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Al-Attar Proposes A 3-axis Plan To Revitalize The Iraqi Economy !


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CNN. Broadcasting While Hooking Up A Team Of Camels To A 3 Axis Wagon To Get The Iraqi Economy Going !


 

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Al-Attar proposes a 3-axis plan to revitalize the Iraqi economy

 

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18th April, 2020


Propose a member of the Council of the Iraqi Economic Ghadir Attar, Saturday, plan of a three - pronged economic to reduce the adoption of Iraq's oil revenues as a result of fluctuations price constant."

Said Attar, in a statement received / scales News / copy of it, "the Iraqi government must follow new steps to cope with the economic crisis in order to have a country of diverse economic sources to help him in general economic crises of emergency stand."

Said Attar, that "the first step to reduce oil fuel prices to 50%, assuming if the price of a barrel to $ 20, and even if prices rose in the best conditions will not it exceeds $ 60, and it does not help if the government sells oil abroad at a lower price than it sells to its citizens."

He pointed out that "the second step is to support farmers with agricultural equipment, fertilizers, pesticides and seeds, because there are developed countries whose economy is based on this wealth, such as the Netherlands, Denmark, Switzerland, New Zealand and others." Al-Attar pointed out that "the third step is to support the national industries, qualify the stalled factories, and support the private sector companies."

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Thanks 🤡 great article.!   "Thus, monetary policy has moved away from the devaluation of the dinar and financing the government deficit with a low-value purchasing power dinar and a negative re

The more miserable things are in Iraq, the more likelier they are to revalue their currency -low oil prices mean income there is drying up -the world doesn't want to give them a loan -A

Which Leads To Me-Valuation !       Go Power Naps Go Sleeping Apps Go Hammock Boy !          

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The Governor of the Central Bank stresses the need to maintain the continuity of the banking system

 

The Governor of the Central Bank stresses the need to maintain the continuity of the banking system

 

Baghdad / Al-Ghad Press

 

Finance Minister Fouad Hussein, with the Central Bank Governor Ali Al-Alaq and bank managers, urged the latest OPEC agreement and the request of foreign loans.

A statement of the media office of the Minister of Finance, received by "Tomorrow Press", stated that "Deputy Prime Minister and Minister of Finance Fuad Hussein presided over an expanded meeting in the presence of the Governor of the Central Bank, the Under Secretary of the Ministry of Finance, general managers of Rafidain and Rashid and Iraqi banks for trade, customs and tax authorities, and the Public Debt Department to discuss the economic and financial situation for the sake of Securing government needs. "

He added, "The minister reviewed the recent OPEC agreement and the decision to reduce the global oil market shares and reduce approximately one million barrels per day from the share of Iraq and the implications of that decision, especially with the collapse of current oil prices and how to overcome these obstacles and cross the current stage."

For his part, Al-Alaq stressed, according to the statement, "the necessity of preserving the continuity of the banking system and balances," stressing "the importance of analyzing data to obtain information about those balances, whether it is self-financing or central."

The statement pointed out that "the banks, during the meeting, reviewed their assets and capabilities in order to contribute to strengthening the current economic and financial reality."

The statement continued, "Also, options for entering the IMF program and asking for external loans were also touched as one of the options that the current government can take to cross the stage." Whose goods are dedicated to the government. "

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Continuous government measures to address financial challenges


Saturday, 18 April 2020


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Baghdad / Farah Al-Khaffaf

 
 
At a time when Deputy Prime Minister and Minister of Finance Fuad Hussein revealed deliberate government measures to face financial challenges after the low selling prices of crude oil, a financial expert called for the speedy implementation of an emergency plan to get Iraq out of a possible financial crisis with the possibility of continuing effects of the spread of the Corona virus in most countries the world. The expert Thamer Al-Azzawi said in a statement to "Al-Sabah": "We expect the repercussions of the spread of Corona on the global economy will continue until the end of this year or the beginning of next year."
He added, "Any contraction or decline in the global economy means the impact of the Iraqi economy, especially as this affects Iraq’s main resource, which is oil."
 
The economic crisis
Al-Azzawi continued: "Parliament and the government should accelerate the implementation of an economic emergency plan, to remove or reduce the effects of the financial economic crisis on Iraq."
He pointed out that "among the most important parts of this plan is the achievement of agricultural and industrial self-sufficiency in most products," calling for "investing accumulated money in some banks to reduce the crisis."
In the meantime, the International Monetary Fund confirmed its willingness to provide assistance and cooperation with Iraq in order to develop a financial plan and prioritize public spending.
 
Cash box
The Minister of Oil, Thamer Al-Ghadban, has confirmed that "Iraq will start to reduce its oil production by 22.8 percent from May 1, in implementation of the recent agreement in OPEC."
He added that "the rate of reduction applies to all OPEC countries without exception," while denying "the news that Iraq has volunteered to reduce its oil production."
 
