Central Bank Governor: Iraqi cash reserves of $ 53 billion, the parliament and the government bear t

Central Bank Governor: Iraqi cash reserves of $ 53 billion, the parliament and the government bear the responsibility falling

Published on Tuesday, June 21, 2016 

Long-Presse / Baghdad

The governor of the Central Bank and the Agency on the Keywords, said on Tuesday that Iraq's reserves of foreign currency of $ 53 billion, and with the exception that it is in line with international standards and regulations of the International Monetary Fund, the House of Representatives pregnancy and the government responsible for the low reserve because Msadegthma on the financial budget in deficit.

The CBI has rejected (the 13th of January 2016), the government went to draw from the financial reserve, while attributed to the fact that the law "does not allow" the government of this, he called for the issuance of bonds and sell them to banks.

Said Ali Keywords In an interview (range Press), "The bank's foreign currency reserves reach $ 53 billion may be changed up or down depending on what return it from the Ministry of Finance," noting that "the amount within the bank accounts and fund the recent International Monetary demonstrates the adequacy of reserves according to the international standard of the existence of the amount of foreign exchange cover of the local currency dinar size. "

He added Keywords, that "it means that the central bank maintains a foreign currency in excess of the local," adding that "the rise in the reserve or decline caused by factors beyond the control of the Central Bank or control, being influenced by two factors two main amount of dollar given to the bank, from the sale of oil, and what you get and the Ministry of Finance of the oil dollar, which sells it to the bank, you get to dinars to cover the expenses. "

He continued Keywords, "The second factor is the demand for the dollar and its source estimated based on state spending that turn eventually to the demand for it, especially since the majority of materials and goods imported," pointing out that these "factors are determined by the amount of the reserve, all of which are beyond the Bank's control."

The Keywords, that "the pressure is increasing on the reserve when there is a deficit of public budget covers vouchers or bonds, the central bank will purchase it," returned that "it means the central bank to issue cash for the government without the presence of the cover is enough to have a foreign currency."

He said the central bank governor, that "the version that the government spends turns into demand for imports in dollars which means reduce the reserve", blaming the House of Representatives and the government's "responsibility to lower the reserve when have published the budget deficit, although this fact is not understood by many with great regret."

Keywords and expressed surprise at the "Download group of deputies or government officials responsible for the central bank reduced the foreign currency reserves, without paying attention to being the main reason for it is not he or his policies."