Iraqi News Highlights Saturday Morning 7-15-23
Tlm724 Administrator Bondlady’s Corner
An Economist Identifies Measures To End The Differences Between The Official And Parallel Dollar Price
July 12 8:40 am Information / Baghdad…The researcher in economic affairs, Muhammad Al-Saadi, explained, on Wednesday, that there are some measures through which the government can eliminate the differences between the official and parallel dollar exchange rate. Al-Saadi told Al-Maalooma, “The control of the border crossings over exports and imports, and obliging all merchants to enter the electronic platform, will greatly reduce the demand for dollars in the parallel market.”
He added that “the central bank’s tendency to increase the dollar sold by it to merchants in general and citizens by a specific percentage and according to need, will make the parallel market less demand for foreign currency.” And that “the government, if it is able to increase the amount of dollars received from the Federal Bank,
it can increase the pumping of this currency to the markets and reduce the parallel price, as well as the possibility of increasing the opening of windows for selling the currency in all regions and governorates, and thus competing with the parallel market for the emergency demand for the currency.” ended 25 n
https://almaalomah.me/news/economy/اقتصادي-يحدد-الإجراءات-الكفيلة-بإنهاء-الفوارق-بين-سعر-الدولا
Al-Kazemi.. Banks Linked To Politicians Are Implementing Plans To Smuggle Dollars
July 13, 2023 Last updated: July 13, 2023 The Independent/- The security and economic authorities in Iraq have seized hidden plans being implemented by private banks linked to senior politicians Through which foreign currencies are smuggled out of Iraq, and the value of the Iraqi dinar is weakened.
The government agencies did not specify the smuggling destinations, but said that they are heading to neighboring countries, in reference to Iran Syria and Lebanon.
A member of the Parliamentary Finance Committee in the Iraqi parliament, Moeen Al-Kazemi, said that
the central bank system when it allowed a transfer Funds through (Master Card) for travelers There was support for this step that would serve the traveler,
But it has been circumvented by collecting hundreds of cards or issuing them illegally before Some private banks,
then the currency difference in other countries is benefited by one person who travels And with him hundreds of cards, so the government and the central bank paid attention to this fraudulent process.
And a source in the central bank said that hundreds of millions of dollars were sold in the currency auction and most of this money Transferred outside Iraq under the cover of supplying consumables,
except that all the invoices that prove the exchange That money on importing basic materials for the Iraqi market was forged, and there are parties that are professionally falsifying these invoices with support of senior politicians.
The Iraqi economist, Dr. Majid Al-Suri, described what is happening in Iraq as a kind of economic chaos The country has suffered from it during the last three decades and it is still rooted after the occupation in 2003 through :
Wide open border crossings, absence of a clear economic policy, confusion in fiscal policy, and expansion of expenditures Operationalism, lack of interest in economic and social development,
while encouraging the unfettered free market economy policy and not implementing the constitution And the laws in force,
all of this, has made Iraq a great hotbed of administrative and financial corruption, speculation and unregulated behaviour. In economic operations in general and commercial operations in particular.
The Association of Iraqi Banks estimates that more than 300 billion dollars have been smuggled out of Iraq since 2003 Through fake deals,
smuggling huge sums of $100 through land and airports, confirmed Planes left Iraqi airspace loaded with foreign currencies without the security and oversight authorities being able to turn it off.
Quoted from Akhbar Al-Khaleej Bahrain newspaper https://mustaqila.com/الكاظمي-مصارف-مرتبطة-بسياسيين-تنفذ-خط/
The Central Bank Reveals The Decline In The Refusal Of Iraqi Trade Transfers From The US Federal Reserve
July 13, 2023 Last updated: July 13, 2023 The Independent/- The Central Bank of Iraq revealed that the rejection of Iraqi trade transfers from the US Federal Reserve via the electronic platform has declined to 8 percent, while attributing the reason for the rise in the dollar in parallel markets to the large volume of trade with Iran, Turkey and Syria and the restrictions imposed on those countries by the Americans.
The general manager of investments in the bank, Mazen Sabah Ahmed, said:
“The refusal of Iraqi transfers by the US Federal Reserve through the electronic platform decreased from 80 percent to 8 percent, noting that “the platform system aims to adopt global transfer standards that limit inaccurate paths of money.”.
This came on the sidelines of an economic symposium organized by the Financial and Accounting Training Center at the Ministry of Finance, in cooperation with the House of Wisdom for Training and Consulting, titled “The electronic platform for financing foreign trade and the gap between the official and parallel Iraqi dinar exchange rate.”
