Saleh explains the reason for the rise in foreign dollar remittances and its impact on the national economy

Saleh explains the reason for the rise in foreign dollar remittances and its impact on the national economy

Saleh explains the reason for the rise in foreign dollar remittances and its impact on the national economyThe financial advisor to the Prime Minister, Mazhar Muhammad Salih, explained the reason for the increase in sales of foreign currency remittances {dollars}.

Saleh told Al Furat News Agency, “The phenomenon of increasing sales of foreign currency transfers is due to the results of the important change that occurred in the policy of the Central Bank of Iraq in dealing with foreign transfers and intervening in the monetary market through the transformation of the mechanisms for financing foreign trade for the private sector from the compliance platform to new mechanisms represented by strengthening the accounts of correspondents of Iraqi banks abroad in foreign currency at studied and sufficient levels that are consistent with the requirements for financing foreign trade for the private sector in foreign currency.”

He added, “After the compliance platform had previously rejected nearly 85% of foreign transfer requests during the past months, the policy of strengthening the accounts of Iraqi banks with their correspondents from solid international banks, as an alternative policy, has become so easy, simple and flexible that it has made the implementation of daily foreign transfer requests available and achieved through foreign correspondent banks directly without going through the platform, at a high rate of nearly 85% of the total demand for these daily foreign transfers.”

Saleh explained that “this high change in the flexibility of transfers has been reflected positively on the national economy, especially in the stability of the functions of supply and demand within the national economy in two directions, the first of which is {the supply side} and is represented by the availability of a wide supply of goods and services in the local market through flexible imports financed by the fixed official exchange rate of 1320 dinars per dollar.”

He explained that “the other direction is {the demand side}, which refers to the process of exchanging the Iraqi dinar for the dollar for the purposes of financing foreign trade through the transfers mentioned above, which means that meeting the demand for the dollar represents a direct meeting of the demand for (foreign goods, services and benefits) for the benefit of the local market.”
He pointed out that “meeting the demand for foreign currency represents an important pillar of the monetary policy of the Central Bank of Iraq, and achieving its operational objectives in confronting the levels of local liquidity surplus from the dinar and controlling them, which constitute what is called {surplus demand}, as this control over local liquidity represents a positive intervention by the Central Bank’s monetary policy in the money market and controlling the levels of that liquidity.”

Saleh continued, “This control leaves positive effects in achieving a balance between the real flow in the overall economy of goods, services and benefits and the monetary flow within the economy itself,” indicating that “such a balance between supply and demand achieves stability in the general level of prices and welds growth levels in inflation rates, which is positively reflected in the stability of the purchasing power of the dinar and the general monetary income.”

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Parliamentary Finance: Speculators continue to control the dollar

Parliamentary Finance: Speculators continue to control the dollar

714,000+ Dollar Stock Photos, Pictures & Royalty-Free Images ...Member of the Parliamentary Finance Committee, Mustafa Al-Karawi, confirmed today, Wednesday, that price speculators continue their suspicious trade by manipulating marketing prices and importing goods and commodities under the pretext of the rise in the price of the dollar.

Al-Karawi said in a statement to Al-Maalouma Agency, “Speculators continue their suspicious activities in manipulating incoming and outgoing goods to keep the dollar price high in local markets.”

He added, “There is no real system to control the exchange rate, and this chaos has caused speculators to control the dollar market,” noting that “they did not give any consideration to the Central Bank’s platform.”

Al-Karawi stressed the need to “unify efforts between the Central Bank, ports and customs to control goods and not allow speculators to control the dollar exchange rate.”

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The Withdrawal Trap.. Biden Will Implicate the Next President in the Thorny Iraq File

The Withdrawal Trap.. Biden Will Implicate the Next President in the Thorny Iraq File

The Withdrawal Trap.. Biden Will Implicate the Next President in the Thorny Iraq FileThe Washington Post newspaper considered that President Joe Biden’s plan for a military withdrawal from Iraq is a trap for the next US president, and may pave the way for a worsening crisis in the Middle East, while indicating that the withdrawal will mean Washington’s complete abandonment of the region and its surrender to Iran.

