"Financing the fiscal deficit" tops the Saturday parliamentary session

[yota691]

"Financing the fiscal deficit" tops the Saturday parliamentary session

Thursday 05th November 2020 132

 

  Baghdad: Morning

 

The Media Department of the House of Representatives announced that the law on financing the fiscal deficit will top the agenda of the parliament session, which will be held on Saturday 

Next.

A member of the Parliamentary Finance Committee, Hanin Qaddo, explained that the second reading of the borrowing law in the Saturday session does not mean passing it according to what the government wants, and said: “The Iraqi parliament is not against the borrowing law in general, but it is against what the government requires of large sums, it needs nearly 10 trillion Iraqi dinars in order to secure the salaries of employees, but in the borrowing law you asked for 41 trillion dinars, and we do not know where the 31 trillion will go 

Dinar".

And he indicated that «the Parliamentary Finance Committee has sent official books to the Iraqi government, asking for clarifications, and we are waiting for an official answer to us. He pointed out that« the second reading of the borrowing law does not mean passing it according to what the government wants, but rather it will be passed according to what the financial crisis requires, And this will be after receiving the governmental answers to us, on what we have asked for important clarifications.

[screwball]

3 hours ago, yota691 said:

"Financing the fiscal deficit" tops the Saturday parliamentary session

Thursday 05th November 2020 132

 

  Baghdad: Morning

 

The Media Department of the House of Representatives announced that the law on financing the fiscal deficit will top the agenda of the parliament session, which will be held on Saturday 

Next.

A member of the Parliamentary Finance Committee, Hanin Qaddo, explained that the second reading of the borrowing law in the Saturday session does not mean passing it according to what the government wants, and said: “The Iraqi parliament is not against the borrowing law in general, but it is against what the government requires of large sums, it needs nearly 10 trillion Iraqi dinars in order to secure the salaries of employees, but in the borrowing law you asked for 41 trillion dinars, and we do not know where the 31 trillion will go 

Dinar".

And he indicated that «the Parliamentary Finance Committee has sent official books to the Iraqi government, asking for clarifications, and we are waiting for an official answer to us. He pointed out that« the second reading of the borrowing law does not mean passing it according to what the government wants, but rather it will be passed according to what the financial crisis requires, And this will be after receiving the governmental answers to us, on what we have asked for important clarifications.

Lol let’s see what happens...I can smell their gas! Thanks for big tower!

[yota691]

Iraq tends to borrow to pay the salaries of employees and retirees

 

Baghdad

Ammar Hamid

06 November 2020

 

Agreement authorizing government borrowing (Anatolia)

 

The Iraqi government holds broad hopes that global oil prices will rise again in a way that alleviates the severity of the financial crisis that afflicts the country. However, financial officials and members of parliament warn that Iraq may go through a phase of total inability to pay the salaries of employees and retirees and carry out important operational projects, considering that the search for a new austerity mechanism and a reduction in expenditures appears to be the best solution for the state at the present time. And last week, the Iraqi Ministry of Finance said in a statement that the government's current revenues in light of low oil prices and Iraq's commitment to OPEC decisions related to reducing oil production are insufficient to meet the government's current expenditures at the present time, as the monthly oil revenues are less than 50 percent of the government's current expenditures. It is expected that this situation will continue in the near future.

On the other hand, government spokesman Ahmed Al-Mulla Talal confirmed that the decline in state revenues in the past months has made them insufficient to pay employees' salaries and other urgent obligations. On this basis, the government requested from Parliament additional borrowing authority to fill the financing gap until the 2021 budget presentation.

 

A senior financial official in the Ministry of Finance revealed in an interview with Al-Arabi Al-Jadeed that the government's financial revenues from oil alone amounted to about 4 trillion dinars (about $ 3.4 billion) in October, while other revenues did not reach more than 600. One billion dinars (about 480 million dollars).

He added that despite the improvement in the state's non-oil resources as a result of controlling ports and border crossings, a large part still goes to influential parties, most notably the armed factions and influential parties, revealing also that there are a large number of fictitious names in the Popular Mobilization Authority receiving salaries and going to leaders of factions, These amounts are estimated in millions of dollars a month.

