This video is in Franks opinion.
F26: I will talk for the first 30 minutes then our news analysts will come on. Delta is sick tonight and will not be here.
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Don961: Hiring a shrinkage predicament
Tuesday 09 June 2020
Mohammed Sharif Abu Maysam
We are facing a financial crisis caused by low oil prices, and about treatments that target the pressure of government spending, an economy that suffers from structural imbalances that limit the movement of the market in light of reliance on imports to finance domestic demand, and talk about the intention to reduce the salaries of employees – which is the privilege of the first financier of the offer Cash, after declining rates of investment budgets over the years – along with the consequences of the Corona pandemic’s repercussions of the available economic activities, which withdrew to the activities of the shadow economy.
The macroeconomic landscape has become a candidate for further deflation in light of these pressing data, which means that consumption rates must decrease at the expense of the commodity supply that is flooding the markets, which filters low inflation rates within the limits of total supply and demand, above all.
Here, two opportunities may arise at the monetary level that many enthusiasts demanded to liberalize the exchange rate, claiming the fear of depleting the reserves of the central bank in the currency auction, and limiting what is said about suspicions of corruption in the money-flowing operations out of the country:
The first relates to the low demand to buy dollars Due to the low rates of cash flow to finance foreign trade, in conjunction with a decrease in the income of the middle class, which will contribute to reducing exchange rate fluctuations, and consequently the possibility of the exchange rate to remain stable or fluctuation at initially acceptable rates, when following the “managed float” method that requires central intervention accordingly To supply and demand in the parallel market, in conjunction with pressure government expenditures.
Frequently, the demand to reconsider the auction of the currency sale or stop it permanently is repeated on the tongues of politicians and observers, so that it has become among the reform steps that have been talked about the intention to apply in the current stage, and the opportunity now appears favorable if the leaks that talk about pressure of government spending in the budget Half yearly to be presented in the coming days.
The second opportunity that can be filtered from this contraction relates to the possibility of raising the interest rate, with the aim of withdrawing the chunky cash block estimated by the Central Bank at about 70 percent of the issued cash. However, in light of the deflationary pressures, this measure can redistribute the monetary mass issued by the central bank between the banking trading scene and the local markets in conjunction with the introduction of modern banking technologies and systems that reduce slack rings and encourage the public to trade online towards reducing cash circulation within the framework of applying Serious to the program of financial inclusion, which means and necessarily the exit of monetary policy from the predicament of hoarding that it has suffered over the years and the liberation from the burden of financing foreign trade, which the liberals consider responsible for the total demand in the local market. LINK
MilitiaMan: When they speak of liberalization of the exchange rate they are talking about going into a market economy.This is good for the public welfare. They again are pointing out the pros and cons of what they can or can not do.
We can tell by actions of late with all the educational articles in regard to exchange rates, interest rates, investment, imports, exports, secondary markets, etc. that they are leaning to the below as the end to the financial crisis and will be somewhat painful at first for local goods, but in the medium to long term they will benefit.
All the countries that have arrived on the scene today, along with those that arrived over the last few weeks, show that they are going to have permission for their currency to be exchanged with other foreign currencies with international acceptance.
They have been very vocal about it lately and i sure like to see them pointing things out. Getting the chunky back into the system, will be beneficial in the re investment of their own country.. Very good sign.. imo ~ MM
“The exchange rate liberalisation is a major ingredient of economic liberalisation. The
exchange rate liberalization means the permission for the currency to be exchanged with foreign
currencies for economic transactions that promote the economy and economic welfare of the
general public (Adam et al., 2010). The exchange rate liberalization is the route to link the
principles of international economics.”
Don961: The agricultural sector needs promising investment plans
Friday 05 June 2020 Baghdad / Al-Sabah
The reform paper presented by the Iraqi Institute for Economic Reform, prepared by a specialized team of economists, addressed all the problems faced by the national economy, as it stood at the agricultural sector, which is a permanent oil when it finds promising investment plans that make it a real supporter of the sustainable development process.
