Category: Wealth

Iraq pursued a careful steps towards joining the WTO

5-27-13 alsabaah news:

The divided views on the advantages and disadvantages
Baghdad – شكران the Fatlawi

Accounted placed on Iraq’s accession to the World Trade Organization (WTO) and experts on interest and specialists were divided between supporters and join the contestants about the importance of this to join or not.

In an interview the morning with a competent expert and file WTO official in the Ministry of Commerce Abdel Salam Abdel-Hafiz Qaisi to shed lights on the main advantages and disadvantages of this accession.

Tariff is not affected

Qaisi believes that WTO accession will raise the rate ceilings imposed on the importation of certain goods and ايؤدي to the removal of tariffs, as some believe, denying be joining damaging the domestic industry because the WTO agreements give Iraq the right to take necessary measures to protect its industry national in the event of any physical damage or damage caused competition with foreign products.

Continuing economic relationship

Qaisi also said that joining to Aymanah of maintaining trade relations with all Arab countries in the framework of the establishment of a free market and that under Article 24 of the year 1994.
And on the question of the most important challenges posed by the organization on the business community.

Said Qaisi: imperative that the private sector quickly understand the rules of the World Trade Organization in various fields and deepen the culture to find out the fact that the advantages and rights provided by pointing to the possibility of converting the advantages offered by the agreements governing the Iraqi private sector to export opportunities effectively by increasing the ability of Iraqi products on market access Foreign Affairs with the Iraqi make the product more quality and less expensive.

Economic partnerships

He called for the need to overcome to compete with foreign companies, products that will enter the Iraqi market freely and fees كمركية less or free of charge, pointing out the importance of holding economic partnerships with foreign companies to attract more investment and technology.
He cautioned Qaisi the need to create mechanisms between the private sector and the government in the framework of their partnership to deal with any negatives that may result from the implementation of the obligations of Iraq in front of the organization and transfer speed point of view of the private sector both in terms of the results of the implementation of commitments or for the position of negotiating for Iraq in new issues before the Organization.

Angels trainer

He pointed out that WTO accession will be accompanied by the preparation of cadres trained in the private sector so as to deal with any illegal business practices are exposed Iraqi products in the domestic or international market, such as dumping and illegal support or monopolistic practices.

Qaisi said well we will work to create and promote a new kind of partnership between the private sector and the consumer of Iraq, explaining that the substance of this partnership is to agree to the interests of both parties by encouraging the purchase of national products.

Expand the choice ranges

He said Qaisi said of the advantages of joining expand the areas of choice in front of the citizen as a consumer of goods and services and confirmation of his right to a commodity and a good service at a reasonable price, as well as consumer protection products fake and shoddy or harmful to health, pointing to increased employment opportunities in front of job seekers from citizens after the increase in exports and expand investment will also increase the size of overall economic activity and improve living standards and reduce poverty rates.

And seal Qaisi his speech by saying supposed to are not taken to deal with the World Trade Organization in isolation from the private sector, commercial and industrial because it is affected by the direct positive or negative rules of the organization and to identify the point of view of negotiating positions and deliver complaints faced by exports in the markets of member states to the government and work to resolve them amicably through the dispute settlement mechanism in the organization.

The lack of a local product

As member of the Committee believes the economy and investment MP Qusay F probability of damage to the national economy when Iraq’s accession to the World Trade Organization because of the lack of local producer competitor.

F pointed out in a press statement that Iraq now is an observer member of the World Trade Organization (WTO), and there are negotiations by the Ministry of Commerce to obtain permanent membership but the organization has imposed obligations on Iraq to fully access it.
159 State + Iraq

He hinted in his speech that the country is not formatted economically to enter the WTO at the moment, and if joining there will be an impact on the economy due to the lack of local produce, whether industrial or agricultural competitor for foreign products, and thus hinder the revival of local industry and the advancement of agricultural sector, and Iraq remains dependent on foreign imports.

F believes that the non-activation of important economic laws that have been legislation in the House of Representatives, including tariffs and protection of the national product, which functions to facilitate the accession to the WTO will delay this accession.

