A former member of the Parliamentary Finance Committee, Jamal Kougar, revealed that the hard currency reserves at the Central Bank had been enhanced by nearly 10 billion dollars.
In an official statement, Cougar confirmed that the current government was able to boost foreign exchange reserves by nearly $10 billion in less than a year, even though the treasury was “almost empty.” He added, “The government of the current Prime Minister, Mustafa Al-Kazemi, suffered a financial crisis, but during the last four months there was a breakthrough,” noting, “But we cannot say that the state treasury is full and the economic conditions are comfortable for various reasons.”
He added, “In the 2022 budget, Iraq will have passed the severe deficit stage, but this does not mean that we are in a state of economic recovery.”
And he continued, “There are two types of empty treasury, the first is that there is no money in it, the bank reserve has decreased, debts have increased, and resources have decreased, and the second is that the state treasury in all cases remains empty, because all financial resources are supposed to be transformed into a budget, and this is the state’s policy. And a few countries have sums that are not included in the budget, so most of the resources are supposed to be transferred to the budget,” noting that “it is natural for the budget to be delivered empty, but with better bank reserves than it was in the time of the government of Mr. Adel Abdul-Mahdi and with higher resources, because Al-Kazemi is He fought corruption – to some extent – and border crossings were better controlled than in an earlier time, in addition to the high oil prices.
He pointed out that “during this year, the bank reserve was strengthened by more than ten billion dollars, and this is a positive point that is calculated for the current government,” noting that “the deficit included in the current budget was originally a planned deficit, so we will be facing the absence of a deficit, and in In this case we will turn into abundance, but this abundance is not in such large numbers.”
He explained that “the bank reserve was on the edge, and there were warnings to the Iraqi government that if the bank reserve decreased, the Iraqi currency would lose its purchasing power, so it was strengthened, and now we have overcome the problem of strengthening the bank reserve to some extent, and there remain debts for some Iraqi banks that must be addressed. “.