Thread: Archive News - Iraqi Dinar Think Tank - 06/10/2010 - 24/01/2011

Central Bank of Iraq intends to issue a new class of currency

Heading for the Iraqi Central Bank to issue a new currency of a 100 thousand dinars to facilitate financial transactions in the markets and face the phenomenon of "dollarization" of Dhahiyeh.

The draft version of the new cash in light of expected delays to the project to delete the three zeroes from the Iraqi currency, and continue with the implementation of the vocabulary of the bank's plan for the advancement of the financial sector which is the mainstay of the economy overall in Iraq.

In this context, the Bank seeks to issue a new category of currency to meet the twin goals in direct; facilitating dealing in Iraqi currency in the markets on the one hand, and restore confidence to face the phenomenon of the widespread use of the U.S. dollar in local dealings or what is known Baldolrp the other hand.

The consultant said the Central Bank of the appearance of Mohammed Saleh, said that the idea of a new currency is still future, but it suggests at the same time there is an urgent need to in the current business dealings.

And demonstrates the benefit in an interview with Radio Free Iraq that the trend to issue a new currency aimed at reducing the cost of trading in Iraqi dinars, adding that the draft version of the new money is complementary to the project to delete the three zeroes from the Iraqi currency, and causes the same purpose, especially since the lifting of the zeroes requires time and official approval of government and parliament, a process that could take a long time.

And the Iraqi Central Bank seeks to establish the structure of flexible monetary and sophisticated fit with the major developments expected to be taking place in the Iraqi economy in the next phase.

For his part, says the head of the Association of Journalists in Iraq, economists said the trend Ghalibi Abbas to release the new money comes as part of a series of updates that the Bank continues to take place in the monetary system in Iraq.

Ghalibi confirms that the main objective of the release of the new money is to confront the phenomenon of dollarization burgeoning business dealings in Iraq.

http://www.iraqhurr.org/content/article/2254698.html

Central Bank Announces Annual inflation eased in Iraq during the last month

the Iraqi Central Bank announced a retreat in the annual inflation in Iraq during the last month.

The Reuters news agency quoted senior adviser for Arab Central Bank of Iraq is harmful Qasim as saying that core inflation in Iraq has dropped to 3.1 percent on an annual basis in November from 3.2 percent in October is likely to be at a similar level in December.

Qasim said that inflation was due mainly to the rising cost of housing, water and electricity. He said he expected inflation to be in December at a level similar to that of November.

He said the rate of core annual inflation in November at 3.1 percent. This is the normal rate of inflation in view of the situation in Iraq

And excludes core inflation as determined by the Central Bank of fuel prices.

Iraq is struggling to revive its economy, difficulties that were damaged by decades of war and economic sanctions. The central bank tries to ease monetary policy and encourage banks to lend in order to help stimulate investment and growth.

The government relies on exports from the huge oil fields that generate about 95 percent of budget

http://www.ipairaq.com/index.php?nam...onomy&id=33777

Call the banking sector following the demands of governance in the management of investments

Prompted a study by an academic and a financial expert and an Iraqi bank interest in the banking sector, both public and private sectors deal with the impact of corporate governance in addressing the risks due to bad debts.

The study added to the negative consequences of the mortgage crisis that devastated the economies of all the State mid-year 2007, which affected the value of the assets belonging to the States.

These effects prompted the banks to take precautionary measures (proactive), and it truncates the portion of their profits and put them under field assignments to face bad debts.

This suggests, Dr. Sadiq Rashid university professor and a member of the International Union of Arab Bankers His study referred to above to the banks to deduct a large percentage of its net profit reflected negatively on the most important gains on the resulting decline in profits distributed among the shareholders also decreased market value of the stock prices of these banks, to varying degrees and according to Dr. Shammari during his presentation of the study to the (economic morning) that found most of the banks in the import of loans granted to make credit risk rises and this increase results from the inability of the other party to fulfill its obligations, so the debt has become loans unproductive and caused Ptothiratha negative impact on the liquidity of these banks, resources and Credit worthiness and reputation.

He says since the main objective for the management of banks is the development and the development of various economic sectors in addition to maximizing the market value of the shares shall be saved from the above that the more increased revenues increased risk and on this basis increased Shammari said: followed the departments banking policies are conservative, some offensive and some of them follow a moderate policy in management of their investments in any asset management.

