The government announces the arrival of the budget for next year to the House of Representatives

[screwball]

28 minutes ago, Dinarrock said:

Yes most likely again this is a currency play and they want to get as much of the dinar OFF the streets before they RV!! Another thing that helps is it allows Iraq to payoff their debts cheaper! So they will payoff all the debt they can and renegotiate debts they can’t payoff and then they will ADD value to their currency count on it!! Again I still say all this happens by Jan 6th IMO!!!

My thoughts exactly 

[Half Crazy Runner]

47 minutes ago, Dinarrock said:

Yes most likely again this is a currency play and they want to get as much of the dinar OFF the streets before they RV!! Another thing that helps is it allows Iraq to payoff their debts cheaper! So they will payoff all the debt they can and renegotiate debts they can’t payoff and then they will ADD value to their currency count on it!! Again I still say all this happens by Jan 6th IMO!!!

I’m curious, why Jan 6? Is there a reason you picked that date?

[Dinarrock]

HCR, yes I did just because of the fireworks I believe we will have here with the election in America. Just kind of makes sense that the RV could kind of slip in under the radar somewhat without a lot of fanfare that Shabbibi originally talked about. I think Jan 1st is the best day of course but on or before Jan 6th is just kind of my thoughts! My birthday is Jan 8th so I would be fine with that Day too...lol

Edited December 24, 2020 by Dinarrock

[rvmydinar]

3 hours ago, Dinarrock said:

HCR, yes I did just because of the fireworks I believe we will have here with the election in America. Just kind of makes sense that the RV could kind of slip in under the radar somewhat without a lot of fanfare that Shabbibi originally talked about. I think Jan 1st is the best day of course but on or before Jan 6th is just kind of my thoughts! My birthday is Jan 8th so I would be fine with that Day too...lol

Any date during The month of january 2021 sounds good to me.  We will just see. Hopefully, the date you mentioned is truly happening and we all are happy. Someday someone will be right.

[yota691]

Parliamentary Finance: We have not formally received the budget law

 

Majida Al-Tamimi

money and business Economy News - Baghdad The Finance Committee in the House of Representatives confirmed, today, Friday, that it did not officially receive the draft general budget bill for next year, while indicating the existence of a new mechanism for the ration card file . A member of the committee, Majida Al-Tamimi, told the Iraqi News Agency (INA), and was obeyed by Al-Eqtisad News, that "the Finance Committee has not yet formally received the draft budget for next year," pointing out that "the Central Bank is responsible for the exchange rate, and it is not from the authority." The Financial Commission interfered with it . " She added that "the financial committee seeks to reduce the effects of changing the exchange rate on the vulnerable classes of people with limited income," confirming "the efforts of its committee to increase social welfare allocations and the ration card items ." She pointed out that "there is a new mechanism presented regarding the ration card file, away from the current approved mechanism," indicating that "the new mechanism will protect the local product."

Number of observations 125   Date added 12/25/2020

[yota691]

Parliamentary Finance issues an explanation regarding the dollar exchange rate

 

Local currencies

money and business Economy News - Baghdad On Thursday, the Parliamentary Finance Committee issued a statement clarifying the exchange rate of the dollar. "The Parliamentary Finance Committee confirmed that determining the exchange rate of the dollar is a governmental matter and it is exclusively within the government's authority, as the government is the one that draws and implements the fiscal and monetary policy," the House of Representatives media department stated in a statement. The statement added, "The inclusion of that price in the draft federal budget law for 2021, is to calculate the value of oil revenues and international loans that are calculated on the basis of the dollar, and are converted into the Iraqi dinar depending on the exchange rate." He pointed out that "the price mentioned in the budget is not intended to acknowledge or not, but to be approved in the calculation of revenues and expenditures only."

