[size=36]We will die of hunger, not the virus. Report: The Iraqi economy collapses with a double blow[/size]
Political | 10:29 - 05/05/2020
[You must be registered and logged in to see this image.]
[You must be registered and logged in to see this link.]
[You must be registered and logged in to see this link.]
Baghdad - Mawazine News
, a report of the Washington Post reported that the Iraqi economy is collapsing due to the double strike of low oil prices and government-imposed closures due to the outbreak of the new Corona virus, as the entire country stands on the brink of disaster.
The newspaper stressed that the outbreak of the epidemic led to a decline in global oil prices and oil revenues that keep Iraq alive, and then came the second blow by announcing the closing procedures that destroyed livelihoods and put some families under the poverty line and in the cycle of hunger.
She hinted that this crisis is not a result of today, but formed over the past years, due to corruption, the politicians' preoccupation with their interests and the accumulation of their wealth.
As a result of the embargo, millions of Iraqis who live in daily jobs have become stuck in their homes and unable to feed their families.
Hossam Al-Qaisi, a taxi driver, who lives in a narrow house in the Al-Bunwak neighborhood of Baghdad, who rented it with the money of his borrower, confirmed that it was difficult for him to get food.
Al-Qaisi, 29, said: "This year was really bad, if things continue this way, we will die of hunger, not the virus."
He added that he used to work two jobs before the start of the closure, a free taxi driver in addition to his work with the "cream" delivery company, but now he does not earn anything, saying: "Since the curfew began, I can barely get basic food for my family."
The collapse of oil prices
Meanwhile, the epidemic reduced the demand for oil. Just a few months ago, about 90 percent of the country's 2020 temporary budget was expected to come from oil exports, with the price calculated at $ 56 a barrel.
But as economies stalled, oil revenues fell to their lowest level in a decade, according to figures published by the Iraqi Oil Report.
For his part, said Ahmed Tabakli, chief investment officer at the Asia Frontier Capital Fund for Iraq "AFC": "I think the next two months will be very terrifying for everyone."
In the political system of Iraq after 2003, power is distributed among the various ethnic and religious groups, and each party seeks to exploit state resources, especially in government jobs, to develop large-scale patronage networks, until the result has become an enlarged public sector, depleting an estimated 50 billion dollars every year for salaries and benefits alone, and they constitute the majority of the state budget.
He pointed out that even before the outbreak of the coronavirus, the Iraqi government was facing multiple crises, the most important of which was the escalation of violence between armed factions and American forces, and the attempt by ISIS to return again, in addition to isolating former Prime Minister Adel Abdul-Mahdi in the largest demonstrations in the country.
Although the street has calmed down a little due to the epidemic, the problems that prompted tens of thousands of young men and women to protest remain unresolved, led by the high rate of unemployment.
Salary cut for
his part, the Jeffreys Institute for Financial Services estimated that Iraq would need external financing of about $ 40 billion in 2020, and while foreign governments and international institutions such as the International Monetary Fund are ready to provide support, their contribution alone will not be sufficient to provide this amount, Alia Moubayed, managing director of fixed income strategy at Jeffreys.
According to the ovary: "Iraq is greater than that borne by the donor community, the Iraqis will need to rely on themselves through measures to adjust the financial painful, reduce the size of government, and perhaps weakening more currency to reduce the rapid erosion of its foreign exchange reserves" .anthy 29 / A 43
The Iraqi officials begin to feel concerned From the fact that the worsening economic crisis in the country could push more demonstrators to the streets in the coming months as the summer temperatures rise and the supply of electricity and water falters, as they have done repeatedly in recent years.
Although Iraqi officials say they are studying proposals to strengthen the country's financial position by reducing public sector salaries, experts say it is unlikely the government will make sweeping changes in the short term.
As for the solution to this crisis, Nabil Jaafar, an economist in Baghdad, stated: "The only solution is to reduce the salaries of employees, but reducing these salaries will have catastrophic results," in addition to achieving economic reviews, and this will not happen unless politicians give up favoritism, the most important A vital source of their popular standing.
