Samson: Oil rises in hopes that production cuts will dispel the impact of the Coruna virus

5th February, 2020

Oil prices rose on news of OPEC and its allies studying greater production cuts to counter a possible decline in global oil demand as a result of the rapid spread of the Chinese Corona virus

The global benchmark Brent crude futures rose 31 cents, or 0.6 percent, to $ 54.27 a barrel, while US West Texas Intermediate crude futures increased 21 cents, equivalent to 0.4 percent, to $ 49.82 a barrel, and the two crude rose more than 1%

At yesterday’s meeting, the Organization of the Petroleum Exporting Countries (OPEC) and its allies, led by Russia, the group known as OPEC +, heard a Chinese envoy to the United Nations in Vienna yesterday to assess the impact of the Corona Virus outbreak on global oil demand and economic growth

Producers are considering further cuts to production and offering a meeting due in March to February

Meanwhile, US crude oil inventories increased in the week ending January 31 by 4.2 million barrels to 432.9 million barrels, according to the American Petroleum Institute data released yesterday, and the number is higher than analysts’ expectations of an increase of 2.8 million barrels

The weekly report of the US Energy Information Administration is scheduled to be released later today, Wednesday   LINK

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Samson:  International financial experts: Iraq paid Kuwait $ 49.2 billion and the remaining 3.2 only
5th February, 2020

The International Experts Committee confirmed, today, Wednesday, that Iraq paid Kuwait compensation 49.2 billion dollars and the remaining 3.2 billion dollars only

The committee, as the supervising authority for the follow-up of the DFI account and its alternative account, said in a statement, “Economy News” received a copy of it, that “the total amounts of compensation required by international decisions on Iraq in favor of Kuwait were 52.4 billion USD”, indicating that “The amount paid from it until January 2020 amounted to 49.2 billion dollars, and the remaining amount of these compensation is 3.2 billion dollars

The committee expected to “pay the full amount in the first half of 2021 and close the file of compensation to secure the final exit from under Chapter VII in the event that oil revenues continue at the same current rates

All Iraqi revenues from oil exports are deposited into the “Iraq Development Fund”, and the United Nations withdraws 5% of these revenues, which are the compensation granted to Kuwait for the 1991 war, while the Ministry of Finance pays all Iraqi debts before the government receives supervision of the “Development Fund for Iraq

The Financial Experts Committee was established on the basis of the Cabinet’s decision and started its work on 1/4/2007, as an alternative oversight body for the International Council for Advice and Supervision, which currently oversees the Iraqi public funds spent on the production and export of oil and petroleum products   LINK

Pete2001: seems like this would be paid now …. 3.2 billion if it is required to get out of Chapter VII….For Frank, MM, 2 cents, Delta is this needed to have RI done?? or anyone else?

Tommy17:   No.  IMO  check final article threads  Even the imf mid last year came out and said “ they were article 8 compliant. Iraq just needs to announce it.

DCDriver:  Just some thoughts:   To me it is not out of the realm of possibilities that Iraq is planning on changing their fiscal year to start on April 1st, the same as Kuwait.

Let’s not forget that Kuwait was part of Iraq at one time. There could be some fiscal alignment that will take place with Kuwait in order to usher in a more cohesive monetary structure that will become the model of the Middle East, especially if the Iraq currency comes out at or around the same value as Kuwait.

This could be the beginning of things to come for neighboring countries to align themselves to a “hub” or epicenter that Frank speaks of.   Food for thought

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Samson:  A legal expert clarifies the authority of the next government to amend the budget

4/2/2020 9:10 PM

The legal expert, Tariq Harb, confirmed that the next new government has the right to make amendments to the draft budget budget for the year 2020.

Harb said in a press statement that the next government has the right to make amendments to the draft budget law, adding that it has the right to send the bill to the House of Representatives an hour after it gains the confidence of the parliament, because the draft law is ready and has been organized by the previous government

He added that the bill would be sent by the government after it held a meeting in which a vote would be taken to send the bill to the parliament

The Parliamentary Finance Committee revealed that the next federal government to be formed by Prime Minister-designate Muhammad Allawi will make amendments to the draft budget law in 2020

Committee member Shirvan Mirza said in a press statement that “the next federal government may make amendments to the federal budget bill for the current year, indicating that this depends on the government’s program

” It could be the government opinion and other trends may make changes to the bill may not make any amendments because the time delay for approval,” pointing at the same time that it is not currently known whether the Government carried out any amendments to the draft budget or not?  LINK