The price of oil
He explained, "Financial resources are more important than the amount of oil production," noting that "the reduction came based on studies in order for the price of oil to rise, so whenever the supply decreases and the market stabilizes, the price improves."
He added, "There is no benefit from increasing production with low selling prices, and thus everyone will be a loser," noting that "the measures taken by OPEC aim to increase the price of a barrel, and then increase the financial return."
He pointed out that "Iraq 's share in OPEC production includes production from the Kurdistan region," "the arrival of a delegation from the Kurdistan region to Baghdad to discuss the reduction after contacts made during the past days."
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Yo Momma’s So Fatlawi She Started Eating A ‘Double-Double’ Cheeseburger While Exiting The Baghdad Wendy’s Drive Thru And Broke The Camel’s Back ! :o 

 

:D  :D  :D 

 

 

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Al-Fatlawi criticizes the government grant and demands that it be increased to 250,000 for the family

 

Al-Fatlawi criticizes the government grant and demands that it be increased to 250,000 for the family
 
 
18th April, 2020
 
 
A member of the Parliamentary Labor Committee, Fadel Al-Fatlawi, criticized today, Saturday, the financial grant that the government launched to the poor families, calling for increasing the grant to 250 thousand dinars.

Al-Fatlawi told Al-Ghad Press that "the grant launched by the government does not fulfill the purpose in light of a crisis and high prices," noting that "the crisis experienced by poor families under the curfew and they have no material income leads to an increase in the crisis."

He added that "the grant will be for the ration card owners who do not have any financial income," demanding that "for every family that does not have an allowance of 250 thousand dinars instead of 150 thousand."


And that "the Ministry of Planning confirmed that there are two million families who do not have material income," explaining that "the grant will be 150 thousand dinars for each ration card for families without material income."

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Deputy: All indications confirm that the 2020 budget will turn into "austerity budget"

 

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18th April, 2020
 
The former deputy, Majed Shankali, revealed that all indications confirm that the 2020 budget will turn into a "austerity budget."


Shankali said in a tweet on "Twitter", "All economic data confirm that the 2020 budget will turn into an austerity budget, which is a natural procedure under these circumstances."

He explained, "But what is important in Iraq is to accompany this austerity, to adopt economic reforms, to issue decisions to develop the banking and tax system, to support the private sector, and to support agriculture, industry, tourism and investment."

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30 minutes ago, DinarThug said:

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Deputy: All indications confirm that the 2020 budget will turn into "austerity budget"

 

image.php?token=34d69db8673ca62984e8ee012c1985bb&c=9029166&size=
 
 
18th April, 2020
 
The former deputy, Majed Shankali, revealed that all indications confirm that the 2020 budget will turn into a "austerity budget."


Shankali said in a tweet on "Twitter", "All economic data confirm that the 2020 budget will turn into an austerity budget, which is a natural procedure under these circumstances."

He explained, "But what is important in Iraq is to accompany this austerity, to adopt economic reforms, to issue decisions to develop the banking and tax system, to support system" rel="">support the private sector, and to support system" rel="">support agriculture, industry, tourism and investment."

spells rate change and if NOT will be business as usual

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Corona and the Iraqi economy


[Saturday, 18 April 2020


Abbas Al-Sabbagh 

 
 And since the rentier Iraqi economy is not relinquished from the global economic system, and what is related to the oil market, which depends almost entirely on oil imports, it goes without saying that this economy is fragile, like the fragility of the oil price exchange and the mood of its affiliated countries, and this situation has continued since the founding of a country Modern Iraq and its entry into the club of oil producing and exporting countries until now, and throughout the past decades, no successive Iraqi government has considered diversifying Iraqi national income sources to be an additional financial synonym for oil and to break the hegemony of the oil barrel monopoly, the Iraqi economy that is still being held By whatever the price levels of that barrel, due to the lack of suitable alternatives for it, and secondly to raise the standard of living for Iraqi citizens similar to the citizens of the Gulf countries bordering Iraq, neither of these things has been achieved, so the rentier Iraqi economy remained tied to the price of oil, and the Iraqi citizen remained stuck under the poverty line while living in a country 
"نفطي"! 

It was natural that the countries with rentier economies that live in oil, such as Iraq, would be affected by the outbreak of the Corona pandemic, which negatively affected the equations of this market in terms of demand and supply, to put the economies of these countries in a critical situation, or under the pain of humiliating debts and debt, as it puts them at the mercy of the oil policies of countries She has a strong influence in mapping the oil policy in the world, and at the mercy of speculation and political contradictions between countries affiliated with the oil club, whether production, export, or consumption.

