Economists International: continued high growth of the Iraqi economy and increase its financial strength

Economists International: continued high growth of the Iraqi economy and increase its financial strength despite the security situation

Tuesday, 27 May / May 2014 10:41

Economists International continued high growth of the Iraqi economy and increase its financial strength despite the security situation[Follow-up – where]

Economists said the sources in the International Monetary Fund said that “Iraq despite the volatile security situation but its economic growth index is still going through at the height of its oil exports. ”

And saw Mohiuddin cloves, investment manager for the Global Sukuk, the Middle East and North Africa – fixed income at Franklin Templeton Investments – the Middle East that “the unintended consequences of political conflict Iraq is a decline in the cost of borrowing the Iraqi government has increased foreign exchange reserves increased by 33% to 88 billion dollars in the fourth quarter of 2012 after the superiority of Iraq against Iran in the production as the second largest oil producer in OPEC. ”

He added that “from a financial perspective, they are getting power at the time of the postponement of spending they accumulate reserves with the survival of oil production steady, Iraq and with a fifth largest oil reserves in the world, rebuild the energy industry in the country after decades of war and economic boycott, with Introduction sums of investors, including Royal Dutch Shell and Exxon Mobil. ”

The expert pointed out that the economic “data compiled by Bloomberg showed that the Iraqi state pumped 3.25 million barrels per day in the month of April, and Saudi Arabia is the only OPEC, which produces more oil than that.”

He predicted Carnation “The growth of the Iraqi economy by 5.8% this year, up from 3.7% in 2013, according to the sources, the International Monetary Fund, and even so, Investing in areas other than energy, housing and social needs of the other, was slowing amid political bickering.”

He says, “the greater the polarization and the seriousness of the security situation in Iraq, said their ability to implement urgent needs, and the allocation of capital to the much larger exchange.”

As shown global indicators [EMBI] from JPMorgan Chase & Co. said that “requests for increases in the yield of investors to own dollar bills Iraqi instead of Treasury bonds has fallen 112 basis points, or 1.12% since February 6 this year to 423 basis points in the first yesterday Sunday. ”

They pointed out that “the difference in yields between Treasury bonds and bonds Middle East countries also declined by 48 basis points in the same period, the difference has decreased in relation to Iraq on May 12 to its lowest level since August 2011.”

For his part, said Pat Jeffrey, Managing Director who manages amounts of up to 110 million dollars, which fund the Euphrates Iraq that “Iraq could retrieves all bonds issued at par oil export revenues achieved in just ten days.”

“This is a wide margin of safety, there is much that could be worse, but investors can still achieve yields very good.”

The Ministry of Planning, has announced in 14 of this month, the stability of the inflation index for the month of April, while suggesting to the high annual inflation rate of 1.5%, citing rising food and housing department.

A spokesman for the Ministry of Planning Abdul-Zahra al-Hindawi told a news briefing that “the annual inflation index from April 2013 to April 2014 rose slightly by 1.5% due to higher prices of some materials, especially food and housing together, and by 1% on the level of Iraq,” referring to “The Department of Food Index, housing is still significantly affect the high and low inflation.” ended

The statistics prepared by all of Iraq [where] on dollar sales at the central bank auction in the first third of the year 2014 [January, February, March, April has reached $ 15 billion, 280 million and 493 000 dollars, up to about one billion dollars for four months, which preceded it.

The Oil Ministry has announced that 23 of the current month high exported quantities of crude oil and the revenue for the month of April, according to the statistical final issued by the Iraqi Oil Marketing Company Sumo reaching, according to a statement that “the amount of exports amounted to 3.75 million barrels per day, while the revenue generated 7,582 billion dollars. ended