Thread: Archive News - Iraqi Dinar Think Tank - 06/05/09 - 04/09/09

Update......

Finance ministry to sign new agreements with IMF

Iraqi Finance Minister Baqer Jabr al-Zubaidi on Wednesday said that his ministry will ink new agreements with the International Monetary Fund (IMF) to allocate $7 billion to support Iraq in the coming two years.

“Iraq started a new round of negotiations with the IMF to sign new agreements, according which the country will get $7 billion to help it avoiding any financial problem in the coming two years,” al-Zubaidi told Aswat al-Iraq news agency.

Regarding the general budget, the minister said that “we received the final report from the economic committee and there is no deficit problem in the next year’s general budget.”

“A total of $1.875 billion will be added to the budget after receiving them from the m.obile p.hone companies,” he noted.

http://en.aswataliraq.info/?p=113774

Update.......

Iraq Talking Up Its Gas Export Potential

Last week's visit by Egyptian Oil Minister Sameh Fahmy to Baghdad prompted renewed talk of Iraqi gas possibly entering the Arab Gas Pipeline (AGP), which now flows Egyptian gas to Jordan and Syria. There's also talk of a possible MOU with Turkey on gas supply to Europe via the planned Nabucco line originating in Turkey. Baghdad appears eager to promote Iraqi gas prospects as a counterpoint to the Kurdistan Regional Government's ambitious new 2 Bcf/d gas export scheme.

http://www.energyintel.com/DocumentD...ment_id=623158

Ministerial Committee claims about 2 billion dollars dues from m.obile phone companies

An Iraqi Ministerial Committee asked Iraqi m.obile phone companies to pay an amount of 1.875 billion dollars as dues that shall be paid as a lump sum, a Ministry of Finance source said.

The same source pointed out that the Committee asked for the amount to be paid as a lump sum and threatened to impose doubled taxes on Zain, Asia Cell and Korek, operating in Iraq. The Committee said that the Companies should have paid since March and added that it had submitted 5 recommendations to the Cabinet in which it called the companies to abide by the rules of the Ministry of Communication and had imposed sanctions the overall of which is about 20 million US dollars.

http://www.alsumaria.tv/en/Economics...companies.html

Bhel faces hurdles in securing new Iraq, Libya Contracts

Plans by state-owned power equipment maker Bharat Heavy Electricals Ltd (Bhel) to secure new contracts in Iraq and Libya have run into trouble because multinational technology providers such as Alstom SA and General Electric Co. (GE) are not ready to assist it in commissioning any project in these countries over security concerns.

“While we need commissioning assistance in setting up projects, companies such as Alstom and GE only want to remain as suppliers (due to security concerns),” said K. Ravi Kumar, chairman and managing director, Bhel.

Bhel already has a presence in Iraq and Libya. It has successfully undertaken contracts in Iraq such as the 250MW Rumailla project which involved the supply, supervision, engineering and construction of gas turbines, generators and auxiliaries as part of the United Nations oil-for-food programme. It has also supplied a gas-turbine based power plant to the 500MW Sulaymaniyah project in Kurdistan.

In Libya, it has set up the 600MW Western Mountain project and another 300MW project as part of its extension.

Questions emailed to Alstom SA on Monday and GE on Tuesday remained unanswered. These firms are world leaders in power generation equipment manufacturing technology. They have tie-ups with Bhel for manufacturing so-called supercritical boilers and gas turbines.

While Iraq still remains a flash point in West Asia with US troops battling insurgents, Libya—which has the largest hydrocarbon reserves in Africa and is also a member of the Organization of Petroleum Exporting Countries—has faced sanctions due to its record of supporting terrorist groups.

With a host of reconstruction projects coming up in Iraq, Bhel was hopeful of getting contracts in one of the world’s largest oil producing countries.

Libya, which is estimated to have around 100 billion barrels of oil reserves—accounting for 40% of Africa’s reserves—has a huge market for power generation. “Without help in commissioning a project, it gets very difficult to set them up on our own,” Kumar added.