Said Dr. Sadiq, replying to a question by the (morning) on the measures required to avoid the mistakes that the banks to formulate Strutijetha to achieve returns to him much less risk and this requires that decisions are financial players, whether investment decisions or funding decisions and to maximize the market value of the Bank and to achieve this must harmonization of liquidity, profitability and liquidity on the administration to provide adequate and appropriate for the Bank to meet the financial obligations which the bank paid on time.

It goes on to say Shammari and banks to be able to avoid the risk of bankruptcy and therefore Mkhataralciolp them to adopt a rational system of governance of the system through which the management and regulation and control of institutions to ensure the functioning of the banking sector.

He warned against excessive measures taken by banks to face the defaulting debt because it will leave a negative impact in the performance of these banks and the performance of the economy.

He stressed the need to empower banks by the application of sound policy and efficient to reduce risk and increase governance portfolio of lending through the availability of a suitable climate for risk management and proper procedures to grant credit, and maintain the process measurement and management and proper control of credit and to provide adequate controls to credit risk and that there is a vital and important role of the observers (Banks Central) in the risk assessment of these procedures. He pointed out that the Basel Committee on Banking Supervision has developed important principles at the beginning of its inception in 1988, where she focused on credit risk.

On the possibility of the opposite of this experience and its consequences for Iraqi banks and the face of these challenges, "said Dr.. Sadiq al-Shimari: banks are required to develop a common database for its customers across the country in order to facilitate the process of assessing the solvency of customers by rating agencies.

He stressed the need to develop the control system using the CAMELS and on b (capital adequacy, asset quality, management of successful, adequate returns and the bank's ability to optimize and increase, sufficient liquidity, control fluctuations in interest rates any systems provide sensitive market risk. And recommends Shammari the need to adopt Banking on early warning system for any situation negative in terms of customers defaulting on payment to inform the bank in accordance with the application of the principles of the banks, and work to modernize and develop the bylaws for the banks to be able to study the financial positions of customers seeking loans and follow up their activities and knowledge purposes granted for it loans.

And calls on banks to adopt strategies to avoid giving special credit or lending to customers with high-risk and commitment Ba regulations guidance issued by the Central Bank of Iraq and the adoption of standards of the Basel Convention.

Shammari said the need to intensify surveillance by the central bank and firm policies regarding the management of liquidity, profitability, credit risk management. And management of capital adequacy as well as the creation of bank personnel through training programs to enable them to control the activities of different banks.

We find that the study presented by Dr. Sadik-Shammari through (economic morning) but came to contribute to the development of the banking system to contribute to the national economy.

http://www.alsabaah.com/paper.php?so...age&sid=113256

Iraq oil minister eyes infrastructure push

Iraq's new oil minister Abdul Kareem Luaibi put building infrastructure at the top of his priority list and said he expected the expansion of Basra's crude export facilities to be finished by end-2011.

Luaibi, who was sworn into office with Iraq's new government yesterday, was quoted as saying in a report in our sister newspaper Gulf Daily News (GDN) that he hoped to start a project soon to build crude oil and gas export pipelines to Syria.

A deputy oil minister since March 2009, Luaibi was elevated to oil minister when Prime Minister Nuri Al Maliki persuaded his boss Hussain Al Shahristani to take the position of deputy prime minister for energy in the new government.

Analysts believe Al Shahristani, who is also acting electricity minister, will have ultimate control over energy policy, including the vast oilfields Iraq is counting on to rebuild after years of war.

'The priority is to build oil infrastructure. We have major projects like expanding the Basra port to increase its export capacity to 4.5 million barrels per day (bpd), and it's expected we will finish the rehabilitation work before the end of next year,' he said.

The Syria pipeline project was expected to start at the beginning of the new year after agreement is reached with Syria, he said.

Iraq is also building new crude storage facilities at Nahr Bin Umar, Nassiriya, Tuba and Fao, which Luaibi said would have 'utmost priority because they represent essential guarantees to cope with the expected big increase of production'.

Iraq has signed deals with international oil companies to refurbish its oilfields in the hope of ramping up production capacity to 12m bpd from about 2.5m bpd now.

http://www.tradearabia.com/news/OGN_190772.html

Adviser to Maliki: Iraq will demand his support during the economic summit in Egypt

said one adviser to Iraqi Prime Minister Nuri al-Maliki, on Wednesday, said that his country would seek economic support during the Arab Economic Summit to be held next month at Sharm el-Sheikh with Egypt Arabic, pointing out that Iraq will present a project to facilitate the entry of commercial firms Arabic to the country.

