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Iraq faces a deficit of more than $ 60 billion
The only solution is to pay off the deficit use of central bank reserves of about $ 80 billion, and the International Monetary Fund warns of refuge.
Erbil - open the initial agreement reached by the Iraqi Oil Minister Adel Abdul-Hadi Juma with the Kurdistan Regional Government, the door to the long negotiations and comprehensive to resolve their differences over power sharing and the disputed territories, and natural resources, especially oil and the region's share of the budget of the central state in Baghdad.
Under this agreement, the conversion of $ 500 million to the region in return for placing 150 thousand barrels of oil of Kurdistan daily Adapted government, but it seems that this agreement did not cover the amount of $ 2.87 billion, which earned him the region since the beginning of this year, a price 34.5 million barrels for the exported abroad, the Government of Irbil and intends to consider these resources as part of its share of the public budget, amounting to 17%, which is outstanding because of the differences that existed with the former Prime Minister Nuri al-Maliki. As a result of a natural evolution of these differences, Iraq was unable to approve the budget for 2014, amounting to about $ 150 billion, the highest budget in its history, and is based on 93 percent of oil revenues on the basis of calculating the $ 90 for the price of a barrel and production of 3.4 million barrels per day, and remained in the drawers of the House of Representatives, despite the previous government approval, with the knowledge that the financial sources have indicated " that the total revenue and expenditure for the first seven months of this year (in another era Nuri al-Maliki) shows that Iraq spent all amounts received from the export of oil, although it did not pay the Kurdistan dues, nor the amounts allocated to Basra petrodollars, nor most of the financial obligations of the provinces that fell under the control of Daash organization. bankruptcy provinces addition, led not to adopt 2014 budget year, as a result of political differences, to declare bankruptcy three Iraqi provinces, and stop the implementation of the projects, namely:
Karbala Governorate has developed large-scale projects plan, but was not able to be implemented, is currently suffering from a deficit of 300 billion dinars, due to disable the general budget, which is wary of the continued negative impact on the budget year 2015, with reference to that has a rounded projects of the year's budget 2013. Maysan province: Local Governing Council emphasized that the implementation of any project from the 2014 budget projects, and projects currently being implemented, dating back to the budgets of 2012 and 2013, has already been to maintain that received from the federal government the amount of 168 billion dinars for projects in previous years.Anbar province: Thousands of projects stalled in the service, education and health which sectors, as a result of lack of adoption of the general budget, and free local budget of the special coverage of these projects expenses amounting to about 825 billion dinars, money, and refers head of the provincial council that the local administration suffers from a major problem in the provision of financial liquidity to compensate those affected as a result of military actions witnessed by the province as a result of the existence of the organization Daash. military budget discussed Government Haider Abadi, the issue of the federal budget for 2014, three times, and intends to provide a cash budget to the House of Representatives, representing the amounts disbursed since the beginning of this year, with military spending imposed by the military operations Daash after the occupation of large areas of Iraq, and as the military situation will continue until next year, the budget year 2015 will be an extension of the 2014 budget, and in this respect President Abadi said that the Council of Ministers decided to follow the policy of austerity in unnecessary expenses. He said: "We will continue this policy, because we can not confine the military effort and salaries and basic services to the citizens." The Finance Minister Hoshyar Zebari said that the ministry will speed up the completion of 2014 budget and send it to the Cabinet for approval, and will complete the preparation of the 2015 budget and to expedite the approval and confirmed At the same time that the large fiscal deficit faced by the Iraq problem, did not give a chance to the Council of Ministers to discuss the Kurdistan oil problems with the federal government and resolved, likely "deported disagreements Arbil Baghdad to budget year 2015". The Iraqi government is facing a financial problem in approving the budgets of 2014 and 2015, due to military and security developments subsequent actual expenditure due to them, and with the legal exclusion of the project to integrate Almoisntin, the government is moving towards the adoption of the exchange during the 9 months of the budget in 2014, and then vote in the House of Representatives to three months remaining in the year, that the Ministry of Finance to send the budget year 2015 to the House of Representatives for approval early next year. Oil losses of the Iraqi oil sector losses estimated in four months (July-October / October) by about $ 16.3 billion, divided between $ 12 billion due to the decline in oil prices in world markets, and about 4.3 billion dollars because of the decline in production wells Nineveh, Salahuddin and Kirkuk, and control "Daash" on the amount of this production, and increase the size of the losses with the continued duration of several months of next year. as well as losses rise with the calculation of the production halt of the Kurdistan region of fields, which is estimated at 300 thousand barrels per day, as well as the amount of 900 thousand barrels per day, Iraq had plans to increase it in its production, up to the borders of 4 million barrels per day, as part of an international Arab investment plan to finance the implementation of projects worth an estimated $ 357 billion in the industry, energy, investment, housing, agriculture and resource sectors water, education, transportation, and they are distributed by 79 percent of government investments, compared with 21 percent for private sector investments. But it seems that the political and security developments and military operations against terrorism froze this plan, and inventory spending, mainly in military operations, especially as oil imports become dependent mainly on the SOC of the Basra area, estimated exports daily by about 2.58 million barrels per day. Thus, Iraq is facing the largest deficit in its annual budget is estimated at about 76 trillion dinars, and the equivalent of more than $ 60 billion, Danger lies in how to bridge the deficit in the current circumstances With the continuation of military operations and the decline in oil production, and the difficulty of resorting to borrowing from financial markets and international financial institutions, and remains the only solution to the use of the Iraqi Central Bank reserves of about $ 80 billion, which the IMF warned of resorting to it.
