Council is organizing the national forum to discuss the prospects and challenges of the energy sector in Iraq.

She added, “The forum, in which the ministers of finance, oil, electricity, and water resources, the National Investment Authority, and a number of officials, experts and advisors in the relevant ministries participate, aim to stand on the most important current and future challenges, and effective solutions to address problems and obstacles, and ways to advance these sectors through Develop realistic scientific visions.

https://economy-news.net/content.php?id=26954

America: We have provided aid and support to Iraq with more than three billion dollars

economyIraqAmericahelpSupport 2021-12-14 06:28A-AA+

Shafaq News/ The United States Ambassador to Baghdad Matthew Tueller announced on Tuesday that his country has provided more than three billion dollars in humanitarian aid and support for infrastructure and economic projects to Iraq since 2014 until now.

In his speech on the sidelines of the Project Development Fund conference with the support of the United Nations Migration Agency, held in the capital, Baghdad, Tueller highlighted the humanitarian aid provided by the United States of America to Iraq, whether in the field of health, education or construction, after the era of ISIS, adding that Helping Iraqi entrepreneurs succeed in the economy and business has been the cornerstone of our bilateral relationship with Iraq, and we are steadfast in this commitment. 

And he added, “The United States is the largest donor of humanitarian aid to Iraq to ensure the safety and well-being of displaced Iraqis.” 

The ambassador also noted that during the struggle against ISIS, since 2014, the United States has provided more than $3 billion in humanitarian aid to displaced Iraqis in Iraq.

According to the American diplomat, since 2015, the United States of America has implemented 850 infrastructure projects to restore basic services destroyed by ISIS, indicating that we have reconstructed more than 140 schools, 62 water treatment plants and 17 sub-electricity stations.

Tueller also added by saying: We have reconstructed clinics and hospitals, provided medicines, extended electricity transmission lines, repaired roads and bridges, and worked with homeowners to restore the water of more than a thousand homes. 

He continued, saying: The United States has contributed to the recovery of the Iraqi economy from the destruction of ISIS, and the damages of the Corona pandemic, adding: We do this by investing the capabilities of Iraqis through their entrepreneurial spirit, innovations and steadfastness so that they can build their future. 

The ambassador disclosed that the United States’ direct contribution to supporting the Project Development Fund in Iraq amounted to $6 million.

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