Iraq got $ 20 billion in loans to bridge the fiscal deficit since 2014

[yota691]

Iraq's share in the payment of external debt in 2016 amounted to $ 3,500

01/30/2017

 

 

BAGHDAD / JD / .. Prime Minister for Financial Affairs Advisor to detect the appearance of Mohammed Saleh share every Iraqi to pay the total external debt in 2016, which amounted to $ 3,500, while noting that Maalih of estimated taxes of $ 200 per year.

Saleh said in a seminar held by Tammuz Organization for Social Development in collaboration with the Friedrich Ebert Foundation - Iraq, Jordan Office, which received / JD / copy of the minutes of the seminar: The resort Iraq to international loans did not come haphazardly, but from an urgent need after Maousel him by the difficult economic conditions and challenges, notably the drop in oil prices in the world and the war on terror Daesh which cost more than $ 40 billion. 

He noted that Iraq went to foreign loans was after advice from international institutions for their subduction Iraq under multilateral international financial umbrella. 

  He added: It is this logic were to go to the International Monetary Fund, World Bank and entered Iraq in the coalition agreement its name prepping arrangements of credit known as the (SBA), which imposes precise obligations and terms, but in line with the economic reform requirements that seek it such as improving financial performance and strengthen financial governance and control in the work Iraqi Central Bank by amending the law, and control of the state accounts and cash management, financial management amendment Act and the amendment of the integrity Commission Act and to prosecute and recover the money fugitive. 

He said the International Fund for drawing a road map to address the projected shortfall in the budget for the three years 2014-2015-2016, which were estimated at nearly 50 billion Dolar.hma is the need for Iraq to financial sustainability to be able to continue to meet the needs of the movement and reconstruction, war and salaries and others. 

Added: to confront the deficit took Iraq a loan from the World Bank amounted to $ 3 billion in repaid interest rate of 2% during the nearly 18 years. He also borrowed from the International Monetary Fund for $ 5.3 billion in repaid interest rate of 1.5% for a period of five years, with the major industrialized countries of the seven then provided soft loans to Iraq totaled $ 4 billion in response to the call of Mouazh launched the J7 at the Tokyo Conference of Solidarity with Iraq. Kuwait has also postponed the fulfillment of the remaining dues of compensation by the Iraq war, amounting to $ 4.6 billion.

He continued: We have got 2 billion aid from other countries, and thus provide for Iraq international loans are approximately 20 billion of the value of the projected deficit by 50 billion. As for the remaining of the deficit, estimated at 30 billion repaid based on the three ways namely, the possibility of improved oil prices, domestic borrowing and financial re-engineering and the internal requirements of Iraq must work out. 

He said: For the year 2016, the total expenditure is estimated at 81 trillion and that means 90% of the implementation of the budget, which was destined the deficit by 25%, and when the budget will be seen that the deficit reduced to 15%.  

He revealed that the total foreign loans in 2016 amounted to 3.8 trillion dinars and internal borrowing 5.11 trillion dinars The total of these loans has helped to bridge the estimated 15% for the year 2016 deficit. 

However: It is important to know that all Iraqis share in the payment of the total debt of $ 3,500. Conversely, a Maalih of taxes destined to $ 200 annually. 

And opened the seminar with a speech from Vian Sheikh Ali head of the Organization of July and welcomed through which Balhoudoralgfer, who like most of the sectors of the state of the parliament, government, academics, economists, banks, businessmen, trade unions, civil and inform the community organizations where reverse this diversity is the importance of the economic reality and its impact on Iraq and the Iraqis. 

The Vian in her speech to the organization in July took it upon themselves to discuss economic issues by setting up a series of workshops and seminars began since the summer of 2016 and will continue through this year in order to address economic problems and contribute to develop perceptions resolved to achieve the vector of economic growth to reach social justice and development work for which our Organization and that the goal of our seminar today is to provide this space for experienced and competent to define the reasons the international loans that turned her Iraq and size allocated to them those loans, sectors and how to repay and raised negative and positive individual and community life, such as education, health, poverty and unemployment, as well as its impact on future generations when weighting the shoulders of Iraq's debt. 