He added to “Al-Sabah” that “the currently approved platform is a product of an agreement.” With the US Federal Reserve, the mechanisms of dealing in dollars are taken into account, as
the demand for the auction began to be through an electronic system that takes into account all the important details that the transfer includes, such as the investment of funds, the two parties to the process, the importer and the exporter, and are there penalties for the issuing party.
Ahmed pointed out that “the platform adopts robust mechanisms through which funds cannot be passed to an incorrect party,” revealing that “the adoption of a specialized international company works to audit all transfers without exception.”
He explained that “the mechanisms for establishing the banking system after 2003 were not at the required level and were characterized by weakness and their inability to finance foreign trade.” And then to its destination, and this matter was covered by major international media, which negatively affected the reputation of the Iraqi financial sector.
The Director General of Investments in the bank pointed out to “the importance of Iraqi banks working to develop the reality of their performance and working to raise their capital to levels that make international banks ready to be their correspondents.”
Regarding the gap between the official and parallel exchange rate, Ahmed said:
“The Central Bank of Iraq does not have a problem with the supply of the dollar, but the problem is with the demand, aswe have a large volume of trade with countries that have restrictions regarding the dollar, including the Islamic Republic of Iran, with which the country touches 10 trade.”
Billions of dollars and Turkey, with which our trade ranges between 10-12 billion dollars, as well as Syria, with which we have a volume of trade that requires dollar sums, which raises the demand for dollars in the parallel market, due to the need for dollars to pay the dues of this trade, especially since the dollar cannot be granted to anyone A country prohibited from dealing in dollars.
He pointed out that “the Central Bank tended to provide the dollar for every person in need, but we noticed an incorrect use by the beneficiaries, and these directions were reconsidered.”
Ahmed urged to “go towards electronic payment and benefit from payment cards that each have characteristics that can provide the dollar at the official price, as cards can be issued through applications downloaded to the mobile phone and through which virtual cards of up to 50 cards are issued that are used to complete the needs of the beneficiary at the price.” official approved by the Central.
Hisham Khaled, in his role specialized in economic affairs, told Al-Sabah newspaper, his independent follow-up, that “the Iraqi banking system has major tasks ahead of it represented in providing credit to the local labor market that requires local and international financial transactions, and from here the banking system must realize that the process of developing performance and adopting advanced technology is more important.”
The next steps, in addition to expanding the capital of banks. He pointed out that “the Iraqi citizen needs to expand his understanding of the reality of electronic payment and its importance and a serious shift to electronic transactions.
The parallel market, as this matter represents the talk of the Iraqi street.”
He stressed “the importance of the banking system’s future plans to include a detailed dissemination of the culture of electronic payment in cooperation with various media outlets and in coordination with the concerned authorities, and to benefit from the virtual cards provided by the Central Bank of Iraq.”
https://mustaqila.com/المركزي-يكشف-عن-تراجع-رفض-حوالات-التجا/
Revealing The Most Famous Methods Of Smuggling Dollars And Accusing “Whales” In The Government
sweeteners | Yesterday, Baghdad today – Diyala Today, Friday, the Chamber of Commerce in Diyala identified the most famous ways to smuggle dollars outside Iraq, while noting that “whales of corruption in the body” of the government are benefiting from the parallel market to sell foreign currency.
The head of the chambers of commerce, Muhammad al-Tamimi, told “Baghdad Today” that “dollar smuggling has receded, but it has not ended and is still the most important factor in reviving the parallel market for the currency at home.”
He added, “The most famous methods of smuggling the dollar is the exploitation of some banking companies holding simple citizens’ documents to transfer money in large sums monthly,” pointing out that “there are some loopholes that allow those companies to escape punishment and pay the price for any violations.
They are the simple people who do not know that their official papers are being manipulated in financial abuses. Al-Tamimi indicated that
“whales in the body of the government benefit in various forms from the parallel market for selling dollars in Iraq, especially since speculation achieves huge profits from time to time.”
Earlier, Prime Minister Muhammad Shia al-Sudani said that millions of dollars are smuggled out of the country on a daily basis with forged bills, stressing that the matter was discovered after everyone was obligated to make transfers via the electronic SWIFT platform that allows the US Central Bank to monitor.
https://baghdadtoday.news/226121-الكشف-عن-أشهر-طرق-تهريب-الدولار-والاتهام-لـحيتان-في-الحكومة.html
The Governor Of The Central Bank Of Iraq Receives A Delegation From The International Finance Corporation (IFC)
July 14, 2023 His Excellency the Governor of the Central Bank of Iraq, Mr. Ali Mohsen Al-Alaq, received a delegation from the International Finance Corporation (IFC) of the World Bank Group.
