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Tishwash: Al-Rasheed resumes official hours: our doors are open and we have begun calculating the interest on deposit accounts

Al-Rasheed Bank announced Tuesday that it will resume work and open the bank’s doors to receive customers.

“The bank has begun calculating interest on all deposit accounts,” the bank’s press office said in a statement received by NAS.

“The bank invites its customers to review the branches for the purpose of receiving them, noting that earlier it announced the granting of interest to savings accounts and fixed deposits of all kinds,” he said.

link

Tishwash:  Adopting local currencies in trade relations Jan5

Baghdad: Al-Sabah

A member of the Federation of Businessmen Ahmed Masal asked to go to adopt local currencies in foreign trade transactions.

“The completion of trade with regional countries and beyond is important and facilitates the smoothness of trade performance and is supported by many countries in the world,” he said.

Transit trade

“There are international agreements regulating this type of cross-border trade because of the benefits it brings to various economies of the world, and from countries that adopt this type of trade, Malaysia has with its neighbours and other countries,” he said.

China relies on many foreign projects, primarily Japanese, using the local Chinese currency (yuan) as a means of settling urgent payments and obligations, which are less vulnerable to fluctuations in the process in foreign exchange rates and avoid the margins of difference required by the dollar transfer process.

Economic blocs

He stressed that the volume of trade with neighboring countries and global economic blocs is very large, and needs greater regulation of the cross-border trade process, as Iraq needs many products to cover domestic demand, which necessitates going to international markets to cover the requirements of its domestic market.  link

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Tishwash:  The 2021 budget: “harsh orders” from the International Monetary Fund for Iraq “have been implemented”… “The next is worse” by laying off “thousands of employees”!

Today, Tuesday, economist Hussein al-Askari revealed the steps taken by the International Monetary Fund for the 2021 budget in Iraq, stressing that there are other steps ahead.

Al-Askari said, in his Facebook post: It seems that the advice (orders) of the International Monetary Fund of the Iraqi government has found its way easily into the budget: reducing salaries, retirement benefits and raising taxes.

He added that the next steps are to lift subsidies on electricity and fuel, dismantle government banks and give powers and more space to private banks, indicating that when the 2021 budget leads to a bigger crisis in the following year, the proposal will be to lay off non-productive employees and perhaps cancel the ration card and replace it with social aid for the classes. the poorest.

Al-Askari explained that when the situation worsens even more, the fund will propose privatizing oil and gas companies, airports and ports, selling state lands, etc. These have happened in many countries.

And between, that this situation can be changed easily, but without referring to the advice of the Fund and London Wall Street students, noting that Iraq’s financial problems are easy to solve. The problem is in the rentier economy, and the lack of interest in infrastructure, agriculture, industry, education and health, which received the least share of the 2021 budget.

The IMF website had published a statement, in which it said that a team of International Monetary Fund experts, led by Tukhir Mirzoev, completed the 2020 Article IV consultation mission with the Iraqi authorities, which lasted from November 11 to December 10 Its sessions were held via electronic platforms.

At the end of the mission, Mirzoev made the following statement:

“The consequences of the Covid-19 virus pandemic, and the sharp decline in oil prices and in the volume of oil production, have exacerbated the vulnerabilities of the Iraqi economy. Real GDP growth is expected to decline to -11 percent in 2020, reflecting the contraction in the volume of oil production and the disruption of non-oil economic activity. The sharp decline in oil revenues is expected to increase the fiscal deficit and the external current account to 20 and 16 percent of GDP, respectively.

“A critical recalibration of near-term economic policies will be crucial to ensuring macroeconomic stability and protecting the most vulnerable. Overcoming the health crisis is the highest priority. The next phase of the pandemic will require additional financial resources – including access to an effective vaccine and widespread distribution, backed by a strong governance framework. The development of a comprehensive policy package aimed at reducing financial and external imbalances will be of great importance in easing financial restrictions and ensuring the sustainability of debt, while preserving international reserves. In this context, financial efforts in the 2021 budget should target the main areas of weaknesses in public finances, in particular stopping the unsustainable expansion of the salary and wages bill and the retirement bill, reducing subsidies that do not lead to energy rationing, and increasing non-oil revenues.

“Achieving sustainable and inclusive growth in the medium term, amid enormous challenges and vulnerabilities, will require continued implementation of broad-based structural reforms. These reforms should aim at strengthening public funds to enable critical health and social spending needs to be met, reforming the electricity sector, fighting corruption, and expanding institutional capacities. The uncertainty of the medium-term oil market outlook and strong population growth add to the urgent need to advance the reform program.

“Continuous strengthening of public finances, in the medium term, will create fiscal space (the spending space of public finances) that is much needed for development and social protection purposes. A comprehensive reform of the civil service system will enhance the efficiency of the public sector while reducing financial costs. There is a need to recalibrate the pension system to ensure its sustainability. Stopping the continuing escalating financial losses in the electricity sector, and reforming this sector will enhance the provision of services and ensure the continuity and soundness of the sector’s financial position. Also, a comprehensive reform of tax and customs policies and administration will help diversify fiscal revenues. These efforts must be accompanied by improvements in public financial management to reduce financial risks arising from government guarantees and other contingent liabilities.

