Iraqi News

Friday Morning Iraq Economic News Highlights 4-21-23

A Government Advisor Expects The Exchange Rate Of The Dollar In The Parallel Market To Approach The Official Rate

Economy  The economic advisor to the Prime Minister, Mazhar Muhammad Salih, expected that the exchange rate of the dollar in the parallel market would approach the official rate.

Saleh said in a press statement: “We expect very soon that the exchange rate of the parallel dollar will approach the official rate with the continuation of external transfers, especially since all private banks have committed themselves to transfers and the electronic government controls these external transfers.”

And he indicated that “all these matters will lead to the decline of the parallel dollar exchange rate to the official rate.”

Prime Minister Muhammad Shia al-Sudani said in an interview with a number of local media two days ago that: “The fluctuations in the exchange rates of the dollar are the result of the non-implementation of the agreement signed between the previous government and the central bank with the Federal Bank and the US Treasury.”

Al-Sudani added, “The exchange rate of the dollar against the dinar will decrease to reach its official price of 1,320 dinars,” stressing that “the Iraqi dinar is strong and the financial situation is at its best, and we have great confidence in the Iraqi dinar.”

He stressed that “the exchange rates of the dollar tend to stabilize and reach the official rate soon.”

Finance Committee: We Are Going To Reduce The Budget Without Prejudice To The Government’s Plan

Politics / Economics    Baghdad today – Baghdad  Today, Thursday, the Chairman of the Finance Committee, Atwan Al-Atwani, confirmed the existence of a continuous study of the budget before its approval, indicating that the trend is towards reducing it.

Al-Atwani told (Baghdad Today) that “we will reduce the final amount of the budget in order to reduce the deficit in it,” adding, “However, the values of the budget cannot be compromised in terms of its form, because it is the responsibility of the government, as it was placed within its government program.”

He pointed out that “the committee will proceed to increase the amounts of the provinces because it has greatly reduced it to 5 trillion after it was 9 trillion within the food security law,” noting that “the budget that will be approved is the budget for the current year, while the budgets for the next two years will be passed each in its year.”

Al-Atwani praised the “great cooperation between the Parliamentary Finance Committee and Prime Minister Muhammad Shia’a Al-Sudani in order to reach a final agreement on the budget figures.” LINK

Low Dollar Exchange Rates In The Local Market

Information/Baghdad..  Today, Friday, the exchange rates of the dollar against the dinar witnessed a slight decrease in the exchange rate of the dollar in the local markets in all governorates of the country.

The correspondent of the information agency said, “The buying and selling prices witnessed stability in the exchange rates of the dollar in exchange shops in the local markets in all governorates of the country, as the selling price reached 144,000 dinars per 100 dollars, while the purchase prices reached 142,000 dinars per 100 dollars.”    LINK

Obelisk Clock: Oil Wealth Is Improperly Managed And Poor Money Management

April 21, 2023   Baghdad/The Obelisk Al-Hadath: The Obelisk publishes the most prominent interactions of TV dialogues.   MP Youssef Al-Kalabi during a televised interview:

– The delay in the population census greatly affected the allocations of the central and southern cities in the budget

– Karbala has become an attractive environment for investment and its allocations in the budget must be doubled to receive millions of visitors annually

– The oil wealth in the country is managed incorrectly and the problem in Iraq is poor money management

– Wasit requests the federal government 1.5 Trillions of petrodollar allocations

– Wasit is not a “minor” for anyone, and we will sue any personality or entity that interferes in the province

– the deputy’s duties are limited to the legislative role and support for the province he represents

– there is a remarkable development in Wasit province and work is still in place

– there are integrated files to activate investment and the private sector In Wasit

– there is a major setback in the budget allocations to the governorates

– the ministries have doubled their financial allocations in the 2021 budget

Expert: Operating The Karbala Refinery Will Cause Iraq To Lose 3.3 Billion Dollars Annually.. How Is That?

Energy   Economy News-Baghdad  Economic expert Nabil Al-Marsoumi revealed, on Thursday, that Iraq loses more than 3 billion dollars annually due to the operation of the Karbala oil refinery, presenting a solution to face the negative financial impact of the refinery.

Al-Marsoumi said in a post on Facebook, “Despite the strategic importance of the Karbala refinery through its production of environmentally friendly light oil derivatives, reducing imports of gasoline, kerosene and white oil, and employing many workers, as well as deepening the front and back links of the refinery with other sectors, the start of actual production If the refinery reaches its maximum capacity of 140,000 barrels per day in the coming months, it will result in a loss of public finances of about $3.3 billion annually.

He explained that “the loss represents the value of the difference between the price of selling Iraqi oil in the global market and the price of selling a subsidized barrel to the refinery, because the revenues from selling oil derivatives, including black oil, are not included in the accounts of the Ministry of Finance, but are included in the accounts of the Refineries Company and the General Company for the Distribution of Petroleum Products.”

He added, “The government obtains 45% of the profits of the refinery and the General Company for the Distribution of Petroleum Products based on the Public Companies Law No. 23 of 1997, but this represents only a small part of the loss of the state treasury, especially since crude and refined oil is sold and bought internally at subsidized prices.”