 

The source explained that "the Iraqi government is going through a major financial crisis that is the most difficult since 2003, and it is the result of a process of waste, corruption and poor planning of past governments, the largest part of which is borne by both Maliki and Abdul Mahdi," referring to the two former prime ministers, Nuri al-Maliki 2006-2014 and Adel Abdul Mahdi 2018. 2019. He pointed out, "There is a semi-preliminary agreement between the government and parliament to give the latter the green light to the government by borrowing 10 trillion dinars (about $ 8 billion) to secure the salaries of employees, as it is the most difficult challenge for the Iraqi government in the current period."

An MP in the Iraqi parliament, Najeeba al-Najeeb said in an interview with Al-Arabi Al-Jadeed that the volume of revenues announced by the Iraqi government is much less than the size of expenditures. Other operational obligations of the government, as well as repaying Kuwait’s debts and covering other debts, "indicating that" the salaries of employees alone cost the state about 6 trillion Iraqi dinars per month. "

She pointed out that "the government submitted a request to Parliament to approve the borrowing of an amount of 43 trillion Iraqi dinars, but the Iraqi parliament refused to vote on it, considering this amount exaggerated." Naguib continued, saying that "the Iraqi parliament, even if the government is able to secure the salaries of employees now, will have to vote on the borrowing law again because of the difficulty in securing monthly expenditures for the coming months."

In turn, economic expert Salam Sumaisem said in an interview with Al-Arabi Al-Jadeed that the Iraqi government's revenues are very large, but no one knows where to go due to widespread corruption in state institutions, wondering where the revenues from border crossings, taxes, revenues from public traffic departments and state real estate go. She added that "much of the state's revenues are spent on aliens (fake employees) and double-wages," noting that more than 250,000 aliens receive salaries from the state, in addition to thousands of double salaries. The Iraqi government pays the salaries of more than 6 million people. Their annual salaries are estimated at $ 62 billion.

[yota691]

Parliamentary Finance: The borrowing law will be presented for the second reading in this case

Editing date: 06/11/2020 14:19 • 48 times read

http://www.alliraqnews.com/uploads/news/image/medium/story_img_5fa53140ee401.jpeg

[Baghdad-Where]
The Parliamentary Finance Committee confirmed, today, Friday, that its position on the borrowing law depends on the submission of exchange data from the government, while indicating that if the data arrives, the law will be presented for the second reading in the next session.

Committee member Magda Al-Tamimi said, "The issue of delay in salaries of employees is a concern for citizens, the government and parliament, as it affects the people's livelihood," indicating that "the Finance Committee, when the draft law on borrowing from the government arrived, asked about the updated data, because the government sent data on the first six Months as an actual disbursement, and there should be nine months' data.
She added, "The government requested a loan for a period of four months, and the committee does not have actual data on many paragraphs, and the committee must be informed of the data, because the government requested a loan of 41.6 trillion dinars, and therefore the exact calculations for four months must be known, knowing that September I paid the salaries of its employees, and the loan should be calculated for three months only.
Al-Tamimi pointed out that "if the government is not in need of money, then why does it send the borrowing bill to the Finance Committee," asserting that "the committee has sent a letter to the government regarding its need for the loan after the government spokesman's statements, quoting the Minister of Finance, in which he said that salaries are secured." .
She pointed out that “Prime Minister Mustafa Al-Kazemi contacted the head of the Finance Committee and informed him of the government's need for the loan,” calling for “the statements to be accurate, because these statements and their accuracy have a negative impact on the Iraqi people, because if the borrowing project is delayed, they will accuse the Finance Committee or Council Deputies claim that they are behind the delay in approval. "
Al-Tamimi added that “the Finance Committee is entrusted with these funds, and it does not put obstacles in place. Rather, it wants to know the real data so that the decision is correct,” noting that “with regard to solutions, the Financial Committee has a paper with solutions, but the fiscal and monetary policy is the government's prerogative, and its tasks are The committee is to legislate laws and monitor the performance of the government, and each has its own tasks and duties, and the committee wants the work to be orderly, and there are no overlaps in the powers.
She indicated that "the government was late in launching salaries, because in fact it collects oil revenues, and it can cover salaries, but in all cases it informed the Finance Committee of its need for funds," explaining that "Parliament does not want the government to lean only on loans." Rather, it should have long-term solutions. "
Al-Tamimi stated that, "Iraq needs a budget for the year 2021 even if it is calculated at low oil prices, because this budget will be a road map, and it contains final accounts, and the experience of 2014 and 2020 should not be repeated, and this matter is not permissible according to the Public Administration and Public Debt Law." The budget should be based on low oil price estimates (pessimistic). "