She also spoke spontaneously Villiers Director resident of the Friedrich Ebert Foundation at the Regional Office for Iraq and Jordan in a speech welcoming all the attention her foundation issues, promoting democracy, social justice, which kicks off for her to participate in the establishment of such activities where I wondered about the importance of identifying any sectors that will guide them these loans and what are the benefits that would accrue including on the Iraqis after what passed through its difficulties, economic and security challenges.    

And began the seminar chaired by economist Bassem Jamil Antoine Made value of the Masters, the appearance of Mohammed Saleh, prime minister of financial affairs adviser, and Majid picture financial expert and member of the board of the central bank, attributed Sabir Ismail, member of the Finance and Economic Committee of the Parliament of the Kurdistan region, said spokeswoman in his introduction to the symposium the subject of international loans large and broad subject and needs to be properly managed to deal with it in order to achieve repayment and not to resort to him again and taking advantage of human resources, competencies, and the use of effective methods for the advancement of the economy and develop the work of banks and encourage citizens to banking deal because of its importance in attracting money hoarder away from banks and investment.   

Then Majid picture board member of the Iraqi Central Bank management talked about the historical development of the Iraqi debt, adding that Iraq had a financial value surplus of $ 35 billion by the year 1980 and after the Iran war has become the mortgagor and the $ 42 billion, but there are no accurate statistics, there is a view estimated value of those debt-b $ 80 billion. And that the debt three phases of which the first phase of the Iran war and then the second phase of Iraq's invasion of Kuwait and the stage which resulted in a UN resolution to compel Iraq to compensate for all the damage caused by the war. In the siege of Iraq remained isolated from the world that he Mmaani international borrowing could not but confirm that there are views that he borrowed more than $ 50 billion. 

The third phase which after 2003 was divided into the first two periods until mid-2014, in which the price of oil rose and managed in Iraq to cut its debts in accordance with the international efforts and the process of a good settlement so that blasted the Iraq $ 69 billion out of 125 billion, this Masaadh to receive international confidence the entry in the international rankings. 

While the second period of this phase is the post-Daesh and Mazbb him of war and devastation since the mid-2014 so that the total loans amounted to $ 101 billion at the end 2016)), 60 billion of which external and 41 internal)), and Iraq can payment during that year only benefits. 

 But in 2017, the expected size of the debt will be $ 164 billion between internal and external loans and the province of Kurdistan, which is expected to be $ 40 billion. 

And the reasons debt Majid occur as is the lack of vision and strategy and the non-application of the plans and the absence of good governance and coordination between Iraqi institutions and this is rampant corruption in all aspects of the state and all this because of the lack of application of the duties of the economic and financial government and the non-application of the financial management system of the constitution despite the disadvantages even the budget has not been applied properly. 

For the impact of the debt is booked many funds away from economic and social development process, which requires a review of all administrative policies and activating the role of the private sector to take its place in solving economic and social problems and achieve economic development, social justice, but will continue to increase its debt, even if rising oil prices, which constitutes 99% of Iraq's imports. 

Economic expert on behalf of Jamil Antoine has an overlap that things are not greatly tragic, and the hope is to achieve economic advancement if they adopted modern methods, particularly the absence of statistics miss we know a lot of revenue and resources that did not declare According to his opinion, for example, that the total revenue that was estimated at 100 billion it expects 300 billion because many sectors such as agriculture and construction are not logged in, in addition to the presence of youth cadres that arise excellent ideas and projects. 

The last speaker was attributed Saber member of the Kurdistan Parliament, who spoke about the obligations of each of the Kurdistan Region and Iraq from a financial point of economic and political differences between the parties and claim them all as the owner of the right and he asked the other financial commitments, stressing that the loans must be for all of Iraq and Iraqis, in terms of benefit and payment, and that the lack of disbursement of loans in development projects weigh the shoulders of the country in the future. Which have no plans to take advantage of loans in development and investment. 

Then open the floor for discussion and listen to presentations and questions the audience and who enriched the symposium information, discussion and interaction Among the most prominent of these interventions: 

-  Inquire about the plans and the mechanism for repayment of loans without resorting to other loans under the oil price and fears of falling. 

