KTFA (Don961 & Samson)

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Samson: Fitch: The Total Debt Of The Gulf Countries In Foreign Currencies is 50 Billion Dollars In 2021

8th December, 2020

Fitch Ratings Agency said that the total issuance of debts denominated in foreign currencies during the next year may reach 50 billion dollars in the Arab Gulf countries, whether in the form of new financing or refinancing of outstanding debts, indicating the possibility of Kuwait obtaining legislative approval to enter the debt market during the year next.

Local debt issuances in the Gulf region will reach 40 billion dollars, which means that the volume of internal and external sovereign debt issues will reach 90 billion dollars.

The agency added that the countries of the region may witness withdrawals from sovereign wealth funds of about $ 60 billion.  LINK

Don961:  Member of Parliamentary Finance: The government is heading for an “urgent” economic step to control the dollar situation

2,812 Economie 12/08/2020 12:02 amm
Baghdad today – Baghdad

A member of the Parliamentary Finance Committee, Ahmed Hama Rashid, spoke today, Tuesday (December 8, 2020), about a new step that the government will take “compelled” to reduce the exit of hard currency from the country, and control the gates of currency auction.

MP Rashid commented on what the media reported about the existence of negotiations between Iraq and the International Monetary Fund, to determine a new exchange rate for the dollar against the Iraqi dinar, saying that “there are tools that the government uses to adjust the exchange rate, which is considered (income from inflation), or an increase. Revenue through currency auction, to reduce the deficit gap. “

He added during his speech to (Baghdad Today): “The government will also work to absorb the purchasing power of the Iraqi dinar, to reduce the marginal tendency for consumption, thus the state’s imports will decrease, which leads to a reduction in the dollar exit rates from Iraq, and this also leads to a reduction in the dollar’s demand.” .

He continued, “This mechanism allows the central bank to control the outlets for selling the currency, with the aim of controlling also the exchange rates of the dollar.”

Regarding the reasons for this approach, the deputy affirmed that “the government is forced to follow this path, since Iraq has no other than oil as a main source of revenue through its export and the entry of hard currency to it.”

Earlier, Mazhar Muhammad Salih, the financial advisor to Prime Minister Mustafa Al-Kazemi, commented on Monday (December 7, 2020) on Iraq’s negotiations with the International Monetary Fund regarding determining the exchange rate of the dollar against the Iraqi dinar.

The appearance of Muhammad Salih said, “All matters concerning negotiations between Iraq and the International Monetary Fund to determine the exchange rate of the dinar are in the discussion phase only.”

He added, “The correct decision is for the cabinet when it discusses the draft budget very soon.” The Finance Committee revealed before that, negotiations between Iraq and the IMF on determining the exchange rate of the dollar, while warning that these decisions may lead to inflation, which greatly affects the owners of limited income.  link

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Don961:  Clarification on the Central Bank’s decisions to control the dollar exchange rate and the reasons for its recent jump

1,266 Economie 12/08/2020 11:09 amm    Baghdad today – Baghdad

The economist and member of the Board of Directors at the Central Bank, Majed Al-Suri, spoke today, Tuesday (December 8, 2020), about the reasons for the high exchange rate of the dollar in local markets.

Al-Suri said in an interview with (Baghdad Today), that “speculation, political and economic confusion, and citizens’ lack of confidence in the future of the Iraqi dinar are among the main reasons for the high exchange rate of the dollar in the local markets. ”

Regarding the central bank’s role in dealing with concerns about the rise in the dollar’s exchange rate, al-Suri pointed out that “the central bank sells dollars at an exchange rate ($ 1190), and there is no change in the price.”

He continued: “Knowing that up to now, there is no intention of the Central Bank to raise the exchange rate, and all that is being circulated of opinions issued by MPs and politicians about fears of an increase in the exchange rate represent means of pressure to achieve certain goals.”

He warned that “the central bank seeks to pump hard currency, for the purpose of controlling its exchange rate in the local markets.”

He pointed out that “private banks and banking companies have been identified to buy 30 thousand dollars a week,” explaining that “this reduction in the infusion of hard currency came because of the lack of travel for tourism, medical treatments, and the lack of liquidity from hard currency.”

As the picture indicated, “the Central Bank decided to receive foreign transfers in the form of 75% for the dollar, and 25% for the Iraqi dinar.”

The exchange rate of the dollar rose again in the local markets in Iraq, to touch the new high today, Tuesday, 128 thousand dinars for every 100 US dollars.

