Parliament is looking to reduce the budget deficit and increase government income
The first 2023/05/09
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Haider Al-Jaber
First Deputy Speaker of Parliament Mohsen Al-Mandalawi called for the need to expedite the completion of the discussion and maturation of the draft general budget law, indicating that the Iraqi people of all sects are waiting for its approval, and will not excuse anyone in the event of its delay. This comes at a time when the Parliament’s Finance Committee continues to host ministers to discuss the budgets of their ministries. Parliamentary committees are looking for ways to reduce the budget deficit by reducing spending and increasing government income.
Al-Mandalawi chaired, at midnight yesterday, Sunday, a meeting of the Parliamentary Finance Committee, during which it hosted the Minister of Finance, Taif Sami, to discuss the draft federal budget law. He is waiting for the approval of the budget because it is directly related to his life, and he will not excuse anyone if it is delayed.
Al-Mandalawi called for "determining the appropriate measures to overcome the current obstacles and challenges to expedite the approval of the budget," stressing "the need to guarantee the financial dues of those with special grades for appointment, and to increase the share of the governorates to complete the lagging and strategic projects."
During the meeting, "the ministry's allocations for previous years were discussed compared to the current year, and the reasons for the increase in spending chapters such as grants, subsidies, and other expenditures, and social care," pointing to "the necessity of maximizing revenues such as taxes, real estate, collection service, and others."
For her part, the Minister of Finance reviewed the "spending chapters of the ministry," noting that "the volume of amounts within the chapters on indebtedness, interest, the Olympic Committee, and other chapters are not in favor of the Ministry of Finance," revealing that "a committee has been formed within the ministry to calculate the financial costs."
Interventions included, during the meeting, which lasted late Sunday night, on how to pay the foreign debt owed by Iraq and the ministry's procedures for replenishing the state's public treasury, in addition to estimating oil and non-oil revenues and the volume of revenues, accounts and the issue of free lecturers and contracts after
2/10/2019, the mechanism for including their allocations, appointing first graduates and holders of higher degrees, and UNHCR contracts, in addition to some contracts for which funds were not allocated.
The draft budget law suffers from a deficit of 30%, which constitutes the most important obstacle facing the adoption of the law, in addition to the fluctuation of oil prices, and the demand for a fair salary scale.
A member of the Economics Committee, Kazem Al-Fayyad, put forward several proposals to increase government income, criticizing the wrong collection policy that the Iraqi state is pursuing.
Al-Fayyad told Al-Sabah: “It is in the public interest to reduce the budget deficit by submitting proposals to reduce the deficit, and we have put forward many proposals in the House of Representatives and presented them to the Prime Minister.” He added that “the first aspect is the development and support of the agricultural sector, in addition to having Ministries collect money but demand budget allocations.
He continued, "Many government institutions have shops, garages, markets, and (Allawi) vegetables, in addition to providing administrative services such as vacations and taxes, and these imports do not enter the state treasury." He stressed that "oil imports in the budget amounted to 117 trillion dinars, while it amounted to Non-oil, only 20 trillion dinars,” warning of “a defect in the final accounts of each ministry.”
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