During the meeting, they discussed aspects of bilateral cooperation in the field of the banking sector and its development in line with global technologies, as well as presenting the latest developments regarding the strategic projects implemented by the Central Bank in cooperation with the International Finance Corporation (IFC).
The two parties discussed the sustainable financing project, which is a key factor in achieving the goals of sustainable development through offering banking products and services and developing banking operations in a manner that takes into account the elements of environment, society and governance (ESG), and financing, lending and investment activities, to achieve sustainable benefit for all concerned parties.
It is noteworthy that Iraq is the second Arab country to establish this project, while the Central Bank was praised by the International Finance Corporation for its fruitful efforts in making a significant impact on the Iraqi banking sector to contribute to preserving the environment and supporting sustainable growth and societal safety.
His Excellency the Governor reviewed an initiative to establish a green bank that the Central Bank is working on implementing, while the delegation expressed their willingness to cooperate in the field of exchanging experiences and training to help establish this bank in line with the efforts of the Corporation and the Central Bank in supporting the private sector and medium and small projects,
pointing to the openness of the Central Bank to all International financial and banking institutions in supporting the Iraqi monetary policy.
Central Bank of Iraq information Office 14 – July – 2023 https://cbi.iq/news/view/2377
Turning To “State Governance” Is The Gateway To Combating Corruption
The first 2023/07/15 Baghdad: Huda Al-Azzawi A number of specialists in the political field saw that one of the most important ways to correct the tortuous path in the anti-corruption file is; Work on reproducing the successful experiences of developed countries by shifting to “state governance”, and making all governmental and private departments and official institutions pass through the tax authority gate, as well as restoring the work of the offices of general inspectors and repairing them if they are exposed to violations, noting that the government’s work in combating corruption seemed clear
He indicates optimism that Iraq has progressed two degrees to rank 23 in the Corruption Perceptions Index, and that it ranks 157 out of 190 countries in this regard.
Omar Al-Nasser, the policy-making official in the Bidaya movement, said in an interview with Al-Sabah:
“It is not possible to go to eliminate corruption completely, because the world’s greatest, most advanced and transparent countries have varying rates in this joint, and suffer from fluctuations in its pace in most cases.”
Institutions,” noting that “the shift to state governance and making all government and private departments and official institutions pass through the Tax Authority’s gate is a process of reproducing the experiences of developed countries such as (Sweden, Denmark, Germany, Britain, Austria, Switzerland, and others).”
Al-Nasser called for the reinstatement of “the offices of the inspectors general and their reform if they were exposed to violations or delay, which is a healthy case for building an oversight arsenal that supports the performance of the House of Representatives in re-reviewing and evaluating towards correcting the tortuous course in the anti-corruption file.”
He noted that “today, the Corruption Perceptions Index (CPI) must be taken into account, which placed Iraq in the rank of 157 out of 190 countries in this regard, and its progression by two degrees to rank 23 is a step forward for optimism, because this, in turn, will achieve qualitative leaps in several fields.”
https://alsabaah.iq/80663-.html
The Ukrainian War Boosts The Growth Of The “Currency Basket” In Iraq By 10%
Tammuz 13 18:34 Information / Diyala ..The Chambers of Commerce confirmed, on Thursday, that the Ukrainian war boosted the growth of the currency basket in Iraq by 10%.
The head of the Chambers of Commerce in Diyala, Muhammad al-Tamimi, said in an interview with Al-Maalouma, that “the US dollar was important to the foreign trade sector in Iraq by 99%, with more than 100 countries being contacted for import in various fields.”
He added, “The Ukrainian war, the results of the sanctions, and the use of the dollar as a means of pressure by Washington gave an important reaction in that the dollar is an unsafe currency, so Iraqi merchants began relying on a variety of foreign currencies to pay the costs, whether from China or others.”
He pointed out that “the basket of diversified currencies for any merchants began to rise to 10%, and it is constantly on the rise, especially since obtaining currencies is not difficult compared to the dollar and its challenges.”
And many countries began to gradually abandon the US dollar in their foreign trade and use other currencies, including the Chinese yuan. 25 p.m. ended
https://almaalomah.me/news/economy/الحرب-الاوكرانية-تعزز-نمو-سلة-العملات-في-العراق-بنسبة-10
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