BondLady’s Corner

  In Bondlady’s Corner 

More Iraqi News Sunday PM 12-13-20

TLM724 Administrator BondLady’s Corner

Alia Nassif Warns: Any Party That Sends Money To The Region Without Revenues Will Bear The Legal Consequences

Sunday 13, December 2020 11:58 | Political Views: 386  Baghdad ( NINA ) MP Alia Nassif warned against the federal government sending funds to the Kurdistan Regional Government without obtaining revenues from the region.

She said in a press statement: “Any party in the country that transfers money without revenues will bear legal consequences, as this contravenes Article Four of the Financing Deficit Law.

Nassif added: “There was a meeting held yesterday between representatives of the government, including the Minister of Finance, and representatives of the House of Representatives to discuss whether or not to send money to the Kurdistan region and end the demonstrations, and an agreement was reached to send an amount of 960 billion dinars to the region for three months without revenues. “.

And she continued: “With all our respect for the prime minister, the minister of finance and the representatives who participated in the meeting, and we are sure that they are keen on the interest of the people (although of course they do not represent the whole parliament), we believe that there must be a final formula to solve the outstanding problems between Baghdad and Erbil instead of solutions. Prostheses that may contribute to the temporary calm in the region at the expense of the interests of citizens in the central and southern governorates, noting that the regional government has brought the federal government to a dead end.

Nassif indicated: “Any party in the government that transfers money without the presence of oil and non-oil imports from the region will have legal consequences, according to Article 4 of the Financial Deficit Financing Law,” asking the government not to send money at the expense of employees of other Iraqi governorates, indicating that: ” https://ninanews.com/Website/News/Details?Key=875889

The 2021 Budget Deficit And A Warning Of The Decline In The Value Of The Iraqi Dinar

In recent days, the Iraqi dinar witnessed a decline against foreign currencies, especially the dollar, and the local markets recorded, this morning, Sunday, December 13, 2020, a rise in the exchange rates of the dollar, and the selling price of the dollar reached 127,500 dinars and the purchase price 126,500 dinars, per 100 dollars.

It is reported that the Central Bank of Iraq puts nearly 190 million dollars daily at a price of 119 thousand dollars per 100 dollars, while the price of 100 dollars is higher than this amount in the market.

Regarding the reasons for this rise, and the difference between the two prices, (official and non-toxic), economic expert Saleh Al-Hamashi told Radio Nawa, “Any movement in the Iraqi dinar exchange rate affects negatively, affects the income of all Iraqis,” noting that “80% Of the Iraqis depend on the salaries of employees and government support, and this means reducing the wages and salaries of state employees and thus will reduce the value of the Iraqi dinar, “noting that it” affects the purchasing power that is reflected in the commercial movement in Iraq and this is clear since 2019 “, attributing the reasons for this to” Because there is no economy in Iraq. ”

Al-Hashemi said, “Commercial exchange has decreased dramatically, as it reached 38 billion dollars annually, while it was up to 50 billion dollars annually,” pointing out that “this is due to the weak purchasing power of the Iraqi citizen who suffers from the financial crisis, delayed salaries, and many interruptions.” From business. ”

The expert called on the government to be limber and not austerity, stressing that “the government has a lot of unjustified spending,” pointing out that “the sales of the Central Bank of Iraq, from the dollar is very large, but more than entering Iraq,” noting that “it must be held accountable for bills.” This import is better than changing the exchange rate of the dinar. ”

Pointing out that “the depletion of the Central Bank of Iraq stock of foreign currencies, on top of which is the dollar, will lead to weakening the cover for the Iraqi dinar, and this leads to its rise,” adding that “the problem is in the Iraqi dinar, if it rises, the government will not be able to control it because there is no Iraqi financial capacity and an Iraqi ability to control On the Iraqi dinar. ”

Saleh Al-Hashemi noted, “If the government is able to rationalize consumption and move away from unjustified spending, we may be able to preserve the rise of the Iraqi dinar and the purchasing power, and to keep Iraq away from the zero risk, which seemed to rise significantly after the financial crisis of 2020.” .