Number of observations 421   Date of addendum 12/24/2020

[yota691]

Al-Attar calls on Parliament to include a paragraph in the 2021 budget to replace this category

Economie

2020-12-24 | 04:52

 

 

2,507 views

A member of the Iraqi Economic Council, a member of the National Business Council, Ghadeer Al-Attar, called on Thursday to compensate those affected by the change of the Iraqi dinar exchange rate against the US dollar in next year's budget.

Al-Attar said in a statement that Alsumaria News received a copy of, that "the Finance Committee and the Economy and Investment Committee in the Iraqi Parliament must start to include a paragraph in the federal financial budget for the year 2021 to compensate for losses due to changing the exchange rate of the dinar against the dollar for businessmen and contractors implementing projects, suppliers and public sector companies." (Self-financing) executor of projects and industries who have financial benefits owed by the government, and those losses amounted to approximately 24% due to the high exchange rate of the US dollar.

 

Al-Attar added, "These losses were a result of the difference in contracting the value of the project or equipment when the exchange rate was 1190 dinars to the dollar and now it reached 1470 dinars per dollar, especially since there are projects that need to be equipped with imported materials," calling on the government to "find a quick solution through Directing the Ministries of Planning and Finance to compensate the financial difference for those affected by the aforementioned categories.

[yota691]

Canceling the dollar appreciation ... Opportunities to end the exchange rate crisis

 

•  Today, 13:10
•  
•  
•  4856

 

Baghdad -  IQ  / Adel Al-Mukhtar

After the decision to reduce the value of the dinar, many people are still affected by the shock of the dollar’s jump, and the economic situation is no longer the impact of the deep anxiety of its workers, and there is a popular movement towards Parliament, so will this controversial decision be rejected and things go back to normal? 

The turmoil still prevails in the market situation, no trade is proceeding smoothly and the exchange rate is not stable, which has inflicted great harm on many social groups, while the pressure has increased on the poor and the rich alike. 

 

Negotiations to reverse the decision 

 

"It will cause great damage to the national economy and to the commercial class, as well as the poor and marginalized class," says the head of the Baghdad Chamber of Commerce, Firas Al-Hamdani, in an interview with  IQ NEWS , calling for "a review of this change and the dismissal of the governor of the Central Bank and the Minister of Finance for their serious mistake." Regarding the exchange policy of the dollar against the dinar. "

Al-Hamdani points out that "the Baghdad Chamber of Commerce protested against this policy, and contacted members of the Finance Committee in Parliament to host the members of the Chamber in order to negotiate with the committee about the possibility of reversing or amending this decision to suit Iraqi trade activities and support the economy."

 

Parliament can set the record straight 

 

The economist, Sadiq Al-Bahadli, believes that Parliament is "facing a major challenge," and either approves or rejects the Central Bank's decision regarding raising the value of the dollar against the dinar, because the exchange rate is mentioned in the state budget .

" There is anticipation in the exchange market, and nowadays it is a period for reaping profits for those who bought at a low price," Al-Bahadli said to  IQ NEWS ,  indicating that "there are companies or banking offices that sell for less than the central bank's selling price."

Al-Bahadli explains, "The political system in Iraq is a democratic parliamentary system, and therefore Parliament is the highest legislative and oversight authority in the country, and that the dollar price increase project that is to be passed in the 2021 budget will be presented to the House of Representatives within the draft budget, and thus Parliament can This project was rejected. "

 

Central bank independence and powers

 

Legal expert Tariq Harb says, "The constitutional independence is evident through Article 103 of the Constitution, which stipulates that the Central Bank and the Office of Financial Supervision, Media and Communications are all independent bodies." In paragraph (2) of Article (2), which stipulates that the Central Bank of Iraq enjoys independence.

"This law includes everything related to monetary policy, including managing official foreign exchange reserves, issuing currency, and implementing foreign exchange obligations," Harb explains in his interview with  IQ NEWS .

