Iraqi Government may resort to treasury bonds to secure employees' salaries

[SocalDinar]

 

Iraqi Government may resort to treasury bonds to secure employees' salaries

Economyparliamentary

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 2020-09-23 06:48

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Shafaq News / The Parliamentary Finance Committee revealed on Wednesday a government proposal to resort to central bank treasury bonds to secure employees' salaries, warning of the collapse of Iraq's economy in 2021.

 

Committee member Naji Al-Saeedi told Shafaq News agency, "The government needs 6 trillion dinars per month to secure the salaries of employees and retirees", adding, "oil and non-oil revenues amount to 3 trillion dinars and are not sufficient to secure their salaries".

"The government has become unable to secure the salaries of employees in the coming months, so it has resorted to preparing a four-month budget covered by the new borrowing law", he added.

Yesterday, Tuesday, an official source in the Iraqi Central Bank assured employees that their salaries will be covered for September and the following months.

This comes after an informed source revealed, earlier yesterday, that the Ministry of Finance had not started paying employees' salaries for the month of September until now, due to the lack of cash.

Iraq is currently suffering from the difficulty of distributing the salaries of employees and retirees as a result of the global drop in oil prices on which the federal budget depends by 90%.

 

https://www.shafaaq.com/en/Economy/Iraqi-Government-may-resort-to-treasury-bonds-to-secure-employees-salaries

[Johnny Dinar]

Oh more good news!!! thanks Social...

[KDuesing]

I'm not buying into this, they are trying to say that all the oil they are selling in a month wont pay the salaries of government employees, I call bull crap. I don't know what paying in bonds would accomplish though.

 

They have to be getting close because they are closer then ever to checking the boxes on stability, security and a full seated government.

[DoD]

Sounds like to me they have to many people on the governments payroll. Might be a good time to cut half of them off, probably wouldn't miss them anyway. A lot of them need to go jail plus they have countless ghost employees, heck I could go on an on but they already know this....

[SocalDinar]

14 hours ago, KDuesing said:

I'm not buying into this, they are trying to say that all the oil they are selling in a month wont pay the salaries of government employees, I call bull crap. I don't know what paying in bonds would accomplish though.

 

They have to be getting close because they are closer then ever to checking the boxes on stability, security and a full seated government.

They had problems covering their budget when oil was $100 a barrel and no OPEC limits on production.

 

They suffer from Dutch disease