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لأحد 23 شباط 2020
Abdul Hussein Al-Hanin *
In the previous article (Financial Framework Agreement with China and the establishment of Iraq Holding Company) we talked about developing a regulatory structure to implement major infrastructure projects that are supposed to be financed through the Financial Framework Agreement with Sinoshore, and the goal is to ensure the maintenance of These projects are maintained and not tampered with and ensure the recovery of funds from them through the fees of their use or any other type of collection.
We suggested that a holding company (Shares Holding Company) should include all these projects and that part or all of its shares belong to the people to ensure an important political and social goal that unites Iraqis on common interests so that any project has different Iraqi citizens in sub-identities and from the provinces. Different but they agree on partnership and profit where nationalism, religion, sect, history, geography in interests and project boards and waiting for the distribution of profits at the end of each year, which is a good opportunity to discover the experiences and competencies that determine success by financial and social profitability for each Project instead of the current title and paper certificate criteria. As a result of the interest of some of the brothers in the previous article who contacted me and asked to write a special article about the holding company in more detail, I am the one who is asking now and I hope to be successful in what I write.
Iraq Holding Company, which we call to establish to be an organic complement in the management and financing of infrastructure projects financed by the Iraq-China Joint Reconstruction Fund and a large financial addition through the Ipo is in fact a company (um) must reach its share in each project (Port of Fao or Highway highway for example ( a measure of shares will be enough to ensure control and control of the boards of project management (subsidiaries) and determine the policies to which each project is committed in order to provide the best service to the community and achieve the best profitability for the public so that the money recovered in new projects is recycled after tuz A calculated amount of profits is allocated to the public (shareholders), which makes the activity of The Iraq Holding Company limited to financial aspects only, and does not carry out any direct executive activity, regardless of the nature and terms of reference of its projects (industry, housing, roads, health, agriculture and even commercial activity, etc.) and be full of capital. The holding company is dedicated to contributing to the capital of its subsidiaries (projects) where the purchase of shares or shares is available to them in these companies that are financed by the Financial Framework Agreement and the Ipo and any other appropriate method, so this company will exercise administrative and financial control over the companies Its subsidiaries although all its subsidiaries (projects) remain legally independent except the authority to make strategic decisions and determine the major directions of the subsidiaries, i.e. the company (AAM) retains the power to set the parameters of financial policy that must be followed by the companies its subsidiary, which relates, for example, to ways to finance its investments such as resorting to bank loans, contributing to the stock market or how to distribute profits and how much reserves each company holds, as well as the employment of treasury surpluses if they exist by depositing them in reliable bank accounts for fu The holding company can buy shares in well-known and reliable global companies and institutions such as international sports clubs, international oil refineries, car manufacturers, IT companies, internet and social media companies. Or any of the shares determined by the company's experts as reliable and that the risk ratio is low, and in return the executive decisions will remain under the authority of the boards of directors of subsidiary projects that become joint stock companies, which are road projects, railways, petrochemicals, oil refineries, hospitals and airports. T and other projects that cross the borders of the provinces. Iraq Holding Company is no different from its counterparts in the world in terms of strength and economic impact because it is characterized by its ability to internationalize the activities of its subsidiaries, by opening new branches across the world or acquiring companies located outside the borders of their countries of origin, and because our potential holding company is characterized by a character Global if its Board of Directors wishes after in-depth studies it has to distribute the stages of its operations to several subsidiaries spread in different regions of the world, based on a comprehensive plan that takes into account the competitive advantages of each country, and also has the ability to contribute to mergers or economic integration world to make Iraq intertwined with countries
Others are geographically far away from us.
It will play a pivotal role in Iraq's economic and political life given its enormous investment potential, due to its ability to mobilize huge amounts of funds and invest them in large capital-intensive projects (industrial projects and infrastructure projects model) Thus, i expect to face strong resistance from leaders born as a result of policies of corruption, sloutheand salutation and ruin, because the holding company will gain significant political weight from what It is qualified to influence national and international political decision-making in a way that takes into account the protection of its interests and is in line with its objectives, which are supposed to be the interests of the Iraqi people, an advantage that differs from other holding companies in the rest of the world.
A logical question may come to mind: why go into all these complications and what is the point of establishing such a company in Iraq?, the answer is simply that the holding company itself will be protected from losses in the event of the bankruptcy of one of its companies, it may suffer a capital loss and decline in net worth, for Debtors and creditors cannot in any way in the bankrupt subsidiary to pursue the holding company and seize its assets, shares or funds in banks, because each subsidiary has limited financial and legal liability, and the structuring of the holding company in this way can also limit the Tax liability also allows holding companies to protect their personal assets, because there is no personal ownership of the assets and therefore the holding company is responsible for its debts and it defends against potential lawsuits and other risks because all assets are owned by the holding company i And there are no assets for individuals.
Despite this chapter in financial responsibilities, the holding company has the right to hire managers in its subsidiaries and expel them if they do not succeed in achieving the company's objectives within a scheduled period because the directors of these companies are practically responsible for their own operations.
It is also easily established and any person, entity or bank can buy shares offered in the market. Shareholder approval is not an obstacle to the sale and purchase of shares because they are not necessary in the first place, while the holding company avoids competition with companies or projects owned by it, but on the contrary it must support them in the markets, and also have an important economic advantage which is large savings or what is known ( Economies of scale) which means that holding companies can operate at relatively low total costs, get better credit terms, and can also get better advantages from suppliers and customers, and usually large companies are able to operate on a large scale by spreading the cost of work on the largest number D of projects and services so you may need some confidentiality in their strategic plans.
The ranking of Forbes magazine shows the strongest holding companies in the world where it shows the presence of several holding companies active in Arab countries and in different positions in this category, including Kuwait Projects Holding Company, Kingdom Holding Company of Walid Bin Talal and Izdan Holding Company of Qatar And the Egyptian holding company (Global Telecom) which is active in the field of telecommunications and the Uae company (Arabtec) holding company that is active in the field of real estate and construction, and is expected to submit all these companies if established in accordance with the proposed model to form an additional factor for Iraq in the furnishing Economic and political in the region and the world.
The government's support for the government's work in the country
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