It is worth noting that the Central Bank has directed all authorized banks to adjust the value of the foreign currency (the dollar), and any currencies to be evaluated on the basis of their relationship to the dollar in financial records and banking activities, and to adopt a new exchange rate and any currencies that are evaluated on the basis of their relationship to the dollar in financial records and banking activities to extract the difference between The cost of possession for that year and the current value of it after the change of the exchange rate and in line with the cost of obtaining it (1460) dinars to the dollar or any price under which the dollar is obtained, and dealing with the difference is recorded in accordance with the International Financial Disclosure Standards  (IFRS).

 

Parliament "does not accept" the exchange rate 

 

The House of Representatives intends to reduce spending in the fiscal budget for 2021, rejecting the dollar exchange rate set by the government .

Hussein Al-Oqabi, a member of the Parliamentary Legal Committee, said in an interview with  IQ NEWS ,  " The budget was supposed to arrive in Parliament on the 15th of October, which is the deadline according to the Financial Management Law," noting that "the budget was delayed by about two and a half months and did not arrive until right Now".

He explains, "The budget is the responsibility of the government in accordance with the constitutional provisions, and it is responsible for preparing the draft budget, and the House of Representatives gives legitimacy to government spending and has the right to reduce the budget and rotate its sums, and these are fixed rights of Parliament, and it has no right to increase spending."

Al-Aqabi adds, "Government spending amounts to 150 trillion in the budget, and the parliament can reduce it, and this is what the parliament will do because the amount is very, very inflated, unreasonable and unrealistic, and also the exchange rate we see in it, and we will not be satisfied with it at all."

"The issue of providing some contract dues will be entered into by the House of Representatives, and Parliament has the right to rotate the sums and has the right to make certain transfers within the budget," Al-Punabi confirms.

 

[Wheelman]

12 minutes ago, yota691 said:

Canceling the dollar appreciation ... Opportunities to end the exchange rate crisis

 

•  Today, 13:10
•  
•  
•  4856

 

Baghdad -  IQ  / Adel Al-Mukhtar

After the decision to reduce the value of the dinar, many people are still affected by the shock of the dollar’s jump, and the economic situation is no longer the impact of the deep anxiety of its workers, and there is a popular movement towards Parliament, so will this controversial decision be rejected and things go back to normal? 

The turmoil still prevails in the market situation, no trade is proceeding smoothly and the exchange rate is not stable, which has inflicted great harm on many social groups, while the pressure has increased on the poor and the rich alike. 

 

Negotiations to reverse the decision 

 

"It will cause great damage to the national economy and to the commercial class, as well as the poor and marginalized class," says the head of the Baghdad Chamber of Commerce, Firas Al-Hamdani, in an interview with  IQ NEWS , calling for "a review of this change and the dismissal of the governor of the Central Bank and the Minister of Finance for their serious mistake." Regarding the exchange policy of the dollar against the dinar. "

Al-Hamdani points out that "the Baghdad Chamber of Commerce protested against this policy, and contacted members of the Finance Committee in Parliament to host the members of the Chamber in order to negotiate with the committee about the possibility of reversing or amending this decision to suit Iraqi trade activities and support system" rel="">support the economy."

 

Parliament can set the record straight 

 

The economist, Sadiq Al-Bahadli, believes that Parliament is "facing a major challenge," and either approves or rejects the Central Bank's decision regarding raising the value of the dollar against the dinar, because the exchange rate is mentioned in the state budget .

" There is anticipation in the exchange market, and nowadays it is a period for reaping profits for those who bought at a low price," Al-Bahadli said to  IQ NEWS ,  indicating that "there are companies or banking offices that sell for less than the central bank's selling price."

Al-Bahadli explains, "The political system in Iraq is a democratic parliamentary system, and therefore Parliament is the highest legislative and oversight authority in the country, and that the dollar price increase project that is to be passed in the 2021 budget will be presented to the House of Representatives within the draft budget, and thus Parliament can This project was rejected. "

 

Central bank independence and powers

 

Legal expert Tariq Harb says, "The constitutional independence is evident through Article 103 of the Constitution, which stipulates that the Central Bank and the Office of Financial Supervision, Media and Communications are all independent bodies." In paragraph (2) of Article (2), which stipulates that the Central Bank of Iraq enjoys independence.

