Tuesday Morning Iraq Economic News Highlights 3-28-23
Tuesday Morning Iraq Economic News Highlights 3-28-23
The Official Exchange Rate Will Match The Parallel Exchange Rate Within A Few Weeks Or Months
Sudanese advisor: Economy| 12:02 - 03/28/2023 Baghdad - Mawazine News, the Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, revealed, on Tuesday, in numbers, the volume of daily financial transfer through the window of the Central Bank and Iraq's hard currency reserves, considering that the Iraqi economy is "strong and moving towards improvement."
Salih said in an interview with the official news agency, followed by Mawazine News, that "the Iraqi financial sector is living in a transitional circumstance, which includes several goals, including reducing the value of the dollar against the dinar from 1450 dinars per dollar to 1300 dinars per dollar," noting that "there are currently no transfers." transient, ambiguous, or intersection with international compliance.”
He added, “There is freedom in the transfer of trade and capital, such as buying a property outside the country, provided that it passes through the correct digital banking tools and through international compliance,” noting that “this procedure generated two prices for the dollar: the first is official, and the other is parallel, except that the difference between the two prices It started to shrink over time.
He stressed, "The economic situation is gradually improving as long as there is freedom in transfers that must be subject to compliance," noting that "during the next few weeks or months, the official exchange rate will match the parallel."
And he stated, "The banks began to comply correctly, and began to conduct the correct transfers," pointing out that "the external transfer number from the Central Bank window reached a normal rate, which is 200 million dollars per day."
Salih reassured the Iraqis, that "Iraq's reserves are sufficient and freedom of transfer is available through legal frameworks and compliance, as imports take place at an exchange rate of 1,300 dinars to the dollar, and this gives strength to the Iraqi dinar," noting that The central bank's reserves today are around 115 billion dollars, which is the largest reserve in the history of the country.
He continued, "The Iraqi economy is strong and easily faces crises, and the situation is heading towards improvement," explaining that "Iraq is towards gradually improving the digital payments climate and compliance with the world."
The Prime Minister's Advisor for Financial Affairs pointed out that "the packages launched by the Central Bank are smart and give reassurance to the Iraqi citizen," noting that "we have entered the stage of digital payments correctly in Iraq." https://www-mawazin-net.translate.goog/Details.aspx?Jimare=223066&_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en
Valid: The Official Exchange Rate Will Match The Parallel One In A Few Weeks Or Months
Money and business Economy News _ Baghdad Today, Tuesday, the Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, revealed in numbers the volume of daily financial transfer through the window of the Central Bank and Iraq's hard currency reserves, while indicating that Iraq's economy is strong and moving towards improvement.
Saleh said in an interview with the Iraqi News Agency, followed by "Al-Iqtisad News", that "the Iraqi financial sector is living in a transitional circumstance, which includes several goals, including reducing the value of the dollar against the dinar from 1450 dinars per dollar to 1300 dinars per dollar," noting that "there are currently no transfers." transient, ambiguous, or intersection with international compliance.”
He added, "There is freedom in the transfer of trade and capital, such as buying a property outside the country, provided that it passes through the correct banking digital tools and through international compliance," noting that "this procedure generated two prices for the dollar: the first is official, and the other is parallel, except that the difference between the two prices appeared shrinks over time.”
He stressed that "the economic situation is gradually improving as long as there is freedom of transfer that must be subject to compliance," noting that "
And he stated that "the banks began to comply properly, and began to conduct the correct transfers," pointing out that "the external transfer number from the central bank window reached a normal rate, which is 200 million dollars per day."
Salih reassured the Iraqis that "Iraq's reserves are sufficient and freedom of transfer is available through legal frameworks and compliance, as imports are made at an exchange rate of 1,300 dinars to the dollar, and this gives strength to the Iraqi dinar," noting that "the central bank's reserves today are around $115 billion, which is It is the largest reserve in the country's history."
And he indicated that "the Iraqi economy is strong and faces crises easily, and the situation is heading towards improvement," explaining that "Iraq is towards gradually improving the climate for digital payments and compliance with the world."
He pointed out that "the packages launched by the Central Bank are smart and give reassurance to the Iraqi citizen," noting that " https://economy-news.net/content.php?id=33165
The Central Bank Of Iraq Auction Sales Of The Dollar Increased
2023-03-28 04:39 Shafaq News/ The Central Bank of Iraq's sales of dollars increased in an auction today, Tuesday, by 13%, to reach 230 million US dollars.
