The Iraqi economy and debt stakes
27/9/2016 12:00 am
Ali Hassan Al-Fawaz
Build the right economic base requires a series of actions and realistic vision in dealing with the problems that usually produces Mono economy, this will draw plans and programmes more difficult and complex with a planned economic system stuck in deposits.
Days before the House Finance Committee approved on the conditions set by the International Monetary Fund on Iraq, compared to approve giving financial loans to implement several economic projects that require basic safeguards, and to agree with the policies implemented by the Fund's loans.
Committee's concurrence with the Prime Minister's claim to take practical actions to address issues of corruption, corrupt files, as well as the importance of working in a stressful programmes concerning rationalization of unnecessary spending, and activate other economic sectors work, which means reviewing the general budget and write lots of customizations that's got nothing to do with economic rationalization policy set by the Fund.
His central patterns and economy policies, has negative effects, too, when there is a surplus, these centerpieces are lassitude national wealth through uncontrolled expenditures, through submission to the directives related to the central State policy, nature guide those expenditures, particularly relevant or armaments spending his money to do with (incidentals) ministries and other institutions and officials sworn affidavits, which is going to be room for corruption and illicit enrichment, as well as direct impact on waste public money and inflate the institutional phenomena in SAG for weaknesses in planning and organizing Rationalisation, in control of the Exchange sections, in accordance with the necessary benefits.
International monetary policy «»
Other shows fear this orientations, under the pretext of submission alisiasat of the IMF, and because the Iraqi economy REI, these fears turn into practices that may put the Iraqi Government in front of this rejection problems, thus disabling a lot of economic promises agreed about these loans, perhaps almragahalakherh standby agreement between Iraq and credit the IMF in Oman indicated that these risks, and to the importance of work on framed, leading to approval of Fund conditionality and stick to them.
Debt problem originally linked references having rampant corruption in State institutions, and waste of public money and banking policies, and disruptive to other aspects relating to the data and the nature of the mysterious political threats and challenges facing Iraq, devoted increasing spending for security, for minimizing customizations specific to the Iraqi economy recovery programmes in the areas of investment, what makes a commitment to International Monetary Fund demands more notable for realism, and the possibility of confrontation (force majeure) with corruption and the corrupt, according to surveillance and control and audit files.
This realism is also maintain staff salaries and retirees, all about perpetuating the life of citizens, compared with aaadhalnzer a lot of economic policies that lacks the realism, and wield their wealth but was impoverished, and limitless personal spending, which he referred to the Economic Committee member Attorney Magda Tamimi (spending three million and 800 thousand dollars to hire a private aircraft, during the last quarter of the year 2014 and 2015 over the past year, as well as spend money on other officials sworn affidavits, Despite the serious implications of low oil prices and war against Al «ISIS» terrorist.)
This information confirms the volume of unnecessary expenditures, in many business contexts, what it takes resolute face, not IMF policies, but also to restructure the Iraqi economy and its budgets and expenditures, ensuring that reducing the deficit in the public budget, as mentioned during the discussion of the budget year 2016-Member Finance Committee Deputy Hossam Kumar: (2016 budget deficit would be the biggest budget deficit 2015», stating that, "the 2016 budget set the deficit (29) trillion dinars, equivalent to 25 billion dollars. And represents 25% of the total budget).
The Prime Minister's claim to be more decisive in dealing with corrupt files and corrupt, the seriousness of what he's facing Iraq from economic problems and complications pertaining to those files and the multiplicity of their references, concerning the issues of waste, and money laundering, and bugs in control procedures, and track Exchange and other mechanisms, and that's what it takes critical procedures, specific procedures for the administrative and "spending, controls and oversight, review the general budget.
The dangerous tendency of the loans from the Bank and States to develop economy to impose conditions data on Iraq, which might make Iraq have to continue lending policy, flute take (coercive) to look for other opportunities to expand the national wealth, and not rely on the oil price fluctuations and deteriorating under political conflicts and factors tugging or flooding the market with oil abundance, and of demand on many deals, which has become a political measure by certain States against other States.