In 2021, President Joe Biden announced the end of the combat mission in Iraq, but left 2,500 American soldiers there and 900 soldiers in Syria to lead the international coalition against ISIS. But now, with only five months left in office, his administration is working with the government of Mohammed Shia al-Sudani on a plan to declare the end of that mission as well, and announce a timetable for bringing those forces home.

According to the report, there is a problem with Biden’s desire. Although he seeks to declare “mission accomplished,” it is not, and the follow-up plan is not close to completion. If Biden formally agrees to end the mission, he may pave the way for a worsening Middle East crisis that will be left at the feet of his successor (the next US president).

The Washington Post report indicated that “announcing the withdrawal of US forces, even with a two-year timetable, would indicate that the United States has completely abandoned the region at a time when allies are looking to Washington to increase deterrence against Iran.”

Worse still, according to the American newspaper, the agreement will weaken the ability of the international coalition countries to coordinate action to combat ISIS, and the departure of those forces will create a vacuum that will be filled by ISIS and Iran’s proxies.

Although the Iraqi leadership, led by Prime Minister Mohammed Shia al-Sudani, is publicly calling for the withdrawal of US forces, many Iraqi officials privately fear that such a move would cede Iraq to Iranian control, according to the Washington Post.

The American report stressed the need for the next American president to negotiate an agreement to follow up on the file with the Iraqi side, and if these negotiations fail, American forces will have to withdraw completely, as happened in 2008 after George Bush, who signed an agreement to withdraw all American forces from Iraq, then Barack Obama tried to reverse it but failed to negotiate an agreement to keep some forces there, and after three years, Obama ended up returning thousands of American troops to Iraq when ISIS seized an area of ​​land the size of Virginia.

According to the report, Biden views this move as part of his legacy, to be able to say: “I am the one who ended these endless wars.”

The report concluded by saying: “No one wants to see US forces remain in Iraq and Syria forever, but declaring the mission over does not make it so.

The report concluded by noting that ending “forever wars” is easier said than done. If the United States abandons its commitment to Middle East security now, it may have to learn this lesson the hard way again.

Shafaq.com

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Kirkuk gasoline puts cars and their owners in the hands of mechanics and repair shops

Kirkuk gasoline puts cars and their owners in the hands of mechanics and repair shops

Kirkuk gasoline puts cars and their owners in the hands of mechanics and repair shopsEvery day, dozens of car owners in Kirkuk Governorate suffer a great shock that puts them in the hands of mechanics, due to malfunctions affecting their cars, and they blame the cause on the type of gasoline provided by petroleum products in the governorate.

Citizens and car drivers complain about the poor quality of fuel (gasoline), which causes many damages and breakdowns to cars, especially during the summer, with the high temperatures. As for improved and super gasoline, it is good, but it is not suitable for people with limited incomes and taxi drivers, which pushes them to use regular gasoline or that poor local product.

Drivers complaints

The car owner, Samir Abdullah, stands in front of the car repair shop in the Karaj al-Shamal area in central Kirkuk, saying to Shafak News Agency, “My car is new and I am surprised by the recurring malfunctions in it. Within one week, I replace the parts that have broken down, especially what is known in the local market as the (vit pump), which is a filter that connects the gasoline passing towards the car engine. Each malfunction is repaired for about $60 to $100. Within one week, the malfunction affected the car and I lost about $200, and this is just for the materials.”

He added, “When the mechanic opens the place where the fault occurred, he finds dirty gasoline more than once, and this causes faults in the car as well as financial losses for the car owners. After replacing the damaged parts, I replaced the parts and put in improved gasoline. The car stabilized and returned to work well, but when the type of gasoline was changed to regular, the faults returned and we returned with it to the replacement workshop. Now I carry spare parts with me in the car, and wherever my car breaks down, I repair the fault after I gained experience in disassembling and replacing this part.”

