Vice: The government will resort to external borrowing to fill budget deficit
Vice: The government will resort to external borrowing to fill budget deficit
2015/11/26 11:00
[Baghdad – where]
MP for the National Alliance Haider molar, said the government would resort to external borrowing in order to bridge the deficit in the 2016 budget next year.
He said the Lord in a statement received by the agency all of Iraq [where], a copy of it that “the government will rely on borrowing from the World Bank and the Japanese Agency and other banks, which will help Iraq in the allocation of funds for the implementation of infrastructure and services projects through payment on credit.”
He explained that “loans the other, which will provide the government for providing the internal borrowing from banks in the country.
“The House of Representatives, concluded in its meeting Sunday, to discuss the draft federal budget for fiscal year 2016.
Total budget expenditures of next year’s 106 trillion dinars, compared to the amount of 119 trillion dinars for the year 2015, a drop of 11%, while the estimated federal budget deficit for next year 22.7 trillion dinars, the equivalent of 21% of total expenditures.
He said Finance Minister Hoshyar Zebari during hosted by 17 of this month in the parliamentary session, the government exceeded the real concerns about disabled state and failing to comply with its obligations to pay the other benefits for the employees’ salaries.
He said Zebari said that the government was able to reduce the deficit from 25% to 22%.
The Council of Ministers approved during its meeting Tuesday, to amend the draft federal budget for fiscal year 2016 Law sent to the House of Representatives.
The IMF International hinted in 11 of this month, a large loan for Iraq condition removal of fuel subsidies.
The head of the IMF mission, to Iraq’s Christian Gooch, “The IMF is expected to gross domestic product of Iraq recorded growth of 1.5 percent this year due to increases in oil production and that the deficit rise in the current account balance to 7 percent of GDP.
“It is said that, to get a loan from the International Monetary Fund will help Iraq OPEC member to stabilize the financial to the conditions while suffering because of falling costs in oil prices associated with fighting organization Daash terrorist .
A senior IMF last month and reported that the new loan for Iraq will be the largest “several times” of the emergency funding of $ 1.24 billion, the Fund has agreed to be submitted in July.
Any large loan from the IMF for Iraq will come the terms of such steps from Baghdad to reduce support prices Energy [include hydrocarbons such as benzene, fuel, etc.] and the reform of state-owned enterprises which steps may be difficult to level Alssayas.anthy
alliraqnews.com
