Action Is Demanded Against the Central Bank of Iraq
|September 26, 2014||Filled under Central Bank of Iraq|
Central Bank of Iraq News –
Economists saw that government intervention in the work of the Iraqi Central Bank during the past period hindered the implementation of many projects that will bring significant economic reforms, including the project to delete the zeros from the Iraqi currency.
While the experts stressed that the political and security conditions and economic unfavorable at the moment to delete the zeros from the currency, noting that the government’s objections to the work of the central “respectable” but it should not be up to the extent of interfering in the work of the Bank and impede the activity of the central universe a body independent of the government and are linked directly linked to the House of Representatives.
The CBI has confirmed, in the (April 25, 2013), that there is no intention at this time to restructure the currency and deleting three zeros of them, denying the reports in this regard.
In this context, central bank governor said the former Shabibi said in an interview to the “long”, that “the project to delete the zeros is a project that can be implemented within the short term, which undoubtedly requires political stability is not available at the moment,” noting that he “must complete the preparations and the work was in the project to delete the zeros will be implemented immediately.
He Shabibi said that “preparations have almost finished days our management Previous including categories and designs and communication with international companies, but that the negative attitude of the government of the previous administration for the bank in a lot of its last execution often, especially as the subject of such needs to be cooperation and coordination between the central bank and the government and the private sector.
The expert stressed that “the Iraqi economy is large in terms of spending, and the alternative to the deletion of zeros is to resort to the categories of cash larger while maintaining the zeros, and this will lead to practical problems and arithmetic,” pointing out that “the aim of lifting the zeros is to facilitate the deal, especially if we take into consideration that the economy will see increases in spending, which will continue to be a critical period for the unknown.
He Shabibi said that “the process of deletion of zeros is not an economic process, so it does not affect inflation,” explaining that “what affects inflation is monetary policy, and that the deletion of zeros does not fall within the monetary policy, which is not of their tools.
Shabibi and concluded by saying that “the process of deleting the zeros will encourage the use of smaller groups of cash and will help on the use of metal categories.
In the same context, he said, an economist Maytham coffee in an interview with the “long”, that “the introduction of a new governor of the Central Bank could be a good step to open a dialogue subject to delete the zeros, especially that Mr. Alak is a good listener, and tries to open channels of dialogue fruitful with specialists,” noting that “the lifting of zeros from the Iraqi currency is not a new project, because Bwakirh been since 2005, has received initial approvals on it in 2010, a power that was still strongly believe it’s the body responsible for Central, which is preserves its independence from the government.
He Laibi saying that “the government’s objections to the work of the Central Bank of Iraq respectable, but at the same time you can not reach the stage of blocking its activity, and I think that the draft lifting of the zeroes he or she is not for the objections of the government, which has turned into a snowball toppled managed by former”.
He was surprised Laibi of “appropriate to talk about placed the deletion of zeros at the present time,” adding that “the proposed lifting of the zeroes is the work of a reformer is located in the finale other works was central has succeeded where only the security and political conditions existing unfavorable at all for such a procedure.
He continued by saying, “It was supposed to be a project to raise zeros culmination of the efforts of the Central Bank, to put us in front of the completion of a historical era important in the monetary history of contemporary Iraqi,” noting that “the proposed lifting of the zeroes will remain in place pending the economic and political conditions and adequate security for its launch.
He called for the coffee to “the need to ready the relevant authorities project to delete the zeros and the completion of his tools and configuration him well,” adding “the process of switching from the currency denomination of ten thousand Iraqi dinars edition new technical specifications and high quality security and Selhgaha of the replacement for the rest of the categories input appropriate for the application of the lifting of the zeroes in the stage the suffix.
The Finance Committee in the House of Representatives had previously revealed, (August 15, 2013), the postponement of the process of deletion of zeros from the currency until after the parliamentary elections, while confirming that the government has demanded guarantees for the non-return of the currency markets and substituted falsified.
The CBI has said, (in the July 3, 2013) that Iraq is “in control of his money and treasury of gold” in which global banks from acting out, denying “the existence of frozen funds outside the control of the Iraqi administration.
The International Monetary Fund, has declared, in the (March 23, 2013), that the financial balances preventive in the Development Fund for Iraq rose in 2012 to 18 billion dollars, and the cash reserves of the Central Bank of hard currency to 70 billion dollars, and pointed out that this increase came from ” unexpected oil revenues, “while the Iraqi government called for an end to the control of state-owned banks on the banking sector, he stressed the need for the strengthening of Iraq’s public financial institutions to ensure efficiency and transparency in the use of oil revenues.
They expected the American Agency for International Development, in (December 3, 2012) that leads the Iraqi economy, the Arab countries during the five years, asserting that Iraq possessed all the qualifications to be a powerful country economically. Iraq is trying for years to attract foreign capital to develop its economy in the fields of industry, especially those related to oil, housing, and oil and gas extraction, and to his need of the funds needed for infrastructure development and reconstruction, but observers contend that the lack of interest of the state to the private sector and the absence of investment laws which guarantees large investors and the absence of Other laws are still obstacles to the development of the economy in the form required.
Depends Iraq, which has the fourth largest oil reserves in the world at 95 percent of its annual budget on its oil exports and currently produces about 2.0009 million barrels a day, while the issue up to 2.0002 million barrels a day.
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