A Toyota car owner named Ahmed Abbas told Shafaq News Agency, “The car is part of our daily life and the poor quality of gasoline has turned it into hell. Every day we visit the mechanic and put about $60 in his pocket for every breakdown and to replace the fuse pump because this part is considered the engine and the brain of the car and any poor quality of gasoline means a breakdown in the car, which is the heart of the car.”

He stressed that “the gasoline in the stations is of poor quality and petroleum products must be investigated and the reasons for the poor quality of gasoline in Kirkuk stations must be known. This does not mean that all gasoline is not good, as improved gasoline is of good quality, but the prices force the citizen and car owner to receive the regular gasoline product and malfunctions recur from time to time and the reason is gasoline.”

A workshop owner in the industrial area of ​​the northern garage, named Murad Muhammad, told Shafaq News Agency, “The frequent breakdowns that affect cars, especially the fuse pump, are due to gasoline and its poor quality. Dozens of car owners visit us daily and complain about the breakdowns, and I am like a doctor who diagnoses the case and then gives the treatment. We determine the cause of the breakdowns, open the car, take out the fuse pump, empty the gasoline in it, and see the dirt that appears to the eye. This is evidence that gasoline is the primary cause of breakdowns.”

He added, “The reasons for the poor quality of gasoline are primarily the product not conforming to the specifications produced in the refineries. In addition, there are stations that have not updated the old tanks that are decades old, and because they are underground, they become calcified and dirty, and then they move from the tank to the cars, causing them to malfunction, especially the fuse pump.”

He points out that “my workshop specializes in treating this disease, and one job costs between 30 and 60 dollars. If the breakdown is repeated, we help the car owner and do not take any labor fees from him. We only take the fees for the materials we change in the car so that the car is as it was and he returns it to us in a peaceful manner. Our work is known for its accuracy, honesty, and strong accomplishment, far from fraud and deception.”

Economic expert Ali Khalil told Shafaq News Agency, “Enhanced or high-octane gasoline is very different from regular gasoline, and it is natural that this affects the quality of the car’s performance,” noting that “the cost of high-octane gasoline is 1,200 dinars, so the government mixes it for economic reasons.”

He added, “Naphtha is one of the intermediate petroleum products obtained in the oil refinery. It is not considered a pure substance, but rather a mixture of several different fractions. Naphtha types are divided into two sections: light naphtha and heavy naphtha.”

Three stages of filtration

A responsible source in the Northern Products Department told Shafaq News Agency, “The gasoline product in Kirkuk goes through three stages of refining, starting with the refineries, warehouses and products, and then transporting it via tankers to the distribution stations. It is prepared from three refineries, which are Baiji refineries, Qaywan refineries and Dora refineries. We have the inspection and product monitoring department, where if the product does not conform to the specifications, the tankers are returned to the place from which they came.”

The source indicated that “there are three types of gasoline that entered Iraq after the operation of the Karbala refinery, which is Super gasoline with an octane rating of 95, and we gave it the green color so that the citizen can distinguish it from the other types.”

“The octane rating of improved gasoline ranges from 95 to 90, while the octane rating of regular gasoline is 85. There is a project to use liquid gas in vehicles, where the octane rating of liquid gas is 110, which is more than super, which is 95,” he added, noting that “the process of using liquid gas is more comfortable, less expensive, and less maintenance, and citizens should install systems to use liquid gas in their vehicles, which will reduce the costs of use and the quality of the product will be very high.”

The source concluded by saying, “Kirkuk today receives 1.6 million liters of gasoline per day, and the product conforms to specifications.”

Shafaq.com

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The Central Bank of Iraq supports the Real Estate Bank with two trillion dinars for housing loans

The Central Bank of Iraq supports the Real Estate Bank with two trillion dinars for housing loans

The Central Bank of Iraq supports the Real Estate Bank with two trillion dinars for housing loansThe Central Bank of Iraq announced, on Monday, that it would support the Real Estate Bank with two trillion dinars to secure housing loan amounts for citizens.

The bank stated in a statement received by Shafaq News Agency that it supported the liquidity of the Real Estate Bank to meet the requests of citizens applying to purchase units in residential complexes in all governorates, starting with ready-to-move-in units.