"This law includes everything related to monetary policy, including managing official foreign exchange reserves, issuing currency, and implementing foreign exchange obligations," Harb explains in his interview with  IQ NEWS .

It is worth noting that the Central Bank has directed all authorized banks to adjust the value of the foreign currency (the dollar), and any currencies to be evaluated on the basis of their relationship to the dollar in financial records and banking activities, and to adopt a new exchange rate and any currencies that are evaluated on the basis of their relationship to the dollar in financial records and banking activities to extract the difference between The cost of possession for that year and the current value of it after the change of the exchange rate and in line with the cost of obtaining it (1460) dinars to the dollar or any price under which the dollar is obtained, and dealing with the difference is recorded in accordance with the International Financial Disclosure Standards  (IFRS).

 

Parliament "does not accept" the exchange rate 

 

The House of Representatives intends to reduce spending in the fiscal budget for 2021, rejecting the dollar exchange rate set by the government .

Hussein Al-Oqabi, a member of the Parliamentary Legal Committee, said in an interview with  IQ NEWS ,  " The budget was supposed to arrive in Parliament on the 15th of October, which is the deadline according to the Financial Management Law," noting that "the budget was delayed by about two and a half months and did not arrive until right Now".

He explains, "The budget is the responsibility of the government in accordance with the constitutional provisions, and it is responsible for preparing the draft budget, and the House of Representatives gives legitimacy to government spending and has the right to reduce the budget and rotate its sums, and these are fixed rights of Parliament, and it has no right to increase spending."

Al-Aqabi adds, "Government spending amounts to 150 trillion in the budget, and the parliament can reduce it, and this is what the parliament will do because the amount is very, very inflated, unreasonable and unrealistic, and also the exchange rate we see in it, and we will not be satisfied with it at all."

"The issue of providing some contract dues will be entered into by the House of Representatives, and Parliament has the right to rotate the sums and has the right to make certain transfers within the budget," Al-Punabi confirms.

 

Article 103 First
The Central Bank of Iraq, the Board of Supreme Audit, the Communication and Media Commission, and the Endowment Commissions are financially and administratively independent institutions, and the work of each of these institutions shall be regulated by law.
• Establishment of military courts
• Human rights commission
• Counter corruption commission • Electoral commission
• Human rights commission
• Central bank

Second
The Central Bank of Iraq is responsible before the Council of Representatives. The Board of Supreme Audit and the Communication and Media Commission shall be attached to the Council of Representatives.
Third
The Endowment Commissions shall be attached to the Council of Ministers.

[Half Crazy Runner]

17 hours ago, Dinarrock said:

HCR, yes I did just because of the fireworks I believe we will have here with the election in America. Just kind of makes sense that the RV could kind of slip in under the radar somewhat without a lot of fanfare that Shabbibi originally talked about. I think Jan 1st is the best day of course but on or before Jan 6th is just kind of my thoughts! My birthday is Jan 8th so I would be fine with that Day too...lol

Thanks for your explanation, and I hope you have a fantastic birthday! 😁💰

[screwball]

21 hours ago, Dinarrock said:

HCR, yes I did just because of the fireworks I believe we will have here with the election in America. Just kind of makes sense that the RV could kind of slip in under the radar somewhat without a lot of fanfare that Shabbibi originally talked about. I think Jan 1st is the best day of course but on or before Jan 6th is just kind of my thoughts! My birthday is Jan 8th so I would be fine with that Day too...lol

Well I like these dates much better than April 1st 

[yota691]

Parliamentary Finance: We have not yet received the budget and a parliamentary session in early 2021

•  Time: 12/25/2020 12:34:35
•  
•  Read: 3,822 times

  

{Baghdad: Al Furat News} The Parliamentary Finance Committee announced today, Friday, that it has not officially received the draft federal budget law for the next year 2021.

