Expert: rising inflation will make investors are fleeing the country
Date: Monday 12/03/2012 13:13
Baghdad (news) .. Warned economist Ismail Radi from the continued increase in the rate of inflation in the country because it will lead to the reluctance of investors to enter Iraq, calling for a solution to reduce inflation.
Radi said (of the Agency news) said on Monday: The continuing increase in the rate of inflation for consecutive months in Iraq will lead to flight of investors from entering the country for the purpose of investment, noting that inflation is one of the issues that are a sign of weakness in front of the investor and hinder the process of investment within the country.
He pointed to: that this increase is the sequence of inflation came as a result of the presence of imbalances in the structure of the Iraqi economy and the instability of prices in the market.
He explained: that the Iraqi market when high prices they have not declined, leading to high rates of inflation in Iraq, noting that most countries in the world happen to have an increase in the prices of some materials for a limited period and then return to the Fares old.
and stressed the economic expert: the need to find package of administrative reforms and accurate studies for the purpose of reducing the rate of inflation in Iraq or reduce it, and called for activating the role of oversight by a central bank to control the prices at local markets.
Deputy Governor of the Central Bank of the appearance of Mohammed Saleh valuable earlier statement (of the Agency news): The occurrence of inflation in the country comes through the high real estate prices to very high levels, which leads to the increase in prices of food and industrial goods in the domestic market, and this is what makes inflation index rises gradually.
He added the federal government to put in priority the solution to the housing crisis being give an indication of serious inflation in the coming period and may lead to economic problems. / Finished / 8. d.