Differing views on Iraq borrowing from the IMF

Opinions varied among a number of specialists in the economic aspect about borrowing Iraq from the International Monetary Fund. Some of them promise to step does not require any risk to the Iraqi economy and some of them several of the things that weigh heavily on the country’s economy,

it is noteworthy that the Iraqi Central Bank refused earlier request of the Government borrow from the balance of foreign currency, which promise to the bank that the cover of the Iraqi dinar can not be manipulated is the guarantor of what in the pocket of the citizens of dinars, as between the Bank in an earlier statement for him to lend the government of foreign reserves, will weaken the ability of monetary policy on the production prospects for stability which is a function The central purpose of the work of the central bank to create conditions for reconstruction through these precautions permanent movement (Citizen) »: He was a pause and with a number of House members and financial experts in this subject.

Loans Weigh the Iraqi economy Member of Parliament MP Abdul-Hussein Resan said «: We supported the government in its attempt to borrow from the reserve cash available at the Central Bank of Iraq, but the technical opinion the other was often not approved by the central bank to the government to take these loans interest rates because monetary reserves in the Bank Central is better than to go borrower Iraqi abroad to obtain loans because the loans in which political debate somewhat and the implications of financial and legal lot. He Resan in for (the citizen) that these loans will contribute to the shackling of the Iraqi economy as he has a debt of the external public debt to his work a great and which allocated $ 3 million a year for external borrowing in order to plug that gets in the budget of the Iraqi state that is a deficit also called in the beginning of the year with a surplus in the oil price and also the percentage of completion the low of the ministries as they did not achieve the percentage of completion of one hundred percent if there is a surplus it can fill the gap for these amounts, however, the government used to make the budget a $ 3 and a half billion dollars. »

There is no fear of borrowing «On the other hand stressed the financial expert, contrary goldsmith«: that there is no fear of the withdrawal of Iraq’s loans from the World Bank because of all the countries of the world in specific topics need to be loans from the Central Bank of International stroll economic activities as consistent with the requirement that you specify, but we say that the possibilities and capabilities of Iraq’s major physical and the biggest problem facing Iraq is not a problem, but money is a problem (money management).

He pointed out that «: There is a difference between the management of funds and the funds of any misuse of those resources and allocations and the expansion and implementation of projects through this equation and thus may win a little effort if WE the formulation of public budgets, including Levy to reduce the expenditure of the operational according to the vocabulary contained in the disciplines of public spending.

Thought «: that we can add to the customization investment a lot of the amounts which are deteriorating due to bad use in all state institutions and this trend is that we can provide the necessary funds to our needs. Stressed goldsmith during his speech (citizen) on the need to how to build the state budget in line with the plans and programs are correct and thus be studied within any public policies through which we can determine the actual needs and in this case we can determine the actual needs of the amount of money possible to Tntegha annual plans or budgets.

With regard to the withdrawal of loans from the World Bank as the harsh conditions you will raise the fuel prices in Iraq! Between the goldsmith »: that there is no so-called conditions of harsh, because there is a negotiator Iraqis will be in front of the International Monetary Fund and what is detrimental to the interests of society and is reflected in higher prices and there is inflation All this is in the eyes of the calculus negotiators, because they are not ordinary people are all representing the state institutions thus are experts in their abilities and their competence in this way we can get to the formula of understanding lead to take advantage of this loan, which serves as the form in which society does not harm him.

He concluded his speech jeweler «: that the purpose of the loan is to provide service in a specific direction so you have to deal with things professionally and scientifically clear and away from the conclusions incorrect.