According to government officials, the controversy surrounding salary cuts revolves around who will reduce his salary and how much, and the salaries of public sector workers are usually supplemented by additional payments, individual compensation for travel or family expenses, and these additional payments have increased from $ 3.8 billion in 2005 to $ 36 billion Dollars today, according to a study by the London School of Economics.
In turn, Abdul Hussein Al-Hanin, advisor to the interim Iraqi Prime Minister, Adel Abdul-Mahdi, confirmed that there is a program to cut all government employees, and that the most important cuts will be on the salaries of employees and other senior officials. Ended 29 / A 43
, a report of the Washington Post reported that the Iraqi economy is collapsing due to the double strike of low oil prices and government-imposed closures due to the outbreak of the new Corona virus, as the entire country stands on the brink of disaster.
The newspaper stressed that the outbreak of the epidemic led to a decline in global oil prices and oil revenues that keep Iraq alive, and then came the second blow by announcing the closing procedures that destroyed livelihoods and put some families under the poverty line and in the cycle of hunger.
She hinted that this crisis is not a result of today, but formed over the past years, due to corruption, the politicians' preoccupation with their interests and the accumulation of their wealth.
As a result of the embargo, millions of Iraqis who live in daily jobs have become stuck in their homes and unable to feed their families.
Hossam Al-Qaisi, a taxi driver, who lives in a narrow house in the Al-Bunwak neighborhood of Baghdad, who rented it with the money of his borrower, confirmed that it was difficult for him to get food.
Al-Qaisi, 29, said: "This year was really bad, if things continue this way, we will die of hunger, not the virus."
He added that he used to work two jobs before the start of the closure, a free taxi driver in addition to his work with the "cream" delivery company, but now he does not earn anything, saying: "Since the curfew began, I can barely get basic food for my family."
The collapse of oil prices
Meanwhile, the epidemic reduced the demand for oil. Just a few months ago, about 90 percent of the country's 2020 temporary budget was expected to come from oil exports, with the price calculated at $ 56 a barrel.
But as economies stalled, oil revenues fell to their lowest level in a decade, according to figures published by the Iraqi Oil Report.
For his part, said Ahmed Tabakli, chief investment officer at the Asia Frontier Capital Fund for Iraq "AFC": "I think the next two months will be very terrifying for everyone."
In the political system of Iraq after 2003, power is distributed among the various ethnic and religious groups, and each party seeks to exploit state resources, especially in government jobs, to develop large-scale patronage networks, until the result has become an enlarged public sector, depleting an estimated 50 billion dollars every year for salaries and benefits alone, and they constitute the majority of the state budget.
He pointed out that even before the outbreak of the coronavirus, the Iraqi government was facing multiple crises, the most important of which was the escalation of violence between armed factions and American forces, and the attempt by ISIS to return again, in addition to isolating former Prime Minister Adel Abdul-Mahdi in the largest demonstrations in the country.
Although the street has calmed down a little due to the epidemic, the problems that prompted tens of thousands of young men and women to protest remain unresolved, led by the high rate of unemployment.
Salary cut for
his part, the Jeffreys Institute for Financial Services estimated that Iraq would need external financing of about $ 40 billion in 2020, and while foreign governments and international institutions such as the International Monetary Fund are ready to provide support, their contribution alone will not be sufficient to provide this amount, Alia Moubayed, managing director of fixed income strategy at Jeffreys.
According to the ovary: "Iraq is greater than that borne by the donor community, the Iraqis will need to rely on themselves through measures to adjust the financial painful, reduce the size of government, and perhaps weakening more currency to reduce the rapid erosion of its foreign exchange reserves" .anthy 29 / A 43
The Iraqi officials begin to feel concerned From the fact that the worsening economic crisis in the country could push more demonstrators to the streets in the coming months as the summer temperatures rise and the supply of electricity and water falters, as they have done repeatedly in recent years.
Although Iraqi officials say they are studying proposals to strengthen the country's financial position by reducing public sector salaries, experts say it is unlikely the government will make sweeping changes in the short term.
As for the solution to this crisis, Nabil Jaafar, an economist in Baghdad, stated: "The only solution is to reduce the salaries of employees, but reducing these salaries will have catastrophic results," in addition to achieving economic reviews, and this will not happen unless politicians give up favoritism, the most important A vital source of their popular standing.
