IMF approves $741 million disbursement to Iraq

[carlablum]

IMF approves $741 million disbursement to Iraq

Reuters

Reuters - 30 minutes ago

WASHINGTON, Oct 1 - The International Monetary Fund on Friday approved a disbursement of $741 million to Iraq under the country's $3.7 billion IMF loan program.

So far, the IMF has disbursed $1.2 billion to the Iraqi government under the loan, which was approved on Feb. 24. to help the economy cope with lower global oil prices.

The IMF commended Iraq for maintaining macroeconomic stability in the face of difficult security conditions.

"Iraq has continued to make good progress in rebuilding key economic institutions and maintaining macroeconomic stability, under very difficult circumstances," IMF Deputy Managing Director Naoyuki Shinohara said in a statement.

The Fund's optimism about improvements in Iraq's economy came as government data on Friday also showed that war casualties had fallen sharply in September from the previous month. [nANW154592]

Based on conservative assumptions for oil prices and exports, the IMF said the budget was likely to swing back into surplus in 2012 following two years of budget shortfalls.

"The 2011 budget will need to be consistent with the goal of achieving medium-term fiscal sustainability and be based on conservative assumptions for oil prices and volumes," Shinohara said.

He said containing current spending would leave space for further investment, while more emphasis on improving the quality of spending and rebuilding public infrastructure will help bolster economic growth.

http://sg.news.yahoo.com/rtrs/20101001/tbs-imf-iraq-955c2a1.html

[dlbfilm]

Go IMF.... no Go RV....

[racbluto]

If this is true, it seems like the IMF has no plan for the dinar to RV. Otherwise why would Iraq need this loan. Maybe I am reading this wrong but it doesn't look good for us. Hard to believe that the IMF would be involved in misinformation to provide a smoke screen for the real plan. Or maybe this loan is to better support there foreign currency reserves for revaluation soon to come. Who knows? I would like to hear the opinions of the folks here that know much more than me. Bluto

[Danneedsrvnow]

If this is true, it seems like the IMF has no plan for the dinar to RV. Otherwise why would Iraq need this loan. Maybe I am reading this wrong but it doesn't look good for us. Hard to believe that the IMF would be involved in misinformation to provide a smoke screen for the real plan. Or maybe this loan is to better support there foreign currency reserves for revaluation soon to come. Who knows? I would like to hear the opinions of the folks here that know much more than me. Bluto

Good question........I have wondered this myself many times!

Hopefully it will be answered!!!

[Butifldrm]

I was looking into IMF documents and found these words very interesting, the entire document is a great read, but the words revaluation accounts ,in the portion of this document I have copied below seem very interesting. It's almost like they have revaluation accounts may be seperate from their budget needs. JMO

7. Net domestic assets of the CBI include (i) net claims on the general government,

comprising of gross claims on the general government minus general government domestic

and foreign currency deposits at the CBI; (ii) gross claims on commercial banks;

(iii) monetary policy instruments, including dinar and foreign currency denominated term

deposits and CBI bills; and (iv) gross claims on non-bank, non-government entities. For the

purpose of this arrangement, net domestic assets of the CBI excludes other items net,

comprising of net fixed and other assets, minus revaluation accounts and capital and reserve

accounts. As of end-December 2009, net claims on the general government amounted to

ID 2,740 billion; gross claims on commercial banks stood at ID 4 billion; monetary policy

instruments amounted to ID -3,988 billion; and gross claims on non-bank, non-government

entities were nil, resulting in a stock of the CBI’s net domestic assets of ID -1,243 billion. As

of end-December 2009, OIN amounted to ID -1,040 billion. The program ceilings of the net

domestic assets of the CBI are reported in Table 1.

http://www.imf.org/e.../irq/020810.pdf

[Chief V]

Sounds like one for Scooter.......

[VIZIOIRAQI]

Sounds like one for Scooter.......

poor man I am staring to feeel sorry for him give him alittle time please amen!!!

[mi17mech]

If this is true, it seems like the IMF has no plan for the dinar to RV. Otherwise why would Iraq need this loan. Maybe I am reading this wrong but it doesn't look good for us. Hard to believe that the IMF would be involved in misinformation to provide a smoke screen for the real plan. Or maybe this loan is to better support there foreign currency reserves for revaluation soon to come. Who knows? I would like to hear the opinions of the folks here that know much more than me. Bluto

IMO I think that this a good thing that they gave the loan. So when this all happens they are already indet to the IMF. So the IMF has more control of the money when they do.

Just my Thinking

[Danneedsrvnow]

Scooter.........what's your take on this????

[cgbrown]

Oh, Scooter , where are you??? We need a little help over here!!!