Friday Morning Iraq Economic News Highlights 6-23-23

Source: The Budget Law Has Reached Justice And Will Be Published In The Official Gazette Next Week

Time: 06/22/2023 Read: 3,822 times  {Politics: Al Furat News} An informed source in the Ministry of Justice revealed that the financial budget law had reached the ministry.  The source stated in a press statement that: "The budget law has reached the Ministry of Justice and will be published in the Official Gazette (Al-Waqa'eq) next Monday, June 26, to enter into force."

The House of Representatives voted on the dawn of June 12 on the Federal General Budget Law of the Republic of Iraq for the years (2025, 2024, 2023) in total.  Yesterday, Wednesday, the President of the Republic, Abdul Latif Jamal Rashid, approved the budget.   LINK

Parliamentary Finance: The Instructions Of The Budget Law Will Be Issued After Eid Al-Adha

Baghdad – conscious  Today, Thursday, the Parliamentary Finance Committee announced the date for publishing the budget law instructions.

A member of the Parliamentary Finance Committee, Mueen Al-Kazemi, told the Iraqi News Agency (INA), that "it is expected that the budget law will be published in the Official Gazette next Sunday."

Al-Kazemi added, "The instructions of the budget law will be issued after the blessed Eid Al-Adha."

https://www.ina.iq/188023--.html

A New Parliamentary Talk Related To The Budget

Money  and business  Economy News – Baghdad  The Parliamentary Finance Committee has set the start date for ministries financing the budget amounts due for the past months.

Committee member Mustafa Al-Karawi said, "Instructions for implementing the budget will be issued after Eid Al-Adha, as the Prime Minister and the Ministry of Finance prepared a draft of instructions that may need amendments after adding articles to the budget by the House of Representatives."

Al-Karawi added, in an interview with the official agency, that "the issuance of instructions for financing and implementing the budget will be ready after the Eid and circulated to all government departments and ministries."

And he continued, "After issuing the instructions, the Ministry of Finance will start financing the amounts due for the past months, especially the operational ones, and other ministries will start implementing the investment budget for projects and others."

Views 103   06/22/2023 - https://economy-news.net/content.php?id=34872

Parliamentary Finance Explains The Reasons For Reducing The Region’s Share In The Budget: Sulaymaniyah Is The Least Poor In Iraq

Baghdad today – Baghdad  Today, Thursday, a member of the Parliamentary Finance Committee, Nermin Maarouf, explained the reasons for reducing the share of the Kurdistan region from the allocations for the development of regions in the federal budget .

A member of the House of Representatives for the Sulaymaniyah Governorate, Nermin Maarouf, said during a press conference followed by (Baghdad Today), that "although the share of the region in the federal budget amounts to 12.67%, the share of the provinces of the region in the development of the regions is 11%," pointing out that " Because of that, the determinants that were set to determine the proportion of each governorate in terms of the development of the regions, represented by the number of residents and the percentage of poverty .

And she indicated that "according to the statistics of the Federal Ministry of Planning, the provinces of the region are the least poor at the level of Iraq, especially the province of Sulaymaniyah, so the proportion of the region has been reduced ."

Regarding the region's share of the budget, Maarouf confirmed that "the region's percentage of 12.67% is not counted from the total budget of 199 trillion dinars, but is calculated from the budget after deducting ruling and sovereign expenditures until it reaches about 117 trillion dinars," stressing that "this means that the region's share amounts to 14 trillion and 700 billion dinars,” in addition to that “the region’s share of the ruling budget amounts to nearly one trillion and 300 billion dinars, which reaches the region in kind, not materially.”   LINK

After Three Consecutive Weeks Of Losses, The Dollar Is Rising Against Six World Currencies

2023-06-23 Shafak News/ The euro fell after business growth in the bloc virtually halted this month, as the dollar received support from a bout of risk aversion on Friday and hawkish comments from global central banks, including the Federal Reserve.

The dollar index, which measures the currency against six others, rose 0.56% to 102.95, reversing three consecutive weeks of losses. The euro fell 0.85 percent to $1.0859, heading for the biggest one-day drop since March, according to Reuters.

The latest data showed that business growth in the eurozone virtually stalled in June. The slowdown in manufacturing deepened, while activity in the bloc's dominant services sector barely expanded, as overall demand fell for the first time since January.

Business activity in Germany slowed in June as growth in the service sector slowed and manufacturing deteriorated, while French business activity also contracted this month for the first time in five months.

Sterling struggled to sustain gains from a larger-than-expected 50 basis point interest rate hike from the Bank of England on Thursday in response to flat inflation, which raised concerns about an impending recession in the UK.

While higher rates are usually supportive of currencies, the risk that they will lead to an economic downturn has prompted some investors to seek safe haven assets including the US dollar.

