The Sudanese advisor confirms the presence of positive financial indicators for the year 2024

[rtl]Baghdad - Iraq today:[/rtl]
[rtl]The financial advisor to the Prime Minister, Mazhar Muhammad Salih, explained in numbers the financial situation data, indicating that Iraq did not need to borrow this year, while confirming that the indicators for next year 2024 are positive.

Saleh said in a press interview, “At the level of financial planning for oil resources, the tripartite federal general budget for Iraq adopted the average price of a barrel of oil (as planned oil revenues and throughout each year of the fiscal years 2023, 2024 , and 2025). It adopted a price of $70 per barrel exported from Crude oil with export capacities reaching 3 million and 400 thousand barrels per day.”

He added, "The estimated price is a hypothetical precaution to avoid the risks of the cycle of oil assets, and there are financing preparations planned by the budget in the event that oil prices touch an annual average of $70 per barrel or less, providing a hypothetical annual borrowing leverage in the event that prices fall below their estimated limits.”

Saleh continued, “The fiscal year 2023 did not indicate an urgent need for borrowing to cover the hypothetical deficit for two main reasons. The first is: “The average price of Iraqi exported oil is still higher than $70 per barrel, with an increase of at least $10 per barrel over what was planned.” Crude oil exported as an annual average, which constituted, in numbers, cash revenue that compensated the country from resorting to internal and external borrowing (with the exception of some prior international financial obligations to finance some investment projects). The other reason is the accumulation of financial balances from the previous fiscal year amounting to approximately 23 trillion dinars, which also helped. The general budget was able to manage its expenditures and obligations and at the same time reduced the gap in the virtual deficit and identified positive indicators for the country’s financial situation.”

The financial advisor to the Prime Minister pointed out that “the data for the next fiscal year 2024 within the tripartite budget and through perceptions of the reality of the oil market and current energy prices provide indicators.” Positive and an increase in global demand for crude oil, which gives reassuring signs about the financial implementation paths for the coming year, and provides relative reassurance in budget resources in the next fiscal year. Fiscal policy may not require borrowing, except within acceptable minimum limits that do not affect the accumulation of debt indicators, and borrowing may be at The necessity to overcome an emergency and temporary deficit requires providing a (bridge loan) for the purposes of implementing development projects Similar to what was issued in recent reconstruction bonds in specific amounts.”

Saleh warned that "the state's partnership with the private sector will remain one of the pillars of financial diversification as a strategy for Iraq and is outside the country's rentier flows, that is, by creating joint national financial leverages with the private sector that will constitute the "The country's financial strategy to provide stronger guarantees in the sustainability of development and the stability of its financing."[/rtl]
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