Representatives close the door to reducing the dollar by transferring it to the 2023 budget

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[size=52]Representatives close the door to reducing the dollar by transferring it to the 2023 budget[/size]

[size=45]Baghdad/ Firas Adnan[/size]
[size=45]Representatives closed the door to amending the dollar exchange rate during the current year, and talked about the possibility of putting it in the 2023 budget, stressing that the economic situation in Iraq will not witness improvement unless oil reaches $120 a barrel, and they also indicated that official institutions do not have a clear vision to deal with the situation. financial and economic. Representative Abbas Al-Zamili said, "Finance Minister Ali Abdel Amir Allawi presented the government's vision regarding the economic situation and answered questions and inquiries in this regard."[/size]
[size=45]Al-Zamili continued, "Part of Allawi's answers were not convincing to the deputies, especially the issues of the difference in the deficit and the reimbursement of expenses for certain segments, including farmers, as ruling expenses and addressing unemployment."[/size]
[size=45]He pointed out that "what the minister spoke reflects the lack of a clear vision among the concerned executive authorities regarding addressing the current or previous economic and financial situation."[/size]
[size=45]Al-Zamili spoke of "there is a problem related to significant overlaps in the issue of oil and non-oil revenues."[/size]
[size=45]He stressed, "There is an intention in the House of Representatives to address the issue of the dollar exchange rate, and although we cannot be certain that we will work to reduce it and return it to what it was, but we will deal with the repercussions that occurred after raising it."[/size]
[size=45]Al-Zamili stressed, "Current indicators indicate that the current year will not witness the passage of the budget law, and therefore we will rely on last year's budget regarding revenues and expenditures and its estimates, and this means that the exchange rate will remain as it is."[/size]
[size=45]He pointed out, "The exchange rate change is related to a purely governmental decision, as happened last year through coordination with the Central Bank of Iraq, which is an independent body."[/size]
[size=45]Al-Zamili expects, "The issue of the exchange rate will be raised during the 2023 budget, but it will eventually be subject to international oil prices and the revenues it achieves for Iraq."[/size]
[size=45]For his part, Representative Sherif Suleiman stated, "The deputies heard from the Minister of Finance a full explanation of the economic situation that Iraq is going through." Suleiman added, "The House of Representatives will continue to follow up on government measures related to addressing the repercussions of the exchange rate crisis."[/size]
[size=45]He pointed out, "What was important to us was the minister's explicit answer about the economic situation in Iraq, and there are serious steps that will be taken in the future to avoid the repercussions of raising the price of the dollar."[/size]
[size=45]Suleiman agrees with Al-Zamili, that "there is a tendency among the deputies to restore and reduce the exchange rate, even if it is gradually, but this will not be done according to the current indicators, except in the next year's budget that is responsible for presenting the new government."[/size]
[size=45]In addition, Representative Jamal Cougar stated, "The Minister of Finance briefed the deputies on the full reasons that called for raising the dollar exchange rate, the most important of which is its impact on the budget, the positives, the repercussions, and the proposed solutions to the negativity." Cougar continued, "Allawi clearly informed the representatives of the impossibility of returning to the old exchange rate, and the issue is not being raised at the present time."[/size]
[size=45]He stressed, "The Minister of Finance stated that what is being circulated regarding the surplus is incorrect, because the average oil prices during 2021 were $71 per barrel, and the total that was obtained from oil and non-oil resources amounted to 89 trillion dinars."[/size]
[size=45]Cougar pointed out that "what was spent during the past year amounted to 111 trillion, and therefore the revenues did not reach the levels that the country needs, according to what the Minister of Finance said."[/size]
[size=45]He finds, "The situation in Iraq will remain fragile if the price of a barrel of oil does not reach $120 for a whole year, because the oil sector is expensive, and each barrel requires 10 to 13 dollars to produce."[/size]
[size=45]He stated, "If Iraq sold during 2022 at a net price of $90 a barrel, then the oil resources, as the dominant one, would be 155 trillion dinars, at a time when last year's budget was described as austerity, with expenditures of 130 trillion dinars."[/size]
[size=45]Cougar concluded, "Talking about a current affluence in oil prices is incorrect and a fantasy, as Iraq is still unable to cover its expenses."[/size]
[size=45]The Minister of Finance, Ali Abdul-Amir Allawi, had defended yesterday before Parliament the decision to change the exchange rate, stressing that it had achieved a number of important economic goals and had helped secure the salaries of employees and retirees and the social welfare network.[/size]
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