“Addressing weaknesses in the governance system and curbing corruption will be vital factors for Iraq’s future economic development. Simplification, the use of digital technology, and the practice of a greater level of transparency in basic public services and institutions will reduce corruption risks, especially in the public procurement system. In addition, strengthening audits and reviews, improving legal and regulatory frameworks in line with international standards and agreements, expanding capabilities for risk-based oversight, and enforcing compliance requirements with AML / CFT rules will all help enhance public and investor confidence.

“A decisive strategy for reforming the large state-owned banks and creating a level playing field in the financial sector will enable the development of the private sector and secure financial stability. In addition, strengthening oversight over the governance methods of these banks, and exercising enhanced supervision over them, will require an international audit process for large state-owned banks to enrich the options available for their restructuring.

The fund’s team of experts exchanged views with senior officials in the Central Bank of Iraq, the Ministry of Finance, members of the Parliamentary Finance Committee, as well as with other ministries and government agencies, and representatives of civil society.

The IMF team of experts would like to thank the Iraqi authorities for their frank and fruitful discussions with them throughout the mission.  link

Harambe:  Forbes: Iraqi And Kurdistan Budget Hangs In The Balance

(1/4/21)

Despite the Government of Iraq and the Kurdistan Regional Government (KRG) agreeing a deal over its 2021 budget on December 20, the road to parliamentary approval may be bumpy, market participants told Debtwire.

“Parliament has yet to approve [the budget], there is significant opposition to the KRG provisions there and so the deal could be held up, delayed or not implemented,” said Sajad Jiyad, Iraq analyst and fellow at The Century Foundation, a think tank.

“Kurdistan is very flexible in their willingness to deal with Iraq, but the same hasn’t be true for Iraq’s willingness to deal with Kurdistan,” said Tara Shwan, Executive Director at the American-Kurdish Economic Institute (AKEI).

The draft budget states that the KRG must hand over 250,000 b/d of crude to Iraq’s State Organization for Marketing of Oil (SOMO) in order to receive its share of the federal budget, a clause that has long been a point of contention between Baghdad and Erbil. Other sticking points for the deal revolve around “the nature of the KRG’s deal with Turkey on exports and pipeline access, the debt accrued by the KRG and the size of the public sector payroll,” said Jiyad.

“Baghdad also wants the KRG to commit to transferring customs duties and taxes, and implement federal laws on immigration, transport and judicial powers and other long-term issues unresolved between them,” he went on to say.

Despite these points of contention, a deal is likely to be agreed by parliament, said Howard Shatz, senior economist at the RAND Corporation. “It is fair to say that parliament is less tolerant of a deal than the cabinet is, but I think that a deal will be struck,” he said.

Despite the challenges, funds from Baghdad remain essential to the health of Kurdistan.

“Without those payments, the KRG will be bankrupt and cannot pay its civil servants, oil producers and its creditors. A deal for 2021 will help the KRG meet monthly obligations but is not a long-term solution,” said Jiyad.

Shatz emphasised that the KRG’s financial obligations have grown in recent years. The semi-autonomous region may no longer be able to act independently in the case of a no-deal, as it has in the past.

https://www.forbes.com/sites/debtwire/2021/01/04/iraqi-and-kurdistan-budget-hangs-in-the-balance/

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Harambe:  Bloomberg: How Vietnam Will Pick New Leaders During Rising Tensions With China, U.S.

(1/5/21)

Vietnam, one of the world’s five remaining Communist states, is about to get new leadership. The biggest moves will emerge from a secretive, twice-a-decade meeting — the National Party Congress — which gets underway in Hanoi in late January. From general secretary on down, there’ll be a shakeup of the characters who will steer the Southeast Asian nation of 97.6 million people through a period of tense relations involving China and the U.S. While no major policy reset is anticipated, the congress will approve a five-year blueprint for one of the world’s fastest-growing economies.

  1. How does the system work?

It’s an opaque course of. Vietnam has a collective “4 pillar” management construction made up of basic secretary, prime minister, president and chair of the Nationwide Meeting, the nation’s parliament. It governs in session with a 17- to 19-member politburo. Nguyen Phu Trong, the present basic secretary, additionally turned president in 2018 following the loss of life of President Tran Dai Quang, that means the highest management was down to a few. Observers anticipate the federal government will revert to 4 pillars in 2021.

The 13th Nationwide Occasion Congress is scheduled to be held Jan. 25 via Feb. 2. About 1,600 delegates from throughout the nation will vote to pick about 200 members to the Central Committee, which in flip will choose the politburo and from that group the social gathering basic secretary. The politburo will then nominate candidates for prime minister and the cupboard. These will go to a vote within the Nationwide Meeting mid-year.