-  Inquire about the fate of the deposits of domestic banks at the central bank for the Kurdistan Region and seized three years ago , which affected the work of banks and cash liquidity.

-  Intervention on finding alternatives and diversification in revenue and revive the industrial sector , Iraq has 250 factory important , 20 of which referred only to invest , and the rest is disabled. 

-  Referring to the high poverty rates , which will increase because of the loans and the terms of international bodies. 

-  Inquire about the ambiguity in the armament loans 

-  Intervention on the negative effects of international loans and Mazbbh from the devastation of the countries and a review of international experiences about that 

-  Inquire about the seriousness of the Government in developing a solution to economic problems and how her that breaks economic and facilities for the neighboring countries are working and the country is going through this crisis. 

The speakers answered for the overall inquiries thankful for the presence of the Holy good listening and interacting concluded Mr. Bassem Jamil Antoine brief seminar for the most prominent suggestions and recommendations resulting from it.

 

The main recommendations: 

- The  application of the duties of the government 's fiscal and economic provisions of the constitution 

- The  importance of the existence of a statistical system deals with the financial and economic aspects, his absence has caused a great shortage in the administration of Iraq. 

-  Reconsidering all administrative policies and activating the role of the private sector to take its place in solving economic and social problems and achieve economic development and social justice 

-  Enable journalists to economists as suffering from a lack of economic media. 

-  Combating financial and administrative corruption in the country 

-  Direct loans for the benefit of the community through the development and Esttmarah projects. 

- The  banking sector development and utilization of personal money is invested. 

- The  opening of branches of the central bank in the Kurdistan Region 

-  Initiating reform measures effective in strengthening financial control and governance. 

-  Development of the agricultural and tourism sectors and diversify sources of income. 

-  Take advantage of the youth energies and adopt scientific methods of modern evolution of the economic system 

It is noteworthy that the seminar marked a qualitative attend the broad terms of the number of participants of 140 people exceeded, including two women to the Iraqi Council of Representatives and two "Ms. Rezan Sheikh Dler and Ms. Rehab blessing" as well as the government and the bank's representation and academic researchers, civilians and businessmen, and the presence of large trade unions as well as the symposium received good media coverage of the presence of media task which indicates the importance of the subject of the seminar for all Iraqis. / End / 22 / 

[EagleEye]

HUH ????

[olivesman]

What the?!

[Synopsis]

To put the debt number in perspective, there are roughly 38 million Iraqi men, women, and children. So, 38 million x $3,500/Iraqi = 133 Billion USD. That aught to sink a big hole into all their foreign debt! Ready between the lines, this may be a way to get everyone in Iraq to open a bank account and deposit their chunky money. This may also be an indication of the Iraqi's purchasing power to come about in the near future - potentially through the HCL and the recovery of pilfered funds.

Just my opinion and 

Go Moola Nova!

[Synopsis]

Just now, olivesman said:

What the?!

 

1 hour ago, EagleEye said:

HUH ????

What the HUH???

Maybe more confusing information/misinformation to throw us off track and mess with us on a Monday morning!

Due to the implications in the article, pretty sure the basic Iraqi would have concerns about debt being imposed on them. So, we'll have to watch the fall out on this one!

Go Moola Nova!

[ggdog60]

Thanks, Yota!

[sandfly]

Thanks 

[tigergorzow]

Iraq gets dlrs 20 bn in loans to bridge budget deficit

February 01 2017 09:56 PM

Iraqi premier financial adviser

 

Financial Adviser to the Iraqi prime minister Mazhar Mohammad Saleh said the Iraqi government will get dlrs 20 billion loan to bridge its current budget deficit which hit dlrs 50 billion over the past three years.

In statements on Wednesday, Saleh said the value of the Iraqi debt would reach dlrs 164 billion by the end of the current year.

The financial adviser also made it clear that the reasons for Iraq ‘s seeking to get internal and external loans attributed to the tough economic conditions including a decline in oil prices, the war on Daesh or the so-called ISIS whose cost exceeded dlrs 40 billion.