A member of the committee, Sherwan Mirza, said in a press statement, "The committee has not formally received the draft federal budget law yet."
Mirza said, "The parliament will hold a session at the beginning of next year to discuss the draft law," noting that "the version available to them is the leaked version that was circulated by the media."
Last Tuesday, a spokesman for the Federal Cabinet, Hassan Nazim, announced that the 2021 budget will be sent to the House of Representatives.
Ammar Al-Masoudi

[yota691]

Although the government voted on it 4 days ago, the 2021 budget has not yet arrived in Parliament!

Editing date: 25/12/2020 10:48 • 146 times read

http://www.alliraqnews.com/uploads/news/image/medium/story_img_5fe5993c3ad72.jpg

[Baghdad_in]
The Finance Committee in the House of Representatives confirmed, on Friday, that it did not officially receive the draft general budget bill for next year.

Committee member Magda Al-Tamimi said, according to the official agency, that "the Finance Committee has not yet officially received the draft budget for next year," noting that "the Central Bank is responsible for the exchange rate, and it is not the financial committee's authority to interfere with it."
Al-Tamimi added, "The Financial Committee seeks to reduce the effects of changing the exchange rate on the vulnerable classes of people with limited income," confirming that its committee seeks to increase social welfare allocations and the ration card items.
She pointed out that "there is a new mechanism presented regarding the ration card file, away from the current approved mechanism," indicating that "the new mechanism will protect the local product."
The Council of Ministers voted on the federal general budget for the fiscal year 2021, during the extraordinary session held on Monday, headed by Prime Minister Mustafa Al-Kazemi.

[Dinarrock]

3 hours ago, screwball said:

Well I like these dates much better than April 1st 

Yes and April 1st not Iraq’s fiscal year they go by the calendar year which is Jan 1st!!

[yota691]

Tomorrow ... Parliament receives the 2021 budget

Saturday 26 December 2020 74

 

  Baghdad: Ahmed Abd Rabbo

 

It is expected that the 2021 budget bill will reach Parliament tomorrow, Sunday, while Minister of Planning Khaled Battal Al-Najm confirmed that a large percentage of the deficit in the budget is hypothetical, and that the salaries of employees are insured about

Complete.

The Parliamentary Finance Committee intends to reduce the deductions for employees' salaries, while the House of Representatives needs between 20 to 30 days to pass the bill in light of a tendency to question Finance Minister Ali Allawi and Central Bank Governor Mustafa Ghaleb 

Scary.

It is reported that, last Thursday, the Prime Minister held a meeting with a number of heads of parliamentary committees, to discuss the budget in light of the current challenges, represented by the Corona pandemic and the financial crisis that accompanied it.

[yota691]

Parliamentary services reveal the details of their meeting with Al-Kazemi

Friday 25th December 2020 - 21:16

Baghdad - conscious - Muhammad al-Talbi

Today, Friday, the House Services Committee revealed the details of its meeting with Prime Minister Mustafa Al-Kazemi. 

Committee Chairman Walid Sahlani told the Iraqi News Agency (INA) that "the meeting was held with Al-Kazemi and the heads of the parliamentary committees, the Services Committee and the rest of the important sectoral committees regarding their primary role," noting that "the meeting was good, as Al-Kazemi presented the government's vision and the difficult challenges it went through And the biggest challenge is the economic crisis and its implications that require bold and courageous decisions, including the issue of foreign currency and its rise. " 

He pointed out that "the second aspect of the meeting explained in detail the general budget, how it was studied and reached what it has now reached in terms of ideas, including interest in the private sector and thinking of alternatives in order for the state administration to be successful and effective." 