 And unlike the world’s oil states, there was no indication in Iraq of political or economic literature indicating the necessity of establishing a sovereign oil fund, not by politicians, or by financial and economic experts, and this idea was never proposed as if Iraq lives on another planet and is not concerned with the contexts. The correct oil used in most countries of the world is textile alone, and the function of this fund - which is to save surplus funds or high incomes for some countries, which are the financial reserves in the central banks that invest in rich countries when needed - that it protects the national economy from shocks or tremors The Ayash, or wars or surprises tragic Kjaihh Corona, and the advantages of this fund financial investment to achieve high financial returns surpluses to maintain the value of money over time from corrosion, also contributes to raising the level of living for the citizens of these countries as a form of additional financial support budgets.

Say - but it is too late - that if Iraq had its own sovereign fund, the impact of the Corona pandemic would have less impact on the rentier Iraqi economy subject to bankruptcy.
Sources of national income away from oil, the Iraqi economy will remain reeling at the mercy of speculations in the oil market and the mood of OPEC, and the time has come for politicians, programmers of the Iraqi economy and engineers of its public financial budgets to plant a seed to establish an Iraqi oil sovereign fund project, like many oil countries that have been These are broader economic capabilities than Iraq, and yet I have started establishing such a fund to preserve the interests of subsequent generations that may not find a single drop of oil to export if we consider that the shelf life of oil depletion is no more than a few decades to come, it must be prepared to establish this fund , Which is better than ready-made solutions and as expensive as resorting to Borrowing from donor countries, or from the International Monetary Fund, or using the strategic cash reserve in order to bridge the deficit in the budget that generated a large financial deficit, which may put the issue of securing the salaries of employees and retirees at risk if we consider that the Iraqi budget is a budget of a purely operational nature Its main job is to secure those salaries. As for the rest of the investment aspects and emergency cases such as security and services, and emergency cases such as the Corona pandemic, which requires money, its knowledge is with God and the firm in engineering general budgets! 

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Dr.. The appearance of Muhammad Salih *: Optimal monetary policy: between dual tools and two signals: past measures and present controversy

 

04/16/2020

 

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The Iraqi school’s economic debate has widened regarding the relationship between money supply growth or rather growth in the monetary basis as an independent, non-independent endogenous (i.e. an internal money supply) and the effects of direct financial policy on monetary developments or even the effects of hostile markets incomplete markets in the birth of extremist domination in The behavior of the cash demand function in general and the government on the trends and movements of the economy's liquidity and potential price turmoil. It is a case that corresponds to updated Keynesian thinking on the issue of the growth of local liquidity components by the effect of monetary behavior and its functions.

 

Unilateral rentier financial instruments (represented by treasury transfers in Iraq) and unilateral rentier financial instruments (represented in the United States dollar) have given a limited scope to monetary policy for maneuvering between two basic financial instruments are treasury transfers in Iraqi dinars and the US dollar on the one hand and between two monetary policy signals that are not Ijtihad (based on market rules) represented by interest rate and exchange rate signals.

 

The mechanisms related to monetary policy operations and the endogenity have made the monetary policy in controlling liquidity levels and imposing monetary stability taking place with restrictive motives to implement monetary policy and adapting it to work in two types of unilateralism: unilateral signals and extreme monism without working effectively with two signals that are consistent dualism and according to monetary monetary conditions Conditions that require the two signals to harmonize together in high cohesion and consistency with more than one financial instrument in the mostly regulated money market.

To continue reading, click on the following link to download the PDF file

Dr. Appearance of Muhammad Salih - the optimal monetary policy between dual tools and dual signals - past measures and present controversy - liberated

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This Is The ‘Extended Version’ Continuation Of The Article Above After Downloading The PDF Mentioned On The Last Line...

 

 

This is the appearance of Mohamed Saleh *: The optimal monetary policy: between dual tools and two signals: past measures and present controversy extended 

 

The school’s economic debate in Iraq widened over the relationship between cash exposure or the Ura Bazaar rather growth in the monetary basis as an internal variable and an independent endogenou (i.e. Internal cash supply) and between the effects of direct financial policy on monetary developments, or even the effects of hostile markets, incomplete markets in the birth of an extreme hegemony in the behavior of the cash demand function in general and government over trends and movements of the economy's liquidity and potential price turmoil. It is a case that corresponds to the updated Keynesian thinking on the issue of the growth of local liquidity components by the impact of monetary behavior and its functions. Monetary internal rentier financial instruments (represented by treasury transfers in foreign countries and external rentier financial instruments) represented by the United States dollar disrupted a limited field of monetary policy maneuvering between the two main financial instruments are treasury mobile In Iraqi dinars and the two dollar matters on the one hand and between two signals from the Sharana non-discretionary monetary policy (which is based on the rules of luck) - rules based and is represented by the buyer the interest rate and the exchange rate 

