Governor Of The Central Bank Of Iraq: Speculation And Political Interference In The Work Of The Bank Behind The Recent Crisis Dinar !

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Governor of the Central Bank of Iraq: speculation and political interference in the work of the bank behind the recent crisis dinar



Qasim Houca witnessed the seminar held by the «Institute of the progress of the policies of development» to discuss monetary difficulties and the position of the central bank towards them during and guest Dr. Ali Keywords Governor of the Central Bank of Iraq controversy and heated discussions about the real reasons behind the significant decline in the value of the dinar in recent weeks 

Participants at the symposium concluded that speculation and interference in the bank's policy of the main reasons that led to the crisis mentioned stressing the need to distance the bank from the interventions and the elimination of speculation as well as create a state of compatibility between monetary and fiscal policy .. warning of the possibility of inclusion of Iraq in the international black list In the event it does not take the required reforms of the banking sector.

He praised the MP Dr Mehdi al-Hafez «head of the Institute of progress for policies development« during a speech at the opening of the symposium the swift action taken by the Bank, which contributed to tackle the crisis and the return of well-being of the Iraqi dinar .. pointing out that the Central Bank's exposure in recent years to pressure various distortions, but the steps that taken recently put it in a new and important site for the desired monetary policy and its contribution to the country's development process 

He Hafiz to that of the first initiatives of the bank is refusing to external interventions, whether hidden government or parliamentary convertibles that were inconsistent with the law .. Indicating that the timeframe for the sale of the dollar's status by 75 million dollars a day was an example of blatant interference in the Bank's policy.

He said Hafiz n of the important initiatives taken by the Bank which are doing to support the national development project in the amount of 1 trillion dinars form of loans to set up small and medium enterprises contribute to the national development process and provide job opportunities for the preparation of the results are not too bad of young people are estimated to reduce the 30 percent unemployment .. and up the number of loans of approximately twenty thousand loan they are offered through the windows of the domestic banks and bank guarantees under the cover of a company to provide 250 jobs
Hafiz said he hoped that the central bank will continue the constructive initiatives to include all areas and sectors of development, particularly industrial support the long-awaited initiative.

After that, Mr. Governor of the Central Bank of Iraq, Dr. Ali Keywords occur reviewing the circumstances and events that the Iraqi market experienced over the past weeks, which resulted in a decline in the value of the Iraqi dinar .. explaining the reasons behind this crisis .., consequences and solutions desired so .. Indicating «When we talk about sale foreign as part of the so-called currency and sell the dollar here has to be in order to clarify the concepts we deal with it properly estimated.

The so-it «window sell the currency« in the Iraqi Central Bank and by which the sale of the US dollar, not a secondary window or marginal, it is a big operation with a direct most important functions of the Central Bank of achieving exchange rate stability and to maintain the general level of prices and curb inflation prejudice, Also, the nature of the Iraqi economy Reclining on oil resources and therefore revenue dollar makes the relationship between fiscal and monetary policy, including an interactive relationship necessitated by the nature of the revenue and expenditure of the monetization of the dollar. And that the central bank exercised important roles in this process and in the framework, including:

1. finance current expenditure of the general budget of the state, where the central bank buys dollars from the Ministry of Finance to cover the needs of the Iraqi dinar, according to allocations required in the general budget.

2. finance imports of the commercial sector, as well as other foreign remittances, and to cover travelers and students, treatment and transfers the needs of residents, where the central bank is the main source of a dollar coin by virtue of the nature of the state's resources and the weakness of other sources - and as lists -.

3. The sale of the dollar means the process of withdrawal of dinars in return from the market, and this process helps the central bank to curb money supply and reduce the resort to printing more currency, which will help in reducing inflation and stabilizing the general level of prices.

4. The monopolistic role of the dollar selling process practiced by the central bank provides him the opportunity to control exchange rates and quantities sold and thus provide him with an important tool of monetary policy tools to maintain price stability.

The sales format - in terms of the central bank take it - is followed in countries where governments monopoly on exports and thus foreign currency as is happening in the oil-producing countries.