 Discuss the completed files

The Ministry of Commerce has announced that a delegation headed by the Minister of Trade Khairallah Hassan Babiker will participate in the meetings of the Organization later to negotiate Iraq’s accession to the World Trade Organization membership includes representatives from relevant Iraqi ministries and private sector entities negotiate with (159) member states in the WTO, where the files will be considered accomplished by Iraq as part of his career to join this organization. Iraq has been trying for years to join the World Trade Organization (WTO) in order to improve his trade and economic.

The organization imposed several things on Iraq in order to join her as Iraq seeks to be applied gradually and an end to all the benefits of it.

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Corporate America’s hoarding more and more cash, even as the economy improves

5-22-13 Bloomberg:   Any lament that U.S. executives are sitting on cash at their companies instead of investing in plants and equipment may be about to get louder.

The buildup of cash and marketable securities accelerated in the first quarter on a year-over-year basis to a record $1.73 trillion after slowing in early 2012. At the same time, capital spending in the most recent quarter rose by the least since March 2010, when the U.S. was still emerging from a financial crisis.

The trends, based on data from about 2,300 U.S. companies compiled by Bloomberg, suggest executives’ lack of need or confidence to invest deepened with threats of federal spending cuts and the economic slowdowns at home, in Europe and China. Without a pickup in spending, the U.S. economy loses a driver of job creation and risks staying locked in below-average growth, giving even more cause to hold tight.

“What concerns me is that companies have all of this excess cash and they are not deploying it into their long-term operations,” said Nick Raich, chief executive officer of the Earnings Scout, an independent economic research firm based in Cleveland. “Public outcry will erupt if companies do not spend and create jobs.”

The cash hoard reached a record in part because of rising corporate profits, aided by cost savings imposed during the financial crisis in 2008 and 2009. Europe’s recession, China’s slowing economy and a 35 percent tax awaiting companies when they bring money earned overseas back to the U.S. all provide little incentive to invest, economists and money managers said.

Apple Hearing

“If the economy were growing rapidly and more consistently, companies would be investing like crazy,” said Diane Swonk, chief economist at Mesirow Financial Holdings Inc. in Chicago. “We’re just not there yet.”

The buildup, one point of contention in last year’s U.S. presidential contest, remains an interest of Congress.

U.S. Senator Carl Levin, a Michigan Democrat, took Apple Inc. (AAPL) to task at a May 21 hearing for practices that he said allowed it to avoid $9 billion in U.S. taxes last year, in part by keeping money overseas. Chief Executive Officer Tim Cook said the U.S. should change tax policies to make it less costly for companies to repatriate overseas profit to put to use at home.

The cash is piling up at home in part as companies such as General Electric Co. (GE) and chemical maker PPG Industries Inc. (PPG) sell assets and Caterpillar Inc. (CAT) cuts capital spending.

Cash Accumulation

“When uncertainty is rearing its head, you want to preserve cash,” said Walter “Bucky” Hellwig, who helps manage $17 billion at BB&T Asset Management in Birmingham, Alabama. Among his wealthy clients who own businesses, he said, “it’s all about cost management and a reluctance to invest. They’re not laying people off, but when somebody quits they don’t replace them. That goes into building cash.”

Among 2,267 non-financial members of the Russell 3000 Index, corporate cash increased about 13 percent in the latest quarter from a year earlier, according to the data compiled by Bloomberg. The increase to a record $1.73 trillion was the most since a 16 percent gain in the second quarter of 2011.

As for capital expenditures, the most recent quarter’s year-over-year gain of about 3.1 percent was the smallest increase since March 2010. The spending declined 21 percent when compared with the final three months of 2012, marking the biggest quarter-to-quarter drop since the depth of the financial crisis in March 2009.

Buildup Resumes

For a while it looked as though companies were starting to slow the buildup in cash, beginning in 2011 as the U.S. economic recovery and job growth strengthened. The year-over-year gains fell below 10 percent for five straight quarters, to as low as 5 percent in the second quarter of 2012.

That changed in last year’s second half, with the U.S. presidential election under way and Congress struggling to reach a compromise on the federal debt as automatic budget cuts loomed. Most of the past year’s growth in cash occurred in the final six months of 2012. Cash rose about 3 percent in the most recent quarter from the end of 2012.

One other reason companies aren’t tapping cash is that they can easily borrow from lenders or go to the bond market when a need arises because Federal Reserve monetary policies are keeping interest rates at near-record lows.

