Legal: the possibility of amending the Central Bank Law and borrow from it to cover the deficit

[yota691]

Legal: the possibility of amending the Central Bank Law and borrow from it to cover the deficit

History of edits:: 2016/1/6 10:03 • 89 visits readable

[baghdad - where] 
a clearer legal expert Tareq Harb, that the government could prepare a draft law approved by the House of Representatives for the purpose of modifying the law of the central bank and borrow from it to meet the financial requirements as a deposit of salaries and other away from external borrowing.

The war, in a statement received by the agency all of Iraq [where], a copy of "the first four days of 2016 saw a frightening and terrifying statements from officials and are not responsible for the financial realities of Iraq and the financial crisis, some even arrived to say that the government will not be able to pay salaries of employees in the next month of April. 
"He added," Since the Central Bank of Iraq has money of up to $ 60 billion as the bank announced that the fifth day of January of this, and as the bank's money immunity and prevent the bank from lending to the government is the legal immunity and is not constitutional immunity that The Article 26 of the Bank Law No. 56 of 2004 to prevent the bank from lending to the government the Constitution did not rule this money contained in it, and therefore it is possible to amend article mentioned in the Central Bank Law by law issued by the parliament building on the draft of the government includes amending the provisions of Article 26 is includes a passport government borrowing from the bank money that is no more than a quarter of the bank's money. 
"war and explained that this means" passport to reach the amount that the government borrows to $ 15 billion, and this is a big amount that would satisfy the financial requirements of the salaries and others do not even much more than what is required and protects Government foreign and benefits loans. 
"And" It is true that this amendment and this loan is considered harmful, but as before the damage most is the absence of funds for the disbursement of salaries serves to damage the lightest, a decrease in bank money or influence in the economic level, as a legal rule has been said that necessity knows prohibitions and necessary here need to borrow from the bank and the prohibition here is the lack of borrowing and the resulting economic damage Both are evil and in evil selection says the owners of wisdom. 
"He continued war" Therefore, the amendment of the Central Bank Law can be one of the solutions that protect the government from the serious financial damage The grave, which is often repeated by the pessimists in the future of Iraq. 
"The Finance Minister Hoshyar Zebari, revealed last Monday, that the government may not be able to pay employees' salaries during the month of April next year, due to lower oil prices. 
Zebari said in an interview," In the past year, we have succeeded in the distribution of salaries, but this year, according to estimates available to me, we have exposed to the problematic in the month of April may not be able to distribute the employees' salaries for that month, this is a reality, and people should know. 
"He explained that" The other option is how to raise the exchange rate Iraqi dinar, and although it choose the risk and could have repercussions, but we thought of not granting full salaries, and to keep some of our loans, and give a document that we will give money when the offer we have. 
"Among Zebari said" The other option is to sell oil and receipt of the money in advance, in addition to raising the price of water, electricity and fuel service option, but it is not easy, any government applied be subject to the reactions of citizens, economic and making painful, but it is said that any economic decision, if not painful, it is not a decision, and there are 7 million people paid salaries of Iraq's total population of 36 million, and distribute monthly salaries of an estimated four billion dollars. 
"For his part, counting a member of the parliamentary finance committee Jabbar al-Abadi, Zebari's comments about not being able to pay salaries in next April" inaccurate. 
"Ebadi said yesterday, for [where], that "the statement Zebari not careful, it can not be ceiling or placing of Iraq's inability to pay salaries," noting that "the salaries paid by oil revenues that could go up or down or maintain this price, can also be obtained loans, all possibilities are open, "adding that" the development of a specific date for the inability to pay salaries is not true, and this statement is not accurate, "explaining that" there is no stock of existing in the Treasury paid through payroll, because what is obtained from imports pays directly for salaries, and there for a year or more secure, but payment is made ​​month by month, ".anthy

[chris2028]

Thanks Yota!

[EagleEye]

so raise the rates already idiots !!