Of Bhel’s order book position of Rs1.25 trillion, global orders account for around Rs7,500 crore. West Asia, Africa and Central Asia are the primary international markets for Bhel, which plans to raise exports to Rs10,300 crore by 2012. “International orders form a small percentage of Bhel’s order book. It is not a significant worry. But going forward, with the domestic order flow likely to decline from the present levels, if the international orders also decline then it makes a difference of 3-4% in the order flow,” said Madanagopal R., an equity research analyst at Mumbai-based Centrum Broking Pvt. Ltd, who tracks Bhel.

http://www.livemint.com/2009/05/2722...uring.html?h=B

Mechanism of action in the auction, the Central Bank of Iraq need to be quick fixes

Economic expert called on the Algerian peace to the need to change the mechanism used in the auction of the Central Bank, especially those that are inconsistent with the right of the citizens who handle the auction and those who have the right to use their papers wherever they want cash

While the central bank has a number of powers under the laws in force which it is responsible for moving money and Todifaa in the financing of foreign trade of the private sector and Massadralciolp adapt to meet the challenges of inflation and raise the value of the local currency of the Iraqi dinar.

According to a researcher at the Strategic Economic Studies at the University of Baghdad, said the auction brings to the sale of the dollar to import goods and merchandise, while that was happening in the past, otherwise the entire import process is done without any external conversion is undoubtedly one of the methods used for the smuggling of Iraqi funds abroad and large quantities of up to about a few billion a month, on the other hand to deny the positive aspects of the process of reducing money laundering and the elimination of certain cases of economic crime and terrorism and end the illegal trade deals, which were held outside the Central Bank of the suspicious points in the methods used to confidentiality in the process of financial trading.

He adds what is needed during the current phase is the review mechanisms established in the auction in question and make sure not to sell any amounts not Bharitp access to goods, which in turn will bring a significant financial surplus of hard currency, and give a bigger and more active role of the Iraqi dinar to contribute to the transformation of Iraq to the exporter of goods and imported goods and not only.

Faleh Al-Saadi, Director of the Office of the Commissioner's Alsnaraya of financial investment in Iraq, speaking on the subject, saying: that the policy followed by the Central Bank of Iraq is not feasible and will lead to significant damage in the process of financial trading in the country is still going through a critical economic conditions as a result of exceptional political tensions covered the landscape in Iraq, the policy of raising interest rates is not feasible at the present time, while the most of a strong economy and stable conditions always deliberately to reduce interest rates in order to contribute to the investment process but also caused the reluctance of the owners of capital from borrowing from the World Central, despite the recent measures taken by the Bank to reduce interest rate for up to 11% but that does not mean we have arrived at the point required in the interest rate appropriate for the current phase.

He adds that the deal with this situation and other problems and obstacles to the conduct of the trading of financial and other economic issues, and other investment is the key to the development of other economic resources of the alternative source of oil alternatives and put a real and effective investment and otherwise, we will stay in one district, it is impossible to get out, and the evidence Oil prices, which fluctuate from time to time of the rise and fall to a record level, especially in the last five years and the significant effects on the national economy, especially as it is the basis of financial returns of government and the primary source of the budget the President has the financial, as well as well as to diversify the sources of resources must not be ignored to reduce the role of sector government and increase the role of the private sector in the overall economic process in order to revive the country's economy and make it more developed and sophisticated and more vulnerable to financial crises and economic, whether global, regional or local, domestic.

http://209.85.229.132/translate_c?hl...775G2gwOMSDSag

Director of Bank of Iraq: can not dispose of the cash reserve at the Central Bank

General Manager of Bank of Iraq, Abdul-Hussein al-Yasiri that government lending to the jurisdiction of the central bank and the bank refrained from lending to the government on the basis of the reserve where it is, noting that the cash reserve may not dispose of it.

http://209.85.227.132/translate_c?hl...628LD4MRs4KRvA

Surge in the demand for dollar on Thursday

Demand for the dollar dramatically increased in the Central Bank of Iraq (CBI) auction on Thursday, reaching $202.555 compared to $119.770 million in the previous session.

“The demand hit $56.940 million in cash, covered by the bank at an exchange rate of 1,176 Iraqi dinars, and $145.615 million in foreign transfers outside the country, covered at an exchange rate of 1,173 Iraqi dinars per dollar,” according to a CBI news bulletin received by Aswat al-Iraq news agency.