As for Abbas Al-Ardawi, who discussed the economic issue, he told Radio Nawa, “There is no doubt that those who watch the Iraqi state’s economic policy find it confusing and unclear. It does not adopt legal studies and opinions, but rather we go towards diligence. Iraq from the 1920s. ”

He added that “there are a large number of experts who talked about stations that can change a lot of the Iraqi economy or deal with the government seriously in the issue of the currency market, large stations and the countries of the world have many experiences in reviving their economy, but there is a political decision that negatively affects any adoption of economic visions.” They can be solutions. ”

Al-Ardawi said, “We have alternative solutions, which are barter solutions, many economic solutions. We have solutions, but we will not go to them and will not produce a correct vision until this moment.”

As for the economist Safwan Qusay, he warned in a press statement against relying on the cash issue without a cover at a rate of 12%, meaning that the official Iraqi dinar price will be 1340 per 100 dollars, reducing the dinar against the dollar in the face of the budget deficit, stressing that it will negatively affect the poor citizen.

Qusay said, in light of a clear weakness in financing the federal budget deficit for the next fiscal year 2021, some suggest relying on monetary policy to face this deficit by undertaking the monetary issuance without cover at a rate of 12%, meaning that the official Iraqi dinar price will be 1340 per 100, stressing that ” The necessity to move away from this proposal and activate the role of the Central Bank of Iraq in maintaining the official rate of 1200 unchanged. https://www.radionawa.com/all-detail.aspx?jimare=22713

Economist: The Dollar’s Continued Rise Is A Dangerous Indicator Of New Crises

08:52 – 12/13/2020  The information / special  between the economist, Wissam Al-Tamimi, said that the continued rise in the exchange rate of the dollar in the local markets foreshadows an economic disaster at the level of Iraqi per capita income, in addition to being a dangerous indicator that raises the prices of all commodities in the market.

“The government confirms that the exchange rate of the dollar is fixed and has not witnessed any increase in the central bank, as the economic control committees should be activated to account for banks and banking shops that raise the exchange rate,” Al-Tamimi said.

He added that “the high exchange rate of the dollar threatens to increase the rate of poverty in Iraq , due to the rise in commodity prices in a country that depends more than 90 percent on imported goods.”

And that ” Iraq will enter into new crises, and the market will witness a great rise from which the government will benefit in bridging the budget deficit, but that is theft of the people’s money and inserting it into a new cycle.” https://www.almaalomah.com/2020/12/13/509832/

Parliamentary Finance: We Do Not Accept Any Agreement With The Region Outside The Authority Of Parliament

Time: 12/13/2020 12:30:06 Read: 2,444 times   {Baghdad: Al Furat News} The Parliamentary Finance Committee announced its rejection of any agreement with the Kurdistan region outside the authority of Parliament and the Committee, noting that “any agreement with the region is not taken into account in the opinion of the parliamentary finance, it is not binding.”

A member of the committee, Thamer Theban, said in a statement that Al Furat News Agency received a copy of, that “any agreement with the region is not taken into account by the opinion of the Finance Committee and the House of Representatives, is not binding and is void.”

He added, “The agreement with the region outside the legislative authority without handing over oil revenues and border crossings to the federal government cannot be accepted in absolute terms,” noting that whoever violates the law on financing the fiscal deficit bears legal responsibility within the House of Representatives.

And Theban confirmed, “The Parliamentary Finance Committee Rejects any agreement with the region that would hand over sums of money outside the region’s financial deficit financing bill. ”

Yesterday, Saturday, Prime Minister Mustafa Al-Kazemi, and Parliament Speaker Muhammad al-Halbousi, chaired the joint negotiation meeting between the federal government, the Parliamentary Finance Committee and the Kurdistan region’s delegation in Baghdad.

The meeting, which was held at the Government Palace, discussed the commitment to implement the Fiscal Deficit Financing Act, which the House of Representatives voted on last month, and discussed the mechanisms for its implementation in a manner that takes into account fairness in distributing financial allocations to all regions of Iraq.