“So long as borrowing costs remain low, it’s hard to see why companies would feel compelled to drive down their cash balances in any meaningful way,” said Neil Dutta, head of U.S. economics at Renaissance Macro Research LLC in New York.

Apple Testimony

While borrowing does happen on a case-by-case basis, the capital-spending decline suggests companies haven’t simply turned to that method as an alternate to cash. There can be other reasons to borrow, such as avoiding U.S. tax consequences.

Apple, which holds $102 billion of cash and investments outside the U.S., opted to borrow to help finance a plan unveiled last month to return $100 billion to shareholders. The decision saved the Cupertino, California-based iPhone maker as much as $9.2 billion in taxes, Moody’s Investors Service said.

Cook, in this week’s prepared Senate testimony, said that lowering corporate income taxes and imposing a “reasonable” tax on foreign earnings brought back to the U.S. would “stimulate the creation of American jobs, increase domestic investment and promote economic growth.”

While Apple’s accumulation draws attention, the practice is widespread across multiple industries and company sizes.

Corporate Cash

Cash and marketable securities more than doubled from a year ago to at least $1 billion at 28 companies in the Russell 3000. They include Yahoo! Inc. (YHOO), Dish Network Corp. (DISH)and Fairfield, Connecticut-based GE, which boosted cash almost threefold to $22.1 billion including proceeds of $16.7 billion from the sale of its remaining interest in NBC Universal toComcast Corp. (CMCSA) in February.

PPG, a producer of specialty chemicals and protective coatings, boosted cash and short-term investments to $2.38 billion in the most recent quarter, an increase of $1 billion from a year earlier, said Jeremy Neuhart, a spokesman.

The sale of the Pittsburgh-based company’s commodity chemicals business generated more than $900 million in cash, he said, adding that PPG is evaluating acquisitions, share buybacks and capital spending in emerging markets.

Caterpillar, the world’s largest maker of construction and mining equipment, more than doubled cash to $3.59 billion in the most recent quarter after reducing inventories by $2.5 billion and curtailing factory operations in the previous six months.

Earnings Results

The Peoria, Illinois-based company reduced its full-year revenue and profit outlooks last month, citing sinking demand for bulldozers, loaders, trucks and other mining equipment. It also cut projected capital spending to less than $3 billion from about $3.4 billion, Michael DeWalt, director of investor relations, told analysts on an April 22 conference call.

“Companies aren’t investing because their demand backdrop is weak,” said Dutta, of Renaissance Macro Research. “If they were to invest cash and the investment wasn’t profitable, that’s just going to hurt their margins.”

About 71 percent of companies in the Standard & Poor’s 500 Index beat analysts’ earnings estimates in the most recent quarter, according to data compiled by Bloomberg. Still, fewer than half exceeded sales projections, leaving little incentive to spend to expand production, said Matt McCormick, who helps oversee $9.1 billion as a money manager at Cincinnati-based Bahl & Gaynor Inc.

Risk Averse

“If you are a CEO or a CFO, you aren’t going to get fired or criticized by your board for keeping a little bit more cash,” McCormick said in a telephone interview. “They are not going to take a lot of risk in this environment.”

The U.S. economy may cool to a 1.6 percent pace in the second quarter, after growing at a 2.5 percent rate in the first three months of 2013, according to a Bloomberg survey of economists from May 3 to May 8. The projected slowdown reflects the lagged effect from a two percentage-point rise in the payroll tax at the start of 2013 and $85 billion in automatic budget cuts that began on March 1.

Economic growth has averaged 2.1 percent year-over-year since the recovery began in June 2009, trailing the 2.7 percent average in the previous expansion.

The forecast so far hasn’t dimmed investors’ view of equities. The S&P 500 (SPX) and Dow Jones Industrial Average (INDU) have each gained at least 16 percent this year and are trading near record levels.

“Some companies don’t think they need to invest as much because they don’t see demand rising,” said Paul Zemsky, the New York-based head of asset allocation for ING Investment Management, which oversees about $180 billion. “They feel comfortable they can meet the demand of their customers with the capacity they have.”

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Deputy National: Government interference in the work of the Central Bank’s monetary policy

5-23-13 All Iraq News [Baghdad]   He attributed the MP block citizen, Mohamed allkash flop in political cash to government interference in the work of the Central Bank.