He added that an amount of 300 billion dinars was allocated to meet citizens’ requests to purchase floors outside the complexes, which had previously obtained the necessary approvals from the Real Estate Bank.

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Parliamentary Finance Committee prepares to question the Governor of the Central Bank of Iraq after the Arbaeen visit

Parliamentary Finance Committee prepares to question the Governor of the Central Bank of Iraq after the Arbaeen visit

Parliamentary Finance Committee prepares to question the Governor of the Central Bank of Iraq after the Arbaeen visitMember of the Parliamentary Finance Committee, Mustafa Al-Karaawi, revealed on Monday that a request was submitted to the Presidency of the Council of Representatives to set a date to question the Governor of the Central Bank of Iraq regarding several files, most notably the exchange rate of the dollar against the local currency.

Al-Karawi told Shafaq News Agency, “Members of the Parliamentary Finance Committee had previously submitted a request to the Speaker of the House of Representatives to question the Governor of the Central Bank, Ali Al-Alaq.”

He added, “The interrogation relates to several files, the most important of which are the dollar exchange rate, its sale to travelers, the currency buying and selling window, financial transfers abroad, cash financing, US sanctions, and negotiations with the US Federal Reserve.”

He stressed, “We were previously seeking to host the Governor of the Central Bank, but then a request was submitted by some members of the House of Representatives to question the Governor in the House according to legal procedures and to activate the oversight role to question government officials.”

Al-Karawi said, “After the Arbaeen visit, there will be a move to the Presidency of the House of Representatives to set a date to question the Governor of the Central Bank in Parliament.”

On August 8, Hadi Al-Salami, a member of the Parliamentary Integrity Committee, revealed that his committee had been following up for more than a year on the file of terminating the assignment of the Central Bank Governor, Ali Al-Alaq, from his position.

Al-Salami explained to Shafaq News Agency that the committee addressed the Prime Minister several times to pressure him to end Al-Alaq’s assignment, due to the existence of many violations against him.

He added that the government program announced by the Prime Minister when forming the government includes the necessity of ending the management of positions by proxy after six months of forming the government, noting that Al-Alaq is still managing the position by proxy without any action to cancel his assignment so far.

Al-Salami pointed out that there are many files and violations related to the Central Bank, which have been referred to the Integrity Commission and the Public Prosecution, indicating that these violations include issues related to the lack of control over the exchange rate in the market, in addition to millions of dollars and interest received by Arab and foreign banks, including Jordanian banks.

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Economic Achievements of Prime Minister Mohammed Al-Sudani: An Analysis of Non-Oil Revenue Growth in Iraq (2022-2024)

Economic Achievements of Prime Minister Mohammed Al-Sudani: An Analysis of Non-Oil Revenue Growth in Iraq (2022-2024)

Economic Achievements of Prime Minister Mohammed Al-Sudani - An Analysis of Non-Oil Revenue Growth in Iraq - 2022-2024Under the leadership of Prime Minister Mohammed Al-Sudani, Iraq has achieved significant growth in its non-oil revenues, rising from seven trillion Iraqi dinars to twenty-seven trillion dinars in two years. This remarkable increase indicates a strategic shift towards diversifying the economy and enhancing its stability.

This growth is attributed to several targeted economic reforms and initiatives:
Income and wealth tax revenues: Income tax revenues increased by 118%, reflecting the successful implementation of tax reforms and improved taxpayer compliance. This significant increase indicates an effective restructuring of the tax system and enhanced financial oversight.

Commodity tax revenues: Revenues from commodities increased significantly by 285%. This growth can be attributed to improved production techniques, expanded export markets, and strategic investment in the commodities sector.
Fee revenues doubled: Fees collected by the government increased by 50%, indicating enhanced organizational efficiency and better management of administrative processes. This growth underscores the government’s ability to improve revenue generation from various sectors.

Industrial and Agricultural Developments To sustain and support this revenue growth, the Iraqi government has focused on strategic investments and sectoral advancements:
Industrial expansion: Significant investments have been made in key industrial sectors, including fertilizer production, chemical manufacturing, and military equipment. These investments have not only expanded industrial capacity, but have also increased the sector’s contribution to GDP.