The other options such as floating exchange rate policy - or dollar sale directly by the Ministry of Finance, they Options ascertains - especially in Iraq - stability and control of the exchange rate for reasons related to the nature of the circumstances, institutional, regulatory, market and regulatory environment, and others.

Demand for the dollar analysis
Often Manlahz focus on only one side in the perception and analysis and conclusion to sell the dollar, which is the short side or the display, with the omission of the other side which is the purchase or demand, with that most important aspect of the subject, and stand it and identify its causes and trends lead to important results, but leads to economic and financial reforms and processors as well as the attention to the demand side is the observer and analyst for falling into the failure analysis and conclusion and treatment.

The stand on the motives and factors of demand for the dollar a very important issue, and can be noted here that the main factors that affect the press and monetary policy:

1. The nature of government spending and trends in public finance policy:
That government spending financed by oil resources and consumer spending represents the bulk of those resources. This spending turn into a demand for goods, which are often imported, and can accommodate this spending widening oil revenues, spending turned into a demand for imports in foreign currency (dollar) is due to the structure of the economy and his palaces to meet the local need, and this weakens the role of the central bank in the display control Monetary which turns into demand for the dollar, where, for example, the industrial and agricultural sector together does not exceed the proportion of its contribution to the gross domestic product of 5% and adds the phenomenon of spending more than revenue (budget deficit) an additional burden with what is required of an increase in the money supply, and this increase with the deterioration of the situation productivity stability leads to excessive cash, and can not be that the central bank of control over the optimal size of money.

2. migration of funds (savings and investment outside Iraq):
The fragility of the security situation and the weakness of the overall stability of money paid out of Iraq, and became the investment and purchase of real estate and savings phenomenon in other countries, especially neighboring countries, the phenomenon raises the demand for the dollar.

It's a pity, that all the efforts and the costs borne by the state and the central bank during the years after 2003 to stabilize the exchange rate and public prices and raising the strength of the Iraqi dinar, all of that has not been reflected on the increased investment or domestic savings, but was the beneficiary of that neighboring countries where he was to those Features in charge of Iraq a major positive impact on the economies of neighboring countries.

3. The low level of remittances from abroad:
The remittances from abroad is an important source of foreign currency sources, but we note that it does not pose only a very small percentage, because of the weakness of foreign tourism and remittances from residents abroad investments, and even the number of retirees who request conversion of their salaries to the outside (to the dollar) is increasing significantly.

4. interventions in the work of the central bank:
Although the central bank is generally well-respected and independence by the legislative and executive powers, but there is pressure directly and indirectly, intentionally or unintentionally, including:

• interference in determining the daily dollar sales ceiling, as stated in Article 50 of the General Budget Law, which is Tkpala Central Bank in the exercise of its monetary policy that require permanent flexibility, this article affect the essence of the independence of the Central Bank and the graduation until about the role of responsibility and accountability when Aeetmkn to achieve in charge of the task in maintaining the stability of exchange rates.

The general budget law is the law determines revenues and expenses and not a law that defines or eliminates what exists in other laws, especially when they affect the laws of bodies gave the Constitution and the law autonomy in its decisions and prevent any party or person of influence and prevent it from receiving instructions or recommendations from others, as It is contained in the central bank law.

It is true that the central bank did not fully adhere to the provisions of identification in the General Budget Law, where the Council of Ministers decided to postpone the application of materials that were not already present in the budget bill, including the article (50), though the central bank tried to take what was stated in the eyes Although the case with consideration of the impact of the loss of flexibility.

• confusing media statements:
That a lot of media statements, which often Matntaleg of deficiencies in the understanding and the surround concepts related to monetary policy, confuse the work of the Central Bank, and creates psychological pressure of the impact on the Bank's management and its employees.

For example, look at the foreign currency reserve just in absolute analysis and assessment of monetary policy as a number, lead to erroneous conclusions and attitudes and confusing statements.

The reserve as a record devoid of Aaahr to the safety and strength of the reserve without attributed to the local currency exported (Dinar) so it must be seen from this standard, usually Maaattabr Reserve sound and sufficient if it covers the local currency, (ie 1: 1 ratio), so the decline in reserve as a result of buying and selling of the dollar, which means that the local currency in circulation also declined and thus keep the ratio the province at their level, and therefore, some central banks in other countries turned to the Public Treasury (Ministry of Finance) Maevad the ratio mentioned, because that increase is the surplus of the need for the bank.

