Arrows in the side of the economy

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[size=52]Arrows in the side of the economy[/size]

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It is true that the dollar is the master of currencies in which the world agrees on its various transactions, which gives it the character of strength and a double-edged sword, and as a criterion for the strength and weakness of the local currencies of countries, but it is a blazing fire that burns the economies of weak developing countries. In a situation like the one that Iraq is going through, the country is located between two fires, the most bitter of which is the deadly poison, represented by external borrowing, and the second is the bitterness of fluctuation in its exchange rate and its instability at a certain price. Fire is a product of the countries dealing with the dollar and according to the mismanagement of dealing with the currency master. As for the first case, most developing and weak countries facilitate the process of external borrowing to patch up their distorted economic conditions, whether because of poor resource management or involving themselves in absurd wars and insatiable and insatiable events and sometimes due to force majeure outside her will. Here, the (reform trap) emerges, the slogan adopted by the International Monetary Fund, which offers its lending services through which services are apparently free and inwardly costly many times over. His tips to create social stressor confuse processors. A return to the exchange rate crisis that is raging between the citizen on the one hand and the executive financial administration and the legislative authority on the other hand, when the financial administration began issuing its decision to raise the exchange rate in favor of the dollar with justifications that were realistic and acceptable to all, as the goal was to prefer changing the exchange rate over external and internal borrowing To avoid falling into the trap of reform and with the aim of addressing the lack of financial resources (liquidity) that do not cover the needs of the country, in addition to the goal of activating the productive sectors on the other hand. In the sense that her decision is sound. On the other hand, the citizen - as usual, is known for his honorable stances in adversity - succumbed to the financial management procedures, kept silent and waited. But what did the decision leave behind to provoke a whirlwind of objections and cries of restoring the exchange rate to its previous era? What happened is that the effects of the shock, and I mean the decision to raise the exchange rate, were influential in raising the rate of inflation, which is normal, so prices rose at rates not parallel to the price difference, as some traders took advantage of the circumstance and the relative stability of the Iraqi market.
After the improvement in oil prices, the citizen began to get restless about the situation and the reason was the high prices of foodstuffs and medicines, which is a general situation that did not include the fragile class only, but also included the middle and the affluent as well, due to the loss of control and control over prices this first, and then the promises of the financial administration were not implemented to address the issues of the fragile class ( the poor) and the productive sectors were not activated. The new tone or the pretext that the rise in food prices came to increase prices globally, and this is not true because the next increase is still on the way and has not started yet. It is necessary to allow the financial management to find the necessary ways and sound procedures, not patchwork, to confront the danger of the creeping global price wave that alerted us. About it here on this page in a previous article in mid-October of last year.
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