Shafaq News agency reporter stated that the Central Bank sold today, during its auction for buying and selling US dollars, 230 million 3 thousand and 162 dollars, an increase of 13.86% compared to yesterday, Monday, in which sales amounted to 202 million 134 thousand and 715 dollars, which the bank covered at a basic exchange rate. It amounted to 1305 dinars per dollar for documentary credits and international settlements of electronic cards, at a price of 1310 dinars per dollar for foreign transfers, and the same price per dollar in cash.
Our correspondent added that most of the dollar sales went to reinforce the balances abroad in the form of (remittances, credits) at 178 million 403 thousand and 162 dollars, while the rest of 51 million and 600 thousand dollars went in the form of cash sales.
Our correspondent indicated that the number of banks that bought the cash dollar amounted to 13, while the number of banks that met requests for strengthening balances abroad reached 20, while the total number of exchange and mediation companies participating in the auction was 212 companies. LINK
Recommendations To Address The Repercussions Of Changing Exchange Rates
The first 2023/03/28 Yesterday, Monday, the Ministry of Planning submitted recommendations to the Council of Ministers to address the repercussions of changing exchange rates on the movement
Economic.
And the ministry’s statement stated that “The Undersecretary for Technical Affairs, Maher Hammad Johan, held an expanded meeting with the participation of the Investment Authority and a number of government agencies, representatives of the Iraqi Contractors Union, the Iraqi Federation of Industries, the Baghdad Chamber of Commerce, and the Foundation for Sustainable Development, to discuss the effects of changing the exchange rate in the Iraqi market.” ".
The statement indicated that "the meeting discussed a number of proposals and recommendations, which aim to address the repercussions of changing exchange rates on the economic and commercial movement," stressing that "the ministry will present its recommendations to the Council of Ministers during the coming period."
The statement pointed out that "Prime Minister Muhammad Shia' al-Sudani directed earlier that the Ministry of Planning should study the effects of changing the exchange rate in the Iraqi market."
Edited by: Marwa Sattar https://alsabaah.iq/74141-.html
Advisor To The Prime Minister: Iraq's Economy Is Strong And Moving Towards Improvement
Baghdad - The Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, revealed, today, Tuesday, in numbers, the volume of daily financial transfer through the window of the Central Bank and Iraq's hard currency reserves, while indicating that Iraq's economy is strong and moving towards improvement.
Saleh told the Iraqi News Agency (INA): "The Iraqi financial sector is living in a transitional circumstance, which includes several goals, including reducing the value of the dollar against the dinar from 1,450 dinars per dollar to 1,300 dinars per dollar," noting that "there are currently no transient or mysterious external transfers." or intersection with international compliance.
He added, “There is freedom in the transfer of trade and capital, such as buying a property outside the country, provided that it passes through the correct digital banking tools and through international compliance,” noting that “this procedure generated two prices for the dollar: the first is official, and the other is parallel, except that the difference between the two prices that appeared shrinks over time.
He emphasized that "the economic situation is gradually improving as long as there is freedom in transfers that must be subject to compliance," noting that "during the next few weeks or months, the official exchange rate will match the parallel."
And he stated that "the banks began to comply properly, and began to conduct the correct transfers," pointing out that "the external transfer number from the central bank window reached a normal rate, which is 200 million dollars per day."
Salih reassured the Iraqis that "Iraq's reserves are sufficient and freedom of transfer is available through legal frameworks and compliance, as imports are made at an exchange rate of 1,300 dinars to the dollar, and this gives strength to the Iraqi dinar," noting that " The central bank's reserves today are around $115 billion, which is It is the largest reserve in the country's history."
And he indicated that "the Iraqi economy is strong and faces crises easily, and the situation is heading towards improvement," explaining that "Iraq is towards gradually improving the climate for digital payments and compliance with the world."
He pointed out that "the packages launched by the Central Bank are smart and give reassurance to the Iraqi citizen," noting that "we have entered the stage of digital payments correctly in Iraq."
https://www-ina-iq.translate.goog/181568--.html?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en
Al-Bayati: The Budget Will Be Decided During Next April, And The Kurds Will Not Hinder Its Passage
Information / Baghdad... Former MP Jassim Al-Bayati suggested that the budget would be decided and passed during the coming month of April, ruling out that the Kurdish representatives would be a stumbling block to passing the budget.
