Recession due to the delay the government’s budget, the largest employers

Recession due to the delay the government’s budget, the largest employers

12.03.2014 (0:01 pm)

BAGHDAD / Abdul Rashid Saleh

He said businessmen and traders and economists that the delay in approving the state budget cause a recession because the government is the largest employer in the country and feeds on the spending vast majority of the population, in addition to investment projects, and drew them to the effect of the delayed adoption of the budget on the movement of transport companies, as agreed The investment sector will be affected most of the disabled launch funds.

He said economic analyst Abbas Ghalibi in an interview with the “long” that “to delay the budget a major negative impact on the movement of investment and economic life in the country,” adding that “the budget contains two parts, the first represents the amount of operational, which funds the salaries and wages of employees,” noting that it ” did not experience an ebb because of the spending and the Ministry of Finance of the sums compensated for the delay in the budget. ”
“The second part is the amounts of investment, which is witnessing disruptions and stop completely as a result of delay in the budget,” and pointed out that “the delay in the budget because of political differences, which is unusual at the global level, but it is happening now in Iraq and mainly affects the citizen.”
With regard to the impact of oil on the national economy, Ghalibi explained that “the national economy depends on the oil yield by more than 95% of its production,” warning that delay the budget will reflect negatively on infrastructure projects and will strike paralyzed the economy. ”
He stressed “the need for the issue of the budget and harassment of political differences,” calling for Parliament to be discussed within the framework of technical and not far from the political conflicts of the political blocs.
For his part, the financial expert Ghazi Kanani in a statement to the “long” that “the effect of delaying the budget on the economy is very large, because it affects the economic activity of the country in general, and on the investment sector in particular,” asserting that “delay budget will disable infrastructure projects and sectors vital strategy, a sector of electricity, water, sewage, schools and the banking sector. ”
He added that “this is born a recession at the moment because the government is the largest employer in the country,” adding that “political differences prevent the adoption of the budget in the parliament, and this is not good because Iraq is suffering a big gap with the countries of the world and needs to jump quality. ”
He noted that “the adoption of the budget will revive the economy, due to the increased spending, which will stimulate the work of the various economic sectors associated with them,” Msttrda that “the adoption of the budget will give a positive impact, including the exploitation of labor.”
He appealed to the financial expert “members of parliament need to leave the political differences and personal interests that affect the economy and lead to an increase in unemployment and drift towards social crime.”
Meanwhile, a businessman and owner of carriers Sami Ashour said in an interview with the “long” The delay in the budget has an effect on the movement of transport companies, because these companies are linked contracts are financial with the state, and delays in the budget will not be able to state the payment of these funds. “And added that” the State if delayed to pay this money for just one day, all will be exposed to the realization of state-related disruption. ”
In the same context, says Mohammad Raad, the owner of an apartment building for the “long” that “there are concerns about delays in the financial budget, because most of the inhabitants of the architecture of state employees,” pointing out that “the inhabitants of architecture and especially the staff of whom are worried about the future of their salaries, owing to hear information about non-payment of monthly wages to the state. ”

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