KTFA Members "News and Views" Wednesday PM 6-24-2020

KTFA:

DELTA: GAME OVER

Don961:  Customs takes measures to maximize the country's imports

Wednesday, June 24, 2020  Baghdad / Tariq Al-Araji

The General Customs Authority has initiated procedures that contribute to doubling the volume of revenue and controlling the movement of goods and goods entering the country through all border outlets, while confirming its endeavor to automate customs work through certified international companies to contribute to supplying the state treasury with additional amounts and reducing corruption and customs evasion.

The director of the General Customs Authority, Khaled Salah El-Din, said in a special statement to “Al-Sabah”: After the general orientation of the government, especially after the drop in oil prices and interest in controlling revenue from taxes and customs, and as far as the matter relates to the authority, I have prepared plans to achieve this, especially as customs revenues that were previously received It was not the required level due to many problems, noting the directness to dismantle a large part of it during the past few period and focusing on the automation of customs work properly and the management of work in this way will achieve customs revenue up to three times what it is now and reduce waste of public money and reduce Corruption.

He added that the authority and to implement the automation of customs work, and through its attachés in the Iraqi embassies abroad, began to send invitations to specialized companies that have experience and practice work in countries that have similar conditions for Iraq in order to prepare the necessary infrastructure projects for the success of this issue so that there is no disruption in the procedures for detecting goods and imposing customs duties , Confirming that a large number of companies came to work, but after checking the offers, four of them were chosen, but the Iraqi side cautioned that the companies should adopt tracking the goods from the outlets of the country of origin, and therefore this matter requires approaching other companies that can achieve this issue, which will be applied to three Ports as a first stage and then move to other ports if the experiment is successful.

Salahuddin stressed that the implementation of the automation project will be implemented after four months from the date of contracting with the executing company that will adopt the implementation of infrastructure projects in the port, pointing out that sonar devices, scales and warehouses will be installed and accordingly, it will be in control of the customs work in full, indicating that the authority is keen To achieve this project, especially with a large government interest in it to ensure doubling the volume of imports that are now inconsistent with the volume of goods entering the country, in addition to this matter due to reasons including the large number of customs exemptions and the lack of control over the country's border entry, smuggling and other matters that are not reduced. Except at work Customs and non-control of the country's border entrances, smuggling and other matters that are not reduced without automation Customs and non-control of the country's border entrances, smuggling and other matters that are not reduced without Customs automation . 

He continued that in the event the automation is applied, he will have prior knowledge of the type of goods and their quantities, which will help to compare the sums received from the merchant from the currency auction of the Central Bank and the amount and type of goods received, and therefore the movement of the currency will be controlled through a joint operations room with the central bank in the authority,

Moreover, tax accounting operations will also be controlled, revealing the resort to an alternative plan followed by the authority until the implementation of the automation system, which requires the marketing of goods and goods from the outlet to warehouses belonging to the central markets that were leased from the Ministry of Trade so that the checks on goods are accurate to reduce From customs evasion operations, indicating that the authority will generalize this experiment if it succeeds on all outlets, especially as this experience has contributed to providing additional job opportunities in the outlets, explaining that the other procedure followed by the authority is to publish detachments for its employees on the roads in coordination with the customs police to monitor cases of evasion Tariff Customs duties, thwarting smuggling operations, and taking measures to guarantee the rights of the district and the state Negligent.   LINK

Ryan1216:  Did the borrowing law get passed by Parliament today? 

RNoble:  Yes... with an ammendment included..!

Ryan1216:  Thank you. Hopefully we get the budget and rate now

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Don961:  Welcome Al-Kazemi {white} paper and assurances of the importance of its application

Wednesday, June 24, 2020 Baghdad / Omar Abdul Latif

Parliamentarians and economic experts revealed that the "white reform paper" launched by Prime Minister Mustafa Al-Kazemi supports the gradual departure from the rentier economy of the state and maximizing its non-oil resources to support the budget, as well as operating idle factories since 2003 and creating an appropriate environment for investment away from financial corruption, while they stressed that "the paper" "Applicable during the next phase; 

They set conditions for its success, the first of which is seriousness and will, as well as not to hinder its steps by political blocs and influential people.

A member of the Economy and Investment Committee, Mazen Al-Fili, told Al-Sabah: “The committee’s meeting with the Prime Minister touched on the need to gradually move away from the rentier economy and go to the multiplicity of state resources to support the budget, including operating factories that have been idle for years and supporting the local agricultural product, and the need to close the borders to Imported products, and how to create an appropriate investment environment in which there is fair competition for reducing red tape, which closes the doors of bribery and the coming of many investors.

Al-Fili added, "The Prime Minister desires to serve the people of the people and get out of the economic and health crises that the country is experiencing at the present time, despite the pressures exerted on it, whether by the political blocs or from the street." They will make it obligatory to apply to all institutions, "criticizing" the previous policies that caused inflation in the number of employees, who numbered 4 million due to electoral compliments and propaganda. "

Al-Fili stressed that "the prime minister should be given an opportunity to reform without objecting to the steps he is taking, whether it is on the economic, financial or health level."

Committee member Saad Al-Khazali stated that "the House of Representatives has stipulated that the Prime Minister, from the beginning of his assumption of office, treat the economic and health crises in the country," noting that "the government has started taking such measures at this time."

Khazali added, in an interview with Al-Sabah, that "dependence on oil in support of the budget has been going on for 17 years," noting that "governments have forgotten the existence of revenues for border ports, customs, and the revitalization of other economic sectors."