He said Allkash’s all in Iraq, a copy, “dollar and Iraqi dinar declines caused by immersing the monetary policy and Government intervention in the work of the Central Bank of Iraq”.

The Central Bank has promised to take action to lift and stabilize the dinar as before but the decline of the dinar continued.

Staff complain and retirees who receive their salaries in Iraqi dinars from high prices and salaries are no longer sufficient to meet their needs and that the rise in price included real estate and rentals add to transportation, food and clothing.

Many believe that the growing popularity of buying the dollar has led to a significant decline in the dinar. And attributed to smuggle most of the Central Bank of Syria and Iran to which are under siege and the increasing need of hard currency.

The Iraqi Central Bank announced shortly before the new measures limiting the availability of American currency markets that conveys to them, amid suspicions that suggest large amounts of smuggling hard currency to Iraq for neighbouring countries.

The Iraqi Central Bank, new instructions to stabilize the exchange rate of the Iraqi dinar against foreign currencies select weekly quotas are banks and money transfer companies and dollar currency trading companies valued in accordance with their respective capital, will increase and reduce the quota for each delivery commitment amounts that customers of citizens.

And goes to the Iraqi exchange market observers that the smuggling of large quantities of dollars to Iraq for Syria and Iran, both suffering international sanctions caused the scarcity of hard currency has, one of the most important reasons for the increased demand for dollars by Iraq, so declining Iraqi dinar exchange rate.

And the Central Bank to put the dollar at an auction for the sale of foreign currency at subsidized prices and the real exchange rate lower in the market to support the dinar.

Observers fear off the Iraqi Central Bank auctions and then doubled the value of the dollar against the Iraqi dinar “.

The Central Bank is facing charges for its staff in conjunction with State officials in corruption and smuggling of currency operations, the Bank is subject to the thavikat against the former Director Sinan Al-Shabibi, who left Iraq for several months and longer for fear of arrest under the warrant expired.

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Getting a grip on the world currency issues

5-19-13 Shredd:    With all the news of the currency issues around pricing and demand for the dollar, I thought I’d dissect the issue. I believe this will tie in nicely with BondLady’s last two chats along with the news of counterfeiting and the current visit by the US to Iraq. There is a ton of escalation, urgency and attention to this current currency issue.

This substantial issue at hand regarding the price of the dollar versus the dinar can easily be understated.

The issue of the increasing rate and the high demand for the supply cannot be fixed with a simple 4 pip change in the rate like what happened in January of 2012….that was to align inflation which brought no benefit to the people of Iraq.

So if a little pip adjustment to the rate won’t fix this substantial issue, what will? To fix something we need to address the problem. The problem is the high rate of the dollar and the resulting demand on the dollar supply.

We can’t stop there tho…what started this problem to begin with? Why did the rate increase to begin with? It is due to the demand on the dollar as the CBI continues its campaign to bring in the large note dinar.

Ok, and why are they bringing in the large note dinar? To prepare for the new smaller denominations to replace them and we know when those small denoms come out, a rate of at least 1-1 will have to exist.

Yes, the rate would have to be at least 1-1 because of supply (ie, a rate of .50 would deplete the supply because it would take twice as many dinar notes to do what the USD could currently do).

The rate would also have to be 1-1 because of demand (there would simply be no demand for a dinar that has less purchasing power than the dollar).

Ok, so to bring us back to defining the problem, we know that demand for the dollar supply caused the rate to increase which caused an even higher demand for the dollar supply.

Now to the solution. What would fix this issue? Meet the demand by creating supply, right? What about reducing the demand? Well, let’s look at both.

We first need to recognize that the current issue with currency in Iraq is intended by the CBI….to loosen the grip on the remaining large note dinar.

We have to keep this in mind folks because we must know that reversing what the CBI has intended is not an option (unless the country was on the brink of financial collapse which it is not….having 74 billion in reserves!).

Ok, so that said, what options are there to fix this issue? What remains? Creating supply……of what? Not for the dollar, but for the dinar.

Why not the dollar? Because of my final point……..

The response to this currency issue is not to FIX it, but rather to RESPOND to it.

Fixing the issue by flooding dollars would be counter-productive to the CBI’s plan to remove the remaining dinar off the streets.

So, the response to this currency issue is moving to the next step of the plan which is to introduce the new lower denomination dinar.

This will not happen until the rate is 1-1 for reasons already stated above.

