The decline in world oil prices raises fears of Iraqi economists

The decline in world oil prices raises fears of Iraqi economists 


BAGHDAD - Tehran / term - Reuters 


Despite an increase in Iraqi oil production, but the drop in world oil prices has raised fears of Iraqi economists, the fact that the national economy is dependent on oil revenues, prompting the Iraqi government to implement austerity asylum policy in order to save the Iraqi economy.



He called a number of experts and specialists in economic affairs, the implementation of the austerity policy to all ministries and state institutions by minimizing unnecessary expenses, calling the Iraqi government not to include the salaries of employees and retirees austerity, as will affect the standard of living of citizens.
Economist Hamid al-Moussawi, said that the continuing decline in oil prices in the global markets, will lead to an economic crisis, which will force the Iraqi government to implement the austerity policy to reduce expenses, particularly in the operating budget.
Al-Moussawi said that "all countries in the world when the economies affected by the crisis Tltja to implement the austerity policy, which includes a reduction in disbursements is necessary in the state, and this is a quick and effective treatment for Iwo face a financial crisis or economic."
He pointed out: that the government must take a quick step in order to complete the requirements of the budget, as well as in order to take the project the way for implementation, and the abolition of departments and institutions is necessary, and there are a lot of them, and begin the austerity of the officials and the heads of the three deputies and down the offices of the cabinet and then the House of Representatives ".
For his part, the parliamentary finance committee member Jamal Joker, that the austerity policy to be applied by the government will have positive effects for the Iraqi economy if applied in accordance with the Platform for orderly and thoughtful, warning of the inclusion of the salaries of employees and retirees of this policy being will affect the standard of living of citizens.
Joker and said that "the committee put forward a proposal to the government to reduce unnecessary expenses for ministries such as buying cars or furniture, as well as testimonies, because the annual ministerial expenses up to an incredible imaginary numbers."
He continued: "as well as the fight against financial corruption in all government departments and this will enable the state of the Iraqi economy and not to influence any crisis, whether the decline in world oil prices or unable to export petroleum and so on."
In the meantime, the parliamentary finance committee revealed that "austerity policy to be applied include excess and a few important expenses, because fiscal policy in Iraq has no vision, and there is a great waste of public money, because of corruption, as well as deputations and Aldiavatt unjustified", noting that he "Within the next week, the budget will be discussed in the Council of Ministers after the formation of a ministerial committee to reduce the deficit."
She Chairperson of the Committee Magda Al-Tamimi: "The cash balance includes cash that has been spent in the previous months, and cashed expected within the next two months," pointing out that "the balance shifted over time to budget."
The futures contracts for oil "Brent" crude prices have stabilized yesterday below $ 86 a barrel on Tuesday after falling close to $ 85 in earlier trading after it received support from the European stock recovery and declining US dollar.
European stocks rose in early trading with the achievement of a number of leading companies better than expected results, which predicts an improvement in demand for oil in the continent.
The decline in the dollar in late trade on Monday after data revealed that the growth of the US services sector grew at the slowest rate since April. The falling dollar helps consumers in the world to buy dollar-denominated commodities such as oil.
By 13:10 GMT, crude "Brent" declined to deliver December (December) 10 cents to $ 85.73 a barrel, while the price of futures contracts for crude oil US light rose five cents to $ 81.05 a barrel.
The futures contracts for US crude (average West Texas) touched US $ 79.44 a barrel, its lowest level since June 2012, before recovering late in the session to close at US $ 81
On the other hand news agency quoted Iranian Oil Ministry Mohsen Qmbar director of international affairs at the National Iranian Oil Company, as saying on Monday, it is unlikely to reduce OPEC production ceiling in the November meeting (November).
OPEC meets on November 27 to determine its productivity amid calls from some members to cut production to support oil prices, which lost a quarter of its value since June.
The total Brent oil price below $ 85 a barrel on Monday.
Qmbar also said that "an emergency meeting of OPEC to meet before the 27th of November do not need him." Venezuela called for an emergency meeting.
He was quoted by the agency, "Shana" as saying: "A meeting is not useful now."
And attributed to Qmbar saying in separate comments published today, that "Iran must put the budget on the basis of prices much less oil."
He was quoted by state news agency IRNA as saying "Iran must arrange its budget for the next fiscal year on the basis of the range of 70 to 75 dollars per barrel."

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