  1. Who’s in rivalry for the highest job?

Prime Minister Nguyen Xuan Phuc, 66, who has received plaudits for guiding the nation via the pandemic comparatively unscathed, could also be within the working for the social gathering chief. His chief rival could possibly be the incumbent’s protege, Tran Quoc Vuong, 67, head of the social gathering’s central workplace, who spearheaded Trong’s aggressive anti-corruption marketing campaign. Trong, 76, might even pursue one other full or partial third time period. Doable contenders for different prime jobs:

  • Vuong Dinh Hue, 63, a former minister of finance, deputy prime minister and head of the Occasion’s Central Financial Fee, could also be within the working for prime minister.
  • International Minister Pham Binh Minh, 61, who holds a grasp’s diploma from Tufts College within the U.S. and can be deputy prime minister, is a attainable candidate for president.
  • Truong Thi Mai, 62, a Central Committee member, could possibly be the second girl elected as chair of the Nationwide Meeting.
  1. What challenges await?

On the one hand, boosting development within the export-dependent nation following a pointy international recession. On the opposite, doing so with out additional upsetting the U.S., its largest export market. The U.S. put Vietnam on discover in October by opening a commerce investigation into its foreign money coverage after which imposed preliminary anti-subsidy duties on Vietnamese automobile and truck tires, citing an “undervalued foreign money.” In December, the U.S. Treasury designated the Southeast Asian nation a foreign money manipulator, which comes with no fast penalties however can escalate commerce tensions. Vietnam’s authorities shall be eager to safe higher entry to American shoppers whereas tamping down issues concerning the surging commerce surplus, on tempo in 2020 to interrupt the earlier yr’s report $56 billion.

  1. How has Covid-19 affected the nation?

At year-end Vietnam had one of many lowest virus loss of life counts globally, having contained the pathogen. Nonetheless, financial development slowed to 2.91% on the finish of 2020 as the worldwide downturn introduced on by the pandemic sapped demand for made-in-Vietnam merchandise, from smartphones to decorate shirts. The federal government forecasts a 2021 growth of about 6% in contrast with 7.02% in 2019.

  1. What about superpower relations?

Vietnam is determined by China for key supplies and gear to produce its factories. But relations with its highly effective neighbor — the 2 international locations fought a quick border conflict in 1979 — are fraught and additional infected due to competing territorial claims within the South China Sea. (Vietnam’s shoreline of about 3,400 kilometers, or 2,100 miles, follows one of many world’s busiest sea cargo lanes.) Vietnam favors higher U.S. financial and navy presence within the area to counter China’s rising would possibly and is predicted to push for an in depth relationship with the Biden administration.

  1. How are Vietnamese faring?

As many years of market-oriented financial reforms enhance incomes and nurture a rising center class, Vietnam is among the many world’s most optimistic international locations, in line with a Nielsen survey. But human rights advocates criticize restrictions of fundamental political and civil freedoms. Arrests and trials of Vietnamese who converse out on points reminiscent of corruption have grown markedly following a brand new cybersecurity regulation in 2019, in line with Carl Thayer, emeritus professor on the College of New South Wales in Australia. There’s sometimes an up-tick in arrests earlier than the social gathering congress, he stated.

  1. What’s going to a brand new authorities imply for buyers?

Extra of the identical. Vietnam’s profitable dealing with of the pandemic, enhancing infrastructure, investor-friendly insurance policies, political stability and its well-educated, younger and low-cost workforce is more likely to proceed attracting worldwide corporations. Anticipate additional efforts by the brand new management to promote Vietnam as an more and more high-tech manufacturing base for suppliers of world giants reminiscent of Apple Inc. One concern for corporations would be the threat that the commerce rift with the U.S. may set off extra tariffs.

https://www.bloomberg.com/news/articles/2021-01-04/the-secretive-meeting-where-vietnam-changes-leaders-quicktake

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Mot: ~~~~ Wish I Had Read This un Years Ago!!! ~~~~

 A father said to his daughter “You have graduated with honors, here is a car I bought many years ago. It is a bit older now but before I give it to you, take it to the used car lot downtown and tell them you want to sell it and see how much they offer you for it.”

The daughter went to the used car lot, returned to her father and said, “They offered me $1,000 because they said it looks pretty worn out.”

The father said, now “Take it to the pawn shop.” The daughter went to the pawn shop, returned to her father and said, “The pawn shop offered only $100 because it is an old car.”

The father asked his daughter to go to a car club now and show them the car. The daughter then took the car to the club, returned and told her father, “Some people in the club offered $100,000 for it because it’s a Holden Torana A9X and it’s an iconic car and sought by many collectors.”

Now the father said this to his daughter, “The right place values you the right way,” If you are not valued, do not be angry, it means you are in the wrong place.

Those who know your value are those who appreciate you.

Never stay in a place where no one sees your value.

Never!