Al-Bayati told Al-Maalouma, that "the budget will be passed during next April, especially in the event that all problems related to the region's budget and other matters related to it, such as oil revenues and other amounts owed by the region, are resolved."
He added, "The Kurds, in the event of objection to the budget and the tendency to boycott its parliament sessions and its paragraphs, they will be the first losers in this matter."
And he indicated that "the Kurds had previously boycotted the parliament's sessions on the draft budget, and the result was clear at the time, and the budget was passed, and therefore they have become smarter than that and will not resort to boycotting or rejecting the budget and its paragraphs, but rather they will go towards imposing some pressure." ended 25 n LINK
Oil Prices Are Moving In A Narrow Range Due To Supply Concerns And The Banking Crisis
Tuesday 28 March 2023 Economical Number of readings: 334 Baghdad / NINA / - Oil prices moved in a narrow range during the early Asian trading hours today, Tuesday, after rising in the previous session, as oil markets focused on the unfolding banking crisis, supply concerns and indications of a rise in oil prices.
According to the economic bulletin of Reuters news agency, Brent crude futures fell 0.5 percent to $77.73 a barrel at 04:18 GMT. US West Texas Intermediate crude fell 0.19 percent, to settle at $72.67 a barrel.
Prices rose during the previous session after Turkey stopped pumping oil from the Kurdistan region through a pipeline, after a decision in an arbitration case confirmed that Baghdad's approval was required to ship the oil.
And the announcement of the First Citizens Bankers Bank, yesterday, Monday, that it would take over the deposits and loans of the bankrupt Silicon Valley Bank, raised feelings of optimism about the situation of the banking sector, which caused turmoil in the financial markets.
The US authorities have reportedly begun discussing expanding the emergency lending facility.
Oil prices were supported by indicators of the strength of Chinese demand.
An annual forecast issued yesterday by a research unit of the China National Petroleum Corporation indicated that China's imports of crude oil are expected to increase by 6.2% in 2023 over last year, to reach 540 million tons.
A preliminary survey conducted by Reuters showed that US crude oil inventories increased by about 200,000 barrels last week./ https://ninanews-com.translate.goog/Website/News/Details?key=1043146&_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en
The Financial Times: The Dollar Crisis Revealed The Fragility Of The Iraqi Economy
A report by the British newspaper, the Financial Times, confirmed, on Monday, that Iraq has been struggling to control the financial crisis that has been plaguing the country for months, which confirms the fragility of the Iraqi economy, which depends on oil, twenty years after the US invasion of the country.
The report stated that “the governor of the Central Bank, Ali Mohsen Al-Alaq, defended the measures taken to achieve stability in the monetary currency, which led to a severe shortage of the dollar and a decline in the value of the Iraqi currency.”
Al-Alaq said, "We focused on solving the root of the problem and we see some positive indicators," referring to the efforts of the Iraqi government and the Central Bank to calm the panic that prevailed since the outbreak of the crisis last November.
The report added, "The package of measures has resulted in unintended repercussions, including a significant unintended decrease in the supply of dollars in an economy where the US currency is highly favored, which has led to high inflation and created hardship for Iraqis who do not trust their institutions or their currency."
He continued, "Iraq's weak economy depends almost entirely on shifts in global oil prices, and record oil revenues have swelled the coffers of the second largest producer in the Organization of the Petroleum Exporting Countries (OPEC) to more than $100 billion, although Baghdad cannot Access to funds is only through the US Federal Reserve, which has been holding Iraq’s foreign exchange reserves since the invasion.”
And he explained, “Under this arrangement, the Central Bank of Iraq requests its dollars from the Federal Reserve and sells them to commercial lenders and exchange companies for a dinar, a process known as the daily dollar auction. But US and Iraqi officials have long complained that widespread fraud allowed large sums to be withdrawn from the country.
And he indicated that “some banks and merchants are unwilling to disclose the details of the final recipients, while others have been slow to adapt to the rules.” With the refusal of many transfer requests from Iraq's accounts at the Federal Reserve, it has reduced the supply of dollars in the market.
The volume of these transfers has fallen from an average daily value of $180 million in 2022 to between $65 million and $75 million this year, according to central bank data.
For his part, Al-Alaq said, “There are signs of progress. “We are seeing a steady rise in the number of transactions on the digital platform and we are seeing more Iraqi merchants formally register to participate.” However, experts warned that it could take several months before Iraqi banks fully adapt, and years for the economy to fully move away from informality and dominance. criticism".