TNT:
Tishwash: Foreign investments… Iraq as a model!
One of the most important manifestations of globalization is the escalation of cross-border and intercontinental investments, twice as high as global trade.
A study by the United Nations (1999) indicated that most countries tend to adopt economic measures aimed at providing appropriate conditions to attract the transfer of direct foreign investments to them (financial – tax incentives)! Companies’ investments move to an area or activity, when they expect to achieve a high rate of return to their capital, more than anywhere else!
As a result of the direct employment of foreign investments, positive side economic flows (according to the governance of standard conditions) are reflected in the performance of the activities of local companies through (imitation, acquisition of skills in the organizational – administrative and technical aspects, competition and export …)! What foreign investments achieve in the host country is still a controversial issue, about the extent to which they actually achieve certain economic savings!
Among the investment determinants, for example, is the lack of foreign investment in the target country (such as Iraq); Security and infrastructure, human capital, distribution networks, etc., which stand in the way of qualitative investment-technological expansion and achieving the required economic savings!
In the case of Iraq, it requires the state and its systems to positively and effectively intervene to reshape the organizational-structural structure of its economic-financial systems in order to attract local and global investments that achieve the added values and capital accumulation necessary for the transition from the stage of a backward economy to the stage of a dynamic-technological economy led by regulatory departments. An efficient scientific professional executive!
It was found that the availability of the following factors helps in achieving economic savings:
1. The size of the absorptive capacity of the country.
2. Availability of infrastructure, especially those related to transportation, communications and service networks.
3. The availability of skilled labor and the improvement of education and training levels.
4. Adopting group work policies to achieve horizontal and vertical integration.
5. Adopting open commercial practices that stimulate competitive investments.
These elements and other factors are considered to be interrelated – overlapping within the framework of implementation mechanisms and results.
International research indicates that the economic and financial failure of a country is often caused by the incompetent performance of the senior executive leadership that sits on the pyramid of decisions and implementation in politics, economics and money! For the success of the executive operations, a strategy based on the synthesis of four elements must be adopted within a coherent and tight framework: Ensuring the quality of tasks and powers granted to decision-makers / availability of accurate information / consistency and effectiveness of economic-investment standards and incentives / building modern organizational structures for institutions and projects…! In order to bring about the desired change in the organizational structures, it is necessary to reduce some administrative levels in favor of tightening the control process and reducing administrative costs (focusing on implementation mechanisms). Implementation of required and desired economic correction and reform processes!
Iraq constitutes a great investment hotspot because it constitutes an ocean of great absorptive capacity that carries enormous investment opportunities at the local, regional and international levels! Iraq needs to adopt major executive policies, decisions and procedures, in order to attract investments from major countries and companies that will help it rise and leave its sad and abject backwardness!! link
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Tishwash: Sudani stresses the need to adopt a new path of economic reform
Prime Minister Muhammad Shia’ al-Sudani stressed, on Saturday 12/24/2022, the need to adopt a new path for economic reform through the adoption of the Iraq Fund for Development.
The media office of the Prime Minister said in a statement received by Al-Masalla that the Prime Minister, Muhammad Shia’a Al-Sudani, received a delegation such as the heads of boards of directors of private banks and their representatives, and the Association of Private Private Banks in Iraq.
The statement added that Al-Sudani reviewed, at the outset of the meeting, the most important basic economic action axes that the government adopts in its approach. He also clarified the most prominent financial and social challenges and crises facing sustainable development, most notably the problems of poverty and unemployment.
According to the statement, the Prime Minister expressed his conviction in the importance of economic solutions, and relying on them to improve the service and living conditions of citizens.
The statement added that Al-Sudani indicated the need to adopt a new path for economic reform, by approving the Iraq Fund for Development, which will carry an orientation towards the implementation of projects by the private sector, through specialized funds that contribute to development programs.
He pointed out the need for an efficient banking sector that enjoys the confidence of citizens, without which the government cannot support development and the private sector.
For their part, bank managers and representatives presented their vision, problems and proposals, which are in the path of supporting development.
The statement noted that the Prime Minister directed work to facilitate it, and the formation of a joint team of advisors in the Presidency of the Council of Ministers and private banks, in charge of reviewing legislation that impedes the work of banks, proposing investment projects, and developing mechanisms to support private banks and activate their role, as well as receiving studies and proposals. and provide possible solutions. link