The selling price of the dollar was 127,500 Iraqi dinars, while the purchase price was 126,500, roughly speaking. As for international foreign exchange rates, the euro reached 100 euros per $ 121.20.  LINK

Samson: The United Nations signs a new agreement to combat corruption in Iraq and the Kurdistan Region

9th December, 2020

The United Nations Development Program in Iraq and the Office of the Iraqi Prime Minister affirmed their partnership and commitment to preventing and combating corruption in Iraq by signing a new memorandum of understanding aimed at enhancing transparency, accountability and integrity in the public and private sectors.

The Memorandum of Understanding was signed on the International Anti-Corruption Day, and it is based on the efforts of the United Nations Development Program in support of a solid reform agenda to combat corruption in Iraq, in cooperation with relevant governmental and non-governmental institutions at the federal level and the Kurdistan Region of Iraq.

The Director of the Prime Minister’s Office, Judge Raed Juhi, said in a press conference on the sidelines of the signing of the memorandum, “We are pleased to continue working together to strengthen the bonds of partnership and cooperation between the Iraqi government and the United Nations Development Program in Iraq in the areas of supporting sustainable development, achieving transparency and integrity, combating poverty and corruption, and enhancing the role of Women, youth and civil society institutions.

For her part, the Resident Representative of the United Nations Development Program in Iraq, Zeina Ali Ahmed, said during the conference, “We are proud to work alongside the Office of the Prime Minister and other key partners to deliver a solid anti-corruption program in Iraq – a plan that will help improve public services, and reduce Inequality, strengthening the rule of law, creating a society more resilient to crises, and rebuilding trust between the Iraqi citizen and public institutions.

Since 2012, the United Nations Development Program has worked in partnership with Iraqi institutions to combat corruption in the country. The United Nations Development Program (UNDP) has been implementing the “Anti-corruption in pursuit of confidence” project in Iraq, which would provide support for strategies, policies, regulatory frameworks and legislation related to preventing corruption, and enhance the capacity of public institutions and NGOs to implement reform and support anti-corruption activities.   LINK

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Samson:  MP: Baghdad has the right to intervene militarily in Kurdistan if national interests are threatened

12:02 – 12/09/2020

Member of Parliament, Riyadh Al-Masoudi, affirmed, on Wednesday, that the federal government has the right to intervene militarily in the Kurdistan region if national and sovereign interests there are endangered in light of the escalating wave of protests in the region.

Al-Masoudi said in a statement to “the information”, that “the constitution prohibits the Commander-in-Chief of the Armed Forces to send a security force to the region except at the request of the regional government,” indicating that “the violent events that are currently taking place in the Sulaymaniyah governorate are the province’s jurisdiction.

He added that “government interference is in one case, which is when the interests of national sovereignty are exposed to danger, such as oil interests or federal prisons, and thus the constitution permits the central government to intervene without obtaining approval from the region, as happened in the government of Abadi.”

The head of the Future bloc, MP Sarkut Shams al-Din, in a previous statement to “the information”, pointed the finger at the two ruling parties and their militias in killing protesters demanding their legitimate rights, calling on the House of Representatives to form a higher committee to investigate the events of Sulaymaniyah.  LINK

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Don961: The US State Department determines Washington’s position on Gulf investment in Iraq

810 Politics 12/08/2020 18:05  Baghdad today – Baghdad

The US Assistant Secretary of State for Near Eastern Affairs, David Schenker, revealed, on Tuesday, December 08, 2020, the US position on Gulf investment in Iraq.

Schenker said in a closed-circuit dialogue session in the presence of a (Baghdad Today) correspondent, that “America supports Gulf investment in Iraq and evaluates its investments in Iraq as well.”

He added that “Gulf states’ investment in Iraq is more effective than other investments in the presence of language workers and bilateral relations,” pointing out that “there are parties in Iraq that work outside the framework of state authority and prevent the establishment of investment projects in the country.”

On the American presence in Iraq, the US Assistant Secretary of State for Near Eastern Affairs confirmed that the main cadre of his country’s mission will remain in the capital, Baghdad, in addition to the advisers with the Iraqi security forces.

He stated that “the main cadre remains in the capital, Baghdad, as well as advisors in with the Iraqi security forces,” stressing that “the embassy will not be closed.”

Schenker added, “The administration in Washington and the teams here in Iraq are all committed to the bilateral relationship with Baghdad,” noting that “the temporary reduction will not affect the relationship between the two countries.”

And he continued, “We have committed ourselves to Iraq and the Iraqis, remaining and continuing, support as well at all levels of security, health, economic, and other things as well,” noting that “securing the protection of American personnel remains our first priority.”

He continued, “The US State Department is assessing the security and protection of embassies in all parts of the world, including Iraq,” adding: “We are intensifying our presence in Iraq according to the security and sanitary conditions, and even according to the circumstances of the holidays and occasions.”  LINK