And another example of the misconceptions is to look to sell the dollar as money laundering and smuggling operations. The presence of such potential operations, as is the case in all countries of the world, but can not be regarded as those operations in general are illegal operations, that the assumptions which runs from the other describes the bulk of sales in the suspicious framework and in amounts up to billions of dollars an assumption leads to wrong analysis where Aastakim logic with this assumption because money laundering is derived from the crimes of money such as corruption and tax evasion, kidnapping and human trafficking, etc., and can not those offenses are sized up to 30 billion dollars a year and the rest (30 or more) is the money is illegal, it is the assumption is far from reality, whether in the estimation of the trade volume, or the size of other operations, where a large proportion of income and profits and gains be transferred to the outside because of the situation, in addition to the passenger expenses, treatment and wages of the study and the salaries of retirees and remittances from non-residents and others.

1. weakness of loans available to the banking and financial sector:
The banking sector is suffering from the weakness of the opportunities available, where the weakness of the savings at the national level, the financial crisis that affected deeply on the business sector, which deals with banks, and the activities of letters of credit and letters of guarantee, as well as Maaaatari provide loans of problems, all it pays banks to take Dollar selling process easy shelter her. 

On the other hand, the number of banking companies granted licenses in recent years reached the limits of 2,000 companies, although the name of this legal companies is to mediate in buying and selling currencies other words, the source of their currencies from the market and through the mediation process, but the limited market because of the lack of tourism or transfers from abroad, these companies rely on the central bank to get on the dollar and sell it, and that's where this activity is the foundation of many of those companies conducting market speculation and fabrication of artificial demand in order to raise prices and outrageous benefits.

2. Dollarization:
Despite scored from the installation of the exchange rate and the strength of the Iraqi dinar, a significant proportion of transactions take place in the Iraqi market through US dollar instead of the dinar, especially in the province of Kurdistan.

The accompanying case inherited fear of the conditions in the country of the former regime and the blockade paid a lot of hedge what can be exposed dinar, as happened in the nineties. This phenomenon receive an additional burden on the central bank to increase demand for the dollar.

The stand on these factors is an important issue, not only to analyze and understand what is happening, it is a matter of processors radical lead to economic reform, Mali and provide the best conditions in the business and investment environment and the expansion of the productive base, diversify and protect local product and financial management of an efficient tax system efficiently and effectively.

The seminar held by the «Institute progress of development policies» to discuss the difficulties and the cash position of the central bank towards them and a guest where Dr. Ali Keywords Governor of the Central Bank of Iraq controversy and heated discussions about the real reasons behind the significant decline in the value of the dinar in the past few weeks have seen.

Participants at the symposium concluded that speculation and interference in the bank's policy of the main reasons that led to the crisis mentioned stressing the need to distance the bank from the interventions and the elimination of speculation as well as create a state of compatibility between monetary and fiscal policy .. warning of the possibility of inclusion of Iraq in the international black list In the event it does not take the required reforms of the banking sector.

Capping the sales dollar. Is it a successful solution?
Some believe - based on an understanding of Aaakhlu of lack of understanding of monetary policy - that is determined by the highest dollar sales ceiling adhered to by the central bank and Aataadah, that this view is refuted by the following matters:

A-We have shown that the state budget in dinars funding to cover the expenses come from the sale of the Ministry of Finance of dollars to the Central Bank, which is to re-sell the dollar to the market for the dinar, which feeds by the Ministry of Finance to the extent that covers the general budget expenses.

The cap for sale means to determine the amount that covers the need going forward so the ceiling which is not possible, for example, if what has been taking the ceiling set out in the general budget and the specific sale of 75 million dollars a day, it means that the central bank sells the equivalent of about 23 trillion dinars per year, while operational budget expenditures (JD) about 70 trillion dinars Assuming the existence of imports in dinars up to 10 trillion dinars need about 37 trillion dinars remain. (37 trillion dinars = 23 - 10-70).