The Iraqi official also noted that international loans have reduced the impact of the difficult economic crisis, but in the same time they have put Iraq under strict obligations and commitments in order to comply with the requirements of the economic reform process.

He pointed out that Iraq resorted to the International Monetary Fund and the World Bank and entered into an alliance known by the IMF as Stand-By Arrangement and also known as credit (SBA) , which imposes precise obligations and conditions consistent with the economic reform requirements.

Saleh adding that ”the terms of the International Monetary Fund is to improve financial performance and enhance financial governance and control in the Central Bank of Iraq action by amending the laws, tightening controls on the state accounts, cash management and financial management along with amending the laws of the integrity Commission, the prosecution and the recovery of squandered money.

Saleh also said: “to meet the fiscal deficit, Iraq has to take a loan from the World Bank amounted to $ 3 billion in repaid interest rate convergence of 2% over 18 years, also borrowed from the international Monetary Fund for $ 5.3 billion in repaid interest rate of 1.5% for five years, then seven major industrialized nations provided soft loans totaling $ 4 billion in response to the call of Mouazarah launched by the G7 group in the Tokyo Conference of solidarity with Iraq.”

Saleh said that “Kuwait postponed fulfillment of the remaining dues of reparations Iraq by the war, amounting to $ 4.6 billion, in addition to access to two billion dollars aid from other countries, and thus available to Iraq, international loans are approximately $ 20 billion of the projected deficit by 50 billion dollars, while the remainder of the deficit, estimated at $ 30 billion, the repayment of which is based on the three ways in which the possibility of improved oil prices and internal borrowing and financial re – engineering and the internal requirements of Iraq must work out. ”

http://www.thebaghdadpost.com/en/story/5656/Iraq-gets-dlrs-20-bn-in-loans-to-bridge-budget-deficit

[dinarham]

I  wonder  $2 billion what ? It's always murky. Bridge loans don't  happen without  total assurance of payback

[Lorre]

Hmmmm. All sounds familiar to me! I would have to say their wealth is governed for a while. Good ol USA. We'll even help you fix your problems (war, economic structure etc). Make sure you pay us back. Lol

Thanks Tig

[Officiallytook]

But why... when your already making 20+ bucks per barrel then what's advt in the budget...

[yota691]

02/01/2017 (00:01 pm)   -   the number of readings: 704   -   thenumber (3841)

 

 

Iraq got $ 20 billion in loans to bridge the fiscal deficit since 2014

 Baghdad / term 
 

Government officials blocked foreign loans of 20 billion dollars out of the $ 50 billion is to discover the size of the deficit in the budgets of the three years that Almadih.orghawwa to reach Iraq 's debt to $ 164 billion by the end of 2017, stressing that the share of the Iraqi individual to repay debt of $ 3,500 . 
 
