Synchronization of the national effort to mobilize the country's financial resources and human potential in the face of the organization of the Islamic State "Daash" with the worst economic hardship experienced by Iraq for many years. It was the direct cause of the economic crisis of falling oil prices, which provides about 90 percent of the Iraqi state treasury by more than 50 percent since last June. Thus, the oil revenues that finance the activities of the state and all military service and operational aspects have lost more than half its value in less than a year.
In the face of this situation the House of Representatives approved the budget amounted to $ 105 billion. This means cutting spending by 16 percent. Also tried to find a balance other sources of income to impose taxes on cellular phones, the Internet and air travel tickets, cars, alcohol and cigarettes. Despite these measures, the expected deficit of 25 trillion dinars, or about 9 percent of gross domestic product, as the British magazine The Economist said in a report on the Iraqi economy.
The report said the deficit even at such a high percentage seems optimistic an estimate because the budget was prepared on the basis of $ 56 to the price of a barrel of oil and assume export 3.3 million barrels per day. But Iraq's exports in January amounted to 2.4 million barrels per day at an average of $ 41 a barrel, according to the Economist Intelligence Unit.
Faced with this situation the Central Bank of Iraq has taken measures designed to preserve what is owned by Iraq of hard currency needed to finance the confrontation with Daash and rebuild the armed forces and import needs of the Iraqi citizen of the necessary materials and commodities.
The demand for the US dollar has caused a sharp increase in the value of the Iraqi dinar falling. The central bank action came in one of its goals to curb this demand using the tools available to him, including the daily auction through which the bank controls the price of the dinar against foreign currencies, especially the dollar. Remarkably, the central bank's actions is to impose taxes and fees on every dollar of custom merchant buys from banks to pay for items imported from merchandise.
Radio Free Iraq met with the Director General of the versions in the central bank Ahsan Yasiri, who said that the bank has introduced this measure mechanism achieved two main objectives to create a national information system and the other to provide a new source of funding flows into its state treasury from duties and taxes levied on every dollar revenues bought for the purpose of import and play banks to transfer these proceeds to the IRS and the Department of Customs.
He explained Yasiri that this mechanism serve multiple purposes as well as to maximize tax revenue and customs, including ensuring that the trader who buys the dollar giving back to the economy equivalent in the form of goods because it no longer has an interest in getting the dollar after paying his tax and fee Kmarkia, along with anti-money laundering and smuggling and collect useful information about the nature of imported materials and their use in the national accounts, etc.
Economic Adviser to the Prime Minister Abdul Hussein Al-Anbuge noted the importance of the step initiated by the central bank to impose taxes and fees of custom on the dollar that comes out of Iraq, saying it set the movement of capital, especially foreign exchange inside Iraq and in trade with other countries.
But Chancellor Anbuge noted that the collection of fees and taxes would not normally be from banks tasks that Msaolteha open letters of credit, pointing to work in order to address the flaws in the system, which entrusted the task of banks is not of competence.
While economic adviser in the Prime Minister Abdul Hussein Anbaki praised the new system in terms of funding as it provides extra revenue you need the state, he wondered about the potential impact on economic performance, especially what might raise fears among the investor who wants to enter the Iraqi economy, forcing him to disclose the negative effects advance but confirmed the possibility of filling the gaps in the system through dialogue.
Anbuge and called for a study of the reasons that lie behind the movement of capital from Iraq to the outside and not the opposite, saying that the owner of capital does not need to look for opportunities to invest abroad if the Iraqi investment environment favorable environment prepared by the return which is profitable to invest.
Director-General in taxes Ardan Authority spokesman said that the mechanism introduced by the central bank include multiple technical details, but the basis for the central bank as an entity which supplies imported including needs of hard currency it ensures that the entry of goods for them.
Ardan and admit that the weakness of tax collection from customs declarations is that the imposition of the introduction of the new mechanism collects these collections with the sale of the dollar, noting that more than 700 000 Kmarkip statement issued last year, the government receipts taxes, 50 percent at best.
Director General of the Customs Authority, Major General Hakim Jassim explained that the main reason for the weakness of obtaining customs duties and thus the loss of significant revenue is the absence of the electronic linkage between the border crossings and the use of manual methods of container inspection and the ship and truck stressing that the Customs Authority this problem will be dealt with contracts with international companies to apply special Ketroa system Emark.
Economic expert peace Sumaisem described the mechanism introduced by the Central Bank of Iraq to obtain the tax dollar as a way adopted by the government to increase funding sources in order to reduce the fiscal deficit and not stemming from the integrated tax policy indicating that the direct and indirect taxes bumpy, which can push the citizen for it if were not directed so as not to lead to an increase in production costs transferred to the consumer or burden the people with limited income.
Warned expert Sumaisem of publicity Aldharbah weapon generally productive sectors that need to encourage not discourage proposed to be flexible in vision Aldharabahlthakik balance in the economy so as not to hurt the middle classes that make up the backbone of the economy due to the high level of consumption and the targeting of goods luxury, entertainment and high incomes.
The Economist magazine said the Iraqi government as part of its search for new sources of financing plans to sell bonds and defer repayment Bedalmedfoat and resort to their savings and it is looking with a bank Citigroup and Deutsche Bank to issue bonds worth six billion dollars.
[You must be registered and logged in to see this link.]