A new salary scale, suspension of appointments, and the application of income tax … An economist leaks out the terms of the “white paper”

A new salary scale, suspension of appointments, and the application of income tax … An economist leaks out the terms of the “white paper”

SATURDAY, 10-10-2020, PM 5:20

10k Iraqi Dinar notesThe economic expert and professor of economics at Basra University, Nabil Al-Marsoumi, leaked, on Saturday, some of the items of the “white paper” that the government intends to present to Parliament, in order to reform the Iraqi economy, after the collapse of oil prices.

Al-Marsoumi published the articles of the paper, which he said he kept a copy of, reiterating that it came in accordance with his expectations, regarding the fact that “it will not depart from the framework of the International Monetary Fund’s policies and austerity measures with high social costs.”

He continued, “This can be seen by looking at some of what was mentioned in the reform paper that the government called white.”

Al-Marsoumi added, “The items of the white paper include, (reducing the wage and salary bill from 25% of GDP to 12.5% ​​within three years),

The paper included “reforming the retirement fund so that it is not linked to the budget and pension salaries are paid directly from the fund, reducing financial support for state-owned companies by 30% every year for three years, and reducing total government support from 13% of GDP to 5% within three years.” Years”.

Al-Marsoumi stated, “The paper also included restructuring the public salary scale by stopping new recruitment and replacement processes in the public sector, setting a higher ceiling for employees’ salaries in a way that achieves justice and reduces differences, and applying income tax to employee allocations, incentives and bonuses. ”

He pointed out that “the paper will review the fuel subsidies for state-owned oil companies, and the proceeds of the sale of black oil must return to the state treasury, the issuance of national bonds and bonds and their presentation for public circulation in the Iraq Stock Exchange.”

The economist added, “The paper will study the current exchange rate of the dollar against the dinar, taking into account the requirements of financial and monetary stability, achieving the competitiveness of the Iraqi economy, restructuring state-owned public companies and converting them into private companies.”

He said, “It will include fixing the defect in the ration card system in a way that secures the protection of low-income people and withholding it from families whose income exceeds a certain ceiling, and ensuring that all workers in the public, private, mixed and cooperative sector are covered with retirement benefits, complete the Social Insurance Law in order to be an alternative to the unified pension law.” Retirement and social security for workers. ”