Al-Marsoumi indicated that “this loss can be avoided by charging the Ministry of Oil with the value of the difference between the price of a barrel of subsidized oil and the global price, especially since the budget of the Ministry of Oil has increased in the general budget for the year 2023 to 23.5 trillion dinars, after it was 11.5 trillion dinars in the 2021 budget.”

Deputy: The “Audacity” Of Al-Sudani’s Decisions Recovered The Looted Money And Stirred Up The Economic Recession

Money  and business   Economy News – Baghdad  Member of the Committee on Oil, Gas and Natural Resources, Representative Muhannad Al-Khazraji, considered, on Friday, that the “boldness” of Prime Minister Muhammad Shia’a Al-Sudani’s decisions recovered the looted funds, strengthened the state’s sovereignty, and moved the economic recession.

Al-Khazraji said in a statement, “The coordination framework in particular and the State Administration Coalition are continuing to support the Prime Minister’s efforts to combat corruption,” calling at the same time the House of Representatives and other political components to “support the government’s efforts to pursue those wanted through international Interpol in corruption and terrorism cases.” .

He added, “Hundreds of wanted people owe billions of dollars and live in complete prosperity, along with their families, as a result of the looting of public money,” adding that “reforming the situation in the country takes a long time through integration between the executive and legislative governments to control economic security in the country and support independent bodies charged with fighting corruption.”

Which is the main obstacle to the growth and prosperity of the national economy, especially since the Sudanese government has achieved tangible successes on the ground in a period not exceeding six months.

International Report: Eid Announces The Beginning Of A New Phase In The Middle East And The Improvement Of Iraq’s Conditions

Arabic and international |Today, Baghdad today – Baghdad   In a report published Thursday, the Associated Press International described the beginning of Eid al-Fitr celebrations as a “declaration” of the beginning of a new phase in the Middle East that is witnessing the spread of peace and reconciliation, despite the emergence of a new conflict in the region, this time far from Iraq, according to its description.

The agency said, according to what was translated (Baghdad Today), that Iraq is no longer the focus of the poor security situation after its significant improvement and the entry of the countries of the region that have conflicted with each other for years a stage of “reconciliation” that led to the achievement of peace in Iraq, Syria, Yemen and Lebanon, in A reference to the Saudi-Iranian agreement.

The agency also indicated that the holiday that comes this time with the presence of “effects of destruction and conflict” in large areas of the Middle East that are still suffering from the effects of previous security events, now carries with it signs of a new phase in the Middle East with the Saudi-Iranian consensus and the Gulf states’ tendency towards restoring relations. With Syria, in addition to stopping the conflict in Yemen.

The improvement of the political and security situation in the region, according to the agency, worsened the outbreak of conflict in Sudan between the army and the Rapid Intervention Forces, following clashes between the two parties that led to “hundreds of victims” despite international calls to stop the violence.   LINK

Developing The Gas Industry In Iraq

Thursday, 20-04-2023, Karrar Al-Asadi  Written by: Saleh Lafta  The great waste of gas wealth that is burned without any justification and costs Iraq billions annually, according to the Prime Minister’s admission, and goes away without Iraq benefiting from it in operating power plants, factories, and exports. It is a dilemma that has not found a solution. short.

The large reserves of Iraq enable it to occupy a high position among the two gas exporters, and constitute a major shift in diversifying its exports after adding gas imports to the current revenues, with the positive effects of gas exploitation on all sectors, such as falling energy prices and lower operating costs, and thus encouraging investors to open factories and factories in Iraq. It contributes to increasing job opportunities.

The measures to stop waste and take advantage of this enormous wealth were not at the level of ambition and did not put Iraq on the map of gas producing and exporting countries, although it is the fourth in the Arab world and the twelfth in the world with confirmed gas reserves according to specialized international companies, and it is still the second country in the world in burning gas with the pollution caused by burning operations. for the environment.

After the Russian-Ukrainian war and the sanctions imposed by European countries on Russian gas exports, and the damage to the Northern Stream pipelines that transport Russian gas to most European countries, Iraq has a historic opportunity to supply the European Union with gas in huge quantities through pipelines because reliance on transport in ships is costly and not as fast as pipelines. .

Therefore, if Iraq is serious about developing the gas industry, it should start from now on two parallel tracks so that there is no delay in one of them that causes the other to be disrupted or not benefited from

.The gas reserves in more than one region, particularly the geographical areas or patches, are large and it is expected that gas will continue to be extracted from them for many years.

The second of these paths: –

It is to start linking Iraq with European countries that are thirsty for cheap and clean energy with a pipeline network through Turkey and from there to the European Union so that the arrival of Iraqi gas to consumers is not delayed, as well as the development of export ports so that exports can be made to markets that cannot be connected to pipes.

Also, Iraq, taking advantage of its geographical location, can import gas from the Gulf countries and export it through the Iraqi pipeline network to the countries of the European continent, benefiting from the price difference and transportation costs, thus increasing its political influence on the countries of the world that are trying as much as possible to support stability in Iraq to maintain energy supplies.

The funds that the gas industry needs for its development can be easily saved through investments, and therefore we should not neglect or leave any opportunity from which Iraq can benefit from increasing the revenues of the public treasury.