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Will The Dollar Exchange Rise To 1600 Dinars? Governmental Response And Important Clarification

Time: 04/15/2021 22:31:14 Read: 13,169 times   {Economic: Al Furat News} The government responded to the news of the intention to raise the exchange rate of the dollar to 1600 dinars to one US dollar in the local market.  Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, said in a press statement that “the current fluctuation in the exchange rate of the dollar, which ranges between 145 to 147 thousand dinars for one hundred dollar bill, is a normal matter} and is not a difference with the price announced by the Central Bank.” .

And, and that “a rate of 2% of the change and foreign commission differentials is in effect in the global dollar market,” adding that “the bank seeks to impose its pricing to be approved in order to stabilize the exchange of the dollar market.”

Saleh added, “The bank has no intention of changing the established exchange rate, especially as it works to buy the dinar and sell the dollar to make the market stable. According to him.

He considered that” the arrival of the exchange rate of 147 thousand dinars per $ 100 note is normal, and within the specified range in the price difference. What is between what the bank sells and what is sold in the market. ”

The advisor to the prime minister continued, “The talk about crossing the dollar from 1500 dinars to 1600 dinars or even more than this number falls within the rumors and price speculation. It is untrue.” .

The exchange rate of the dollar had jumped in the local market in the past two days in the local markets to more than 1490 dinars against the dollar, which led to a rise in the prices of various foodstuffs and others, and while citizens and owners of banking offices criticized this rise, they called on the government to remedy the matter.

The Central Bank of Iraq had settled in a previous statement the controversy over the exchange rate of the dinar against the dollar, and a demand to reduce it, declaring that “there is no return to the previous price, and the price will not be reduced under any circumstances,” stressing that there is no intention to raise the official rate announced by the bank from 1450. Dinars per dollar.   LINK

The Ministry Of Finance Issues A Statement On The Tax Withholding And Announces The Validity Of Its Book

Time: 04/16/2021 15:09:09 Read: 6,604 times   {Economist: Al Furat News} The Ministry of Finance issued a statement regarding the tax withholding of employees’ salaries.

The ministry said in a statement that the Euphrates News Agency received a copy of it, that it “clarifies to the public opinion that it is working to implement all the decisions and texts contained in the 2021 General Budget Law voted by the House of Representatives, and that the book bears the signature of Minister Dr. Ali Abdul Amir Allawi regarding The tax deduction came in implementation of the provisions of Article 34, Paragraph (c) of the General Budget Law, which includes

“The House of Representatives cancels all customs and tax exemptions and exemptions granted by the Cabinet’s decision, unless stipulated by the laws in force.”

The Ministry affirms that it applies the law in paying tax on all income, including the nominal salary and allowances, and the exemption obtained from the Council of Ministers was exceptional.

We point out that the proposed tax deduction does not include the lower classes, and the Council of Ministers has the power to cancel it

The ministry states that it was able to take steady steps through the white paper in putting the national economy on the right track and moving away from dependence on the oil resource and banishing the specter of repeated financial shocks that the country was exposed to due to the fluctuation of global oil prices.

The Ministry of Finance calls for the country’s interest to be removed from auctions and the method of mobilization that has a negative impact on everyone. The Ministry of Finance is keen to ensure the right of constitutionally guaranteed employees and citizens, and no auctions in that. LINK

“A Breakthrough Is Imminent.” Adviser To The Prime Minister: Three Factors To Curb Price Increases

Time: 04/16/2021 11:27:04 Read: 6,149 times   {Economic: Al Furat News} The Prime Minister’s Adviser for Economic Affairs, Mazhar Muhammad Salih, identified three basic factors to limit the rise in prices of goods and commodities in the local markets.

Saleh pointed out in a press statement, “There is an emergency seasonal price gap controlled by the increase in the prices of some imported food commodities that are determined by the global stock exchanges, for reasons related to the recession that hit the global economy last year, and as a result, the costs of producing foodstuffs increased.”

This coincides with the increase in global demand for food in light of the openness of the economy and international trade this year due to the expansion of vaccination levels against the Corona epidemic and the rapid opening of global markets compared to the previous year.