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The only solution is to pay off the deficit use of central bank reserves of about $ 80 billion, and the International Monetary Fund warns of refuge.
Erbil - open the initial agreement reached by the Iraqi Oil Minister Adel Abdul-Hadi Juma with the Kurdistan Regional Government, the door to the long negotiations and comprehensive to resolve their differences over power sharing and the disputed territories, and natural resources, especially oil and the region's share of the budget of the central state in Baghdad.
Under this agreement, the conversion of $ 500 million to the region in return for placing 150 thousand barrels of oil of Kurdistan daily Adapted government, but it seems that this agreement did not cover the amount of $ 2.87 billion, which earned him the region since the beginning of this year, a price 34.5 million barrels for the exported abroad, the Government of Irbil and intends to consider these resources as part of its share of the public budget, amounting to 17%, which is outstanding because of the differences that existed with the former Prime Minister Nuri al-Maliki. As a result of a natural evolution of these differences, Iraq was unable to approve the budget for 2014, amounting to about $ 150 billion, the highest budget in its history, and is based on 93 percent of oil revenues on the basis of calculating the $ 90 for the price of a barrel and production of 3.4 million barrels per day, and remained in the drawers of the House of Representatives, despite the previous government approval, with the knowledge that the financial sources have indicated " that the total revenue and expenditure for the first seven months of this year (in another era Nuri al-Maliki) shows that Iraq spent all amounts received from the export of oil, although it did not pay the Kurdistan dues, nor the amounts allocated to Basra petrodollars, nor most of the financial obligations of the provinces that fell under the control of Daash organization. bankruptcy provinces addition, led not to adopt 2014 budget year, as a result of political differences, to declare bankruptcy three Iraqi provinces, and stop the implementation of the projects, namely:
Karbala Governorate has developed large-scale projects plan, but was not able to be implemented, is currently suffering from a deficit of 300 billion dinars, due to disable the general budget, which is wary of the continued negative impact on the budget year 2015, with reference to that has a rounded projects of the year's budget 2013. Maysan province: Local Governing Council emphasized that the implementation of any project from the 2014 budget projects, and projects currently being implemented, dating back to the budgets of 2012 and 2013, has already been to maintain that received from the federal government the amount of 168 billion dinars for projects in previous years.Anbar province: Thousands of projects stalled in the service, education and health which sectors, as a result of lack of adoption of the general budget, and free local budget of the special coverage of these projects expenses amounting to about 825 billion dinars, money, and refers head of the provincial council that the local administration suffers from a major problem in the provision of financial liquidity to compensate those affected as a result of military actions witnessed by the province as a result of the existence of the organization Daash. military budget discussed Government Haider Abadi, the issue of the federal budget for 2014, three times, and intends to provide a cash budget to the House of Representatives, representing the amounts disbursed since the beginning of this year, with military spending imposed by the military operations Daash after the occupation of large areas of Iraq, and as the military situation will continue until next year, the budget year 2015 will be an extension of the 2014 budget, and in this respect President Abadi said that the Council of Ministers decided to follow the policy of austerity in unnecessary expenses. He said: "We will continue this policy, because we can not confine the military effort and salaries and basic services to the citizens." The Finance Minister Hoshyar Zebari said that the ministry will speed up the completion of 2014 budget and send it to the Cabinet for approval, and will complete the preparation of the 2015 budget and to expedite the approval and confirmed At the same time that the large fiscal deficit faced by the Iraq problem, did not give a chance to the Council of Ministers to discuss the Kurdistan oil problems with the federal government and resolved, likely "deported disagreements Arbil Baghdad to budget year 2015". The Iraqi government is facing a financial problem in approving the budgets of 2014 and 2015, due to military and security developments subsequent actual expenditure due to them, and with the legal exclusion of the project to integrate Almoisntin, the government is moving towards the adoption of the exchange during the 9 months of the budget in 2014, and then vote in the House of Representatives to three months remaining in the year, that the Ministry of Finance to send the budget year 2015 to the House of Representatives for approval early next year. Oil losses of the Iraqi oil sector losses estimated in four months (July-October / October) by about $ 16.3 billion, divided between $ 12 billion due to the decline in oil prices in world markets, and about 4.3 billion dollars because of the decline in production wells Nineveh, Salahuddin and Kirkuk, and control "Daash" on the amount of this production, and increase the size of the losses with the continued duration of several months of next year. as well as losses rise with the calculation of the production halt of the Kurdistan region of fields, which is estimated at 300 thousand barrels per day, as well as the amount of 900 thousand barrels per day, Iraq had plans to increase it in its production, up to the borders of 4 million barrels per day, as part of an international Arab investment plan to finance the implementation of projects worth an estimated $ 357 billion in the industry, energy, investment, housing, agriculture and resource sectors water, education, transportation, and they are distributed by 79 percent of government investments, compared with 21 percent for private sector investments. But it seems that the political and security developments and military operations against terrorism froze this plan, and inventory spending, mainly in military operations, especially as oil imports become dependent mainly on the SOC of the Basra area, estimated exports daily by about 2.58 million barrels per day. Thus, Iraq is facing the largest deficit in its annual budget is estimated at about 76 trillion dinars, and the equivalent of more than $ 60 billion, Danger lies in how to bridge the deficit in the current circumstances With the continuation of military operations and the decline in oil production, and the difficulty of resorting to borrowing from financial markets and international financial institutions, and remains the only solution to the use of the Iraqi Central Bank reserves of about $ 80 billion, which the IMF warned of resorting to it.
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