[Big_J]

so raise the rates already idiots !!

GM YOTA AND DV. Could not have said it better my friend!

[Laid Back]

Another article showing us the option of an increase of the dinar exchange rate before April.

Go CBI

Go monetary reform

Go dinar

Go increase exchange rate

Go $1:1

Go 2016

[blueskyline]

I believe that is 3 raise the value dinar ? articles today . Good to see them talking about the possibility

[tigergorzow]

Yota Thanks, GM DV, Once the 2016 Budget is published in the Gazette we will see many important things being implemented IMHO. Once Parlianent returns later this month very important "Laws" will be read, voted and fowarded to POR for approval & ratified then published in the Gazette "Suddenly".

Keeping the faith!!

GO RV!!

[TennesseeCherokee]

That amending their constitution to enable them to borrow from the CBI......'that dog won't hunt', as they say.

The super wealthy,who own that institution, are not going to allow their reserves to be pissed away while the politicians continue to stall currency reform.

The HCL must come.... and there are at least a couple more laws, which imo, were agreed to by Iraq and the IMF, before they can move their currency to an international status.

My guess is the Federation Council is a must have ....as well as the Amnesty Law.

Meanwhile, the parliament continues on stalling because Maliki still has clout and is continuously throwing a monkey wrench in the works.

[Candy01]

A-FRICKING AMEN EagleEye!!

 

:bravo: :rocking-chair:

[siberian_shaddow]

Much appreciated Yota, I choose curtain number 2 come on let me be a winner.

[10 YEARS LATER]

That amending their constitution to enable them to borrow from the CBI......'that dog won't hunt', as they say.

The super wealthy,who own that institution, are not going to allow their reserves to be pissed away while the politicians continue to stall currency reform.

The HCL must come.... and there are at least a couple more laws, which imo, were agreed to by Iraq and the IMF, before they can move their currency to an international status.

My guess is the Federation Council is a must have ....as well as the Amnesty Law.

Meanwhile, the parliament continues on stalling because Maliki still has clout and is continuously throwing a monkey wrench in the works.

Yep Yep !! My feelings exactly   

[yota691]

 

 

 
 

The need for provisions .. the government can borrow from the central bank to exceed its financial crisis
By: Gazwan on: Thursday 01/07/2016 12:40 
 

 

Tariq Harb 
legal expert 
noted legal expert Tareq Harb, the first four days of the year 2016, experienced a frightening and terrifying statements from officials and are not responsible for the financial realities of Iraq, and the financial crisis. Some have even arrived to say that the government will not be able to pay the salaries of staff in April 
Next, since the Central Bank of Iraq has money of up to sixty billion dollars as the bank announced that on 01.05.2016 AD, on this basis we can say, "As the bank's money immunity and prevent the bank from lending to the government is the legal immunity and not the constitutionality of that immunity Article (26) of the Bank Act No. 56 of 2004, to prevent the bank from lending to the government the Constitution did it rule this money is given, and therefore it is possible to amend article mentioned in the Central Bank Law by law issued by the parliament building on the draft of the government includes amending the provisions of Article (26) are includes the inadmissibility of government borrowing from the bank money that is no more than a quarter of the bank's money any passport to the amount that borrows the government up to 15 billion dollars, and this is a big amount that would satisfy the financial requirements of the salaries and others do not even much more than what is required, "he added," but that this amount the government will remain a foreign and benefits of loans, it is true that this amendment and this loan is considered harmful, but also by the damage the most, a lack of funds for the disbursement of salaries serves to damage the lightest, a decrease in bank money or influence in the economic level, as legal rule has been said that necessity knows no law and necessity here need to borrow from the bank and the prohibition here is the lack of borrowing and the resulting economic damage Both are evil and in evil selection says the owners of wisdom Therefore, the amendment of the Central Bank Law can be one of the solutions that protect the government from financial damage Grave and massive violations that are often repeated by pessimists in the future of Iraq. "