According to government officials, the controversy surrounding salary cuts revolves around who will reduce his salary and how much, and the salaries of public sector workers are usually supplemented by additional payments, individual compensation for travel or family expenses, and these additional payments have increased from $ 3.8 billion in 2005 to $ 36 billion Dollars today, according to a study by the London School of Economics.
In turn, Abdul Hussein Al-Hanin, advisor to the interim Iraqi Prime Minister, Adel Abdul-Mahdi, confirmed that there is a program to cut all government employees, and that the most important cuts will be on the salaries of employees and other senior officials. Ended 29 / A 43
[You must be registered and logged in to see this link.]
Today at 8:24 am by Rocky
» utube 6/3/24 MM&C IQD Update-Iraq Dinar-Accelerate- Digital-Financial-Banking Reforms-Best Budget
Today at 8:14 am by Rocky
» utube 6/4/24 MM&C IQD Update-Iraq Dinar-2024 Budget Passed-Gazzette-Timing-197 Companies Cease Dol
Today at 8:13 am by Rocky
» The Central Bank explains the “fiscal control” mechanism contained in the budget
Today at 6:42 am by Rocky
» The path to development...Iraq's economic gateway and its point of stability
Today at 6:40 am by Rocky
» Announcing the establishment of the Iraqi-French Business Council on the sidelines of the Iraqi-Fren
Today at 6:36 am by Rocky
» The coordination framework reveals the latest developments in the election of a new Speaker of the H
Today at 6:34 am by Rocky
» In a “quick” session... Parliament votes on the 2024 budget, and controversy accompanies three parag
Today at 6:32 am by Rocky
» Minister of Construction regarding encroachment on service projects: How can a citizen destroy his p
Today at 6:30 am by Rocky
» Thousands of workers are dissatisfied after being laid off from work due to investment in agricultur
Today at 6:29 am by Rocky
» A different vision for the budget schedules presented by an economic coalition
Today at 5:13 am by Rocky
» Where is the danger in budget tables? An economist breaks it down
Today at 5:12 am by Rocky
» A parliamentary movement for justice for 20,000 employees in state institutions
Today at 5:09 am by Rocky
» Between Al-Halbousi and the leaders... new disputes undermine progress in Baghdad
Today at 5:08 am by Rocky
» An economist confirms the possibility of Iraq entering the field of investment in oil derivatives
Today at 5:07 am by Rocky
» A parliamentary question about the fate of 57 trillion dinars in the 2023 budget
Today at 5:06 am by Rocky
» High central bank sales in the currency auction
Today at 5:04 am by Rocky
» Al-Halbousi's party is conditioning the change of Al-Mashhadani on political dialogues
Today at 5:01 am by Rocky
» Involved in wasting more than 6 billion dinars.. Iraq recovers a health official from Belarus
Today at 5:00 am by Rocky
» Finance Committee after voting on the budget tables: There is financial abundance for the governorat
Today at 4:59 am by Rocky
» Detailing the “secrets” of the budget...the increase in the value of salaries for 5 ministries, and
Today at 4:58 am by Rocky
» Bitcoin exceeds $70,000
Today at 4:57 am by Rocky
» 3 gains behind extending the oil production reduction agreement until the end of 2025
Today at 4:55 am by Rocky
» Parliament Finance clarifies... What is the fate of contract employees in the 2024 budget?
Today at 4:54 am by Rocky
» The Retirement Authority announces the disbursement of end-of-service benefits to more than 6,000 pe
Today at 4:53 am by Rocky
» Iraq exports more than 7 million barrels of crude oil and its derivatives to America in a month
Today at 4:53 am by Rocky
» Approving 36 service projects and referring them for implementation in an Iraqi governorate
Today at 4:52 am by Rocky
» Nearly 80 trillion dinars disappear from the 2022 and 2023 budget.. Deputy: “No one knows where it w
Today at 4:51 am by Rocky
» Kuwait: Three countries, including Iraq, pledged to fully adhere to the OPEC+ agreement
Today at 4:50 am by Rocky
» What is the truth about there being a parliamentary tendency to challenge the budget schedules?