Where will it get this amount of (37 Trliuna), that the requirements to maintain the size of the money supply and to meet the requirements of the Ministry of Finance, requires sale of the dollar in the market to pull Maakablha of the Iraqi dinar. 

Maybe someone says can the central bank should not sell those quantities, provides coverage for financial need extra versions of the dinar, any print additional quantities of $ 37 Trliuna, this means increasing the money supply or the so-called cash excessive where this amount would be as much as currently Mamugod of exporting currency, any It will double its size in trading creates significant inflationary pressure, as it will turn into extra demand for the dollar.

( determine that the sales ceiling means that monetary policy has been identified external decisions, to Atanthec independence only, but will lose their tools in the exercise of its policy, as it would throw them out of the circle of responsibility and accountability in the achievement of its mission to maintain price stability.

That monetary policy require ongoing flexibility, which is not financial such as policy governed determinants and AMAD bound by them according to the law of the general budget of the medium- and long-term plans, which does not apply to monetary policy, which requires decisions and directives and amendments to the circumstances and requirements of the market.

© The determination of the sales ceiling, will lead to the creation of expectations and forecasts in the market, and this Maitnaqd with the requirements and the nature of monetary policy action, and therefore, under our environment conditions unstable, will exploit these selections and turn into a dangerous speculation claiming the exchange rate and create markets where parallel gray paid for Citizen result.

On the other hand, this determination requires restrictions and conditions on sales, which - as is the case in other sectors - leading to the operations of corruption, fraud and forgery, and turn those controls and restrictions to the exploitation and extortion by the rings, which holds it.

The current conditions and the environment that suffers from great institutional problems and cracking in all joints should lead to follow policies and procedures are clear and simple so that there is not room for exploitation and manipulation.

Edit sell the currency: the most realistic solution requires .. Why? 
The provisions of the nature of the economic system - the political and chosen Iraq to follow the market economy, economic freedom, and the commitments made by Iraq internationally to abandon restrictions on the sale of foreign currency, and what is the reality of an environment of opportunities for exploitation and the search for quick gains easy, all calls that the best choice is the liberation sell the currency restrictions to stabilize prices and filling corruption, exploitation and banditry outlets in front of mafias waiting for opportunities limited and restricted to achieve obscene gains, an option that we put forward in our meeting in the Finance Committee in the House of Representatives in 06/14/2015, among other options, and agreed Commission us to move in this option. 

This option requires two basic:
1-Verification of money that are buying the dollar by the source, in terms of legitimacy and cleanliness, and they do not represent the proceeds of crimes or corruption in order to be washed.

2-checking the destination that transforms them in such amounts out of Iraq, and access to data and analytical statements that show the last two beneficiaries of the amounts transferred.

The realization of what you stated a big job in front of the central bank and the relevant authorities such as the fight against crime Alaguetsajah Directorate and the National Security Service, and regulators and effective cooperation with the public prosecutor and the judiciary.

We have started when our mandate with the task of the Central Bank to activate the role of the anti-money laundering office, which - unfortunately - has not received the attention and support in the past years, did not the previous administration believes the importance of this role in the framework of the central bank, although the law stipulated that so the central bank's job.

We have given to the Office of independent administratively and financially and spatially and we are providing work requirements of all, and certainly that the office needs to build its capacity and the development of skills of workers in which the control and investigation, as accomplished a draft anti-money laundering, which was prepared according to the latest requirements of international law and standards, and we hope the House of Representatives approval soon time.

Also that the issue of censorship in general is facing significant challenges, including:
1-modern private banking sector in Iraq and the need for prophylaxis its performance and its systems and optimal use of information technology and to activate the role of the units compliance and anti-money laundering in those banks, and raise the level of transparency and disclosure, reporting and data on the latest standards, and that these banks need to separate the administration where all property and remove them from the domination of the executive boards of directors work.

2-increasing number of banking companies were awarded more than 1,500 vacation in the last two years.

That so many are difficult to control and to control it with the failure of the administrative, organizational and technical environment, there are also a large number of banking offices are not permitted and practiced its violation of the law, which is outside the responsibility and control of the central bank, located prosecution in the fight against economic crime device.