He added that “Iraq is currently living in the months of the agricultural transition from the winter season to the summer, which are months when foodstuffs are scarce in most, which is what drives them to increase their prices.” Suspect

Despite stressing the government’s responsibility to protect consumers and maintain reasonable prices, Saleh pointed to “3 basic factors to limit the rise in prices, the first of which is the provision of sufficient hard currency for the commercial sector to finance foreign trade requirements, and the second is customs taxes and reducing them to the lowest possible level, especially those related to them With basic food items. ”

As for the other factor, Saleh said, “It is related to the upcoming summer agricultural season which is approaching, which will provide a great food supply in the following weeks.”

It is noteworthy that the month of Ramadan falls this year in light of a significant increase in food prices, especially after the official authorities decided to reduce the dinar against the dollar.

The devaluation of the local currency cast a shadow over many low-income citizens, as not only the middle and poor classes were affected, but the decision affected merchandise merchants who import goods and pay their value in dollars.

And the pressure on Iraqis increases during Ramadan, the continuing outbreak of Corona, as the impact of the precautionary measures extended to the abolition of Ramadan traditions that had been in place for decades, specifically those inherited social customs that the Iraqis did not leave in the most difficult circumstances that the country had previously experienced.

Among the most prominent customs that the Corona pandemic has stopped is the overcrowding of markets with people who shop before breakfast.

The sellers were frustrated because of the lack of buyers in the market, and he says that the month of Ramadan every year was a month in which there was a lot of commercial movement, and it usually represented a source of great profits for traders, but the current wave of high prices changed that this year at least.

They held the government responsible for the rise in prices, noting that the devaluation of the dinar against the dollar in the state budget for 2021 – which was approved at the end of last month – led to an increase in the value of goods by more than 20%.   LINK

Parliamentary Finance: We reject the tax deduction for employees .. and threaten to question Allawi

Time: 04/16/2021 13:54:05 Read: 4,342 times  {Politics: Al Furat News} The Parliamentary Finance Committee announced its rejection of Finance Minister Ali Allawi’s proposal to impose a tax withholding on employees’ salaries.

“We reject what was stated in the Finance Ministry’s book No. 880 of 4/13/2021 regarding tax deduction and the minister’s recommendation to return to work with Financial Instructions No. 1 of 2007,” said Majida Al-Tamimi, a member of the committee.

“We refuse to implement these instructions, as it is not permissible for the employee to be subjected to a double reduction during a period not exceeding four months from the devaluation of the dinar against the dollar, in addition to the tax deduction,” she added.

Al-Tamimi indicated, “This decision is nothing but a reflection of the confusion in the state administration and the lack of coordination between the financial and monetary policies, at a time when the value of the dinar decreased according to the Central Bank decision on 20/12/2020, which we emphasized that it should be slight and gradual with steps taken.”

The preliminary in this regard is to improve the salaries of social protection, people with disabilities and vulnerable classes, as well as improving the items of the ration in quantity and quality, while covering all months of the year while controlling prices.

She stressed, “This decision would negatively affect the purchasing power and the overall lives of citizens, whether from employees or earners and workers in the private sector, as the double reduction will affect the overall economic activities and lead to a contraction of them.”

Al-Tamimi called on “the Minister of Finance to retract this decision, otherwise we will have to host him and then question him soon.”

And the Minister of Finance, Ali Allawi, had sent an official letter to the General Secretariat of the Council of Ministers demanding that taxes be deducted from the total monthly income as of April, with a retroactive effect, to include the deduction of the salaries of January, February and March.   LINK

The Speaker Of Parliament Receives The Representative Of The Secretary-General Of The United Nations

04/16/2021   The Speaker of the House of Representatives, Muhammad Al-Halbousi, received the representative of the United Nations Secretary-General in Iraq, Mrs. Jenin Blashardt, in the presence of the Special Adviser and the Head of the United Nations Investigation Team in relation to the crimes committed by the terrorist ISIS (UNITAD) Mr. Karim Khan.

The meeting discussed developments in the work of the ISIS crime investigation team, and the Iraqi parliament’s support to enact laws to hold ISIS accountable for mass crimes and crimes against humanity.

For his part, Mr. Khan praised the House of Representatives’ efforts to redress victims and achieve justice through legislation, the latest of which is the Women Survivors Law.

The Information Office of the Speaker of Parliament,  April 16, 2021   LINK 

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