Machines pain

The mechanisms related to monetary policy operations and the endogenity of the money supply have made the monetary policy in controlling liquidity levels and imposing monetary stability taking place with restrictive motives to implement monetary policy and adapting it to work with two types of unilateralism: Dualism and in accordance with monetary conditions, which require the harmonization of the two signals together with high compatibility and harmony with more than one financial instrument in the mostly regulated cash market 

Thus, and based on the foregoing, monetary policy has only two quarterly financial instruments that affect the growth of the monetary basis and the exercise of its interventionist policy to control stability and economic growth, and at the same time they are the main major monetary component mentioned in the asset side of the balance sheet of the monetary authority ( That is, foreign currency, treasury transfers and some parallel central bank bonds) but with a very weak double. ) if the monetary policy measures continue to liquidate local assets (transfers of m | treasury) and generate liquid dinars as liabilities or liabilities for the central bank that were clearly done within the framework of the QE policy for Iraq, especially in the past five years, to be immediately reflected through the government’s operational spending to request a surplus commodity and services follows from the share of foreign exchange in the components of the cash basis within the portfolio of assets or assets in the balance sheet of the Central Bank of Iraq.

And if there was a diversified and mature financial market for the tools, it would have made the instrument (the interest rate) as an indication of an effective intervention like the exchange rate blast, so the monetary economy would move to coordinated bilateral dealings in achieving optimization of monetary stability instead of mono and single use of each instrument and with a separate signal and the rakkun to the bilateral Emirates in Exchanging, impact and full interaction between them. Color balance, optimum stability and lower costs . 

Thus, monetary policy was unable to offer treasury mobiles from its portfolio of assets and other financial instruments with the public through the secondary market and adjust liquidity levels and stabilized. With interest) and procedures for window operations dealing with the secondary market, similar to the second Habha capacitance dollar window sterilization and excess liquidity and exchange rate stability). 

The dollar has a secondary market that is influential in Al-Buraq for dealing in foreign currency, while bonds and remittances are debt instruments that do not possess this market except on a small scale that does not help it to deal widely and form a reliable leadership price structure. 

The central bank has tried to practice the policy of diversifying financial instruments by issuing a bond for itself and opening night accounts and others to adjust liquidity levels A parallel and encouraging channel, but the financial market itself has not diversified except in a limited way to the rentier domination of the foreign currency instrument over the economic activity of the country, and the fact that the public from outside the banks does not have in His mind is only the jurisprudence of the foreign currency instrument. 

The financial market deals with two instruments that are mostly weak in their reciprocity and by one foreign instrument in the policies of intervention and controlling the levels of liquidity of the economy and۔ 

Aftham is a non-reciprocal relationship between the dollar and treasury transfers, and that the two financial instruments deal individually and completely with isolation, and exchange negative effects in the phenomena of substitution between them and indirectly. Therefore, on the contrary, you find that financing the government deficit with treasury transfers (which is the expensive tool that was deducted with the central bank by banks through open market operations in years of crisis 2017 - 2019) has generated, after spending, a single derivative demand for foreign currency mostly and an indirect reciprocal relationship Without any demand for any other domestic financial instrument within the assets or assets constituting the primary cash sources.

Also, the Ministry of Finance could not, during the previous two years, in spite of the improvement of the oil budget revenues by stopping the amortization of the internal debt according to the maturity dates and rescheduling it, which is in terms of value, equivalent to about $ 40 billion currently (being the main aspect of the components of public debt held in the portfolio of the banking system) In addition to the current limited borrowing capacity, however, keeping the debt in a position without repayment did not disturb the balance of the asset portfolio at the Central Bank of Iraq, but that province remained operating as foreign interest and not the domestic assets interest, i.e. in terms of proportions, composition and ability to interfere with the instrument of Foreign exchange in the financial market and the exchange market in particular, but it can be said that the assets of the central bank have improved relatively in favor of foreign currency, especially in the two years 2018, الاج and the national reserves rose to nearly 70 billion dollars at the beginning of the year 1920 after it decreased to 41 billion dollars during Years of the previous double crisis in Iraq 2017 - 2019. 

Above it is related to the modern monetary history of Iraq and the duplication of tools and signals. The past decade years that established rules for combating activities generating inflationary expectations have come in a slightly different direction in the work of monetary policy using two highly sophisticated and correlative tools that are (local currency and foreign currency) And with two signals from the money market signals (the exchange rate signal and the interest rate signal) and they have nominal anchors to replace the monetary balance and withdraw the growth in inflation from the case of increasing by two decimal places to the case of price growth with one decimal place And suppressing high inflation levels. 

The monetary policy delivered by the construction to extravagance in the years 9, 10 10080 s use at the exchange rate, similar to what we mentioned, which came to achieve stability in the general level of prices, given that the external value of money is the basis of that stability, which led to the attempt of order exchange from a semi-flexible system to a fixed system for the first row of the fact that when the nominal benefit fixer came by adopting an interest signal e monetary policy to maximize the return on the dinar itself through diversification of the central bank’s instruments to maximize the return on the dinar. 

