Iraqi News Economic Highlights Thursday Afternoon

Thursday Afternoon Iraq Economic News Highlights 8-4-22


The Government Excludes Approving The 2022 Budget And Confirms: There Is No Direction To Reduce The Price Of The Dollar


AUGUST 4, 2022  The technical advisor to the Prime Minister, Haitham al-Jubouri, confirmed that there is no government direction to reduce the exchange rate of the dollar against the dinar, and while he acknowledged the difficulty of approving the 2022 budget, he made it clear that the installation of contracts and the appointment of health professionals and holders of higher degrees is not linked to its approval.


Al-Jubouri said, according to the official agency, that “the revenues generated by the rise in oil prices are temporary and cannot be relied upon in drawing up long-term economic plans, as they fall within the ebb and flow at the present time, which depends on global demand and supply.”


He added, “Real stability lies within non-oil revenues, as they are fixed and can be controlled according to internal legislation and have nothing to do with international prices, which represent collection, improving the tax base and what the state obtains from customs, in addition to encouraging investment,” noting that “these things can It creates economic stability in the country and an increase in the revenues generated.”


He pointed out that “oil revenues have actually increased and can be invested in some development projects, but they cannot be relied upon for long.”


On approving the budget law and decreasing the exchange rate, Al-Jubouri stressed that “the federal budget for 2022 is difficult to decide during the current year,” explaining that “the installation of contracts for those who have actual service for two years and the appointment of health and medical professionals for the cadres covered by the medical gradation and the holders of higher degrees are available even if The budget has not been approved.


He pointed out that “the provision of job grades absolutely is a matter that needs and depends on approving the budget and providing sufficient financial liquidity to provide these degrees.”


He pointed out that “the government does not have any direction to reduce the exchange rate of the dollar against the Iraqi dinar.”   LINK


The Economic Identity Of The State And The Strategic And Objective Necessity Of The State’s Commercial Regulation


Aqil Jaber Ali Al-Mohammadawi / researcher in financial and development affairs


The essence of state building in commercial organization (commercial activities) is one of the most important methodological and objective foundations for building an economic identity and model .


In modern conditions, there is a strategic role for the state in regulating commercial activity, which consists first of all in setting the rules of the commercial game, and other basic roles that include determining the direction of strategies, the commercial and economic model, and the mechanism for supporting the normal performance of commercial organization .


It is necessary to note that the market and trade are among the components of the national economy in modern commercial thought. Accordingly, thinking about the market development process results in the creation of real economic freedoms and freedom of pricing decisions and others …


The main task of the state is to maintain market stability and ensure its social and economic orientation and orientation .


It becomes clear that the most important principles of the state’s regulation of commercial activity is the dependence of commercial activity on the model corresponding to the market economy, which is based on :


( Dynamic, consistency, stability, adaptability and adaptation, commercial and economic flexibility, rationality, idealism, efficiency, responsibilities, reliability ).


For a mixed economy society :


Economic and social orientation


The state’s implementation of support functions and the development of social funds


Ensure the basic requirements for development


Targeting an increase in the standard of living for different social groups .


Business in commerce is a broader field of operational and organizational activities for organizations, entities, unions and commercial establishments that aim to complete and/or work to complete the purchase and sale of goods and services to meet the demand of consumers (individuals) with the aim of profit .


Trade relations can develop in the conditions of disciplined and studied economic and commercial freedom (economic freedom in commercial activities cannot be considered complete independence from the interests and actions of market entities and the state because in some cases reaching compromise solutions with business companies is necessary to achieve any strategic goals


in addition to that The movement of trade relations may be restricted by the conditions of the internal or external environment and the nature of trade secrets and other objective factors), which involve the ownership of capital and the ability to manage public money and focus on extracting the maximum possible profit and generating added value and contributing to the growth of GDP,


and the ability to manage risks Trade and the formation of organizational structures for trade that are able to adapt to changing conditions and conditions of instability and subject to changes in market needs .


Which shows the importance of serious thinking in discussing the issue of shaping and defining economic identity and its implications in the paths of organizing commercial activities and economic and commercial reference and formulating optimal models according to objective and solid methodology bases .


In The Document.. Water Resources Proposes Presenting The Farmers’ Compensation File To The Cabinet Table


08/03/2022   {Local: Al Furat News} The First Deputy Governor of Najaf, Hashem Al-Karaawi, announced today, Wednesday, the approach of the Ministry of Water Resources, the General Secretariat of the Council of Ministers, regarding the file of compensation for farmers and farmers who are not covered by the agricultural plan for the purpose of discussion and approval in the Cabinet session.


Al-Karaawi said in a statement that {Euphrates News} received a copy of it that: “The Supreme Committee for Compensation demanded that the Ministry of Finance allocate an amount not exceeding (150) billion dinars, in order to cover the compensation of farmers in the governorates of Najaf and Al-Diwaniyah for lands that cannot be cultivated this season.”


Al-Karaawi pointed to the mechanism for approving compensation:


1- The agricultural plan established by the agricultural divisions, according to the triple name of the farmer, farmer, agricultural areas and the cultivated variety for the past year


2- The compensation is based on (50%) of the marketing price of the crop approved in 2021 by the Ministry of Commerce.


3- Adopting the agricultural areas for the strawberry crop, which are actually approved and approved in the summer agricultural plan for 2022.


The Drying Up Of Water Storage Reaches The Second Level..And Fears Of The Continued Lack Of Revenues


Posted On2022-08-04 By Sotaliraq    Baghdad/ Firas Adnan   The Ministry of Water Resources confirmed that the drought in water storage has reached the second level, and expressed its hope that next year will witness revenues that will help Iraq to overcome the stage of danger.