[yota691]

Parliamentary Finance warns the government about fictitious numbers in the borrowing law: provide us with exchange data

Editing date: 06/11/2020 14:46 • 35 times read

http://www.alliraqnews.com/uploads/news/image/medium/story_img_5fa537a99a565.jpg

[Baghdad-Where]
On Friday, the Parliamentary Finance Committee ruled out reading and voting on the law on financing the fiscal deficit in tomorrow's Saturday session in Parliament, while the committee called on the Ministry of Finance to send data and figures for borrowing money.

A member of the committee, Abdul Hadi Al-Saadawi, said, "There is a difference in numbers between the Parliamentary Finance Committee and the government regarding what we need to support salaries for the last three months of this year," indicating that "the committee believes that the government needs up to 10 trillion dinars, contrary to what the government requested 41, which is one trillion dinars." Iraqi".

He added that "the Parliamentary Committee asked the Ministry of Finance to provide data and the purpose of withdrawing 41 trillion dinars from government banks, and we in turn are waiting for the government to send tables and data for review before proceeding with the second reading and voting on the borrowing law."

Al-Saadawi pointed out, "It is not possible to read and vote on the fiscal deficit financing law without the existence of exchange tables and numbers, but it is not possible to vote on the law with fictitious and incorrect numbers," excluding at the same time.

[jake21]

Sound familiar? Just like the Stimulus, its going no where. They'll go back and forth for months on this...

 

[yota691]

“Finance” Iraqi MPs pledge their position on the borrowing law by providing exchange data

Iraqi Parliament

 November 06, 2020 03:32 PM

Mubasher:  The Parliamentary Finance Committee in Iraq confirmed, today, Friday, that its position on the borrowing law is subject to the submission of exchange data from the government, while indicating that if the data arrives, the law will be presented for the second reading in the next session.

Majida Al-Tamimi, a member of the committee, said in a statement to Al-Iraqiya News Channel, that the issue of delaying salaries of employees is a concern for citizens, the government and parliament, as it affects the people's livelihood.

She added that the Finance Committee, when the government’s borrowing bill came to it, asked about the updated data, because the government sent data for the first six months as an actual disbursement, and there should be nine months’s data.

She indicated that the government requested a loan for a period of four months, and the committee does not have actual data on many paragraphs, and the committee must be informed of the data, because the government requested a loan of 41.6 trillion dinars, and therefore the exact calculations for four months must be known, knowing that the month of September I paid the salaries of the employees in it, and the loan is supposed to be calculated for only three months.

She noted that if the government is not in need of money, then why does it send the borrowing bill to the Finance Committee, confirming that the committee has sent a letter to the government regarding its need for the loan after the statements of the government spokesman, quoting the Minister of Finance, in which he said that salaries are secured.

She pointed out that Prime Minister Mustafa Al-Kazemi contacted the head of the Finance Committee and informed him of the government's need for the loan, calling for the need to be accurate, because these statements and their accuracy have a negative impact on the Iraqi people, because if the borrowing project is delayed, the Finance Committee or Parliament will be accused of being behind His approval was delayed.

Al-Tamimi added that the Finance Committee is entrusted with these funds, and it does not create obstacles, but rather wants to know the real data so that the decision is correct.

Al-Tamimi pointed out that with regard to solutions, the Financial Committee has a paper on solutions, but the fiscal and monetary policy is within the government's competence, and the committee's tasks are to legislate laws and monitor the performance of the government, and each has its duties and duties, and the committee wants the work to be organized, and there are no overlaps in the powers.

She indicated that the government was late in launching salaries, because in fact it collects oil revenues, and it can cover salaries, but in all cases it informed the Finance Committee of its need for funds, explaining that the House of Representatives does not want the government to rely only on loans, rather it must To have long-term solutions.

Al-Tamimi stated that Iraq needs a budget for the year 2021 even if it is calculated at low oil prices, because this budget will be a road map, and it contains final accounts, and the experience of 2014 and 2020 should not be repeated, and this matter is not permissible according to the Public Administration and Public Debt Law, The budget should be based on low oil price estimates (pessimistic).