The pound fell 0.31% to $1.2710, and was on track for a weekly loss of about 1%, snapping three consecutive weeks of gains.

The Australian and New Zealand dollars also suffered in Asian trade as risk appetite waned.

The Australian dollar fell 1% to $0.6688 and is on track for a weekly loss of more than 2.5%, its worst week since March. The kiwi fell 0.58% to $0.6141, down about 1.5% for the week.

Surprising interest rate hikes and hawkish comments from central banks globally have renewed market fears that policymakers have more to tighten policy to tame inflation, even at the risk of tipping their economies into recession.

Norges Bank on Thursday also stunned the markets with a 50 basis point interest rate hike and said it aims for another increase in August. The Swiss National Bank raised its policy rate by 25 basis points on the same day and signaled further tightening to come.

Earlier this month, the Reserve Bank of Australia and the Bank of Canada abruptly hiked interest rates when the markets were leaning towards pauses.

Money markets now see a 74% chance that the Fed will raise interest rates by 25 basis points at its policy meeting next month, after leaving it unchanged last week.

The yen was largely stable at 143.05, close to a seven-month low of 143.23 per dollar hit in the previous session.  The Japanese currency came under renewed pressure as the Bank of Japan (BOJ) maintains a very dovish stance.

Data released on Friday showed that Japanese consumer core inflation beat expectations in May and the index excluding fuel costs rose at the fastest annual pace in 42 years, putting pressure on the Bank of Japan to phase out massive stimulus.

Markets in China are closed for holidays on Friday.   LINK

A Parliamentary Committee Determines The Most Important Laws Before Parliament For The Coming Period

Today, Thursday, the Parliamentary Finance Committee identified the most important priority laws presented to Parliament, which is expected to be approved for the coming period, while clarifying its position on implementing the budget after its approval by the Presidency of the Republic.

A member of the Parliamentary Finance Committee, Mustafa Al-Karawi, told the Iraqi News Agency (INA): "With regard to the issue of approving the budget, the committee will follow up on the implementation of its provisions, problems and observations that have been fixed on the relevant ministries and departments."

He added, "It is assumed that there will be sub-committees to follow up the work of the ministries, so that we can cover the issue of monitoring, the most important of which are banks, border crossings, customs, and the Ministry of Finance in general."

Regarding the oil and gas law and other laws under discussion in Parliament, he explained, "There is a great desire in the House of Representatives to pass the oil and gas law, and there is an amnesty law whose subject is political and is supposed to be well studied before proceeding with its procedures."

He pointed out, "Parliament will discuss a number of important laws, including the law for people with disabilities by the Labor Committee, laws related to foreign agreements and other responsibility of the Foreign Relations Committee, in addition to the presence of many laws that were returned to the government during the first and second legislative seasons, and it is hoped that they will be sent again." Others to parliament to read and vote on,” stressing that “the most important laws that are now under discussion are oil and gas and people with disabilities.”    https://www.ina.iq/188033--.htm

Parliamentary Finance Sets The Date For Starting Funding The Ministries With The Budget Amounts

 Political  |  06/22/2023  Baghdad - Mawazine News  Today, Thursday, the Parliamentary Finance Committee set the start date for ministries financing the budget amounts due for the past months, while indicating the trend to adopt an electronic system to complete the final accounts procedures.

Committee member Mustafa Al-Karawi told the official agency, followed by Mawazine News, that “the instructions for implementing the budget will be issued after Eid Al-Adha, as the Prime Ministry and the Ministry of Finance prepared a draft of instructions that may need amendments after adding articles to the budget by the House of Representatives.” Pointing out, "The issuance of instructions for financing and implementing the budget will be ready after the feast and circulated to all government departments and ministries."

He added, "After issuing the instructions, the Ministry of Finance will start financing the amounts due for the past months, especially the operational ones, and other ministries will start implementing the investment budget for projects and others."

Regarding the final accounts, Al-Karawi confirmed that "the Bureau of Financial Supervision is working on this issue, and there is a tendency to adopt an electronic system to complete the procedures of the final accounts."

He added that "the last data of the final accounts that were updated was the 2015 budget, which was sent to the House of Representatives along with the budgets of 2013 and 2014," stressing "the need for careful follow-up of the final accounts, reviewing and finally approving them in order for there to be real accounts and to uncover corruption files."

And he continued, "The three-year budget will be conditional, and data will be presented and tables updated by the Council of Ministers and approved by the House of Representatives."

And he stated, "The application of most of the items will continue year after year, except that the digital data will be variable according to the Iraqi and global economic situation, as they are directly linked."  https://www.mawazin.net/Details.aspx?jimare=229871