Wait a minute, is this really the only response to this currency issue……the next step of the plan? If the CBI wants Iraq to move forward, yes it is.

Furthermore, in my opinion after laying this all out as I have, I believe this current currency issue tells us an initial floating rate is out of the question.

Why? Well, for one, timing. For the dinar to come out right away at a free float takes time and is unpredictable.

What would cause the floating rate of the dinar to increase? It would have to reverse course on the rapid pace it is going in the opposite direction today. That is far too risky and is not going to happen….too much is at stake.

The dinar needs demand and the only way that is going to happen is if it has the ability to replace the dollar….immediately.

So, in summary, this current currency issue which is all over the news, causing substantial economic and civil upheaval, is intended and is about to move to the next step!

Finance Committee: We need legislation to the Law on the Protection of deposits at banks

5-19-13 Al Estiqama / Electronic integrity:   Deputy Chairman of the Finance Committee MP / coalition of Kurdish blocs / Ahmed iceberg God, the importance of the legislation of a special law to protect deposits in Iraqi banks for the purpose of encouraging people to save their money in banks.

Faizullah said: Most of the countries in the world are paying attention to how to bring financial deposits of local banks in terms of issuing laws and regulations protect and determine the percentage of their profits.

He added: Iraqi banks need to be law legislation to protect deposits to enhance the confidence of citizens and cause them to bid farewell to their money in banks and civil government, and thus enhance the possibility of banks and the financial contribution to the development projects of the country.

It is noted that the Association of private banks confirmed that the proportion of deposits in government banks ranging from 65 to 68 trillion dinars, of which not to exceed 22 trillion dinars deposits of private banks.

It consists of the banking system in Iraq from forty-three banks as well as the Central Bank and distributed by the property (7) state banks and (30) Ahli Bank, including (7) Islamic banks, in addition to (6) of foreign banks.

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America lifts ban on Iraqi bank cooperated with Iran

5-18-13 Shafaq News / U.S. administration lifted the ban imposed on an Iraqi bank that ended its cooperation with Iran.

“The talk revolves around Elaf Islamic bank that faced sanctions against it in July of 2011, due to its financial ties between the bank and Iran, now Elaf bank rejected dealing with the Islamic Republic, specifically with the Iranian Export Development Bank inscribed on the US blacklist, a statement by U.S. Department of the Treasury briefed by “Shafaq News” said.

According to U.S. Department of the Treasury, which announced the news, Elaf began to deal with them directly and frozen Iranian bank funds deposited with it and stopped all its activities with Tehran entirely.

David Cohen, Deputy Secretary of the U.S. Treasury welcomed the decision of the Islamic bank expressing his happiness of the Elafs’ return to the U.S. financial system.

He called organizations mentioned in the black list from around the world to follow the positive example of the bank to do a similar step.

Cohen stressed that his country will continue to pursue all financial institutions that are either collaborating with the banned Iranian banks, either trying to ignore the ban.

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Bankers accuse the central bank to encourage Arab and Iranian banks at the expense of the Iraqi

5-17-13 Range Press / Baghdad:   Download bankers and economies, on Wednesday, the Ministry of Finance and Central Bank of Iraq responsible for the decline and the reality of private banks, local, while accusing the latter encouragement of Arab Banks and Iran at the expense of Iraq, and threatened to organize a sit-If you do not amend the laws to their work, he saw an economic analyst, that “the current circumstances do not allowed to go towards investment banks because the banking culture “is still lacking.”

This came during an economic seminar held in the building of the Gulf Bank of Iraq, in Baghdad, and was attended by a group of banks and other stakeholders, as well as (Presse term).

Banker: the central bank does not listen to the views of the private banks

And complaining, Chairman Gulf Bank of Iraq, “not to listen Bank Center for private banks and deal with it as a subsidiary has,” and urged the need to “amend some laws and regulations for the work of private banks.”

He says Mounir al-Jubouri, in an interview to (range Press), on the sidelines of the seminar, said that “the Ministry of Finance to prevent official circles since the decade of the deposit accounts or accept instruments certified by private banks,” noting that “the current legislation does not fit with the economic boom Iraq is going through. ”

Jubouri calls for the need to “amend some laws and regulations for the work of private banks,” noting that “the central bank does not listen to the views of private banks, but the deals like belonging to him.”

