Recently Browsing 0 members
No registered users viewing this page.
By Adam Montana
Is OPEC’s No.2 Finally Complying With Output Cuts?
By Tsvetana Paraskova - Jun 09, 2020, 10:00 AM CDT
Join Our Community OPEC’s second-largest producer, Iraq, which also happens to be the least compliant member of OPEC+ since the group started managing supply to the market in 2017, may have finally started taking its obligations seriously.
Iraq’s State Oil Marketing Organization (SOMO) has asked some of the Asian buyers of its Basrah crude grades if they could give up delivery of some already contracted cargoes for loading this month and next, sources familiar with the matter told Bloomberg News on Tuesday.
The request for buyers to forgo some cargoes for those months suggests that this time, Iraq may be earnest in its attempt to play ball in the OPEC+ production cuts, after being the biggest cheater in all previous pacts.
Iraq’s (as well as Nigeria’s) non-compliance with the record OPEC+ cuts in May nearly wrecked last week’s meeting of the pact, ahead of which the two leaders of the group, Saudi Arabia and Russia, had insisted that there would be an extension by one month to the current level of cuts only if laggards in compliance ensured over-compliance going forward to compensate for flouting their quotas so far.
OPEC+ agreed on Saturday to extend the record production cuts of 9.7 million bpd by one month through the end of July, contingent on all countries in the pact complying 100 percent with their quotas and compensating for lack of compliance by overachieving in the cuts in July, August, and September.
Before the meeting, Iraqi Deputy Prime Minister and then-acting Oil Minister, Ali Allawi, vowed that his country would further reduce production as it remains committed to the OPEC+ pact.
At the video news conference following the OPEC+ meeting, Saudi Arabia’s Energy Minister, Prince Abdulaziz bin Salman, emphatically said on Monday that “We have no room whatsoever for lack of conformity.”
Today, Iraq’s new Oil Minister, Ihsan Abdul Jabbar Ismaael, confirmed in a phone call with his Saudi counterpart Iraq’s “full commitment” to the cuts, OPEC said in a press release on Tuesday. Iraq confirms “its commitment to the voluntary oil production adjustments of June and July 2020, as well as the voluntary adjustments for the period following the end of July, despite the economic and financial challenges,” Ismaael told the Saudi energy minister.
By Tsvetana Paraskova for Oilprice.com
China: America is the most serious threat to world peace
2019-12-11 | 07:24 813 views Today, Wednesday, the Chinese Foreign Ministry spokeswoman described the United States as "the most serious threat to world peace," noting that Washington continues to fabricate charges against other countries.
Chun Ying said, in press statements, that the United States is doing this to start wars around the world, so the United States poses a great threat to international peace and security.
And this week, The Washington Post revealed testimonies and statements by American officials indicating that the US government was hiding the truth from the war in Afghanistan, and contradicted what the US presidents and military leaders announced that they had made progress in Afghanistan and that there was a requirement to enter into this war. .
What the newspaper disclosed is a slap in the face for American officials advocating for human rights, according to a spokeswoman for the Chinese Foreign Ministry, but only reveals the visible portion of the floating iceberg.
Ying said that the United States took allegations of weapons of mass destruction in Iraq as a pretext for directing military strikes in this country, which led to tens of thousands of casualties and the displacement of many Iraqis. Later the United States recognized that this pretext was fabricated and that evidence of weapons of mass destruction in Iraq’s possession was washing powder.
Finally, the United States used the proofs of the White Helmets evidence of "chemical attacks" in Syria as an excuse to direct air strikes in this country, which led to many casualties and the displacement of many.
Hua Chun Ying pointed out that the United States is still fabricating the charges in order to start wars around the world, and thus has become the most serious threat to international peace and security and has also become the most serious violation of human rights.
By Adam Montana
Iraq-Saudi border crossing to reopen after nearly 30 years
A signpost close to the Arar border crossing between Iraq and Saudi Arabia. Photo: AFP
ERBIL, Kurdistan Region — An Iraq-Saudi Arabia border crossing is set to reopen after nearly three decades of closure, Iraq’s border crossing department announced on Thursday.
A meeting held between Iraqi and Saudi border authorities at the Arar crossing set October 15 as a test period for its reopening, a department statement said.
Anbar provincial council member Amira Odaie spoke to Rudaw on Thursday about the meeting.
“Early on Thursday morning, Iraq’s border crossing department met with their Saudi Arabian counterparts to discuss the opening of Arar crossing border, in order to boost trades and tourism between the two countries,” Odaie said.
Opening the Arar crossing will also provide job opportunities to Anbar province’s young people currently suffering from high rates of unemployment, she added.
Graphic: Mohammed Alsafar | Rudaw English, Maps4news Arar crossing closed back in 1991, when relations between the two countries deteriorated after then-president Saddam Hussein invaded Kuwait. Iraq-Saudi relations were further damaged under former Prime Minister Nouri al-Maliki’s tenure.
Rapprochement between the two began in 2015, when Saudi Arabia reopened their Baghdad embassy after 25 years of closure.
A Saudi-Iraqi Coordination Council was established in October 2017 with the aim of strengthening relations between the two countries.
Vying for influence in the country over regional rival Iran, Saudi Arabia opened a consulate in Baghdad in April 2019 after a visit from a 100-person Saudi delegation, including nine ministers. Riyadh pledged $1.5 billion in loans to Iraq during the trip.
Iraqi Prime Minister Adil Abdul-Mahdi visited Saudi Arabia later that month, when the two countries signed 13 deals in the fields of political consultation, investment promotion and protection, agriculture, energy, electricity, and higher education.
The Arar border crossing currently opens once a year, to allow Iraqi pilgrims to enter Saudi Arabia to perform the Islamic rite of Hajj.
By normala rashid
This only from my research and opinion about Iraq economic. It’s hard for me to explain because English is not my native language. I found an article in French about economic and dinar is so interesting but it’s so bad I’m not fluent in the French language but I'm good analytical thinking.
1) Iraq will focus crude oil as main of export in their country to give positive for them GDP because Iraq has much debt in the country, not external debt( financial report 2017). Because debt/GDP is the best measure of an economy’s capacity to handle debt, as long as the economy is growing faster than debt, the debt will fall relative to GDP. exporters become more competitive in a global market. Exports are encouraged while imports are discouraged. There should be some caution, however, for two reasons. First, as the demand for a country's exported goods increases worldwide, the price will begin to rise, normalizing the initial effect of the devaluation. The second is that as other countries see this effect at work, they will be incentivized to devalue their own currencies in kind in a so-called "race to the bottom." This can lead to *** for tat currency wars and lead to unchecked inflation. ( We will through revalue and peg with dollar and devaluation when inflation is less.
2) The value of money depends on confidence in the future of the economy and politics, of production and productivity, as the analyzes of the classics of economics on "value" have shown. That'S why we cannot see revalue if Iraq doesn’t solve politic issues.( Sadr is the point to get revalue dinar)
3) IRAQ having been forced to sell a fraction of its foreign exchange reserves in dollars to support its currency. (auction)
4) Iraq needs to revalue their currency to support foreign exchange reserves the function is to maintain liquidity in case of an economic crisis. For example, a flood or volcano might temporarily suspend local exporters' ability to produce goods. That cuts off their supply of foreign currency to pay for imports. In that case, the central bank can exchange its foreign currency for their local currency, allowing them to pay for and receive the imports.
Testing the Rocker Badge!
Live Exchange Rate