We live in the worst days .. Iraq is suffering economically, politically, security and health

[Mary B]

We live in the worst days .. Iraq is suffering economically, politically, security and health

30/03/2020

 

 

 

 

Baghdad - Mawazine News
Iraq suffers on almost all levels, after the decline in oil revenues, the main source of government revenue, the failure to form a government since the resignation of Prime Minister Adel Abdul Mahdi last November, the outbreak of the Corona virus and the government’s failure to obtain material assistance to combat the virus, According to the American New York Times report.
The report added that the imposition of curfews to try to combat the outbreak of the virus, led to the closure of shops, and the loss of most of the non-governmental employees jobs.
On the security side, Iranian-backed militias continue to launch regular attacks on US forces, the last of which was on Thursday when two rockets landed near the US embassy in the Green Zone, threatening to further draw Iraq into a US-Iranian conflict, according to the newspaper report.
The worst days
For his part, Riyad Al-Shehan, 56, a retired military, told the newspaper: "These are the worst days we lived in Iraq. The Iraq-Iran war, the uprising, Saddam Hussein lived, but these days are worse."
The newspaper pointed out that the Iraqi authorities announced the registration of 547 confirmed cases of coronavirus until Sunday, but they are carrying out very limited tests, confirming that the true number is several times greater.
In turn, the economist Bassem Antoine, a consultant to former Prime Minister Haider al-Abadi, stressed that what makes the situation in Iraq dark is that the mix of crises that he suffers has almost completely wiped out the economy.
He said, "The current economic situation is worse than what we saw before because all productive sectors have been suspended. We are witnessing almost complete paralysis in economic life. There is no industry, no tourism, no transportation, and agriculture is affected to some extent."
Antoine pointed out that Iraq’s reserves amount to $ 62 billion, which the International Monetary Fund considers insufficient.
The collapse of oil prices
During the past weeks, the suffering of the Iraqi economy increased after the drop in oil prices to less than half due to the price war between Saudi Arabia and Russia. The price of a barrel became about 30 countries, instead of $ 60 at the end of last December.
Fatih Birol, executive director of the Paris-based International Energy Agency, stressed that the low prices dealt a severe blow to the oil-dependent economies, but that the stronger blow would be to Iraq due to the crises that it suffers from.
He said: "Iraq is the most affected country, because it does not have financial reserves and because 90 percent of its revenues come from oil, and all these economic pressures come in a very tense political environment already."
Meanwhile, Syed Jayashi, a member of the National Security Council, who is also a member of the Prime Minister’s Coronary Combating Virus Committee, confirmed that the government created a fund for donations to help it during this period, and that it raised less than $ 50 million, indicating that the government is currently experiencing a monthly deficit of more than Only $ 2 billion in current expenditures. The
private sector
The American newspaper pointed out that the private sector in Iraq is limited and has been subjected to a heavy blow due to the imposition of curfews for 24 hours after the outbreak of the Coruna virus, and the extension of the ban until April 11.
She added that construction workers, itinerant vendors and taxi drivers had to stay in their homes, because of the embargo, which exacerbated their suffering, because most of them live on what they earn daily, have no savings and they may soon be on the brink of hunger.
Iraqis told the newspaper that it is difficult to say how long such massive economic pain can be tolerated, but it is particularly difficult in the absence of political leadership.
Iraq was already facing the worst political crisis in years before the virus spread and oil prices fell. Hundreds of thousands of demonstrators took to the streets since October, demanding a new government, isolating the ruling political class and ending Iranian influence.
Hassan Ali, 20, a young Iraqi man who was performing the pilgrimage to a Shiite shrine in Baghdad despite being urged to stay at home, said he refused to warn the government because Iraq had no government.
He added: "The government is very weak, it is very tired, they have no solution to crises, nor a solution for young people who do not have jobs, no one can rely on the government."
It is reported that in mid-March, the Minister of Health, Jaafar Sadiq Allawi, said that he would need $ 150 million a month to purchase the equipment he needed to combat the virus, but he collected only a small portion of this amount, which could exacerbate the Corona virus crisis in Iraq in Next weeks. Ended 29 / A 43

 

https://www.mawazin.net/Details.aspx?jimare=92584

[DoD]

This retiree could be correct but I know for fact that Iraq was in pretty bad shape from 2004-2009 while I was there....

Edited March 30, 2020 by DoD

[KristiD]

Yes, Iraq has been in bad shape since Saddam raped and pillaged his own country.  But oil hasn't been in the $20 range for over 20 years, and there hasn't been a global pandemic for 100 years.  So I think this very sad article is true.  Luckily, Iraq has deliberately undervalued their currency for many years and now has the ability to increase the rate which will immediately give them a lot of much needed purchasing power.  And hopefully they'll make constructive changes with their government and get on the road to a real recovery, despite these dire times.  And I hope and pray the coronovirus will not ravage Iraq the way it has Iran.

[Adam Montana]

1 hour ago, KristiD said:

Luckily, Iraq has deliberately undervalued their currency for many years and now has the ability to increase the rate which will immediately give them a lot of much needed purchasing power.

 

[boosterbglee]

There will be a point where Iraq has nothing to lose by changing the value of the Dinar!