A member of the Parliamentary Finance Committee, Faisal Al-Issawi, announced yesterday that Baghdad will send 320 billion dinars to the Kurdistan region within the next two days.   LINK

Al-Rafidain Raises The Value Of Its Interest On Citizens’ Deposits In The Bank

Time: 12/13/2020 10:24:36 Read: 3,978 times  {Baghdad: Al Furat News} Today, Sunday, Rafidain Bank announced financial benefits for fixed deposits of up to 5% for a year for citizens who deposit their money in the bank.

The bank’s media office said in a statement that Al Furat News received a copy of it, that “the financial benefits of fixed deposits for citizens who deposit their money in the bank for a period of six months, they get interest of up to 4.5%.”

The statement called on citizens to “visit bank branches, review instructions, deposit their money, benefit from this service and receive the financial benefits provided by the bank.”

The Rafidain Bank had announced on the eighth of this month financial benefits of 4 percent for citizens who deposit their money with the bank and are calculated at the end of each month.  LINK

Representative Economics: Future Generations Will Find Nothing But Debts And Their Balance Will Be Frozen Money

Time: 12/13/2020 12:54:08 Read: 2,691 times  (Baghdad: Al Furat News) A member of the Parliamentary Economic and Investment Committee confirmed, today, Sunday, that there is difficulty in recovering the funds and assets frozen abroad.

Nada Shaker Jawdat told Al-Furat News, “Regarding the Iraqi funds and assets that are frozen abroad, they can cover large debts to the country,” noting that “the problem in launching them is difficult.”

She added that “there are concerns about the credibility of the arrival of these financial assets to Iraq,” adding that “it will be stolen as previous budgets were stolen.”

“Keeping these assets abroad to preserve them for future generations, as I expect that they will only find loans and debts before them,” Jawdat said.

Jawdat called on the government to “search for outlets to solve the current economic crisis.”  LINK

The Stock Market Begins Its Week On Losses

Stock  market  Market Economy News – Baghdad  The stock market index fell in the first session of the week, Sunday, by 0.29% after losses suffered by seven companies.

During the meeting, 1.03 billion shares were traded, worth 707.5 million dinars.

And pressure on the performance of the index, 7 losing companies, provided by the shares of the Investment Bank Company by 4.35% and the shares of the Agricultural Products Company by 3.57%.

While the shares of 9 companies advanced by Gulf Bank shares rose by 8.33% and shares of the National Bank Company by 7.79%.

During today’s session, foreign investors sold 17 million shares, worth 30 million dinars, after executing 18 deals on shares of 7 companies.

Number of observations 66 Date of addendum 12/13/2020   https://economy-news.net/content.php?id=23113

Dollar Exchange Rates In The Iraqi Market

Pratha News Agency101 2020-12-13  The exchange rates of the dollar increased in the main stock markets and local markets, today, Sunday (December 13, 2020)

The Kifah Stock Exchange recorded 126,900 dinars against 100 US dollars, while the exchange rates for Saturday on the Kifah Stock Exchange were recorded at 126,900 dinars per 100 dollars.

As for the exchange rate on the local market, it also rose where it was

Selling price: 127,250 dinars per $ 100.   Purchase price: 126,250 dinars per $ 100.

http://burathanews.com/arabic/economic/382347

Expectations Of Stable Currency Exchange Rate

Sunday 13 December 2020  37   Baghdad: Farah Al-Khafaf    A specialist in financial affairs played down the negative effects of the current fluctuation of the dollar’s exchange rate against the dinar, expecting stability over the coming period for several reasons, while MP Burhan Al-Mamouri considered that the fluctuation leads to confusion in the local market.

The expert, Thamer Al-Azzawi, told Al-Sabah: “The current fluctuation is within permissible, meaning that the rise and fall does not exceed 3 percent, and this percentage does not affect much, especially with the current conditions and the challenges that the world countries are witnessing due to the spread of the Corona virus.”

increasing of demands

Al-Azzawi added that “the rise that the markets have been witnessing a week ago is my time, and it came with the end of the year, and after the launch of salaries, which led to an increase in demand, and also to the process of hoarding by citizens, and rumors of an exchange rate hike by the state.” The coming days are at the 1250 dinars barrier against the dollar the one”.

Al-Azzawi believes that «the approval of the 2021 budget, will contribute to the stability of the market, and give reassurance to everyone, whether citizen or merchant».

