Economist calls for the government to expedite its action to avoid a potential economic crisis measures
Economist calls for the government to expedite its action to avoid a potential economic crisis measures
29/10/2014 07:32 GMT
Baghdad – and babysit – economist predicted the appearance of Mohammed Saleh, the Iraqi economy shrink this year, in the case of the government not to rush in to take the necessary measures.
Saleh In a statement to “public opinion”, said that “investment spending in Iraq stalled a year ago, as well as high unemployment and halt reconstruction projects and stop domestic production all of this has had a significant impact on the Iraqi economy,” while noting that “the Iraqi oil is about 50-60% of the composition of GDP, but with such a high percentage, but that oil prices decline by 25% during the last three months has offered Iraq gains from oil to a large decline in revenues, “went on the” oil’s foundation in moving joints of the economy if dropped returns certainly Fathrak joints are weak economy that any development, investment, and growth rates will be downward and thus Mankhcah happens a recession of the Iraqi economy. ”
The International Monetary Fund, has been favored, earlier this week, the Iraqi economy shrink by 2.7% this year and for the first time since 2003, as he pointed out that the Iraqi government’s budget “under pressure” due to high spending on security, pointed out that ” also likely to decline GDP compared with the non-oil growth of over 7% in 2013 in light of the fighting, which undermines confidence and disrupt fuel and electricity supply and increases the trade and distribution costs and reduce investments. ”
However, this percentage remains small when compared with output falling by 41.4% in 2003, when the coalition invaded the country, led by the United States for the overthrow of the former regime.
Regarding necessary to avoid a crisis measures, “said economist that” the government first move away from the excess expenses that are irrelevant to the development and progress of economic and reducing its budget, then work on moving the private sector, which has become the sole saver fact that his role basis to lift Iraq from the economic recession that possible to get, “Msttrda” Despite all the predictions of the situation in Iraq needs to reform policies, “expressing his belief that” Iraq today before the exam to raise the efficiency of its imports and expenditures. ”
Regarding Matnolth some media about Iraq’s possession of financially stockpile large, Saleh, said that “Iraq’s possession financially stockpile large” ruled out, pointing out that “the central bank in 2012, for example, built a large reserves of Iraq amounted to $ 76 billion, and the figure is now a little less of it but it is the savings good for Iraq and official institutions in support of dinars. ”
And the proposal for asylum Iraq into loans, said economic expert, said that “there are two types of first loans internal loans possible borrowing from the domestic market and this Matqom by most states,” he said. “The foreign loans, there are the first two forms of borrowing from multilateral international institutions such as the World Bank and the Fund International criticism of the government or to friendly countries Kalsndouk Japanese funds for development and other, which are frequently long-term soft loans. ”
With the benefit at the same time warned of “going to the international financial market to borrow Iraq is now in a state of war and therefore the risk of resorting to this market to borrow, but can be considered as another priority that it is possible to turn Iraq.”
alrayy.com