This is by opening night, weekly, and monthly deposit accounts as part of the indirect monetary policy means in achieving the stability goals. 

And that both signals (hair exchange and price | interest) have been done in the interest of the Iraqi dinar and at high rates during the aforementioned period to meet the forces that generate inflationary expectations. 

As the emblem achieved the exchange rate of the Iraqi dinar, an increase in the external value of the dinar was desperate, 22% and the public financial cost in foreign currency was due to the rise of the dinar value during the years 2008 - 2009 and in the interest of monetary stability in the amount of more than 5 billion dollars, while the interest signal recorded a rate of return on the dinar increased over : 2% annually. 

Therefore, high interest rates have made the sake of monetary demand more stable, as well as market balance and falling inflationary expectations. With this the year ended 2008 and the rates of increase or growth in prices have become decreasing disinflation, and annual inflation has not exceeded 1%, i.e. reaching one decimal place instead of two decimal places and exceeding على% in the year 2005. 

Thus, Keynesian tools and modern classic and classic tools (specifically the Swedish school theory) worked in building the price-benefit duality, i.e. the role of the natural interest rate (or the so-called Wicksell effect), by combining the stability of the relative prices of goods and services with the real interest rate to create a positive wealth effect for investing in the dinar wealth effect and maximizing the internal value of money (and in a dual two way) in integration with the exchange rate badge as a representative of the external value of money in narrowing the transitional effect of inflation. And with new mono extreme monism at one time. 

Such mutual monetary exchange has come to achieve the equilibrium of the money market in Iraq, using the exchange rate and the interest rate, and they are considered toxic toxic and inflation expectations at the same time. 

In this regard, many people constantly ask me and the stability of the dinar exchange rate against the dollar in Iraq’s current economic conditions in which there is no inflation, asking about opportunities to benefit from events of artificial inflation through floating or lowering the value of the dinar in an attempt to reform the economy and support economic activity in such a severe financial condition and the country suffers Of a twin deficit gap, a deficit in budget revenues due to its large expenditures (due to falling oil revenues and a price war in the oil market) as well as a deficit in the current account of the balance of payments and for the same reason the irrigation, the theoretical and applied foundations of the international monetary economy all indicate that if there is a deficit in the current account of the balance of payments attributed to the gross domestic product exceeding 0 - 0% upwards it should reduce the currency exchange rate in order to adjust the external balance through The exchange rate and its impact on the cost of external flows, unless available Large foreign exchange reserves with the Central Bank in which it is preparing to intervene and defend the stability of the dinar exchange rate even in light of an external deficit (temporary or long lasting) in order to achieve the objectives of monetary policy in stabilizing the general level of prices and ensure the purchasing power of income and address the deterioration in prices against the phenomenon of expectations Inflation expectations, where the recent jobs of central banks are summarized as having the art of managing expectations for stability towards the generating market forces .

In a country like Iraq, floating the currency towards a reduction in the exchange rate will provide contradictory results and may be equivalent at the same time. Negative and other collector. May lead to tie with the loss of general stability in the economy and sacrifice in the purchasing power of income cash for individuals.

Sometimes positive results may be achieved, but it has limited effect in stimulating the overall economy. 

Different periods of time except for making two minor adjustments for homogeneity in calculating external conversion. A devaluation of the foreign currency, i.e. its exchange rate, may really stimulate the domestic economy if the country has a very flexible and high export diversification, such as Turkey, China, or even Egypt. 

In the mono rentier economy of Iraq, the matter reminds us of the mon effects and consequences, especially in the issues of (benefits) and (costs accrued from the reduction, or as follows: 

"In the event that the dinar exchange rate is lowered against the dollar, the direct effect will definitely be on the side of the public financial benefit, and the benefit is to increase the proceeds of government flows in the Iraqi dinar to the budget as a result of transferring its oil revenues in foreign currency from oil revenues from the high-value dollar to the low-value dinar (provided that The government faces at the same time an increase in its obligations or external costs) especially in some budget expenditures, such as all external payments to the government, all from debt service to external obligations and financing government trade in foreign currency such as importing food and For medicines, weapons, etc., the net from the outcome of the reduction (in my view) will be distributed at AM% benefit for the budget and ... a cost to the budget at the same time. 