He also pointed out that «the good news about Corona vaccines, and their adoption by several countries, will lead to moving global markets, and the beginning of ending the closure processes and the return of stability to the economies of major countries, especially the industrial ones, which may result in higher oil prices, which will boost the hard currency At the central bank and moving towards Stability ».

Greed speculations

For his part, MP Burhan Al-Mamouri said: “The exchange rates of the Iraqi dinar against the dollar are witnessing a clear instability in the market, while we notice them steady in the currency auction, which indicates greedy speculations carried out by parties that do not want good for Iraq and its people.”

“The big difference between the official price of the dollar and what is traded in the local markets confused the market and stirred citizens’ fears, from the high prices of goods and foodstuffs, which causes a new burden on the Iraqi individual,” Al-Mamouri added in a statement.

Local markets

Al-Maamouri called for a “reconsideration of the currency auction, monitoring the exchange rates in the local markets and punishing all those who manipulate the currency rate, with severe penalties to protect the national economy, which suffers greatly as a result of the absence of a strategic vision in managing the financial file.” Of the country ».  LINK

At The Securities Commission Conference … An Emphasis On Ensuring The Rights Of Investors

Sunday 13 December 2020   35  Baghdad: Hussein Thahab The “Investor Day” conference organized by the Securities Commission stressed the importance of protecting the conditions of investors in securities, in order to expand investment activity within the Iraq Stock Exchange, by attracting local and international investments.

The conference, which was attended by the public and private sectors, discussed a number of challenges facing the investment process in this important juncture, and the mechanisms for improving the market’s business reality.

Investor confidence

Deputy Secretary-General of the Council of Ministers, Farhad Nematullah Hussein, focused on the importance of protecting the rights of investors, providing the best elements for investors and proper dealing through systems that enhance investor confidence in being in such a field, pointing out that “the government is working to create an attractive environment for capital through a package of laws that promotes the coming Investment funds ».

He pointed out that «the General Secretariat of the Council of Ministers is fully prepared to hear the problems and work to overcome them and chart paths to enhance the investment environment».

Investors’ money

The Chairman of the Securities Commission, Faisal Al-Haims, said: “Investing in securities is in accordance with rules and principles, and the Commission seeks to have its role to provide the opportunity to invest in securities and protect investors’ money. ” Finance ».

He added, “Our approach is to upgrade the capital markets, and we work in a one-team spirit. The investment decision is based on the company’s financial statements to make the right decision in the investment process in this important juncture.”

Successful investments

Then the door was opened for discussion with the audience representing joint stock companies, and guests of specialists on securities, and a discussion house specialized in investing in securities, and how investments could be made Successful.

In turn, the head of the Securities Investors Association, Dr. Ali Al-Mousawi confirmed that “investors in securities are looking to achieve the highest profits,” pointing out that “the system of work in the Iraqi market for securities is excellent and preserves the rights of investors,” noting that “he made several proposals to the Central Bank regarding declining prices Stock ”.

He stressed the importance of securing capital to attract investors towards investing in stocks, proposing a shareholder rights guarantee company, to contribute to ensuring the rights of all those who invest in securities and thus expand investment in the Iraq Stock Exchange Finance ”.   LINK

International Oil Prices In 2021 May Exceed $ 60 A Barrel

Pratha News Agency38 2020-12-13  The investment director of the Danish “Saxo Bank”, Steen Jacobsen, predicted in an interview with Sputnik that international oil prices next year will be trading in the range of 40-60 dollars per barrel with the possibility of increasing economic recovery rates.

“In 2021, we expect a range of $ 40 to $ 60 with potential to increase if global economic growth exceeds expectations of most economists,” Jacobsen said.

He also indicated that the role of “OPEC” would decrease in the long term.

It is noteworthy that the countries of the Alliance of Oil Producers, known as “OPEC +”, had previously agreed to reduce supplies by 9.7 million barrels per day during May and June, to support prices that collapsed due to the Corona virus crisis.  The cuts are to be reduced to 7.7 million barrels per day in the July-December period. http://burathanews.com/arabic/economic/382365

To read more current and reliable Iraqi news please visit BondLady’s Corner:

https://www.bondladyscorner.com/