3-weak national data in the fields of trade (import and export) and other relevant data entry and taxes, companies and traders and others.

4-existence of large cash commercial market, where the purchase materials and goods from neighboring countries to pay cash in dollars, with a trade volume with Iran alone $ 10 billion are repaid Akiemha dollar because of the danger imposed on Iran and not to the possibility of transfers to it, that this phenomenon limits the ability the control of the lack of transparency. 

5-spoiling wide loops in state institutions of some banks and the conversion of other financial institutions, where you get to those companies a lot of money as a result of speculation in dollars to enable them to spoil in many state institutions from the highest levels to the lowest level.

This phenomenon makes control difficult and complex process, instead of those that are integrated with loops of the Central Bank in the performance of the supervisory role they become part of the problem as to facilitate manipulation, forgery, fraud and tax evasion and other operations.

On the other hand, the role of Sergeant or Inspector become surrounded by the dangers of the threat as a result of the large gains that accrue to corrupt.

Also, the requirements of control requires the development of regulations and instructions, but turn into formulas benefits and extortion by some corrupt institutions in the country concerned. 

The control of the operations sell the dollar inevitably requires upgrading the overall supervision and control of money laundering activities which Mansay him and we hold packets to be strengthened, as it requires a real and effective cooperation with the security, regulatory and judicial organs in order to not be the buying and selling a way to cover up the crimes or terrorist financing or other harmful and dangerous practices on our security and our economy and our society.

The exchange rate of the dollar .... Two options are available:
The dollar exchange rate can be determined with two options are linked to the financing of the general budget, namely:

-1 exchange rate to be low while maximizing the resources of the general budget by tariffs of direct and indirect taxes.

2-exchange rate to be high, a certain percentage in return for scrapping or customs duties and indirect taxes reduced.

The second option may be the best suited in Iraq to secure revenues and avoid cases of corruption and manipulation of the broad in customs and tax services, an option is available, but should be studied carefully and identify potential risks and ways to control them.

After the Governor of the Central Bank of Iraq following the words of Chairman Dr. Mehdi al-Hafez saying .. We are in desperate need for dialogue showdown like the one spoken of by the Governor .. dialogue between the ruling and Almjkum .. If such language is not available, we can not solve our problems and this .. kind of dialogue is required at this stage precisely .. recalling the governor clearly that the central bank may come under pressure We know them and they are many .. We also need to control the reform, which represents a key issue in the process of economic reform, these controls are not available this means that economic performance in danger .. adding that the central bank's decision to submit trillion dinars to domestic banks for small and medium enterprises, the support that is not a simple matter and there important projects are still on paper did not materialize at all an issue of the utmost importance and must be taken into consideration .. stressing the need to be the central bank's active role in the development, as stipulated in the Constitution .. The other thing is that fiscal policy - monetary and economic inseparable can not be separated and the urgent need for economic reform. Central bank, he can not alone solve all the financial problems in customs, taxes and the movement of goods between inside and outside is a matter of a totalitarian character for the national economy as a whole. Then open the floor for discussion Chair of the participants in the symposium .. 

Abdalbagi banking expert Reza called the central bank to clarify his positions about what publish news and Mmalomat that harms the reputation of the bank and monetary policy in Iraq, including what has been published just days before the indictment Bank of succumbing to quotas and the denial of a group of banks currency auction 

Mr. Governor of the Central Bank has denied the validity of this information, calling the banking sector to distance for such charges.

Industrial expert on behalf of Jamil Anton put forward a number of questions .. indicating that the central bank functions of protecting the citizen who deals with banks .. Many citizens complain of some banks deal with them by giving them their money deposited in dinars instead of dollars as deposited by Bjajh that this It is the central bank directives 

Here, the governor stressed that this issue has been resolved .. warning banks that make such an act to take legal action in order to protect the right of the citizen 

Antoine also pointed out that the tax be levied on goods entering the country, how are they satisfy the entry of any goods of the country .., adding that the proportion of the (5) percent Kmarkip fees deducted after the entry of the goods into the country at the border crossing.

