Iraq Is in Recession and Unemployment Is on the Rise
|May 7, 2014||Filled under Iraq Investment News|
Iraq Investment News –
Predicted an economic expert, to be the current year (2014) was the worst economically on Iraq due influenced by the parliamentary elections and the failure to approve the budget.
Said economic expert and advisor to former central bank governor appearance of Mohammed Saleh told the “future” yesterday that “economic situation since the end of last year and for a period to come carries signals (not sure), according to the term economic, meaning that the political situation is unstable and no one knows where it’s heading, especially with a stop foreign and domestic investment in Iraq because of the high frequency of the owners of capital from the impact of the election results The atmosphere is unstable political situation in Iraq.”
Saleh added that “the economic crisis with Iraq was the result of a lack of agreement to pass the budget, which is the backbone of the Iraqi economy, which led to the suspension of about 80% of the investment projects because the funding of the budget,” adding that “the budget represents 45% of GDP the total.”
He pointed out that “the new projects have not been implemented and is not forwarded because of the budget.”
And said that “if the Iraqi economy is in recession and will remain so until the formation of the new government and the stability of the political situation with the budget approval,” describing the current year as “the worst in the history of Iraq’s economy and the most negative.”
He denied during his speech in favor of “the vulnerability of Iraqi dinar exchange rate at the current time to the presence of large reserves to Iraq,” stressing that “the Iraqi dinar will be affected if the situation continues as it is for a long time.
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