The country can only be revived by ending the rentier economy by diversifying sources of income
Muhammad Tawfiq Allawi 93 2021-01-05
Muhammad Tawfiq Allawi ||
The basis of the economic problem is the rentier economy and almost total dependence on oil resources, and
it is not possible to get out of this impasse except by diversifying sources of income and
there are several large projects that can bring huge resources to the country,
unfortunately there is no seriousness on the part of the rulers for seventeen years now to diversify sources of income
We mention some of these projects below:
1) Air links between East and West: Iraq has a distinct geographical location, where it is possible to convert Baghdad airport, Basra airports and Mosul into a link between east and west, expand the Iraqi Airways fleet, expand Baghdad International Airport, Basra and Mosul airports and other airports,
if Iraq can win one-fifth of the global market In this field, such as Dubai or Istanbul airports, this could achieve a great additional potential for the country, as it must first meet the safety requirements and international aviation rules (ICAO) to complete the procedures for lifting the European ban on Iraqi aircraft;
And then bringing in international companies to manage international airports, and choosing competent and experienced global managers to manage more than one airline company,
the incoming of this project could exceed twenty five billion dollars annually.
2) The dry canal project: the Faw port project and bilateral railways linking Iraq with the European continent.
Plans can be drawn up and contracted for this project by investing in the agreement with China to finance this project;
The income from this project could exceed eight billion dollars annually.
3) Petrochemicals Project: Oil prices can be doubled by converting gas and crude oil into petrochemical products.
Establishing integrated petrochemical plants is considered one of the important strategic projects and doubling the country's resources of gas and oil, and it forms a base for the emergence of many other industries in various fields,
so this is considered one of the projects that have priority It is easily possible to obtain international loans on such an important project, which can generate an income of at least fifty billion dollars annually.
4) Investing in waste gas and extracting gas from other fields: There are large quantities of associated gas that is burned in waste in many fields and refineries,
and there are free gas fields in several areas that are not operational,
and the global need for gas will increase in the future unlike oil and its price will increase.
Serious thinking about not wasting gas, its production, the method of selling it and converting it into petrochemical products, and it is also necessary and within the shortest period of time to stop importing gas from outside Iraq for the generation of electric power or other uses.
5) Rehabilitation and operation of the stalled factories: by rehabilitating them by an Iraqi cadre if that is possible, or even bringing international companies to rehabilitate and manage them for a specific period of time, train an Iraqi cadre to manage and operate them, involve the private sector and turn it into a mixed sector, offer its shares to citizens, and grant a sum Of shares in nominal amounts for all of its engineering and administrative staff and workers.
6) Strategic industrial projects: As for major strategic industrial projects, Iraq can borrow soft loans for productive strategic projects,
so that these projects are able to return debts with their benefits and achieve a large surplus for the country and employ millions of manpower,
and in this field it is also possible to participate with the private sector and strategic partners International and making workers partners in these factories, and there are hundreds of projects that cannot be mentioned;
It is possible to establish several industrial cities in all governorates in desert areas within a short period of time,
then it is possible to start building thousands of factories simultaneously where it is possible to easily obtain international loans for productive projects, so the engineering staff, the productive staff and the economic cadre of young people are available with a large surplus and the domestic consumption market
Also widely available in addition to foreign markets, and global banks are ready to provide any amount of loans required if there is an attractive investment environment without corruption and bribery,
and security is provided without the presence of uncontrolled weapons and armed groups outside the law, with a clear feasibility study showing that the incoming can To pay off the loan and the interest on the loan, and to generate additional profit for the country.
January 4, 2021