The chancellor said economic affairs peace Qureshi told the Kurdish news agency (Rn) that "the Iraqi delegation, headed by the Undersecretary of the Ministry of Commerce and Walid sweet will present a project aimed at facilitating the entry of Arab companies trade to Iraq," noting that "Iraq will be asked to support economically during the Arab summit by facilitating accession to the rooms Arab trade. "

The Quraishi that "Iraq would prefer that the result for the summit meeting of Arab exceptionalism on the economy and development advocate the need to address the lack of harmonization of trade and economic relationship with the organization of Iraq."

Quraishi and continued that "the Arab economic summit will discuss the implementation of previous resolutions of the summit and how to facilitate the project for linking Iraq Alaketronya networks across the Internet with commercial markets."

The Arab League has confirmed earlier support for efforts to revive the Iraqi economy and an update of plans and initiatives of the first Arab economic summit held in Kuwait last year.

Iraq had participated in the work of the Economic Summit and the Arab Development, which was held in Kuwait in January 2009 the delegation of the head of President Jalal Talabani and the membership of the ministers of trade, finance, oil, foreign affairs and a number of organizations and economic and social bodies in Iraq.

http://www.aknews.com/ar/aknews/2/204611/

Arab Economic Council discusses the link projects between Arab countries and the World Bank initiative

discusses the Arab Economic Council on Wednesday, link project sea between Arab countries and a draft networking online Arabic and discuss cooperation in activating the World Bank's initiative in the Arab world and Arab Report on the Third Millennium Development Goals in preparation for the summit of economic and development Second, social to be held in the city of Sharm el-Sheikh in January 19 next.

U.S. Undersecretary of the Ministry of Commerce of Iraq and Walid al-Moussawi, told the Kurdish news agency (Rn), "The Council will discuss during the meetings of this session a large number of items, including the report of the Secretary-General of the League of Arab States on follow-up implementation of the outcomes and decisions of the Summit of the Arab Economic and Social Development, held in Kuwait in January 2009, including follow-up initiative of the Emir of Kuwait Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah on the requirements to support and finance private sector projects in small and medium enterprises in the Arab world."

He said al-Moussawi said, "We will review the global financial crisis and its repercussions on the Arab economy and the follow-up projects, the Arab electricity grid and the outline of land connection by rail and the emergency program of food security, the Arab and the completion of all requirements for the establishment of the Arab Customs Union and full implementation of the 2015 by taking the necessary legal procedures by the eligible countries as a prelude to access the Arab Common Market, will also follow up the issues of water security and the role of the Arab private sector in the Arab support of joint Arab action."

"The Council has been following the implementation of the economic decisions of the Arab summits in its regular sessions between the years 2001 and 2010, which is the establishment of the Greater Arab Free Trade by editing the trades of goods and services, and create the appropriate environment to attract inter-Arab investments and the establishment of the Arab Customs Union and the role of the private sector in development ". indicating that he" has paid the recommendations of the Arab summits special attention to the development and integration of Arab transport sector and support the development of Arab tourism sector and promote the efforts of Arab integration in and complete the electrical link Arab and Arab countries to support LDCs in this regard to complete the electrical system at home. "

http://www.aknews.com/ar/aknews/2/204620/

Advisor Central: the smart card to facilitate citizen access to entitlements

Central bank adviser said the appearance of Mohammed Saleh: We encourage banks and financial services companies to issue a smart card, through which he is paying salaries to employees, stressing that the move will save the expenses of issuing currency.

Saleh explained in a press statement for the news: The Iraqi Central encourages banks and service companies to issue a smart card which is working to provide services to citizens through the process to facilitate the payment of salaries to the staff instead of following the old ways and stand Bataiwaber long.

He pointed out that the issuance of the smart card of modern methods of payment and development, and we will work positively in the development of methods that had to be citizens.

Salih stressed that the use of the smart card will provide the expenses of issuing paper currency, as well as a shortcut for a lot of time and effort and this is in the interest of the citizen.