As for the macroeconomic level (the cost) due to the reduction will lead to higher commodity prices. All imported services, including production requirements for spare parts, capital supplies, and raw materials, and this is called an inflationary cost tax. As for the benefit from the reduction, it will lead to recycling imports of permanent goods and benefit from their use in the operation, repair and maintenance cycle, but taking into consideration that the cost of work will also increase gradually, especially The more general For not skilled

Third: On the monetary policy side, the reduction called the conduct of monetary adjustment policies will provide a more positive foreign currency to the central bank when selling the dollar in exchange of dinars from its windows. That is, selling amounts of dollars less in exchange for equivalent amounts in dinars more than before, i.e. after the reduction and from foreign currency windows. But we will find an adverse situation in the results, as the central bank will pay more dinars than the foreign currency window when buying the dollar from the government or others, which increases the liquidity of the economy and becomes a tool in surpassing demand or excess demand in the economy. In other words, the effect of the cost reduction on monetary policy will push the central bank to double its intervention in the exchange market by raising its sales volumes of foreign currency through its investigation windows, a stable level of the exchange rate, and curbing inflationary expectations. In other words, using a nominal fixator to narrow expectations and limit the price bounces of the parallel exchange market, as it is a market that generates volatile price expectations or inflation. 

Fourth : Notices that the Central Bank of Iraq has incurred the government’s cost of handling potential inflation due to debt and financing the deficit during the years 2017 - 2019, that is, inflation resulting from fiscal policy and financing methods and agreement thereon in accordance with the tracks of the Keynesian theory updated in the analysis of the effects of financial policy at the general level of prices . Was it not before the monetary policy makers only two options: Either the spending increases from the voluntary sources of borrowing and the expansion of exchange and spending and the creation of general inflation that comes from the fiscal policy and that is a burden on the monetary policy in maintaining stability, or the currency value is reduced by the monetary policy so that inflation reaches one of its actual cases Through a tax called inflationary tax. 

The Central Bank of Iraq has the option of using a monetary policy in support of stability by intensifying secondary market operations in foreign currency to absorb excess government spending sources that came from mostly local borrowing to finance the budget deficit. As it was used as part of the foreign reserves to defend the value of the dinar and its stability. As a result, the proportion of domestic assets increased and foreign assets decreased, despite the fact that the public finances received foreign cash loans to support the budget support and entered into the channels of the dinar purchase window from the central bank.

And thus remained a measure of the exchange between assets as a measure of the degree of potential inflation, because local assets are financial instruments based on treasury transfers that are in the possession of the investment portfolio of the Central Bank of Iraq. 

Without expanding the local assets of debt instruments (which helped in the growth of the monetary base), there would be an absolute contraction and a persistent recession that the Central Bank had resisted with an additional, expansionary step by launching an off-lending project to the directly at about billions of dollars within the credit easing policy and it has remained Monetary Policy monitors the evolution of the phenomenon of domestic assets and their growth in the balance sheet of the bank while preserving foreign assets at their prevailing rates of safe and secure way to avoid the birth of actual inflation actual inflation 

Therefore, the high state of stability in the respondents to prices achieved during the financial and security crises of 2014-2017 to which Iraq was exposed was monitoring the state of recession as an unstable state, using a monetary or semi-accommodative policy for economic activity semi-accommodative policy, but it came with cautious amounts that helped in At the same time, address the phenomenon of potential price inflation potential inflation motivated by higher financial spending, as noted above. 

That is, by monitoring the development of an inverted growth of the relationship between domestic assets (the source of inflation when rising) and the use of foreign assets (the source of sterilization, domestic liquidity added as a source of price stability). The relative decline in the levels of foreign assets due to the cautious monetary policy in sterilization of excess liquidity levels from budget expenditures did not prevent sterilization and the decrease of foreign balances to impose price stability and the nominal fixed of the dinar exchange rate throughout the dual crisis 14 - 2017. 

As the International Monetary Fund estimated in 2016 in the credit preparedness program with Iraq (SBA), the Central Bank directed to provide local loan liquidity to cover the government fiscal deficit and indirectly in exchange for accepting TB treasury transfers through open market operations and counting treasury transfers as important assets in a portfolio The central bank and revenue generation as a result of the bank investing its money in those government tools and without the monetary authority practicing cheap money policy

This is a interest rate structure and at the exchange rate for a dinar. The promise of this policy is that people are willing to accept a general interest structure that is based on developmental expectations based on lowering the exchange rate. 

"Thus, monetary policy has moved away from the devaluation of the dinar and financing the government deficit with a low-value purchasing power dinar and a negative real interest that pays the conversion of inflation from public finance to monetary policy. 