Banker: encourage Arab and Iranian banks at the expense of the Iraqi

For his part, accuses Bank Chairman of the Iraqi economy Hossam Obaid Ali, the central bank to “encourage Arab and Iranian banks at the expense of Iraq,” threatened that private banks “would seek to organize a peaceful protest if the central bank continues its current policy.”

Attribute Ali in an interview with the (long-Presse) Undo the reality of private banks to “lack of confidence in the central bank it,” accusing the central bank to “encourage Arab banks and Iran over Iraq despite the fact that the capital of foreign banks is not up to a quarter of that found in the counterpart Iraq. ”

Ali that threatens private banks “would seek to organize a peaceful protest if the central bank continues its current policy with private banks.”

Appendix: If the government does not deal with the private sector, how citizen

And sees the managing director of the Iraqi Company for Bank Guarantees Amin Abdul Sattar, that “Cooperation is missing between the public and private sectors,” and wondered “If the government does not deal with the private sector, how citizens will be treated with it.”

It is noteworthy curtain, in an interview to (Presse term), “The cooperation or missing coordination between the public and private sectors in Iraq,” adding, “How can we expect citizens to deal with the private banking sector if the government itself does not deal with him.”
Abdul Sattar calls on the government to “pack version of laws and regulations to support the banking business, particularly in the private sector.”

Analyst: banking culture is still incomplete

Meanwhile, economic analyst believes, that “the current circumstances are not allowed to go towards investment banks,” he said, adding that “the banking culture in Iraq is still incomplete.”

He says Majid picture, in an interview to (range Press), “The banking culture in Iraq is incomplete, both for the government or banks or citizens,” pointing out that there is a “need for a long time to get to a culture of cooperation between the banks and the various sectors.”

This is not the first time that the attack which involved the banking sector in Iraq, where attacked politicians and bankers are Iraqis, in the first annual conference for the business, which was held at the headquarters of the Supreme Islamic Council in the capital Baghdad, in (the ninth of March 2013), fiscal policy in Iraq, and considered that the banking system in the country is the “most backward” between the countries of the region, while Benoit that the orientations of the central bank has made private banks “atypical and without a father,” they saw that the “corruption” of the administrative and bureaucratic procedures in some institutions turned into “ways to blackmail.”

The deputies, politicians and economists accused the Central Bank of Iraq over the past months to burn “an average of four billion dollars a month in an auction of hard currency for the benefit of ten banks, most of the capital of Gulf, you buy a day most of the claims of the Central Bank of hard currency and make a profit obscene up to six percent including them control of the Iraqi economy. ”

The Cabinet decided to Iraqi (the 16th of October 2012), the prime BSA Abdul Basit Turki, the functions of the central bank governor and the agency, rather than the Governor of the Bank Previous Shabibi, against the backdrop of “charged issues of financial and administrative corruption” in the bank, especially in operations Dollar Auction, but something did not occur to the work of the bank and currency auction whereas the exchange rate of the Iraqi dinar a significant decline against the dollar, skipping from 1170 dinars to the dollar in the past autumn of 2012, to 1270 dinars to the dollar in April 2013.

The International Monetary Fund said in a report issued in (the 21 of March 2013), after the end of consultations in the Jordanian capital Amman, between a delegation from the Fund and an Iraqi delegation headed by the Minister of Planning Ali Shukri, and seen by (the long-Presse), that the improvement occurred in the financial sector , but he stressed that he still needs a “greater efforts by the central bank in the revision of monetary policy tools and strengthen banking supervision, and to accelerate the restructuring of the banking system.”

The International Monetary Fund (IMF) called the CBI to “take measures to gradually towards the liberalization of foreign exchange through auctions held by the Bank so as not to repeat disorders suffered by the financial market in the past year.”
UNFPA emphasized that “the establishment of a banking system nationalist requires abandoning the current model, which is controlled in which weak banks owned by the state, which enjoys preferential treatment apart from private banks,” calling on Iraq to do to strengthen its institutions, public finance to ensure efficiency and transparency in the use of oil revenues. ”

It is noteworthy that the private sector has deteriorated significantly after 2003 due to increase government support him and especially for the industrial sector of it, which led to the suspension of most laboratories and factories from work due to their inability to compete with imported goods are supported in the countries that come from, that are not subject of imported for large fees, as well as local problems caused by the fuel and energy crises and lawlessness, and equipment obsolescence.