Economic Adviser to the Prime Minister Dr. appearance of Mohammed Saleh explained that the Bank has a problem regarding freedom of movement of funds, Iraq is committed to the Convention on the International Monetary Fund since 1945 amended and indicate Article 8 of this Convention to edit the current account of the balance of payments means freedom exports and revenues and conversion returns to work and capital. . I left with Article 14 of the Convention for the countries of freedom of liberalization of capital or not to edit the condition flags Fund so .. He explained that Iraq is not in the legal framework and the nature of its obligations with the International Monetary Fund Has the liberalization of its accounts or not ..? For all the problems that occur are the result of slurring between transfers for the purposes of trade between the head and the same money transmission .. calling to clarify the picture with respect to the capital account of the balance of payments is whether the Iraqi Mahrram is editor. The Iraqi legal establishment investigate this important issue and give a clear picture of this and save the central bank from this problematic 

Ms. Director General of the Trade Bank of Iraq Hamdiya dry pointed to three factors affecting about largely on the performance of the Iraqi banking sector, perhaps the first of intervention legislative powers in determining central bank sales ceiling of the dollar and this will impact negatively on the exchange companies and banks through reduced daily quotas by about large. . calling this authority to the bank and bank account on the basis of the results.

Dry and showed that the censorship followed the central bank may sometimes be inaccurate and sometimes for flimsy reasons are depriving this company or that the bank of the auction.

Head of Iraqi businessmen Union Reza Ragheb Blibl explained that the central bank's developmental role in supporting the private sector, especially investment projects that the availability of jobs and support the national economy .. indicating that the announcement of the setting up of industrial initiative which still is disabled which will play an important role in the national industry support and reduce imports from abroad.

Blibl and praised the central bank's initiative to allocate 5 trillion dinars three specialized banks (agricultural - industrial - commercial) .. He expressed regret that the industrial initiative can not implement its provisions to the lack of allocations within the budget of 2015 and maybe even in the next year.
Banking expert Ali al-Husseini (Bank of the UNESCO) called for the involvement of retired sponsors in the process to ensure that the loans because of the state departments may not deal positively with the issue of guarantor guarantor and thus the involvement of retired ease of this issue.

Dr. Ali high-former Dean of the Faculty of Law at Baghdad University, said the central bank went to the Federal Court on an item your budget a ceiling sales of the dollar to 75 million dollars a day and is the right step .. but the problem is that the bank also violated the law by continuing to sell amounts Rord higher than in the budget without waiting for the court's decision .. adding that the cancellation rate of 8 percent, which represents a tax and therefore, the cancellation was not successful being is one of the sources of funding and cancel budget also confirms the absence of harmony between fiscal and monetary policies.

Banking expert Samir Nasiri said that the central bank Aithml and severity of the problem that occurred recently, a decline in the value of the dinar .. there are other views should bear the responsibility regarding a partner in it .. noting that among these agencies and the Ministry of Commerce bear the responsibility of not controlling the Astiradtha and curricula import government and private .. and the Ministry of Finance is responsible for lack of pressure on public spending and the introduction of central bank responsibility for the collection of taxes and fees of customs and it is not his duty and banks .. and the Ministry of Planning did not provide transparent data on foreign trade .. and the Ministry of Interior did not perform its role in controlling economic crime. . The greatest fear is the media is economic.

Economic expert contrary goldsmith talked about fiscal and monetary policies must be consistent .. and that 70 percent of oil revenues go to the consumer spending issues here are of the responsibility of the Central Bank or fiscal policy Valmlahz is the lack of compatibility between the financial and economic two policies resulted in failure and clear in completion of investment projects that could have supply the general budget financial resources .. calling to pay exceptional attention to this matter to achieve the desired harmony between the two policies and compatibility. 

Financial expert, Dr. Abdul Razak Dawood al-Saadi said the developments in the funds of private banks, which amounted to $ 250 billion capital increase did not help to achieve an increase in profits but the percentage increase profitability very slim that were not non-existent .. The meaning of this to be a reserve in excess of the money has been withdrawn from the market.