Despite this, the central bank sacrificed more foreign reserves to defend the stability of real income Iraq Because of the decline in oil prices after the year 2019 until the level of the foreign reserves of the bank reached just above the red line and according to coverage ratios and efficiency indicators 0 approved foreign reserves during the period 2011 - 2017 to return the foreign reserve and its rise again to the level V optimal safe current 

Fifth: Regardless of the hypothesis of a devaluation of the local currency and the benefits, costs, or balance of costs generated with benefits, the inflationary effects will remain as an unknown economic risk and the dark side in controlling stability is at the balance point between the cost of the reduction and the benefit of the reduction in our rentier economy, 

As for financial policy, we find that there is a so-called (fiscal adjustment), which is the weak aspect of government financial management that still exists until the moment. As the country has been losing annually from customs revenues and unpaid electricity lists, for example, due to negligence or financial turmoil, around 13-14 billion dollars. When some consider strengthening the government’s finances in easy collection through the inflation tax (i.e., reducing the value of the national currency against the foreign currency and a government decision (taken in minutes) and generating price disturbances that take long years that are not guaranteed stability), the public financial administration’s inability to build a tax structure and import collection system The public touches the vessels and all the taxpayers will remain the center of waste by neglecting non-oil revenues and relying on public expenditures funded by oil to the farthest extent. 

In conclusion, despite the foregoing, indications of an accelerated inflationary stagnation may appear if the current financial crisis continues to Dah 6 months or more and if Taazlmt Internal debt instruments in financing the deficit and generating a local student’s surplus, which causes a shortage of foreign reserves in exchange for the accumulation of local public debt instruments in the central bank’s portfolio and its transformation into so-called lower quality assets, including the continuing scheduling of the existing balance from them and the achievement of a potential exposure that affects their quality as assets and Then its implicit credit rating falls as the literature says. 

Likewise, if the local assets or assets reach, for example, more than half, or exceed 75% of the total assets portfolio at the Central Bank, then the monetary authority may resort to the so-called monetary adjustment necessary for each recent accident.

(*) Former Deputy Governor of the Central Bank and financial advisor to the Iraqi government (*) Researcher, economic writer and financial advisor to the Iraqi government 

Copyright reserved for the Iraqi Economist Network. Republishing is permitted provided that the source is referred to April 16, 2020 http: // iranieconomnists. net /

 

Edited by DinarThug
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Thanks 🤡 great article.!
 

"Thus, monetary policy has moved away from the devaluation of the dinar and financing the government deficit with a low-value purchasing power dinar and a negative real interest that pays the conversion of inflation from public finance to monetary policy.”

 

 

The monetary policy has moved away from the devaluation of the dinar.

 

What is the opposite of devaluation?
 

REVALUATION 💥

 

GO RV 💵💵💵

 

 

 

 


 

 

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31 minutes ago, Laid Back said:

What is the opposite of devaluation?
 

REVALUATION 💥


Which Leads To Me-Valuation ! :o 

 

 

Go Power Naps

Go Sleeping Apps

Go Hammock Boy ! :lmao: 

 

:D  :D  :D 

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If this policy works...then this:

Likewise, if the local assets or assets reach, for example, more than half, or exceed 75% of the total assets portfolio at the Central Bank, then the monetary authority may resort to the so-called monetary adjustment necessary for each recent accident.

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4 hours ago, Laid Back said:

Thanks 🤡 great article.!
 

"Thus, monetary policy has moved away from the devaluation of the dinar and financing the government deficit with a low-value purchasing power dinar and a negative real interest that pays the conversion of inflation from public finance to monetary policy.”

 

 

The monetary policy has moved away from the devaluation of the dinar.

 

What is the opposite of devaluation?
 

REVALUATION 💥

 

GO RV 💵💵💵

 

 

 

 


 

 

Sure sounds like it to me. :twothumbs:

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9 hours ago, DinarThug said:


Which Leads To Me-Valuation ! :o 

 

 

Go Power Naps

Go Sleeping Apps

Go Hammock Boy ! :lmao: 

 

:D  :D  :D 

DT, in your case you need a professional Valuation 😂😂😂

Keep the good work my friend.!

5 hours ago, ChuckFinley said:

Sure sounds like it to me. :twothumbs:

Nice to see you my friend CF🤙🏽

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                                                                                        BETTYBOOP

  • Keeper of the Mystic Crystal.......
  • BETTYBOOP
  • Platinum VIP

 

4 hours ago, Laid Back said:

DT, in your case you need a professional Valuation 😂😂😂

 

Don’t Worry - Nurse Betty Put Me Up In A Nice Padded ‘Hotel Room’ In Her Swanky Extended Stay ‘Resort’ While Outwaiting The Corona Virus ! :o 

 

image.gif.6df5d7cb06e6cfd37078f94b2a3ae66b.gif

 

But It Does Get A Little Bit Tough Typing On A Keyboard With Only My Clown Nose - Or Scratching An Itch...

 

:D  :D  :D 
 

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LINK

The Integrity Committee: Parliamentary approach to
activate the graft law

 

image.jpeg.a4bb1b15d24bcba9d5f32f708f73e312.jpeg

 

19th April, 2020


Called the Parliamentary Integrity Committee to activate the law of unlawful gain to be a deterrent against the corrupt, especially in this difficult time in which Iraq suffers from a suffocating financial distress.

