Economist: The budget deficit will be very large and can only be overcome by three things
Economist: The budget deficit will be very large and can only be overcome by three things
24/2/2020 15:32
[Baghdad-where]
Economic expert Majid Al-Suri confirmed today, Monday, that the deficit in the 2020 budget will be very large, according to indicators, indicating that the deficit can only be overcome by three things.
Al-Suri said in a press interview that “the budget will be agreed upon if the new government is passed and if it is not passed and the delay in it, its fate will be the same as the fate of the 2014 budget.”
He added: “Until now, the budget has not been published, but the statements made by various authorities indicate that the deficit will exceed 48 to 50 trillion dinars, and this figure is in violation of the Financial Management Law, which says that the deficit should not exceed 3 percent of the gross domestic product, and if we calculate the outcome The total is based on fixed prices, the deficit will be in the range of 6 trillion dinars, and if we calculate it at the expense of current prices, it will be 7 and a half trillion dollars. ”
He continued, “The deficit is very large and can be overcome only through three axes. Either reduce operating expenses to a very large degree, especially the item of allocations and benefits, or resort to taxes. This is also a very big burden on the Iraqi people, or external borrowing, and this also bears the weight of future generations. “.
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