None of the 18 banks that participated in today’s session offered to sell dollars.

http://en.aswataliraq.info/?p=113841

Economist calls for the slowdown in borrowing countries to bridge the fiscal deficit

expert opinion should be an economic slowdown in borrowing countries to bridge the deficit announced by Finance Minister Baqer al-Zubaidi, last week.

Said Dr. Nabil al-Saidi told the independent press (Iba) said on Thursday that world oil prices low for the alleviation of global recession, but it has been investing in certain sectors at risk, since the prices started to recover loans, the molecule may impose obligations on Iraq affect the citizen the future.

He added that the huge reserves of Iraq could be the first line of defense to fill any deficit and even the deliberate Atotr on monetary policy. Adding that the global financial crisis will not hinder the ability of Iraqi banks to meet their obligations or their ability to achieve profit.

Saeedi said that while the government prepares to launch new bond to finance the deficit in the state budget and management of financial resources for the implementation of plan projects for the current year, we hear comments on the ministry's intention to borrow from the States. He pointed out that borrowing will increase the size of the domestic public debt of Iraq.

He reported that Iraq has already borrowed from other countries during the previous years, and increasing the size of the debt when the risk to the national economy and hold the government the burden of servicing this debt and the vicious circle, which is due to an increase in the government budget deficit for the payment of debt.

He called al-Saidi and the Ministry of Finance to develop a specific program to control the budget deficit and reduce the over 5 years to reduce the size of the debt.

In the view of watchers of the main reasons for the increase in the size of the domestic public debt is in the public budget deficit and the widening gap between the real interest rate on public debt and the rate of growth of real gross domestic product.

http://209.85.229.132/translate_c?hl...86X0v4CYwWyvrw

Ani: attitudes of Kuwaiti officials to Iraq is not in the interest of the Iraqi and Kuwaiti

Dhafer al-Ani, deputy of the Iraqi Accordance Front, said the continuation of remarks and attitudes, and hostile policies by the Kuwaiti officials on Iraq, not in the interest of the peoples of Iraq and Kuwait it is not directed against a particular regime but rather went to the Iraqi people.

He said al-Ani, told the independent press (Iba) today, Thursday, commenting on the refusal of Iraq out of Kuwait item VII of the United Nations: "The continuation of the policies of the Kuwaiti government in this way to the Iraqi people, whether they were related to continuing to seek compensation and an objection to the purchase of the aircraft would harm the Kuwaiti people ".

Kuwait has refused to formally close the file of the compensation paid by Iraq, has five per cent of its oil revenues. It also refused to transfer the rest of the files provided for in the resolutions of the UN Security Council to the door of the bilateral relations after Iraq submitted a formal request to the Security Council in this regard so that it can emerge from Chapter VII of the Charter of the United Nations. The chancellor said in the Amiri Diwan Mohammad Abdullah Abul-Hassan, who arrived in Moscow to get out of the seventh item sought by Iraq may not come until after the commitment to full implementation of international resolutions and the adoption of the United Nations, not Iraq and Kuwait, he said. The Iraqi Foreign Minister Hoshyar Zebari had asked the Security Council what it considers Kuwait transfer files between the two countries pending the Security Council of the follow-up to the area of bilateral relations.

http://209.85.229.132/translate_c?hl...aBGEpPR_xyZq3Q

Zubeidi: Iraq is close to resolving the debt of European

The Finance Minister Bayan Jabr said the Republic of Poland is ready to bring down the debt on Iraq, the latest European country to remain the creditor with the debt problem of the Arab and Islamic pending.

Zubaidi said in a press release today that the Polish government expressed its readiness to bring down the debt on Iraq, he said, adding that the Ministry is currently negotiating with them to resolve the 800 million dollars.

Zubaidi said he will remain on Iraq, the Arab and Islamic debt, indicating that he was shot down after Tunisia and the UAE remains the debt of Egypt, Saudi Arabia, Kuwait, Morocco, pointing out that the debt will fall soon.

He Zubeidi, there is a dispute over how to deal with the Egyptian religion, which is divided into three categories, including the debt of the Egyptian labor and the Egyptian government debt, corporate debt and Egypt.

Noting that the Iraqi government would prefer to resolve in a single package, while the Egyptian government wants workers to pay off a debt and then negotiate the other debts.

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