Thread: Archive News - Iraqi Dinar Think Tank - 22/06/2010 - 04/10/2010

Investment Authority to adopt a study of the introduction of private banks sector housing

Experience applied in almost most of the world, whose economy to a free market system, the same approach taken by Iraq after the change, was relying on private banks and government that can invest their solvency, large building complexes helicopter and then distributed to citizens deductions and comfortable compared to interest rates varying According to the competition or government-subsidized prices.

The chief investment Sami Araji Iraq cord the same approach, ie, we will, depending on private banks to encourage the housing sector, where banks met government and the Iraqi civil and offered them the idea of participation and welcomed it. Will Trade Bank of Iraq (TBI) in coordination with the banks to finance part of the cost to build housing complexes in addition to funding the Arab and foreign, either the exp ected interest rate is being discussed now between these banks and if identified will be announced.

For his part, Saad infrastructure Prime Warka Bank for Investment and Development of Iraq, which is a private bank only raise the capital to 250 billion Iraqi dinars, or about 200 million U.S. dollars, said the purpose of engaging in this subject should be Narj of the Banking Law Iraqi No. 94 of 2004, In the article (28) exclusively, which I attended on banks to invest in all areas, which set their work in credit operations only, while all banks established for the purpose of credit operations, investment and finance and this suggests Anoaneha, noting that all the banks in the world practice, such as, working to Apart from its banking , and these investments for the long term sometimes exceed (15) years, achieving a high return to depositors as well as the provision of accommodation comfortable and generous to all citizens, but I doubt that this is only available to the availability of liquidity needed for these operations, but the decision was made by selecting to deal with banks Eligibility and the withdrawal of all deposits of government departments led to a shortage of liquidity in these banks dramatically, and that the withdrawal of all government deposits suddenly and rapidly without warning.

The structure "that rely on real estate investment banks, foreign matter collide with the security situation as is well known that capital is coward and can not be a foreign investor to run this Laghmar unless stabilize the security situation properly, he must go to the Cape government money is located in the state banks of sleeping giant that Move towards real estate investment to secure the living and decent housing for citizens, either the Iraqi capital to the owners of capital, they have turned out as the result of the security situation.

And on the possibility for private banks to support the government to engage in investment projects in the housing sector said the structure "I am sure that every Iraqi citizen has a sense of patriotism must come together and cooperate to resolve this crisis because cooperation between banks and the provincial councils and the secretariat of Baghdad that is a virtuous circle reflected on the welfare of Iraqi citizens But the key problem the subject of infrastructure such projects such as water, electricity, sewage, telecommunications, roads because all Iraq needs now is a revolution, a white hand in hand in all sectors to overcome the difficulties and obstacles and administrative and financial corruption in order to promote the Emperor of civilizations and religion to a level higher than all countries in the world because Iraq has not invested by little over the last forty years."

In terms of the price benefits of such long-term loans this process of economic calculation depends primarily on the view the deposits for requiring the use of these deposits is determined by the Central Bank of Iraq, which is a bank of banks and Osasyate and prosperity in Iraq so as not to exceed the bank charges of more than 2% per year Administrative fees, legal and control and obtain money, pointing out that we must not focus on the governorate of Baghdad, but the needs of residential units across Iraq from Basra to Mosul, and Anbar to Diyala.

And on the most important future projects for banks eligibility, said Saad structure "There is no modern technology in the banking sector in the world unless the intervention of this technique in our bank, but if there was a lack of confidence between the government and the private banking sector did not change technologies formula to deal with the private banking sector caution without justification By the state, making the technology, which has spent millions of dollars by not doing correctly for use in all operations of the banking credit to major banks in parallel to the modern world developed."

http://www.radiodijla.com/cgi-bin/ne...?id=2010-07-11

United States to Sell F16 Jets to Iraq

AK News quotes a spokesman of the American military in Iraq as saying that they will supply Lockheed Martin F-16 jets to the Iraqi Air Force.

