International Monetary Fund sets 3 structural measures to reform Iraq’s finances, including “wages and electricity”
International Monetary Fund sets 3 structural measures to reform Iraq’s finances, including “wages and electricity”
07/05/2019 10:04
Baghdad today – follow-up
On Tuesday, May 07, 2019, the head of the International Monetary Fund’s mission to Iraq, Gavin Gray, recommended a number of major reforms that Iraq must follow to reform the financial structure.
“The first of these reforms is public sector wages that can ease short-term spending pressures through compensation measures, such as setting allowances, bonuses and other non-core payments, and not fully replacing pensioners,” Gray said.
“Structural measures will be required in the medium term, based on a functional review of the workforce as well as deeper reform of the civil service once new human resource and information management systems are in place,” he said.
“A key factor in addressing poor quality of service and reducing high budget costs is because of the modest rates of consumer tariffs, the chronic non-payment of electricity bills, poor maintenance and over-dependence on expensive generation sources, In all stages of generation, transmission, and distribution.
“The importance of ensuring the protection of the poor and the most vulnerable during this reform is assured.
The most recent recommendation of the head of the IMF mission on strengthening public financial management, in which he explained that the strengthening of the legal framework
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