The Director of the National Center for Water Resources Management, Hatem Hamid, said, “The Ministry of Water Resources is exposed to two types of abuses on water, the first falls on water quotas and the second falls on water projects.”


Hamid added, “The General Authority for the Operation of Irrigation and Drainage Projects of the Ministry is following up on water releases from dams for the purpose of securing expenses for all governorates.”


He pointed out, “This is according to the plan prepared at the beginning of the summer season or the beginning of the winter season,” stressing that “the abuses are sometimes by citizens, and at other times they occur by local administrations.”


Hamid explained, “One of the abuses of the local administration is what the governor of Babylon did a while ago by opening a regulator, but this problem was solved and the regulator was reorganized according to the operational plans prepared by the Ministry of Water Resources.”


And he stated, “A part of the citizens who are in the rivers consume more water than the water rations allocated to them, which reduces the quotas of those in the back of the rivers.”


Hamid continues, “The ministry is carrying out a campaign to remove the abuses. During this year, we were able to reduce the abuses in order to deliver the water quotas to the rivers.”


He spoke about “the possibility of saying that the percentage of overrun is much lower than it was in previous years,” noting that “the water file is dealt with on two axes, the first external and the second internal.”[/size]


Hamid said, “The external aspect is an attempt to hold meetings with the Turkish and Iranian sides to ensure the release of water according to the approved quantities and the sharing of damage in accordance with international laws.”


And he added, “The internal aspect is to ensure the preparation of a plan to divide the water quotas for all projects and governorates according to the determinants.”


Hamid continues, “The priority at home is for drinking water, orchards, and agricultural and environmental water, which includes the share of Basra Governorate and the Marshes.”


He added, “This plan is being followed up by the departments affiliated with the Ministry of Water Resources, especially the General Authority for Operation and Irrigation Project Management, and to hold violators accountable by filing lawsuits and following them up in the courts to reduce abuses.”


Hamid added, “Our efforts are also focused on raising the pumps installed outside the controls, or that their owners did not obtain official approvals to operate them, and to reduce the channels that take water towards the fish-breeding lakes without approval.”


He noted that these “measures carried out by the Ministry of Water Resources aim to deliver water fairly to all governorates, according to the prepared plan.”


Hamid warned that “the southern governorates are the most affected by these abuses,” noting that “our work ended many transgressions that were on the Euphrates River, especially in the Muthanna Governorate, and the delivery of the drainage to the entire Dhi Qar Governorate.”


And he went on to other transgressions, “located from Samarra Dam to the south of Baghdad Governorate. Work is underway to reduce it, and we have succeeded to some extent, but there are other measures to ensure that the shares of other governorates are not affected.”


Hamid indicated, “The water reserves available to Iraq at the present time are 60% less than last year, and 80% before it.”


He stated, “The ministry is trying to manage this storage according to the plan laid down in the strategic study that was approved in 2014 by dividing the storage according to the borders into three categories.”


Hamid added, “Iraq is currently still in the second limit of drought, and we hope that we will remain at this level and that next year its water revenues will be good in order to rise to the first limit or the safe limit. But if the next season comes dry as well, we can descend to the third critical limit.” We are facing great difficulties in meeting our water needs.”


The spokesman for the ministry, Ali Radi, had stated, “Iraq has two plans, the first is to use water releases from dams and reservoirs to meet the main requirements, which are agricultural land, which is the largest consumer, drinking water, and the share of the marshes, in addition to pushing the salt tongue from the Shatt al-Arab water.”


Radi added, “This plan coincides with a second plan for water distributions, which is related to the management of distributions, the application of the Marashnah system, and the lifting of abuses in order to make the agricultural plan a success, secure water for it, and ensure that water reaches the areas located in the rivers that suffer from a crisis in access to water.”


He talked about “other measures related to re-drilling wells and rehabilitating a large part of them in areas where access to healthy water is difficult.” Radi affirmed, “The only solution that the Ministry of Water Resources is working on in conditions of scarcity is to reduce the agricultural plan to 50%.”


He noted, “The marshes suffered from water scarcity, but within the ministry’s plan, there are quantities that will reach them, but we suffer from some encroachments on the waterways.”


Radi added, “The sources of nutrition for the marshes are not only from the Tigris and Euphrates rivers, so what concerns us as the Ministry of Water Resources, we work to provide a certain amount of this water to revitalize the marshes.”


It is noteworthy that experts have warned on more than one occasion of the water crisis and stated that drought will strike Iraq, stressing that the problem is exacerbated today, through the displacement of many residents of the marsh areas in addition to the destruction of animals, and other things that we previously warned about and called for a review of plans agricultural, with the transition to modern irrigation systems, stressing that these solutions can fill us with the crisis in the marshes and the southern governorates. LINK


Oil Minister: We Are Working To Mitigate The Security And Health Challenges Facing The Market


Shafaq News/ Oil Minister Ihsan Ismail Abdul-Jabbar affirmed on Wednesday, “OPEC +” keenness on stabilizing global oil markets, working to mitigate the security, political and health challenges facing the world and striving towards achieving a balance between supply and demand.


This came during the participation of the Minister of Oil in the monthly meeting of the Ministerial Committee for Follow-up Production JMMC and the ministerial meeting of the Organization of Petroleum Exporting Countries and allied countries via the television circuit.


Abdul Jabbar Ismail said in a statement received by Shafaq News Agency that the meetings included reviewing the developments of the oil markets, and listening to reports prepared by the research authorities in the organization on the variables and influencing factors, and their impact on supply and demand in the oil market.


Abdul-Jabbar indicated that it was agreed to increase the production ceiling for the month of September by adding 100,000 barrels per day, in order to compensate for an expected increase in global demand. every country.


He noted the follow-up to developments in the oil market, and taking appropriate measures by OPEC +. LINK