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I love it when a plan comes together

5-16-13 Kaperoni: I love it when a plan comes together.

Article – Observers: dip, Shabibi dinar missed and we fear the continued decline. Iraqi dinar is currently experiencing a decline in its value against the US dollar since the Government sacked the former head of the Central Bank, Sinan Al-Shabibi is raising concern among money and economy in particular.

And the value of the Iraqi dinar fell gradually during the past few weeks, bringing the price of the dollar to about 1,300 dinars after was stable from 1120, the highest rate of exchange-rate mechanism for the last two years.

And observers believe that the decline rate of the Iraqi dinar has since Prime Minister Nuri al-Maliki decided suddenly to exempt former Central Bank Governor Sinan Al-Shabibi, head of the Office of financial supervision Abdel Basset Turki.

They also believed according to radio free Iraq obtained by “twilight news this procedure and accusations with former Central Bank Administration left its impact on the Bank’s reputation and the reputation of Iraq in world markets.

He expressed this view financial expert Majid mock who explained also other internal and external factors that may have contributed to the degradation of the value of the Iraqi dinar, including the regional situation, especially in Syria and Iran and then the consumer orientation of the Iraqi Government and instability in Iraq, prompting funds to flee abroad.

Mock noted that the Central Bank sold large amounts of US dollar vary by between 50 and 100 million dollars a day.

The mock said that solutions emerge from the crisis requires joint effort at all levels in addition to the other solution is to float the currency but the main solution in his view is to revive the neglected by many development because it does not come with such a direct profit trading and import. The import volume reached 64 billion dollars in
2011 while the former does not exceed $9 billion.

And Economist Salim Al-jibouri tried to explain the effects of the deterioration of the value of the Iraqi dinar to the simple citizen and on the internal market and the most important effects appear in the prices of goods available in the Iraqi market and imported goods depends on the dollar if the dollar rises with increased prices of all goods and commodities.

However, Al-jubouri said the two central bank balance and currently exceeds $70 billion, is what makes the Government unable to intervene and support the value of the Iraqi currency.

He is a member of the Finance Committee in the House of representatives Secretary Hadi Abbas that the deterioration of the local currency occurs in all countries and in every place.

And the lack of any kind of threat to the large reserves at the Central Bank and is able to cover all the defects, according to a Deputy who accused some banking authorities of being behind the dollar trading inventory for special purposes.

Shahristani, Iraq’s Ambassadors discuss upgrading relations with world countries

5-9-13 Baghdad (IraqiNews.com) Deputy Prime Minister, Hussein al-Shahristani, discussed with a number of Iraq’s Ambassadors abroad, developing Iraq’s relations with the world countries.

A statement by Shahristani’s office reported on Thursday “Shahristani received in Baghdad, a delegation of Iraq’s Ambassadors accredited abroad in presence of the Foreign Ministry Undersecretary, where he reviewed with them importance of upgrading Iraq’s ties with the world countries on basis of the mutual interest as well as discussing future role of Iraq in producing oil especially after the rise of the oil production.”

“Shahristani stressed during the meeting, that Iraq will be within the countries which will play vital role in meeting the needs of the world market of crude oil, calling on the Ambassadors to reflect the true image of Iraq to the world and encourage the foreign companies to invest in Iraq,” the statement added.

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Shahristani, Iraq’s Ambassadors discuss upgrading relations with world countries

5-9-13 Baghdad (IraqiNews.com) Deputy Prime Minister, Hussein al-Shahristani, discussed with a number of Iraq’s Ambassadors abroad, developing Iraq’s relations with the world countries.

A statement by Shahristani’s office reported on Thursday “Shahristani received in Baghdad, a delegation of Iraq’s Ambassadors accredited abroad in presence of the Foreign Ministry Undersecretary, where he reviewed with them importance of upgrading Iraq’s ties with the world countries on basis of the mutual interest as well as discussing future role of Iraq in producing oil especially after the rise of the oil production.”

“Shahristani stressed during the meeting, that Iraq will be within the countries which will play vital role in meeting the needs of the world market of crude oil, calling on the Ambassadors to reflect the true image of Iraq to the world and encourage the foreign companies to invest in Iraq,” the statement added.

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