Economists: Rising oil revenues are an opportunity to revive stalled projects

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[size=52]Economists: Rising oil revenues are an opportunity to revive stalled projects[/size]

[size=45]Economists have stated that the improvement in the global oil market is an opportunity to revive lagging projects, pointing out that the current dollar exchange rate is for at least five years.[/size]
[size=45]The adviser to the Iraqi Banks Association, Samir Al-Nusairi, said in an interview with Al-Mada that "the continuous rise in oil prices will enhance the financial position of the government."[/size]
[size=45]Al-Nusairi added, "The rise in oil prices will, in turn, cancel the deficit in the 2022 budget, or it may be a very small deficit."[/size]
[size=45]And he called, "to establish a sovereign fund (the Generation Fund) to protect the national economy in times of crisis or when prices drop."[/size]
[size=45]A sovereign wealth fund or sovereign funds is a fund owned by the state consisting of assets such as land, shares, bonds or other investment devices. These funds can be described as entities that manage state surpluses for investment and promise billions of dollars invested by states in stocks and bonds.[/size]
[size=45]Al-Nusairi called for “activating the productive sectors, including agriculture and industry, and not relying entirely on oil.”[/size]
[size=45]And the Ministry of Oil announced earlier this week about oil exports and revenues achieved in the month of February.[/size]
[size=45]The ministry stated in a statement that “the total quantities and revenues generated for crude oil exports for the month of February, according to the final statistics issued by the Iraqi Oil Marketing Company (SOMO), the amount of crude oil exports, including 92 million and 790 thousand and 173 barrels, with revenues amounting to 8 billion and 809 million and 162 one thousand dollars".[/size]
[size=45]The statistics indicated that “the total quantities of crude oil exported for the month of February from the oil fields in central and southern Iraq amounted to 91 million and 314 thousand and 828 barrels, while the quantities exported of Kirkuk oil through Ceyhan port were one million and 475 thousand and 345 barrels,” noting that “the rate of The price of one barrel reached 94,936 dollars.[/size]
[size=45]For her part, the economic expert Salam Sumaisem stressed, in an interview with (Al-Mada), that «the rise in oil should be directed to areas where the Iraqi economy suffers from lack of funding, the most important of which is bridging the deficit gap in the public budget, and that it is directed for development purposes and improving the situation of the citizen, especially The health file, especially with the outbreak of the pandemic and the phenomena of suffocation in hospitals, as well as providing expenses to meet the needs of the ration card and improve its quality.[/size]
[size=45]Sumaisem continued, "The Ministry of Finance confirmed that the issue of raising the dollar price will continue for 5 years, and it is possible to address the effects of this, and thus reduce the internal debt represented by the state's borrowing from some institutions such as the Rafidain Bank, the Trade Bank of Iraq and other banks, in addition to the volume of bonds submitted, and this remains On the basis of the size of the state's fiscal policy.[/size]
[size=45]She pointed out that "there is an important issue represented in the economic vision and benefiting from these funds and caution against their loss and loss of oversight and transparency, as there are no reports regarding the final accounts provided by the Financial Supervision Bureau, as well as waiting for Parliament to approve the 2022 budget."[/size]
[size=45]The Iraqi government had resorted to changing the exchange rate of the dollar from 1200 to 1450 dinars, which caused a clear rise in the markets.[/size]
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