Sahlani added that "the meeting also touched on the delay in ministerial projects that need follow-up and control," noting that "Al-Kazemi's directives stress the importance of parliamentary committees to be sectoral committees with most of the ministers who meet these committees with a focus on intensifying meetings between ministries and parliamentary committees," And also coordination with the Prime Minister's Office in order to develop solutions to some problems. "

He explained that "the meeting also discussed some basic laws, such as the Construction Council Law and its importance in supporting the national economy, and we proposed to it the completion of the levies in both the Capital Municipality and also the Roads Law," noting that "Al-Kazemi spoke clearly, and he said Iraq should be part of The world that we see when we visit those countries, and we see advanced methods in terms of maintenance, reconstruction and flow, since the roads represent the civilized face of the country. "

 

Al-Sahlani revealed, "An idea has been put forward in the Service Committee Law, which has read a first reading, and we will guarantee in the original law the issue of road investment and in cooperation with the private sector and creating a safe environment for investment, as well as talking about strategic infrastructure projects such as sewers, and loans and agreements must be activated." 

Regarding the budget for next year, Sahlani pointed out that "the meeting discussed how to put forward ideas or put in place the correct solutions, but on the condition that the budget is not emptied of its basic content because it was arranged according to existing economic data and these data represent challenges, including the huge increase in expenditures and a lack of imports and work to activate imports such as interest in the sector." Private, far from the previous budget processors, "noting that" the deputies stressed not to prejudice the salaries of employees. As for the higher and special ranks of certain agents and representatives, there will be a deduction and this is considered a contribution. "

Sahlani stated that "the meeting is a positive initiative by Al-Kazemi with the heads of the parliamentary committees, as it is the main engine of the House of Representatives. Rather, it is the one that legislates laws, remedies and follow-up of the implementation of laws." Sectoral, as it oversees reconstruction and services, and there must be meetings in the presence of the executive authorities and the prime minister, and put in place a mechanism for cooperation in order for us to proceed properly, and this matter we were missing in previous governments.

Earlier, Prime Minister Mustafa Al-Kazemi held a meeting with a number of heads of parliamentary committees on the draft federal budget bill for the fiscal year 2021. 

The media office of the Prime Minister said in a statement received by the Iraqi News Agency (INA), that "Al-Kazemi met with a number of heads of parliamentary committees, and during the meeting they discussed the federal general budget for the fiscal year 2021, which was approved by the Council of Ministers." 

He referred to "reviewing the economic and security conditions that are going through Iraq in light of the current challenges, represented by the Corona pandemic and the financial crisis that accompanied it, and stressing the need for government reforms, to put the country on the right path."

The prime minister explained, according to the statement, "the procedures and directives of government agencies on the path of reform and ways to overcome these crises, and the meeting was attended by a number of ministers and advisors."

[yota691]

Parliament prepares for the arrival of the 2021 budget law tomorrow, Sunday

 

- 12-26-2020 12:37 PM - Number of readings: 16792

Member of Parliament Alia Nassif suggested that the 2021 budget bill will arrive in Parliament tomorrow, Sunday.

Nassif explained that the size of the budget prepared by the government in the amount of 103 trillion dinars is exaggerated and indicates an incorrect construction, demanding that "the sums allocated to the Sunni and Shiite endowments be transferred to the industrial and agricultural sectors.

The House of Representatives needs between 20 to 30 days to pass the draft budget law in light of The presence of a tendency to question the Minister of Finance, Ali Allawi, and the Governor of the Central Bank, Mustafa Ghaleb.

[Nietta1646]

I’ll turn 75 on January 6 it would be the best present I have ever received.  I really enjoy and Appreciate all the info you guys post. THANK YOU!!!

[Artitech]

1 hour ago, Nietta1646 said:

I’ll turn 75 on January 6 it would be the best present I have ever received.  I really enjoy and Appreciate all the info you guys post. THANK YOU!!!

Happy Birthday! I hope you get the best present you have ever recieved, TOO! 🤠

[Half Crazy Runner]

2 hours ago, Nietta1646 said:

I’ll turn 75 on January 6 it would be the best present I have ever received.  I really enjoy and Appreciate all the info you guys post. THANK YOU!!!