Today at 4:49 am by Rocky
» By land: An Iraqi aid convoy launches to relieve the people of Gaza
Today at 4:48 am by Rocky
» Al-Sudani: Voting on the budget supports the government’s work
Today at 4:46 am by Rocky
» Arbitrage
Today at 4:44 am by Rocky
» More than 12 million bank accounts to date
Today at 4:42 am by Rocky
» Marketing of a new kind
Today at 4:41 am by Rocky
» Government initiatives to support the economy and increase development rates
Today at 4:40 am by Rocky
» Parliamentary Finance clarifies the details of the 2024 budget after voting on it
Today at 4:38 am by Rocky
» A deconstructive look at the budget tables: 5 ministries and a body whose salaries increased... and
Today at 4:37 am by Rocky
» What is the truth about the existence of a parliamentary tendency to challenge the budget schedules?
Today at 4:36 am by Rocky
» The Election Commission approves the distribution of seats in the Kurdistan Regional Parliament (doc
Today at 4:35 am by Rocky
» Kurdistan is “optimistic”... What does the “speed” in approving the budget schedules indicate?
Today at 4:34 am by Rocky
» For the second day in a row...the dollar continues to rise in the local market
Today at 4:33 am by Rocky
» The Central Bank of Iraq stops 200 companies from dealing in dollars
Today at 4:32 am by Rocky
» The most prominent of which is the amount of funds. Planning determines the criteria for accepting a
Today at 4:30 am by Rocky
» With new searches, Labor announces the arrest of more than 40,000 people who exceeded their benefits
Today at 4:29 am by Rocky
» Al-Sudani congratulates the approval of the budget and reiterates the progress of implementing the g
Today at 4:28 am by Rocky
» Petroleum Products: Liquid gas for automobiles is a high purity and environmentally friendly fuel
Today at 4:26 am by Rocky
» Media and Communications: Iraq is committed to achieving the highest standards of cybersecurity
Today at 4:24 am by Rocky
» The Minister of Immigration participates in a high-level regional meeting to strengthen the fight ag
Today at 4:23 am by Rocky
» The Minister of Communications announces the imminent trial launch of the electronic signature proje
Today at 4:22 am by Rocky
» UNDP representative from Baghdad: We are committed to keeping pace with anti-corruption efforts
Today at 4:21 am by Rocky
» Agriculture announces a reduction in the diversion of smuggled products to local markets
Today at 4:20 am by Rocky
» After approving the 2024 budget schedules... good news for employees, retirees, and students
Today at 4:19 am by Rocky
» After a difficult struggle... the budget tables acknowledge and parliamentary pessimism weakens the
Today at 4:17 am by Rocky
» Human Rights Watch: Iraq is “failing” to implement its laws.. Where do the quotas for hiring people
Today at 4:15 am by Rocky
» Rapid deterioration in oil prices within hours
Today at 4:14 am by Rocky
» New parliamentary statistics on drugs in Iraq: 18 million pills seized annually
Today at 4:12 am by Rocky
» Deleting 3 paragraphs.. The secrets of the budget tables oppress the governorates
Today at 4:09 am by Rocky
» Parliament announces the end of its legislative term
Today at 4:08 am by Rocky
» After approving the budget... Al-Sudani sends a message
Today at 4:07 am by Rocky
» Comment from the Parliamentary Legal Committee regarding the appeal of the budget schedules
Today at 4:05 am by Rocky
» Lucy in the Sky with Diamonds
Yesterday at 3:39 pm by wciappetta
» Al-Sudani: Iraq has an opportunity to possess an advanced and economically successful industry
Yesterday at 10:35 am by Rocky
» Latest information about the “Theft of the Century” case
Yesterday at 10:34 am by Rocky
» External praise for Iraqi banks: very advanced in electronic banking services
Yesterday at 10:30 am by Rocky
» Inside a well... creating a “cheap” technology to convert natural gas into hydrogen
Yesterday at 10:28 am by Rocky
» Abdullah chairs the Parliamentary Finance Committee meeting regarding the budget schedules
Yesterday at 10:27 am by Rocky
» What is the justification for “disrupting important laws” in the House of Representatives?