Economic expert, Dr. Abdullah al-Bandar pointed out that the latest crisis that occurred is not pointing the real causes Is it economic, political or social .. pointing to the economy constants must for Anhad them. If the tax imposed is the reason for the high price of the dollar, this is a dangerous means that our reading of the economy Iraqi estimated true .. The bitter truth is that the magnitude of the imports requires us to find a regulating them because most of them Trevi and markets filled with demand Valastirad open unreasonably under difficult economic conditions faced by Iraq, a situation deflationary rate of growth to exceed the 1 percent and this invites us to search for new sources for the harmonization of fiscal and monetary policies in order to Anuge blame in terms of specific .. calling for a study of the real factors behind the occurrence of such crises and the media and civil society organizations to take a real role in the erosion of those T-behind this crisis.

Businessman David Abdul Zayer Head of Business Iraqi Council between the Ministry of Finance an obligation to put fiscal policy of the Central Bank of Iraq to stop its funding from the sale of the dollar Paljbaah .. If continued the case on the basis of selling the dollar to finance the budget without levying Snbakh are caught in a vicious circle and we'll wasting future generations fortunes .. adding that the central bank has in the past two years to transfer $ 21 billion to import goods uneconomical cost of imported 3 billion and the cost of production billion one total $ 4 billion was possible to benefit from these amounts in the vacation development and import at the official rate and keeps the transfers for development and to stop the importation of goods non-economic ..mbana that the $ 50 million set by the central bank to lend to small and medium enterprises, which is not sufficient because this loan will go to small businesses .. calling to increase the size of the amount Air 100 or 150 million dinars 

Banking expert Adnan Chalabi (Ashur Bank) said there were two prices for the first exchange in Baghdad and one in Erbil, what exists in Arbil over Baghdad about 20 points and the reasons that led to the increase in the dollar price .. adding that the head of the re-money requires to know the scientific study How to restore migratory capital and provide appropriate for the return of this money conditions.

Industrial expert, Dr. Samir Lillo between the central bank initiative to provide trillion dinars to support small and medium-sized enterprises and that they represent a positive step task, but it does not represent (1) percent of the volume needed .. calling on the central bank to create an advisory body to define the mechanisms of exchange of such amounts to make them useful in stimulating and reviving the economy. 

Mr. Ali Tariq, executive director of the Association of the bank between the financing of small and medium enterprises project will be monitored by the central bank as the private banks will be lending of their funds and then be compensated later by the Central Bank therefore this system will be controlled accurately .ually private banks to be careful giving correct loans.

Dr. Abdul Hussain His financial adviser and the economy at the International Development Bank .. noted sagging government spending. Indicating that the domestic production in the past decades was covering the local need of oil, dairy and leather and other was not Iraq imports this commodity, but now these projects are very huge and salaries stopped and was administered to 2,000 workers in today employs 6000 workers and represent their salary burden on the budget and this requires General treatment .. calling for the development of domestic production to substitute for imported and ease the burden on the budget .. 

D business man. Ahmed Ibrahim, said the pressure is not always the expenses, it's true in the present time may cause a recession and kill .. imports also praised the initiative of the bank to grant trillion dinars to support small and medium-sized enterprises, calling for the development of appropriate to take advantage of this amount in development support mechanisms .. 

Banking expert Adel Nouri .. He expressed concern over the Iraq Central Bank in the blacklist to include stressing the need to take urgent action to avoid it.
One of the participants said that the private sector did not get their dues from the state and the development of this sector has become very low, there are about 600 companies and its members expelled closed.

Mona Saleh Managing Director of the company guarantees praised by step the Iraqi Central Bank committed $ trillion dinars to support small and medium enterprises, which account for 90 percent, which represents the core of the industry may be a small amount of 50 million but can be increased.

Mr. Ismail Zayer, editor of the new morning newspaper said the cash systems in Europe have resorted to a massive reduction in the Windows currency sale in all European countries and this is the building of money laundering because it reduces the activity currency switch This is useful in the case of Iraq more than another country as a result of the circumstances in which pass by it ..

Zayer and expressed surprise at the non-application of the sales tax or services, procurement and this between 18-22 percent range in some countries such as France and others .. 

Noting that Iraq is in dire need for the collection of such taxes is useful to look at these projects and try to bring into the Iraqi market.
Location: Editor 2015 - 07-27

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