Agricultural progress: The government has expanded agricultural land from 5 million to 7 million acres. This expansion aims to boost local food production, enhance food security, reduce dependence on agricultural imports, and thus enhance the role of the agricultural sector in the economy.

Policy objectives and strategic directions

The federal budget reflects a strategic realignment to reduce the budget’s dependence on oil revenues from 95% to 80% of total revenues, and highlights a focus on balanced economic development and sustainability. Key policy thrusts include:
Promoting local industries: Efforts are underway to promote local pharmaceutical and iron and steel industries. By reducing reliance on imports and boosting domestic production, these initiatives aim to build a more self-reliant industrial base.
Developing the private sector: The government is working to promote private sector growth by establishing new manufacturing plants and supporting existing companies. This approach seeks to stimulate economic activity, create jobs, and foster innovation.
The administration of Prime Minister Mohammed al-Sudani has demonstrated a clear commitment to diversifying Iraq’s economic base and building a strong fiscal future. The significant increase in non-oil revenues reflects the success of these strategic initiatives and positions Iraq to promote economic stability and growth.

Economic Studies Unit / North America Office
Links Center for Research and Strategic Studies

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Iraqi Foreign Ministry announces postponement of announcement of end of international coalition military mission in Iraq due to recent developments

Iraqi Foreign Ministry announces postponement of announcement of end of international coalition military mission in Iraq due to recent developments

Iraqi Foreign Ministry announces postponement of announcement of end of international coalition military mission in Iraq due to recent developmentsThe Iraqi Ministry of Foreign Affairs responded on Thursday to statements made by the official spokesman for the US State Department. While announcing the postponement of the announcement of the end of the military mission of the international coalition in Iraq due to recent developments, it confirmed that there are no US forces in Iraq except for the advisors under the umbrella of the international coalition.

The ministry said in a statement received by Shafaq News Agency, “These advisors are included in the outcomes of the Supreme Military Committee’s work, and both parties are committed to the mechanisms followed and their outcomes.”

She explained that “the work of the Supreme Military Committee has focused over the past months on assessing the threat of ISIS with the aim of reaching a final date for ending the military mission of Operation Inherent Resolve. On this basis, the presence of international coalition advisors of all nationalities on Iraqi soil will be ended. These discussions included details that included the order of withdrawal of advisors from the sites, and all that remains is to agree on the details and date of the announcement and some other logistical aspects. We were very close to announcing this agreement, but due to recent developments, the announcement of the end of the international coalition’s military mission in Iraq was postponed.”

The Iraqi Foreign Ministry indicated that “the bilateral relationship with the United States in all areas, including the security relationship, is completely separate from the course of the relationship with the international coalition forces,” stressing that “this relationship existed before the coalition and will continue after it.”

She pointed out that “the Iraqi delegation discussed the future of the security relationship in the areas of training, armament, equipment and security cooperation, in light of what is permitted by the Iraqi constitution and the framework of the strategic agreement between Iraq and the United States.”

On Wednesday, July 31, 2024, the military spokesman for the Commander-in-Chief of the Iraqi Armed Forces, Mohammed Shia al-Sudani, reported on Wednesday that coalition forces had committed a “heinous crime and blatant attack” north of Babylon, pledging to take appropriate legal and diplomatic measures “to preserve rights.”

An American official said on Wednesday that his country’s forces targeted fighters in the Iraqi province of Babil with a defensive air strike who tried to launch drones that threatened American forces and the international coalition, resulting in the killing of four members of the Popular Mobilization Forces.

Negotiations between Baghdad and Washington resumed last February, with the adoption of a deliberate and gradual reduction, leading to the end of the mission of the international coalition forces to combat ISIS, according to official Iraqi statements, to be followed by two other rounds in March and April.

There are about 2,500 American soldiers in Iraq, as part of the international coalition led by Washington since September 2014. The soldiers are distributed across three main sites in Iraq: Ain al-Assad base in Anbar, Harir base in Erbil, and Camp Victoria adjacent to Baghdad International Airport. In addition to the American forces, there are French, Australian, and British forces operating within the coalition forces, and others within NATO in Iraq.

