Iraqi Economic News & Points to Ponder Sat PM 9-5-23

Tlm724 Administrator Bondlady’s Corner

An Economic Specialist For Nina: An Increase In The Monetary Supply Without Growth In The Economic Base Constitutes A Weakness In The Local Currency

Saturday 09, September 2023 11:03 | Economical Number of readings: 434  Baghdad / NINA / The specialist in economic affairs, Durgham Muhammad Ali, confirmed: “An increase in the monetary mass without growth in the economic base constitutes a weakness of the local currency,” indicating: “The monetary mass of the local currency amounted to 116 trillion dinars.”

Muhammad Ali said in a statement to the National Iraqi News Agency ( NINA ) that, “There is no actual development of the Iraqi economy and that growth is the result of relatively improved oil prices, which is an unguaranteed issue, so the central bank has limits on the size of the local monetary mass that must be adhered to.”

 Stating: “What frightens economists is that there will be printing of the local currency with the same specifications outside the framework of the Central Bank to purchase cash dollars, and this is something that the state is closely following up to prevent it from happening.”

He explained that "the bank's monitoring of the rise in the monetary supply makes the equation accurate to maintain the actual strength of the Iraqi dinar, and that the central bank has accurate calculations of currency reserves as a cover for the local currency."

Advisor to the Prime Minister, Mohamed Al-Najjar, revealed that the monetary mass of the local currency has reached 116 trillion dinars, indicating that initiatives to expand electronic payment are consistent with the government’s directions.

Al-Najjar said, “Electronic payment is an important axis for developing the Iraqi financial sector and moving it to an advanced stage in the country’s monetary policy,” noting that “the size of the Iraqi monetary mass amounts to 116 trillion dinars, of which 30-40 trillion dinars are circulating within the banking system.”/ End 8   https://ninanews.com/Website/News/Details?Key=1076406

Sudanese Advisor: The Size Of The Monetary Supply Reached 116 Trillion Dinars

Economy | 10:23 - 09/09/2023  Baghdad - Mawazine News  Advisor to the Prime Minister, Muhammad Al-Najjar, revealed that the monetary mass of the local currency has reached the barrier of 116 trillion dinars, indicating that initiatives to expand electronic payment are consistent with the government’s directions.

Al-Najjar said, “Electronic payment is an important axis for developing the Iraqi financial sector and moving it to an advanced stage in the country’s monetary policy,” noting that “the size of the Iraqi monetary mass amounts to 116 trillion dinars, of which 30-40 trillion dinars are circulating within the banking system.”

He added, "The campaign to encourage electronic payment is in harmony with the directives of Prime Minister Muhammad Shiaa Al-Sudani to achieve safe financial transactions, and with the aim of achieving a great benefit for citizens, as electronic payment represents an important stage whose benefits everyone must realize."  https://www.mawazin.net/Details.aspx?jimare=234646

Parliamentary Meeting With The Minister Of Finance About Automating Customs Revenues

Saturday 09, September 2023 13:19 | Economical  Number of readings: 357  Baghdad / NINA / Today, Saturday, the Parliamentary Finance Committee held a joint meeting with the Minister of Finance, Taif Sami, to discuss the automation of customs revenues at all official border ports, including the ports in the governorates of the Kurdistan Region.  https://ninanews.com/Website/News/Details?key=1076448

The dollar stabilizes on the rise in the local market

Economy  Saturday, September 9, 2023   Baghdad/National News Center  Today, Saturday, dollar prices witnessed stability against the Iraqi dinar in the markets of the capital, Baghdad.   The prices were as follows: 

The selling price was 155,000 Iraqi dinars, while the purchasing price was 153,000 dinars for every 100 dollars.   https://nnciraq.com/225870/

Sudanese Advisor: High Oil Prices Reduce The Budget Deficit 

The financial advisor to the Prime Minister, Mazhar Muhammad Saleh, confirmed today, Saturday, that the rise in oil asset cycle prices reduces the hypothetical deficit gap in the federal general budget.

Saleh said, “The oil markets indicate a significant increase in the prices of the cycle of oil assets. Brent crude oil has exceeded the barrier of $90 per barrel, which has a positive impact on reducing the hypothetical deficit gap in the federal general budget (which is the budget approved under Law No. 13 of 2013).” Its estimates amount to about 64 trillion dinars as an average deficit in the fiscal years 2023, 2024 and 2025, which was adopted as a preventive financial buffer to confront fluctuations in oil prices and demand surprises in energy markets.

He added, “What matters is that the average prices of exported oil during the fiscal year exceed the default price approved by the budget for a barrel of Iraqi exported oil, amounting to 70 US dollars. Therefore, any sales exceeding the above-mentioned default price will undoubtedly lead to reducing the gap in the hypothetical deficit and in a clear inverse relationship.”

He continued: “We believe that the budget for the next two years will maintain its constants and its preventive and precautionary measures regarding the development of prices in the oil markets and its relationship to the hypothetical deficit, especially for the fiscal year 2024, as the northern hemisphere is facing a high demand to build stocks facing the winter, and the indicators of war in “Ukraine indicates its continuation, and that the OPEC Plus group is also continuing the policy of limiting the quantities produced to maintain prices for exported oil that are commensurate with the stability of the revenues of its countries’ financial budgets.”  https://www.radionawa.com/all-detail.aspx?jimare=35621

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Points to Ponder About Facts:

Count Hermann Keyserling once said truly that the greatest American superstition was belief in facts.   John Gunther (1901 - 1970)

Let us take things as we find them: let us not attempt to distort them into what they are not. We cannot make facts. All our wishing cannot change them. We must use them   John Henry Cardinal Newman (1801 - 1890)

Get your facts first, and then you can distort them as much as you please. Mark Twain (1835 - 1910)

He is indebted to his memory for his jests and to his imagination for his facts. Richard Brinsley Sheridan (1751 - 1816)

Facts are stupid things.  Ronald Reagan (1911 - 2004)

The trouble with facts is that there are so many of them.  Samuel McChord Crothers, The Gentle Reader