International Monetary Fund: $ 10 billion stock of the Central Bank of Iraq

International Monetary Fund: $ 10 billion stock of the Central Bank of Iraq

January 11, 2015, 11:29

International Monetary Fund - 10 billion dollars stock of the Central Bank of IraqBAGHDAD – ((eighth day))

The International Monetary Fund recently, his report on the economic outlook for the countries of the world, and expected growth of the Iraqi economy during the year 2015 at a rate of 2%.

The report said that “Iraq’s economy shrank in 2014 by 0.5% due to the resulting war against Daash economic impacts,” and guessed “the deterioration of the growth in non-oil Iraq sector since the start of the conflict with Daash, because of the destruction of infrastructure, and the obstacles to obtaining fuel and electric power in the country, as well as lower the confidence of the business community, and the disruption of trade. ”

The delegation will visit the Organization of Iraq, and meet with officials, to prepare a report on the economic risks in Iraq in 2015.

He predicted that “a growth rate of the overall economy 2015.2% with the increase in oil production, thus increasing oil exports, backed the agreement, which the federal government reached with the Kurdistan Regional Government, which will ensure its access to oil revenues, the source of the north, as well as facilitate the export extracted from oil fields Kirkuk, the oil through a pipeline that extends in Kurdistan to the Turkish port of Ceyhan. ”

The report continued that “extra-budgetary spending and private security in Iraq, led to an increase in the budget deficit, which will be up probably to 5% of GDP,” Msttrda “Since the supposed spending in the draft budget for 2015 is limited, we expect that declining budget deficit to only 2% of GDP. ”

He also predicted “the arrival of Iraq’s oil production in 2014 to 3.3 million barrels per day, from 3.1 million barrels per day in 2013 due to the oil infrastructure survival lies in the south of the country away from the control Daash, as well as taking into account the production of Kurdistan oil province.” , pointing out that “Iraq’s oil exports will remain at the same level in 2013, amounting to 2.5 million barrels per day.”

He explained that “the rate of inflation by the end of October in the Iraqi provinces, which are located outside areas of conflict reached on the basis of an annual 0.9%,” noting that “the Central Bank of Iraq has maintained linking the Iraqi dinar US dollar, with the difference between the US dollar in the official and parallel market rate falls up to 2.6% in September, thanks to the steps taken by the central bank towards the liberalization of the foreign exchange market. ”

The report indicated that “high volume of Iraqi imports, accompanied by lower oil revenues, and the lack of converter foreign exchange from the Iraqi government and the Central Bank in order to finance government spending contributed to the reduction of Iraq’s foreign exchange reserves of $ 77 billion by the end of 2013 to about $ 67 billion by the end of October the last second. ”

He continued that “the exploitation of the Iraqi government for the Development Fund for Iraq DFI and balances that have been converted from the fund to the central bank contributed to the decline in the fund balance of $ 6.5 billion at the end of 2013 to $ 4 billion last November.”