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Al-Sudani’s advisor: Iraq’s external debt does not exceed $9 billion

Al-Sudani’s advisor: Iraq’s external debt does not exceed $9 billion

Al-Sudanis advisor - Iraqs external debt does not exceed 9 billionThe financial advisor to the Prime Minister, Mazhar Mohammed Salih, confirmed today, Thursday, that Iraq’s external debts do not exceed 9 billion dollars.

Saleh said in a statement to Al-Rabia that “Iraq’s external debts that must be paid during the current decade do not exceed, in all cases, 9 billion dollars.”

He added that “the general budget provides sufficient annual allocations to service all debts, which means paying installments and interest, according to the nature of the debt, which is called debt amortization.”

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Al-Sudani announces from Karbala the readiness to launch the largest project to produce ten thousand megawatts of electricity

Al-Sudani announces from Karbala the readiness to launch the largest project to produce ten thousand megawatts of electricity

Al-Sudani announces from Karbala the readiness to launch the largest project to produce ten thousand megawatts of electricityPrime Minister Mohammed Shia Al-Sudani announced the government’s readiness to launch the largest project to produce (10) thousand megawatts of electric power.

Al-Sudani said in a speech at the launch ceremony of three electricity production projects in Karbala Governorate: “It is a strategic project in electrical energy, which will be implemented according to a new economic model and a new vision that will be announced to the private sector, after it has been studied by a team of consultants specializing in electricity.”

A statement from his media office stated that Prime Minister Mohammed Shia Al-Sudani launched the implementation works of three power station projects in the holy Karbala Governorate, which he arrived at today, Thursday, namely; the combined cycle of the Karbala gas station with a capacity of (132 megawatts), the Karbala investment solar energy station with a capacity of (300 megawatts), and the Karbala secondary transformer station 400 KV, with a capacity of (1500 megawatts).

During the ceremony, Al-Sudani announced the government’s readiness to launch the largest project to produce (10) thousand megawatts of electric power. It is a strategic project in electric power, which will be implemented according to a new economic model and a new vision that will be announced to the private sector, after it has been studied by a team of consultants and specialists in electricity.

Al-Sudani stressed, according to the statement, that the stability of energy sources is an encouraging factor for investment and development, and pushes for the development of sources of income by activating all other economic sectors, in addition to the ongoing work to improve the transportation and distribution sector, to deliver electricity service in a sustainable manner to the citizen, without it being a burden on the state and its financial budget.

He pointed out that the combined cycle projects and solar energy projects are part of the government’s plans to reform the electricity system, indicating that the launch of the solar energy project in Karbala and Babylon will continue with the rest of the governorates, which is happening for the first time in Iraq, stressing the importance of supporting the private sector, which represents a support for the government in facing crises, and he also stressed the special nature of the holy Karbala governorate, which is visited by millions of visitors throughout the year from inside and outside Iraq.

The Prime Minister appreciated all the efforts made along the route of the visitors commemorating the Arbaeen, stressing that the government’s work continues through its ministerial team, local governments and advisors, and the support of the members of the House of Representatives for the service, urban and economic program in all fields, which is what we have planned for from the beginning in all fields.

It is worth noting that the three station projects will achieve an increase in the production of electrical energy, as the combined cycle of the Karbala gas station contributes to adding (132) megawatts to the currently operating station, with a total design capacity of (250) megawatts, while the Karbala solar energy investment station project is one of several important contracts concluded by the government in the field of renewable energy projects with a number of specialized international companies, including signing a contract to implement a solar energy station with a private sector company with a capacity of (300) megawatts.

As for the Karbala Banks Secondary Station 400 KV, with a capacity of (1500) megawatts, it is being implemented within the second phase of the electrical energy transmission projects, under the contract with the German company Siemens, and it is the first transformer station of its kind in Karbala, and it will contribute to relieving bottlenecks in the network, which will raise the level of stability and meet the needs of the various sectors in the Middle Euphrates region.

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