Inflation Rates in Iraq Were Stable After Firming Commodity Prices
|July 17, 2014||Filled under Iraq News|
Iraq News –
Measured according to the wholesale markets in Baghdad and other provinces of Baghdad
Indicators recorded monthly inflation stable, while the annual rate rose by 2.3 percent, according to statistics of the Ministry of Planning recently, as an economist said Naji Hussein “morning”, said the economic indicators measured by the wholesale markets in Baghdad and the provinces which are closer to reality.
Said Hussein that benefit the stability of monthly inflation rates in Iraq gives the stability of commodity prices, especially commodities affecting inflation indicators in the country which is food prices, especially with the advent holy month over prices some food because of the increased demand.
Added, saying: “The rise in food prices leads to weak purchasing power of citizens and their direct impact them, especially those with low income, thus affecting the overall demand for these materials.”
Asserts Hussein, said the government is working continuously to reduce indicators of inflation because it averages which indicate the strength and the weakness of the Iraqi economy and used several measures to address these ratios, including interest rates, “the benefits of credit and savings (the process of the money supply), the central bank’s job by fixing exchange rates and interest rates tactics possible”, in addition to raising the capacity of purchasing citizens.
Explained that these rates are measured by the proportion of the market year, the wholesale markets which maintained to some extent on the stability of prices, but that the defect occurs in the case of turning Item from the wholesale market to markets in the singular, especially as the owners of retail are trying to achieve maximum profits.
Stressed the need to increase government control over retail markets, to avoid fatigue citizen amounts of extra food and essential commodities, and in order to avoid high inflation public thus adversely affect the economy of the country.
Predicted stability of the annual inflation index for the current year after a slight rise due to internal conditions, but it will be less than last year, indicating that the indicators measured in proportion to the reality of the Iraqi market in (wholesale markets).
Confirmed the Ministry of Planning stability monthly inflation rate within the levels recorded, while the annual rate of inflation as a result of rising food prices, where the ministry explained, that the monthly inflation maintained stability through last June, while the annual inflation rate rose by 2.3 percent due to rising food prices during the past 12 months by 4.5 percent.
Said the spokesman of the Ministry of Planning Abdul-Zahra al-Hindawi in a press statement earlier this week: “The general inflation in Iraq is in decline As for the increase in annual inflation from June 2013 to June 2014 but is less than previous years.”
He Hindawi said declining inflation rates is due to the stability of the financial policy in Iraq, and keep the Iraqi dinar, its value against the U.S. dollar, as well as the sufficiency of the consumer Iraqi and non- turning towards the purchase compared to previous years.
Related Iraqi Dinar Articles-