And explains the financial advisor to the Prime Minister, the appearance of Mohammed Saleh, the reasons for asylum Iraq 's internal and external borrowing, Saleh said at a seminar organized by the Tammuz Organization for Social Development, said that "asylum Iraq to international loans did not come haphazardly, but because of the difficult economic conditions , including the decline in oil prices and the war on Daesh terrorist which cost more than 40 billion dollars , "noting that" the direction of Iraq 's foreign loans due to the advice of international institutions in order to subduction Iraq under multilateral international financial umbrella. "  
  Saleh pointed out, "directed Iraq to the International Monetary Fund , World Bank and entered into analliance and the Convention on prepping known as credit (SBA) , which imposes precise obligations and conditions consistent with the economic reform requirements," adding that " the terms of the International Monetary Fund is to improve financial performance and enhance financial governance and control in the CBI action by amending the law, tightening controls on the state accounts and cash management and financial management to amend a law and the law of the integrity Commission and the prosecution and the recovery of money fugitive. " 
Financial adviser and explained that " the international loans eased the severity of the economic crisis and the International Monetary Fund to draw a road map to address the projected shortfall in the budget for the three years 2014-2015-2016 , which were estimated at nearly 50 billion dollars , " adding that "to meet the fiscal deficit to take Iraq a loan from the World Bank amounted to $ 3 billion in repaid interest rate convergence of 2% over 18 years, also borrowed from the international Monetary Fund for $ 5.3 billion in repaid interest rate of 1.5% for five years, then seven major industrialized nations provided soft loans totaling $ 4 billion in response to the call of Mouazh launched by the G7 group in the Tokyo Conference of solidarity with Iraq. " 
Saleh said that "Kuwait postponed fulfillment of the remaining dues of reparations Iraq by the war, amounting to $ 4.6 billion, in addition to access to (2) two billion dollars aid from other countries, and thus available to Iraq , international loans are approximately $ 20 billion of the projected deficit by 50 billion dollars, while the remainder of the deficit, estimated at $ 30 billion, the repayment is based on the three ways in which the possibility of improved oil prices and internal borrowing and financial re - engineering and the internal requirements of Iraq must work out. " 
Salih noted that " the share of each individual in an Iraqi push total debt of $ 3,500 the other hand, what it estimator of taxes of $ 200 per year." 
For his part, he said a member of the Board of the Central Bank of Iraq management, Majid picture, that "Iraq had a financial surplus of $ 35 billion by the year 1980 and after the war became the Iranian owe $ 42 billion." Noting that " the debt gone through three phases, the first phase of the Iran war and the second invasion of Kuwait , which resulted in a UN resolution to compel Iraq to compensate for all the damage caused by the war and suffered from the international embargo stage could no longer borrow, but there is information that he borrowed more than $ 50 billion. " 
And completed a mock interview, " The third stage is the post - 2003 has been divided into the first two periods until mid - 2014 in which the price of a barrel of oil and managed the country reduce its debt in accordance with the international efforts and the process of a good settlement managed to repay $ 69 billion out of $ 125 billion, this is what helped him to receive international confidence and enter into the international classification " 
and noted a member of the board of the Central Bank," the second period is the post - invasion Daesh and caused by the war and ruin since mid - 2014 in terms of total loans amounted to $ 101 billion at the end of 2016 (60 billion foreign debt and 41 internal), and Iraq could payment during that year only benefits. " 
He noted that "this year , the expected size of the debt will be $ 164 billion between internal and external loans and the Kurdistan region is expected to be $ 40 billion." 
And the reasons the debt increase Suri spoke to "increase the public debt because of the lack of vision and Stratejp of the state and the non - application plans and the absence of good governance and coordination between Iraqi institutions as well as rampant corruption in all aspects of the state." 
But the vice president of the Association of Iraqi economists, on behalf of Jamil Antoine stressed that "international loans need for sound management to deal with them so as to achieve repayment and not to resort it again, taking advantage of human potential and national competencies and the use of effective methods for the advancement of the economy and develop the work of banks and encourage citizens to banking deal because of its the importance of attracting hoarder outside banks and investment projects the money. "

[Synopsis]

The article starts by stating, "Government officials blocked foreign loans of 20 billion dollars out of the $ 50 billion is to discover the size of the deficit in the budgets of the three years that Almadih.orghawwa to reach Iraq 's debt to $ 164 billion by the end of 2017, stressing that the share of the Iraqi individual to repay debt of $ 3,500 ."

And ends by stating, "But the vice president of the Association of Iraqi economists, on behalf of Jamil Antoine stressed that "international loans need for sound management to deal with them so as to achieve repayment and not to resort it again, taking advantage of human potential and national competencies and the use of effective methods for the advancement of the economy and develop the work of banks and encourage citizens to banking deal because of its the importance of attracting hoarder outside banks and investment projects the money. ""

http://www.worldometers.info/world-population/iraq-population/

Iraq has nominally 38 million men, women, and children. So, 38 million Iraqis x $3,500 per Iraqi = 133 billion USD. I hate to say this but maybe every Iraqi is being set up as a chattel entity with a nominal debt value of $3,500 that can be used as collateral for various initiatives. Alternately, if each Iraqi (not only men but also the women and children) had to fork out $3,500, this would not only likely force them to open bank accounts for every individual but also to pull in chunky cash. However, I suspect this would create an uproar so I will have to see how this plays out.

Just my opinion and 

Go Moola Nova!