And the committee member, Abd al-Amir al-Mayyahi, said, "The next government should activate the illegal earning law and work to recover the looted funds of Iraq before and after 2003 with the required packages in applying the law to be a deterrent to the corrupt."

Al-Mayyahi added that the “Corona Virus Pandemic” stopped most activities in the world, including Iraq, but at the same time there are preparations to follow up these files, especially the recovery of Iraq’s financed funds before and after 2003, indicating that “Parliament legalized” the graft and where you get This?", But they did not find their way to implementation."

Al-Mayahi explained that "in the event that the law is applied, it will stop many corrupt people and return a lot of money, which was looted throughout this period," indicating that it "needs to be activated and serious at work as it needs a government with full powers and an official working hours that are not currently available.

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TRADE BANK OF IRAQ


14991333_1594854070821439_90741945117141

 

18th April, 2020


In order to achieve the desire of our dear customers to overcome this ordeal and the transit situation as a result of the new corona epidemic

The Management of the Iraqi trade bank has decided to resume all its branches

All Weekdays (Sunday - Thursday) from 9 AM TO 1 PM

From Sunday 2020/4/19 to further notice

The branches of the bank offer all banking transactions from bank transfers, cash transfers, bank transfers and other banking services

We apologize for receiving credit transactions (loan promotion transactions) due to their interruption to further notice.

Wishing everyone good health and safety.


93423756_2277319912574848_23067806993586

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The International Development Bank announces the opening
of most of its branches operating in Baghdad and the provinces


20268.jpg
 

19th April, 2020

 

The International Development Bank announced on Sunday that it has opened most of its branches operating in Baghdad, the governorates, and the Kurdistan region

In order to provide the best banking services and social responsibility to achieve the desired goal and in light of the current conditions that our dear country is going through, we would like to inform our valued customers to open the bank’s doors in all of our branches operating in Baghdad (except for one branch). Shorja) and the provinces of the Middle Euphrates and the southern region from Sunday to Thursday

The statement added that the branches of the Kurdistan Region (Erbil and Sulaymaniyah) will be working in the Erbil branch from Monday to Thursday and the Sulaymaniyah branch from Monday to Wednesday every week, taking into account the procedures of curfews imposed and restricting traffic by the competent authorities

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Labor Minister: 67 thousand new families will be included
with social protection


20260.jpg

 

19th April, 2020


On Sunday, Minister of Labor and Social Affairs Bassem Abdel-Zaman confirmed that the “emergency grant” formed a new database for daily earners, while he indicated that there are 67,000 new families that will be included in the Social Protection Law.

Abdul-Zaman said in a statement reported by the Iraqi News Agency (conscious) and viewed by "Al-Iqtadnews", that "the ministry has a complete database on families below the poverty line, people with disabilities and the unemployed, but it does not have a database on the number of families living on wages Daily", indicating that "the emergency grant form that was launched will be an opportunity to form a database of owners of daily earnings."

He added, “It is not necessary that the owners of daily earnings be below the poverty line, such as a taxi driver and so on, but rather those who were affected by the measures to prevent preventive roaming,” noting that “this gain after the formation of the database may be included in the wages of workers and this is within the law New is not the Social Protection Law.”

The Minister of Labor and Social Affairs pointed out that "there are 67,000 new families that will be included in the Social Protection Law." Regarding the secured workers, Abd Al-Zaman stressed that "the ministry has about 250 thousand registered workers", noting that "the ministry obligated companies to grant workers' dues during this period." He pointed out that "the ministry received several complaints from workers for not receiving their dues", stressing, "The ministry's intention is to hold employers who are negligent towards workers." 

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5 hours ago, Laid Back said:

DT, in your case you need a professional Valuation 😂😂😂

Keep the good work my friend.!

Nice to see you my friend CF🤙🏽

Thanks LB. Took sometime off a few months ago and have been spending more time with family 

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27 minutes ago, ChuckFinley said:

Thanks LB. Took sometime off a few months ago and have been spending more time with family 

Good to hear that, family time is quality time.!

 

1 hour ago, DinarThug said:

                                                                                        BETTYBOOP

  • Keeper of the Mystic Crystal.......
  • BETTYBOOP
  • Platinum VIP!" rel="">VIP

 

 

Don’t Worry - Nurse Betty Put Me Up In A Nice Padded ‘Hotel Room’ In Her Swanky Extended Stay ‘Resort’ While Outwaiting The Corona Virus ! :o 

 

image.gif.6df5d7cb06e6cfd37078f94b2a3ae66b.gif

 

But It Does Get A Little Bit Tough Typing On A Keyboard With Only My Clown Nose - Or Scratching An Itch...

 

:D  :D  :D 
 

You are in good hands 

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