CBI

[CSTEP]

Baghdad, February 7 (Rn) – The Central Bank of Iraq on Monday that fiscal policy will impose its control over monetary policy in Iraq has been activated in case the Federal Court decision on linking the Central Bank of the government.

The head of the Central Bank of Iraq Shabibi through table economic meeting institution-term and was attended by the correspondent of news agency Kurdistan (Rn) that “fiscal policy will impose control strongly on monetary policy in Iraq, which plans to the Central Bank after it is activated the Federal Court decision No. 88 of 2010.”

He added that “the process of linking the Central Bank of the government administratively or financially Vstjolh prejudice his plans Balhvatz cash on the exchange rates of the Iraqi dinar.”

He Shabibi that “Alozvip core of the Central Bank is to maintain the level of the Iraqi dinar exchange and prevent the phenomenon of inflation in the Nile of the Iraqi economy.”

Noting there are “governmental institutions have little experience in managing the identified reserves of oil and daily exchange rates of the dinar and the system of financial payments.”

He explained that “the flaw is that may not be the one hand, and that the process of printing money and buying of the same, but there is supposed to be the Department of the Central Bank is completely independent of any government affiliation.”

Shabibi and that “the government and the Bank are complementary relationship and not break a relationship in order to be the announcement of the decision of the Central Bank of subordination to the government this is the recently launched”.

According to the constitutional article (103) First: Each of the CBI, the Financial Inspection Office, and the media and communications and Endowment bodies financially and administratively independent, and the law regulates the work of each of them.

Second: The Central Bank of Iraq responsible before the Council of Representatives and the Office of Financial Supervision Authority Media and Communications House of Representatives.

And warns many parts of the loss of Bank independence and subjected to political calculations like the rest of independent bodies covered by the latest court decision, but that the court decisions are conclusive and the necessity and can not be contested that the Constitution set out some of the bodies it is time to be attached to one of those.

For his part, Chancellor of the Central Bank the appearance of Mohammed Saleh during the table that “desires are achieved through the political manipulation of monetary policy much better than the manipulation of fiscal policy in accordance with the specific laws Mainip difficult to manipulate.”

He added that “Iraq will depend on the principle of governance, which means the complete separation of property between the government and administration, which is the central bank governor and the Board of Directors of the Bank.”

He pointed out that “governance based on the first two of them separate the expansion in spending and ease traffic and conversion and the second system to prevent the government formulating monetary policy.”

Saleh explained that “the Central Bank establish a relationship lasting partnership with the government in all the foundations and disclosure policy issue and not on the basis of administrative peremptory.”

He said the “bank has the coordination of a high with the government, especially that it is an important member of the Economic Commission of the nation, which includes the ministers of planning, oil and finance as he harmonious significantly in the management of the economic file in Iraq through the coordination of almost daily with the Ministry of Finance.”

The Central Bank was able to provide a safe umbrella of $ 50 billion to meet its needs in the capital of the local presence and international levels.

On the other hand describes an expert on legal and teaching at the University of Baghdad College of Law Hadi al-Maliki to read the legal raised during the symposium that “the Federal Court decision No. 88 of 2010 was ambiguous because it is over questionably some of the terminology of the Constitution, such as disengagement, control and subordination and other terms constitutional Articles 92 and 93 and 103 of the Iraqi constitution on independent bodies. ”

He pointed out that “the Federal Court by its decision to return and indicate the legal text is clear what the relationship between the CBI and other bodies with the Council of the Prime Minister.”

The text of the Iraqi constitution, passed in 2005 that the central bank is accountable to the House of Representatives only, the fact that the goals to be achieved is to build a stable financial system, reduce prices and fight inflation as well as the creation of stable conditions serve the financial security, and in the case of abuse, he is liable to account strictly before the House of Representatives .

In the opinion of several quarters, said the move reflected the desire of the Prime Minister to take control of the apparatus independent of, without paying attention to downside risks for the acquisition of greater power, at the time opposed to lists of political in which the most prominent of the Iraqi List and the Kurdistan Alliance, the idea of linking independent bodies the Council of Ministers of Iraq and prepared by the excess of the National Alliance on the Iraqi constitution being issued with the strong support of the latter.

And anticipate the Supreme Judicial Council Votes objectors to the Federal Court decision that committed all the political blocs to the decisions of that court is not permissible to object to any of them.

LINK

[VIZIOIRAQI]

Wheres the Link ?

[RNLA]

This translation is confusing to me. Does anyone understand it well enough to summarize key points?

[CSTEP]

The part that I found most interesting ===== The Central Bank was able to provide a safe umbrella of $ 50 billion to meet its needs in the capital of the local presence and international levels.

[wildmountain]

There is a post on another site that touched on this. It's a little disturbing to me. I couldn't really figure out exactly what it meant. You are right, the translation is horrible. I will be watching this one. Hope someone can put a positive spin on it.

[JuryPicker]

There is a post on another site that touched on this. It's a little disturbing to me. I couldn't really figure out exactly what it meant. You are right, the translation is horrible. I will be watching this one. Hope someone can put a positive spin on it.

How could it be disturbing to you if don't know what it means? M.E. countries are experts at confusion.

[leola]

I think this is shabibi,voicing his objection to the recent court decision,,,linking the cabinet to ,,,and or subordinating the CBI,,,to the cabinet....He goes on to say that the cabinet is connected to high gov officials,,,who are involved in oil for dollars and not having sufficient knowledge to maintain the regulation fo inflation,...In general he is pissed !!!!!! M ALIKI IS RIDING HURD ON HIM.....

Problems within gov.....

If CBI is kept separate from gov ,,,,FDI is protected against any claims until june (umbrella)....

[hammy]

First I can't find a link or news article on Shabibi or c.b.i. anywhere that is recent. After translating the translation, basically The control of the bank is being questioned. Maliki is questioning the Constitution and what it means and trying to control C.B.I. more or less himself. That's not so good, can you say dictator? Shabibi is right.

According to the constitutional article (103) First: Each of the CBI, the Financial Inspection Office, and the media and communications and Endowment bodies financially and administratively independent, and the law regulates the work of each of them.

Second: The Central Bank of Iraq responsible before the Council of Representatives and the Office of Financial Supervision Authority Media and Communications House of Representatives.

You need to read article 103 to understand it more. (Google Iraqi Constitution) The part that jumped off of the article to me was here

He added that “the process of linking the Central Bank of the government administratively or financially Vstjolh prejudice his plans Balhvatz cash on the exchange rates of the Iraqi dinar.”He Shabibi that “Alozvip core of the Central Bank is to maintain the level of the Iraqi dinar exchange and prevent the phenomenon of inflation in the Nile of the Iraqi economy.”

This is mostly old news that has been posted already in the news section days ago. Not to threatening, nothing I would worry about.