The bank Mesopotamia and the good start of using the smart card to pay the salaries of pensioners and social welfare and other slides, but this did not include the largest slide they staff, who are millions Dmenhm Associates of the Iraqi army and police.

http://www.alsabaah.com/paper.php?so...age&sid=113254

The Washington Post: U.S. fears of al-Maliki turned to the "dictator"

The Washington Post, U.S., on Wednesday, for fear U.S. could become Prime Minister Maliki to "dictator possible" under the road that runs the country, which "raises questions about the future of the fragile democracy in Iraq ".

According to observers of the Iraqi, said the newspaper close to the decision-makers in Washington that the status which is often called al-Maliki is "the dictator is likely," but noted that "thanks to the owners in the suppression of chaos and prevent the outbreak of civil war in Iraq."

She cited the Washington Post, among other criticisms of the owners, including that he "plays the role's boss in the Iraqi armed forces, which replaced the leaders of the security forces Bmqrbin him and caused his grip on the intelligence community where, and the right to a military band called the Task Force Baghdad to his office directly, a task force alarming in the hearts of Iraqis, and have already moved in more than one occasion for the suppression of rival al-Maliki and his political opponents. "

And renewed the newspaper reported on documents, Wikileaks and accuses him of always international human rights organizations including Amnesty International that "al-Maliki runs secret prisons in Iraq, where he is being accused of the year in which to systematic torture."

The other hand, noted American newspaper that "supporters of al-Maliki responded by the charge of dictatorship because it seeks to establish stability in Iraq, particularly that when he took office, for the first time, in 2006, when Iraq was governed by chaos and civil war between Sunnis and Shiites."

The newspaper quoted an adviser to Maliki, Sami al-Askari as saying that "the security forces did not have a significant role to intervene and prevent the sectarian civil war in Iraq," noting that "al-Maliki is able to deal with the Americans led to the withdrawal of occupation."

The former U.S. ambassador to Iraq Ryan Crocker delightful that Maliki is "seeking to control all sources of power and decision-making centers in Iraq, but - that al-Maliki - Iraq will be judged according to the approach or a fascist dictatorship, it seems." As he put it.

In conclusion, the Washington Post analysis, by quoting what the president of the Institute of Strategic Studies in Beirut Faleh Abdul-Jabbar, that "al-Maliki has the potential to be a dictator. This is the biggest source of my fear, because that would destroy our democracy."

http://www.aknews.com/ar/aknews/8/204673/

Zain lawsuit dismissed

A Kuwaiti court dismissed a lawsuit from a Zain shareholder unhappy with a $12 billion bid for a stake in the firm, clearing one key hurdle for buyer Etisalat.

Al Fawares Holding, which owns a 4.5 per cent stake in Zain, took legal action to halt the due diligence in the planned sale. The shareholder had said Zain's board should not have opened its books to Etisalat without board members seeing the offer.

Al Fawares' lawyer Rashed Al Radaan said the shareholder would appeal within a few days.

Etisalat, the Gulf's second-largest telecom operator by market value, has bid $12bn for a 46pc stake in the Kuwait telecoms firm, as it attempts to expand into Middle East markets.

In October, Kharafi Group, one of Zain's major shareholders, said it had gathered enough approvals from shareholders to tender the stake to Etisalat. Legal action could have delayed the transaction, or potentially scupper it. Etisalat has said any deal could fail if definitive documents are not signed by January 15.

Al Fawares has also objected to a condition in the deal that requires Zain to sell its stake in Zain Saudi to satisfy regulatory requirements.

http://www.gulf-daily-news.com/NewsD...storyid=294470

Interim Finance Committee in the House of Representatives will host the central bank governor

Interim Finance Committee held in the House of Representatives will hold a meeting on Wednesday morning under the chairmanship of Sheikh Khalid al-Attiyah in the hall of the Constitutional Council in the presence of Mr. Shabibi central bank governor and representatives from the Ministries of Finance and Planning.

The meeting discussed the subject of the government's intention to borrow from the central bank $ 5 billion to supplement the budget, where the governor affirmed that the central bank lending to the government by the bank in which damage and significant risks to reputation and his performance as it would contribute to the weakening of its ability, calling for the use of the surplus in the previous budgets, to supplement the budget he said, adding that the Bank can intervene in the processes of development of investment projects by many things including the issuance of treasury transfers.

The meeting also discussed the subject of investment plans for next year and appointments made in the budget law as well as projects for regional development and raising the standard of living of citizens in the provinces.

http://www.parliament.iq/Iraqi_Counc...tails&sid=3756