Appearance: should not interfere in the work of the Central
Appearance: should not interfere in the work of the Central
1/7/2015 0:00
Determine the dollar sales contrary to monetary policy
BAGHDAD – morning
Economic Adviser to the Prime Minister Dr. describe the appearance of the benefit, the central bank measures taken to protect the Iraqi dinar exchange rate, as well as the reserve of foreign currency to “positive step” and called for non-interference in the work of the bank and to maintain its independence.
Saleh said the “morning” that “intervention that happened Select dollar sales in Article 50 of the General Budget Law, which is incompatible with the principles of monetary policy action”, stressing that the intervention by identifying hard currency sales ceiling, under the central bank dealings and weakened its ability to maneuver .
He added: “There is confusion between cash bank and commercial policy, a policy which is the responsibility of the ministries of trade and finance, which is located upon themselves to impose taxes and customs tariffs.”
economic adviser to the government, criticized “the procedures under which oblige the central bank operations tax collection and customs collection, at a time It disrupted the tax institutions, and this led to a decline in the price of the national currency exchange rate against the foreign currency, “explaining that” the existence of controls on the money supply, leading to obstruct the work of the central bank is born strain on the reserves, as a result of the central and administrative restrictions that do not fit with the market economy status the current fiscal. ”
In a related development, called on Saleh to unify the dollar sold exchange rate by the central bank or rolling markets and make it “a flat rate, commensurate with the sale price of oil and the policy of austerity in order to protect this price volatility,” noting that he “must specify the price realistic exchange rate commensurate with the economic and financial conditions experienced by the country, as well as he has to defend this price shall not exceed the difference 2 percent. ”
He added, “The big difference in the dinar exchange rate against the dollar between the local market and the Central Bank of Iraq, lead to the loss of the country Bank “, stressing the need to adopt a unified exchange rate commensurate with the price of a barrel of oil, which currently sells for $ 60.
He noted that the problem of Iraq today caused by “low selling a barrel of oil price on which the country’s access to hard currency and dropped him returns by more from 50 percent, while remain high imports what deficit was born in the current account, “stressing that monetary policy works on the stability of the national currency and to address the fluctuation in the exchange rate.
He concluded, saying that «the administrative and financial operations are generally affected in the exchange rate and led to the low value of the dinar against the dollar », calling for non-interference in the work of the central bank.
alsabaah.iq