“There are discussions between Baghdad and Washington to buy F-16 jets to support the Iraqi security forces and the Iraqi air force,” Gen. Stephen Lanza said.

“My country is still considering this issue, and transfering such weapons needs the approvals of the Defence and Foreign Affairs Ministries, in addition to the Congress,” he added.

“The Iraqi Air Force needs developed equipment to be able to protect its space and the decision regarding buying the aircraft goes back to the Iraqi government.”

“The Iraqi Air Force today has more than 100 planes and it is growing to reinforce its troops; today it has approximately 9,500 pilots that have developed their abilities through courses outside the country,” Gen. Lanza added.

The Kuwaiti government has asked the United States last year not to arm the Iraqi army with developed weapons that may interfere with the power balance in the region, and it demanded written guarantees that the Iraqi military won’t carry out any operations against countries of the region.

Meanwhile, Strategy Page reports that “Iraq is expanding its air force to over 140 aircraft and 6,000 personnel. Within five years, it plans to have over 500 aircraft, most of them non-combat types. By 2015, Iraq wants to have about 35 squadrons (14 fighter, 5 attack helicopter, 5 armed scout helicopter, 2 transport, 2 reconnaissance, 1 fixed wing training, 1 helicopter training, 3 helicopter transport, 1 utility/search and rescue, and 1 special operations). The $1.5 billion the air force needs for its first 18 F-16s includes what it will cost to build maintenance and training infrastructure for that type of aircraft.”

http://www.iraq-businessnews.com/?p=5553

Bahraini Companies Seek to Invest in Basra Energy Sector

A delegation from Bahraini investment companies met with the chairman of Basra Council on Thursday to discuss investment in the energy sector in the southern city, according to a report from Aswat al-Iraq.

“Chairman of the Basra council Jabar Amin Jaber received on Thursday a delegation representing Bahraini investment companies in the energy sector,” said the statement received by Aswat al-Iraq news agency.

“The meeting addressed fostering cooperation in the energy sector, to help solve the electricity shortage in the city,” it added.

“The council is ready to facilitate the work of these companies and remove all obstacles that could face them,” the statement quoted Jabar as saying.

http://www.iraq-businessnews.com/?p=5563

IMF Report

Inflation and Conflict in Iraq: The Economics of Shortages Revisited

Summary: Containing inflation has turned out to be one of the most challenging aspects of economic management in Iraq. This paper posits that conventional as well as unconventional factors explain inflation dynamics in the recent past. We build a theoretical model based on the insights into the workings of socialist economies under supply shortages provided by Shleifer and Vishny (1992) to help explain price dynamics.

In the model, strategic behavior of the fuel distribution monopolist results in fuel shortages, with implications for fuel and non-fuel inflation. A number of step-wise adjustments of administered prices for fuel products since December 2005 offer an interesting experiment to help study this behavior. Our findings show that inflation may have been influenced by shortages in fuel and non-fuel commodity supplies, which themselves are driven by violence and rent-seeking.

http://www.imf.org/external/pubs/cat...cfm?sk=24035.0


Link to full report:-

http://www.imf.org/external/pubs/ft/wp/2010/wp10159.pdf

Financial control: the protection provided by third parties of Iraqi funds were not up to the immunity of the Security Council

Iraq demanded the UN Security Council to extend the immunity of Iraqi funds under resolution 1483 issued in 2003. Head Office of Financial Supervision, Abdel Basset Turki, during a public meeting of the Security Council to discuss the arrangements for Iraq's post-Development Fund for Iraq.,

The follow-up committee of financial experts with the concerned governmental and international consultants have shown that the protection provided by external actors of Iraqi funds were not up to the level of immunity granted by the Security Council resolution and pointed out Turkey to Iraq's desire to resolve the issue of external debt inherited from the former regime with non- members of the Club Paris and the States that have rejected calls for Iraq to settle its debt earlier, and called on the GCC countries to help Iraq in the liquidation of debts discharged in their favor in the meantime, he noted, Iraq's ambassador to the United Nations in New York, Hamid al-Bayati told a news briefing earlier that Iraq Will need to protect the United Nations for his money in the event of not being able to solve the problem of debt with the creditor countries and companies.

