Because of government corruption and the failure of the administration .. The official announcement

Because of government corruption and the failure of the administration .. The official announcement of (bankruptcy) Iraq soon!


Last updated: 25 March 2017 - 1:06 PM
BAGHDAD (Reuters) - Experts and experts on economic affairs warned of Iraq's bankruptcy in the coming years if its dependence on foreign borrowing remains to be met by closing domestic spending deficits, stressing that the government's continued policy of borrowing without resorting to productive sectors will push the country to the abyss. The Iraqi budget relies on 93% of the revenues from sales of crude oil and its derivatives, while the other sectors and taxes only 7% of the sources of financing the budget. The world oil prices are unstable and below the level of ambition despite the positive results of the OPEC agreement, Which led to making the economies of oil-dependent countries, including Iraq, unstable. According to economic expert Adel Mandalawi, the policy of external borrowing will push the country to the abyss. Mandalawi stressed that the continuation of the government this policy without the existence of effective solutions through which to maximize the resources of the state, Bankruptcies over the next 10 years and will pay future generations the price of confusion in the economic policy of the country.

Member of the Finance Committee Massoud Rustam, noted for his part that Iraq has oil wealth and great human capabilities have not been exploited correctly. He said in a press statement that the financial loans large economic costs because of the benefits borne by donor countries, and will have a negative impact on the Iraqi economy to He pointed out that the Iraqi government can manage the financial side out of the financial crisis. The member of the Finance Committee Ahmed Haji, he warned of the possibility of the inability of the Iraqi government to pay the debts owed to international organizations and countries that borrowed Iraq in the coming years. Head of Mission p The International Monetary Fund for Iraq, Christian Jos, revealed earlier on the rise of Iraq's debt by 64% in 2014 to 2016, while describing the loans at government banks as "distressed." As revealed by a member of the Finance Committee, Sarhan Ahmed, the withdrawal of the government about 40 billion dollars Of the Iraqi cash reserve. Otherwise, the cash reserve of foreign currency fell by half.

The International Monetary Fund has warned of the continued decrease in the size of the cash reserve of the hard currency of the Central Bank of Iraq because it will affect the Iraqi economy in general and the dinar in particular. The cash reserve of any country, the safety valve that provides the State hard currency for trading and import as well as provide a financial cover in case The revenues of the state do not meet their needs. Revenues are usually derived from oil, natural resources, industrial, agricultural or commercial production, and other revenues that provide funds for the annual financial budget. The manipulation of this reserve or withdrawing from it may "The government has another opinion. The spokesman of Prime Minister Saad al-Hadithi's office confirmed that the next four or five years will witness the advancement of the Iraqi economy by adopting a rational economic policy in the pressure of expenditure and diversion of various sources of income through The preparation of the "ambitious program," stressing at the same time that the loans obtained by Iraq will not bind the country debt and will not mortgage its economy because of the benefits of very easy and long repayment periods.

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