Wishing you the best birthday ever!! 🥳

[kevnutz]

Buy the dip 🚀🚀🚀🚀🚀

[6ly410]

Representative economy: 70% of the Iraqi people will be affected by the raising of the dollar and the 2021 budget

Editing date: 12/26/2020 18:08 •http://www.alliraqnews.com/modules/news/article.php?storyid=105595

[Baghdad-Where]
The Parliamentary Economic and Investment Committee confirmed, on Saturday, that more than 70% of the Iraqi people from the poor and middle class will be affected by the government's measures to raise the dollar and draft the 2021 budget.

A member of the Economic Committee, Nada Shaker, said that "the government is supposed to send the draft budget for 2021 last October, but it sent it at the end of the year in a short time and full of errors."

She added that "more than 70% of the poor and middle class of the Iraqi people will be affected by the current crisis due to the increase in the price of the dollar and the 2021 budget." Dinar".

Shaker explained that "the poor class of the people cannot be held responsible for financial mismanagement and financial corruption," stressing that "adjustments will be made to the budget and reduced to ensure that employees' salaries are not compromised

[Nietta1646]

Thanks for the birthday wishes

[yota691]

Alia Nassif: Article 27 of the Budget Law is "unjust" and will be discussed in Parliament

Sunday 27 December 2020 61

 

 Baghdad: Abdul Rahman Ibrahim

 

Yesterday, Saturday, a member of the House of Representatives, Alia Nassif, suggested that the 2021 budget bill will arrive in Parliament today, Sunday, confirming that Article 27 is unfair and will take time for discussion and debates in Parliament.

Nassif said: "The volume of the budget prepared by the government, at 103 trillion dinars, is exaggerated and indicates an incorrect construction."

She added, "Article 27 of the draft law, which obliges the government to pay internal and external loans, including corporate dues, shows that there is no agreement between the center and the region, and we will return to the first square with the problem of the relationship between the center and the region." 

In the meantime, the deputy of the Saeron Alliance, Ali Saadoun, confirmed that Parliament will host Finance Minister Ali Allawi, in its first session next year, to discuss the reasons for raising the dollar exchange rate against the Iraqi dinar.

Saadoun said, in a press statement, that "the House of Representatives will investigate the exchange doors that were mentioned in the 2021 budget bill."

He added, "Many members of Parliament are not convinced of the move to raise the exchange rate, because this matter must be accompanied by measures to activate the local industry and reduce imported goods."

[6ly410]

SULAIMANI — Council of Representatives lawmaker Bahar Mahmoud said on Sunday (December 27) that the main reason for Iraq's economic crisis is corruption, which she argued has helped create the government's large budget deficit.

During an interview with NRT’s 90 Minutes program, Mahmoud, who represents the Change Movement (Gorran), said that the corruption that exists in central and southern Iraq is matched, if not exceeded, by that in the Kurdistan Region.

The government formation process in Iraq relies on a spoils system that brings most of the large parties and factions from across the country's three major ethno-religious blocs into government together, doling out ministerial positions in exchange for supporting the government.

In turn, the parties use these ministries and the government funding that comes with them to support a massive patronage system, where jobs and contracts are passed out to supporters. As a result, Iraq's budget and public sector workforce has grown year-on-year, as has spending.

In addition to corruption, Mahmoud also said that the decline in the price of oil and a lack of planning by the federal government were increasing the deficit, which will hit record levels under the 2021 Federal Budget Law should it pass.

On December 21, the federal Council of Ministers approved a draft of the budget law and sent it to the Council of Representatives, which should begin considering it next month.

Among the most controversial elements of the legislation is the devaluation of the Iraqi dinar, which is designed to protect dollar-denominated reserves, but will also cut the value of salaries and increase prices of imported goods.

Mahmoud said that devaluation of the dinar will help to manage the deficit issue, but that she hoped the government would put reforms into action as soon as possible.

(NRT Digital Media)