Yesterday at 10:25 am by Rocky
» After passing the schedules, extraction companies are preparing to escalate in response to their tra
Yesterday at 10:24 am by Rocky
» Parliamentary Finance clarifies the details of the 2024 budget after voting on it - urgent
Yesterday at 10:23 am by Rocky
» A representative sets priorities for the 2024 budget schedules and confirms: salaries are secured
Yesterday at 10:21 am by Rocky
» Exceeding 550 billion dinars...petroleum products reveal their sales via electronic payment during M
Yesterday at 10:19 am by Rocky
» European Union: We cooperate with the United Nations to enhance transparency in Iraq
Yesterday at 10:17 am by Rocky
» Parliamentary Finance confirms its vote on the budget tables
Yesterday at 10:13 am by Rocky
» In numbers...each governorate’s shares from the 2024 budget (exclusive documents)
Yesterday at 10:11 am by Rocky
» Parliament votes on the budget schedules
Yesterday at 10:10 am by Rocky
» Globalists suffer big upset in Geneva; WHO chief urges aggressive crackdown on 'global pandemic agre
Yesterday at 10:08 am by Bama Diva
» Report: Saudi Arabia is trying to get closer to the Shiites of Iraq
Yesterday at 9:41 am by Rocky
» Parliament holds its session in the presence of 199 deputies
Yesterday at 9:40 am by Rocky
» Attempts to pass the 2024 budget “without amendment”.. and a representative raises a question: What
Yesterday at 9:04 am by Rocky
» Al-Mamouri: The Finance Committee added 2 trillion dinars to the 2024 budget for this purpose
Yesterday at 9:03 am by Rocky
» A different percentage than the government... Parliament’s finances reveal the size of the budget, i
Yesterday at 9:02 am by Rocky
» utube 6/1/24 MM&C IQD Update-Iraq Dinar-HoR under a gun - Monday 3:00 PM Baghdad Vote
Yesterday at 6:00 am by Rocky
» Ports: We will receive Al-Faw Port in October and it will be managed by a professional international
Yesterday at 5:59 am by Rocky
» Hanoun: We intend to draw up a six-year national strategy to combat corruption based on digitalizati
Yesterday at 5:57 am by Rocky
» Trump: If I return as president, I will fire generals and reveal the secrets of the September 11 att
Yesterday at 5:53 am by Rocky
» Al-Karaawi: America does not want Iraq to complete the port of Lavao
Yesterday at 5:51 am by Rocky
» Al-Tamimi: The Sudanese did not ask the Americans to leave... and by God, he cannot expel them
Yesterday at 5:49 am by Rocky
» Parliamentary Transport reduces the importance of the Kuwaiti Mubarak Port
Yesterday at 5:48 am by Rocky
» The representative believes that it will be difficult to pass the budget schedules today for several
Yesterday at 5:47 am by Rocky
» Al-Faw port: Iraqi insistence and Kuwaiti envy
Yesterday at 5:46 am by Rocky
» Sudanese directs to work with maximum efforts to provide the necessary fuel for electric power produ
Yesterday at 5:43 am by Rocky
» OPEC Plus forces Iraq to reduce 650 thousand barrels per day
Yesterday at 5:42 am by Rocky
» Parliamentary Energy attacks the Ministry of Electricity: Be honest with the people instead of “fake
Yesterday at 5:41 am by Rocky
» 83 Iraqi government departments cancel the “paper” breast health system
Yesterday at 5:40 am by Rocky
» Electricity renews its vows: Energy production in the summer of 2024 will be the best
Yesterday at 5:39 am by Rocky
» It includes international agencies...preparing to open the largest mall in an Iraqi governorate
Yesterday at 5:38 am by Rocky
» Nineveh complains of its lack of allocations in the 2024 budget: 400 billion is not enough
Yesterday at 5:37 am by Rocky
» A slight increase in the price of the “green currency”... recording 145,250 dinars for every 100 dol
Yesterday at 5:35 am by Rocky