Al-Kazemi’s advisor identifies two main measures to achieve financial discipline in the budget
political Today, 14:44
Baghdad - conscious - Nassar al-Hajj
Today, Tuesday, Adviser to the Prime Minister, Mazhar Muhammad Salih, recommended the adoption of financial discipline after the rise in oil prices, while noting that
this would avoid resorting to debt and hedge against oil price shocks.
Saleh told the Iraqi News Agency (INA), that "good use of resources and raising the productivity of government spending has become an important requirement of the white paper for financial and economic reform in achieving financial consolidation or discipline in Iraq," noting that
"during long time decades there was unproductive spending.
A waste of financial resources, especially in wars and conflicts, all of which led to the squandering of public budget resources.
He added that "financial discipline means the optimal use of budget resources and raising the levels of good management without financial waste that ultimately arranges resorting to unjustified debt, and
it also hedges against external price shocks generated by oil market surprises and price fluctuations and their sudden decline without knowing the reasons, which leaves traces directly detrimental to the stability of the country's financial sustainability."
Yesterday, Monday, Adviser to the Prime Minister, Mazhar Muhammad Salih, presented a proposal to establish a fund or account concerned with the stability of the budget and to be fed annually with a percentage of the surplus oil revenues, to hedge against the risks of price fluctuations.