Iraq is expected to face an “unprecedented crisis” in the 2020 budget

Iraq is expected to face an “unprecedented crisis” in the 2020 budget

2019-09-04 | 07:14

Iraq is expected to face an unprecedented crisis in the 2020 budgetA deputy in the Iraqi parliament, likely to face “an unprecedented crisis” in the 2020 budget, pointing out that the deficit in this budget will reach 30 billion dollars.
The MP said in a statement that “there are expectations that Iraq will be on a new date with a fiscal deficit during the next year 2020,” noting that “many indicators and estimates show that it will be the worst in about 16 years in light of the decline in resources, and high costs of debt and war “.

He added that “work started early this year to discuss the actions of the government and what to do with a deficit expected to be catastrophic if oil prices fall below current levels or tensions in the Strait of Hormuz lead to fluctuation of oil exports through Basra ,” pointing out that “the government and parliament bear the reason This deficit. ”

He stressed that “it is scheduled to begin the financial and legal committees in the Iraqi parliament at the end of September, to hold discussions on the new budget amid expectations of the deficit to reach 30 billion dollars, compared to 23.3 billion dollars this year.”

He continued that “the government did not get one dollar of oil export revenues from the Kurdistan region despite the agreement concluded with Erbil early this year, but the federal government paid a few billion to the region within its share of the state budget.”

The deputy said that ” Iraq is on a date with the repayment of loans to many countries and foreign banks in the past periods, as some press for the collection of funds, including the United States, Iran , China and France ,” pointing out that “these debts were directed to buy weapons and combat equipment To Iraqi soldiers during the war on terror. ”

The approval of the federal budget for Iraq is often delayed as a result of the discussions and many amendments to the Council of Representatives and sent back to the Council of Ministers to take this amendment.