The Secretary- General of the United Nations Ban Ki-moon has announced that the Development Fund for Iraq will remain in the U.S. Federal Reserve Board in New York until after the end of the year. Ban said in the second quarterly report for the current year to the Security Council that the Government of Iraq has received assurances from the U.S. Federal Reserve Board to follow the mechanism and arrangements currently in place to manage the fund, including the allocation of five per cent of oil revenues to the Compensation Fund.

http://www.almowatennews.com/news_view_5841.html

Misty political atmosphere after the parliament session postponed

As the President has decided the temporary parliament Fuad Masum, to postpone the hearing date for the resumption the first session to two weeks, taking many of the politicians position pessimism of the possibility of finding solutions to over positions, sovereign in the new period, while some point to the blocks will be under pressure more than ever to achieve consensus

And a member of the National Coalition said Wael Abdul Latif, the postponement of the parliamentary session to two weeks, others in clear violation of the Constitution
He's (weekly) "It can not be the Interim President to take a decision for the postponement of meetings and scheduling."

He pointed out that "the continuation of chair Fuad Masum, the oldest member of parliament sessions after the end of the month is a violation of the Constitution."

Abdul Latif, "The President's mission to end with the older performance of the new deputies sworn in".

He added that "the deadline set by the Constitution, without specifying the post of President of the Republic violated the Constitution 54.55, 56, 64.72."

He asked, "How can the political blocs to reach an agreement on sovereign posts in two weeks while it's not able to do so for four months ago."

For his part, Kurdistan Alliance MP Mahmoud Othman said, "hold the meeting without reaching an agreement between political parties is not feasible, especially in light of the lack of agreement on the distribution of positions." "It seems that the situation is not easy and requires more time."

This was the Speaker older, Fuad Masum had called the heads of political blocs to a meeting on Monday emerged from the open to extend the period of the first two weeks of meetings to others.

In this context, a member of coalition rule of law, Khalid al-Asadi said the political blocs showed Monday's meeting in order not to override constitutional deadlines, but the absence of an agreement forcing it to extend the life of the first session.

He's (weekly) that "there is talk that the constitutional times are indicative and not final and believes are biting and so it could be extended in the event of failure to reach an agreement."

Increased "Given the existence of a constitutional entitlement to be applied in the first session the election of the Speaker of the Parliament, missing the agreement is related to key positions around the president and the ministers decided to postpone the political blocs of the meeting."

He believed that the absence of objective reasons productive meeting makes delayed is normal and about the possibility of reaching a solution in a period of weeks.

Asadi and said "No doubt this period will provide a pressure on everyone in order to speed up the completion of the consensus."

He considered that "serious talks on forming a government started from approximately month did not begin until four months."

To the description of a member of the Iraqi List melon beauty entirely clear the political atmosphere.

"Four months ago, we turned around, and now we extend the weeks and everyone's talking about the Constitution."

"I do not there is agreement between the political blocs around the three presidencies Road is blocked and the foggy atmosphere."

http://www.theiraqweekly.com/inp/view.asp?ID=14109

The Ministry of Oil: we do not have outlets for non- oil export ports of the south and across the line of Turkey's Ceyhan

Oil Ministry denied the statements of Minister of Natural Resources in the Kurdistan Regional Government drastically on the existence of smuggling oil to Iran, southern Iraq, stating that Iraq possesses no non- export ports known through the ports of the south and across the line of Ceyhan.

He said a ministry statement received by the independent press agency (Iba) a copy of it that all the activities of production, export and distribution of oil subject to surveillance and scrutiny by several official bodies in addition to monitoring the external auditor by the United Nations.

The Ministry denied the oil is transferred permit Hawrami on the smuggling of 100 000 barrels a day to Iran, and the Director of Media Ministry that if proven these allegations are true, they would have to monitor approximately 400 trucks lined up near the Iraqi-Iranian border , as has been monitoring hundreds of tanks lined near the border crossing points in the Kurdistan region to move Oil to neighboring countries.