He stressed that "the current government announced earlier that it will go towards internal borrowing despite the absence of any liquidity in banks, and it remains before it only external borrowing that caused the collapse of the Iraqi economy, as it has many negative effects, including high interest rates and the state's restriction of many things, including Lack of appointments or confirmation of contract owners. "

In addition, the economist, Dr. Abdul Rahman Al-Mashhadani, stated, "The white reform paper will be binding for everyone, as it is one of the conditions of the International Monetary Fund for Iraq since 2016."

Al-Mashhadani added to “Al-Sabah” that “the monetary fund contributed to the development of this paper, as it indicated at the time that it is necessary to address the conditions of 250 thousand people who are paid more than 3 salaries, since most of them are from special grades costing the state annually more than $ 18 billion.”

Al-Mashhadani stressed, "Iraq does not need the fund’s loans, which amount to about 3 - 5 billion dollars, granted over five years, with periodic reforms, and then release about 600 - 700 million dollars every six months when implementing these reforms.

Rather, it needs to sign an agreement with The fund provides guarantees that allow Iraq to borrow about $ 20 billion from major countries such as Britain, which has promised loans of up to $ 14 billion in addition to France, Canada, and Italy, to go to the investment fields and not to the salaries, noting that "Iraq needs these guarantees and with which the application requires Those reform conditions. "

As for the head of the Asia Center for Economic Studies, Diaa Al-Mohsen, he stated, "Iraq needs a major revolution to reform its economic system."

Al-Mohsen added in his interview with Al-Sabah that Iraq needs to hit the big corruption heads that have wasted public money for 17 years, and legislate laws that can support the investment side in it, reduce unemployment levels, and take advantage of the economic experiences that exist in the country that can To give solutions and guarantees to reform the economic system during the next stage. "

Al-Mohsen emphasized that "this paper cannot be applied unless it is accompanied by decisive decisions towards the economic mistakes that were committed during the last stage and put the economic reality in the country on the right track."   LINK

Samson:  Speaker Of The Lebanese Parliament: The Collapse Of The Lira Requires The Declaration Of A "State Of Emergency"

24th June, 2020

Lebanese Parliament Speaker Nabih Berri said that "the collapse of the lira exchange rate against the dollar forces the government, the central bank and the Association of Banks to declare a financial emergency."

He pointed out, according to what was reported by a local media on Twitter, that the collapse of the exchange rate of the lira necessitates a review of all measures taken to protect the national currency.

Regarding the IMF negotiations, he said: “Anyone who thinks that the IMF or any other donor can provide assistance is not mistaken if we do not implement the reforms, especially electricity.”

On his position on Caesar’s law, he stated: “The principled position of the Amal movement on Caesar’s law, which targets Syria, is the position of the loyal ally of those who stood by Lebanon.”   LINK

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Close to Al-Kazemi: Washington pledges to conclude agreements with Baghdad to achieve a condition

24th June, 2020

 A source close to the Iraqi Prime Minister, Mustafa al-Kazimi, revealed on Wednesday the date of the latter's visit to the United States, noting that Washington had pledged to conclude new agreements with Baghdad to achieve a condition

The source, who requested not to be named because of the sensitivity of the information, told Shafaq News that "the prime minister will conduct a visit to the United States of America, next July 24

He added that during the visit, Al-Kazemi will meet with US President Donald Trump, and a number of officials in the American administration, for the purpose of completing dialogue and negotiating a strategic dialogue between Baghdad and Washington

The source indicated that "the American administration has informed Iraq that it will not sign or conclude any new agreement with Baghdad, except after Donald Trump's victory in the presidential elections

"Everything that is going on between the two sides, only dialogue and negotiation without any real agreement on the ground," he added, adding that "Trump's victory in the elections will prompt the signing of new agreements with Baghdad, and otherwise, it remains for the new American administration

Baghdad and Washington held the first round of "strategic dialogue" on June 11th, and they agreed to reduce the size of US forces in Iraq

It is expected that the coming rounds of the strategic dialogue will resolve the fate of the strategic framework agreement signed between the two countries in 2008, which paved the way for the exit of American forces from Iraq at the end of 2011 after eight years of occupation, as well as the nature of relations between the two countries at various levels

The said agreement regulates the relations of the two countries at various political, security, economic, cultural and other levels. The dialogue will also resolve the issue of the presence of American forces in Iraq, as Iran presses its allies in Iraq to remove the American forces from the country  LINK

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Samson:  Oil prices continue to lose losses and Brent crude falls by about 7% to less than $ 40 a barrel

24th June 2020

Brent prices fell by about 7% to break the $ 40 a barrel barrier, as investors worried about high record crude stocks and feared that the second wave of the coronary virus pandemic would halt the reopening of global economies and reduce fuel demand

Brent crude fell 2.75 dollars, or 6.8%, to 39.9 dollars a barrel, a day after reaching its highest levels since prices began to decline in March. WTI dropped $ 2.74, or 6.7%, to $ 37.67 a barrel

Citing the increase in production, the Energy Information Administration said that US crude inventories swelled by 1.4 million barrels last week, exceeding analysts' expectations in a Reuters poll of 299,000 barrels

The Energy Information Administration said that US gasoline stocks fell 1.7 million barrels to 255 million barrels

The increasing incidence of coronavirus in the United States, China, Latin America and India has raised investor anxiety and oil price pressure   LInk