A member of the paper preparation team, Kazem Al-Oqabi, said: “The agricultural sector is an important axis in the economic development process that Iraq seeks, as it suffers from weak protection measures for the agricultural product, control and control over imported agricultural products, as well as high production costs for agricultural crops.”
He pointed out that «the reformist paper focused on the importance of imposing a tax on imported agricultural crops and their products provided that the tax rate is calculated on the basis of the cost of the local product inside Iraq to achieve a competitive advantage with the local agricultural sector, and the approval of the import license only to enter crops and agricultural products and prevent irregularities, and the adoption of electronic governance And the completion of the institutional linkage between the state ministries and the formations concerned with this activity to ensure that the products allowed to be entered are properly entered, as well as to stop working with the exceptions granted contrary to the laws on plant and animal wealth and not to give any other exception ».
And he stressed «the necessity of obligating all government ministries and institutions that have a feeding program for their affiliates to purchase national plant and animal products, and to support farmers, farmers and investors who support the agricultural sector with oil derivatives in terms of quantity and price as well as electrical tariffs to contribute to reducing production costs, and provide full support to establish agricultural areas on Like the industrial zones, the foundations of their establishment are available through the availability of large areas and water in the country, including groundwater, as well as providing great support to farmers and farmers in providing them with greenhouses, sprinklers, watering pumps, fertilizers, pesticides, etc. at subsidized prices that are exempt when achieving abundant production and also when Export ».
He pointed out that «the reform paper showed the importance of providing significant support to establish feed production factories for livestock and poultry, which are a basis for making dairy products and canning meat through raising livestock, cows and poultry, and providing subsidized loans to farmers, preferably without interest and incurred by the government in exchange for the output that farmers will provide And also for investors in the field of livestock, poultry and food industries dependent on agricultural products such as packaging factories and others, up to the establishment of penalties for farmers, farmers and investors in the event that they do not use the loans for the purpose for which they were granted with a comprehensive follow-up to those projects ».
Al-Oqabi asserted that “the preparation team stopped at the importance of preventing the import of crops and agricultural products to ensure the protection of local agricultural products, which will result in expanding the production of these crops locally or by imposing large fees on crops entering the country with a high rate to encourage farmers to cultivate and emphasize the benefit of a fund law. Exporting, encouraging handicrafts, domestic and timber industries especially in the southern regions and introducing modern technologies in manufacturing and providing the necessary support for that, as well as recovering the amounts of agricultural initiative loans that deserve to be recovered before the year 2020 and recycling them to other beneficiaries, and establishing a project of agricultural complexes to market agricultural products to encourage farmers to focus in Increasing agricultural production
By facilitating marketing, reducing its cost and encouraging food industries that depend on agricultural products such as tomato paste production factories, juices, dairy and dairy products.
In another axis, the paper focused on adopting the principle of partnership between the public and private sectors in the implementation of medium and large industrial projects to establish joint-stock companies offering their shares in the Iraq Stock Exchange, and that is possible within the available laws (21) and (22) for the year 1997 as well as starting a transformation program ( 2) A public company or factory to a contribution according to Articles (35-38) of the Public Companies Law No. 22 of 1997 in the light of its success, preparing and implementing a long-term transformation program.
The reform paper also stood at the adoption of the idea of the industrial dinar because it would open the door to re-exportation, which is the most important in the matter of industrial development, because without it, the money used in importing in non-Iraqi currencies, no matter how they will not be recovered and will be wasted locally, will also encourage the main global suppliers to enter into The participation of the Iraqi industrial establishments for marketing in the surrounding markets first and then global according to the need because of the real competition for international prices. LINK
MilitiaMan: This sure sounds good to me.. industrial Dinar? Which is said to be the most important in the matter of industrial development is openly being talked about!!
It will encourage global suppliers to enter into and participate in establishing surrounding markets.. Re-exportation seems to be bringing business home and not only that, but that their currency apparently will be repatriated to her shores along with other foreign currency to support her foreign reserves
It is late… I lol sleep on this one.. lol -MM