The ministry's statement that the only party responsible for the export of Iraqi oil is a petroleum products marketing company (SOMO) and there is no any other hand, authorized to do so.

The statement stressed that there was no oil export contracts with Iran, border authorities were notified that, and it is the process of bringing any quantity of oil to Iran, the illegal and legal negligence and national wealth.

He asked Director of Information Ministry about the nature of the oil exporting region, which said in a statement the Minister of wealth and natural resources in Kurdistan, as the need for the surplus of the region.

Explained in the case of a surplus in petroleum products for export Why does the region and calls for the central government share of oil products, in addition to export earnings due to the region, according to the statement instead of returning to the central treasury.

The newspaper report Alnihiurk Times published on Saturday, monitoring and Jodamilit smuggling of Iraqi oil through the territory of the Kurdistan region in conjunction with the imposition of international sanctions on Iran , sparking reactions and that led the Minister of Natural Resources of the Government of the Territory to state that began to be exported to Iran is the surplus of the need for the region and is Formally.

He accused unnamed parties Hawrami smuggling of 100 000 barrels per day from the southern ports to Abadan in Iran.

http://www.ipairaq.com/index.php?nam...onomy&id=27679

Reduce working hours in government departments to six hours

Cabinet has decided to reduce working hours in government circles to 6 hours.

He said government spokesman Ali al-Dabbagh told a news briefing that the move will continue until the end of the month of Ramadan, Mcisra exception to the ministries and security institutions of this resolution.

The Ministry of Health has warned people to stay in the sun for long periods at a time Iraq is witnessing a scorching heat wave, with temperatures rising to 50 degrees Celsius at a time with growing power crisis.

http://www.ipairaq.com/index.php?nam...xture&id=27676

Syria is considering setting up a free trade zone with Iraq

The Syrian government is the economic feasibility study for establishing a free zone with Iraq on the pattern of existing free region with Jordan, especially given that the free zone facilities in al- list already.

Al Hayat newspaper quoted London-based Director General of the Syrian free zones Qaddah Abdel-Hakim as saying that the organization is working on that the area is regional distribution center and is linked to facilitating trade between Iraq, Syria, Turkey, pointing to the rehabilitation center Nisibis with the Turkish border.

The Syrian Minister of Economy Lamia Aasi discussed with the Iraqi Finance Minister Baqir Jabr in May, the possibility of linking the two countries in the free zones to attract more investors and capital in the region.

The two sides considered linking the Syrian free zone in al- Iraqi counterparts in the return of the benefits of the existing trade and investment and will contribute to several of employment and stimulate domestic industries and promote trade between the two countries.

Is seen in al-free zone as a region to attract investment and resettlement in the future, and will seek to run the Syrian ports efficiently through the transit trade between Iraq and Syria in both directions.

http://www.ipairaq.com/index.php?nam...onomy&id=27685

Economist : delayed formation of the government cost the country huge losses

Economic expert said that it is difficult to estimate and limit the size of the losses resulting from delays in forming an Iraqi government , noting that the investment sector will be the first affected by it.

The expert added as Abdul Hadi in contact with the agency, the independent press (Iba) all of the delay in forming an Iraqi government that would lead to delays in the implementation of investment projects which have been developed through the investment plan for the government and the state budget.

Abdul Hadi pointed out that the delay in forming a government will lead to a delay in Cecchelalrwip strategy for the new government and decision-makers through passing the obstacles and mistakes made by the current government.

He stressed that the economic effects of the postponement of the House of Representatives for its first session will be tailored to despite the fact that the impact would be indirectly on the various economic sectors.

The community that Iraq would suffer economic losses in the millions by delaying the adoption of investment projects in the country or delayed payment of dues for such projects through supplementary budgets, delaying the movement of economic development in the country.

http://www.ipairaq.com/index.php?nam...onomy&id=27694