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D. Morning Kaddouri *: Government's economic program and the functions of the National Development
- PUBLISHED ON 03.17.2015
Government faces d. Haider al-Abadi day duties big and heavy and tasks, and the Iraqi people waiting impatiently for completion of this government. At the forefront of these duties and tasks to address the security situation, and to ensure stability in the ...
Government faces d. Haider al-Abadi day duties big and heavy and tasks, and the Iraqi people waiting impatiently for completion of this government. At the forefront of these duties and tasks to address the security situation, and to ensure stability in the country, especially the extraordinary efforts to accelerate the elimination of (Daash) and gangs of terrorist organizations, and the achievement of civil peace among all spectrums of the Iraqi people, through the solution of political, sectarian and ethnic problems between the parties involved in the political process and with the Kurdistan region for the sake of the unity of Iraq and its people. Also, serious approach towards activating the role and performance of the various state institutions, based on the principles of good governance based on the foundations of a true democracy, transparency, integrity, responsibility, and disclosure of information, and the fight against financial and administrative corruption in the administrative and party joints.
The background ideology adopted by successive governments based on orders, resolutions and recommendations of the former US administrator Paul Bremer after the occupation in 2003, and support some of the new economic liberals, and in line with international financial organizations' policies (the IMF and the World Bank and the World Trade Organization). The emphasis in the current government's economic program, and within several themes, focused on encouraging a shift towards the private sector, financial and administrative reform of government institutions, all of which recognize and support the privatization.
Means privatization converter (public domain) to (private property), which is usually directed toward projects with high profitability, and the launch of price fixing in the market on the basis of free competition without any restrictions, paving the way, in the end, to the dominance of monopoly of big companies and installed themselves in market and dispose of prices and quality for their own interests (profit maximization), and the acquisition of small and medium-sized companies and expelled from the market.
The market economy, according to this ideology, this means the dimensions of the state of the market and non-interference in the regulation and control of economic activity or reduce its role to the fullest extent possible, given that the market itself does so by supply and demand and free competition.
Within this data, we see that the state of the Iraqi economy today need to go about applying some kind of balanced economy, according to the diverse forms of ownership (government, cooperative, mixed), and / or even the voluntary sector, if it became part of the Iraqi culture in the future, with the adoption and implementation of protection measures Iraqi national production of dumping the local market and the liberalization of foreign Mountojat prices of any restrictions.
To accomplish these tasks and the other requires the current government thinking seriously process of economic and social reform, through the adoption of a clear vision and transparent strategy for sustainable economic and social development, including overall economic and social of the process according to a number of trends we show, in short dimension, as follows:
First, the economic dimension
1 that the reform of the economic structure should be based on clear and transparent strategy to activate the productive sectors, notably agriculture, industry, construction, etc., and secure infrastructure and modern technology necessary, in order to rid the Iraqi economy of structure unilateral based on reliance on oil revenues, so as to diversify the sectors economic participation in the production of GDP, permanent insurance to public sources of financing of the budget of the state from outside the oil sector.
2 activating the role of the national private sector and encouraged to contribute to the increase of investment, production and operation, through concessional financing for small and medium industries and in collaboration with the Chambers of Commerce and the Federation of Iraqi industries. As for the foreign private sector to take advantage of it should be rational and thoughtful, to invest in sectors which includes the large, advanced and high-tech industries that require experience and skill Graham Walter is Almtovrtin with national staff. And must be studied carefully by all financial, administrative, and regulatory and legal aspects, according to the basis of common interests and the maintenance of national sovereignty.
3 financial and monetary system reform through the Central Bank, the only independent and specialized in formulating monetary policy, without interference in his duties essential in securing monetary stability process, and maintain the reserve balance of foreign currencies has, and the exchange rate of the Iraqi dinar against foreign currencies basket. Also, observe the phenomenon of inflation by controlling the rise in prices compared to strengthen the purchasing power of the Iraqi dinar, and determine the interest rate, and activating the role of banks and provide the necessary support to the private sector of soft loans, low-interest. In addition to the follow-up of import documents in accordance with the real her, and monitor the implementation of letters of credit and the arrival of the goods to the ports and the Iraqi border, in order to avoid financial corruption and money laundering operations. This is in addition to seeking to increase economic growth and employment rate, and the achievement of social justice in the distribution of income and wealth in the foreseeable future.
4 On the financial side, attention must be paid using the scientific and logical standards in the preparation of budget classification, based on the measurement of the efficiency of performance and productivity, and control of financial resources available in a rational manner, so that the budget estimates are closer to reality on the basis of the real objectives and programs.
5 compel the Ministry of Finance to apply "the law of financial management," which provides for the application of budget transparency to the use of public funds in the field of sustainable national development in accordance with international standards followed, and provide the community with more data and information on the economic situation and the general budget of the state in order to be found on the priorities and details of expenditure and sources government financial.
6 address the structural imbalance in the composition of the previous budgets, because of the great disparity in the distribution of budget expenditures ratio between operational public spending, which represents a rate up to 70% of the public investment and spending up to 30% of the total budget. The cause of this situation (low spending for investment) budget deficit in the creation of a dynamic state-level economic growth rate of 5% to 7% for example, which requires a huge investment needs of the country in the field of rebuilding the infrastructure and expansion, and rehabilitation of the oil sector to raise production of crude oil to 9 million barrels a day until 2020, and moderately priced oil, as well as the advancement of other productive sectors. To achieve this requires the distribution of budget expenditures equally between operational and investment in the medium and long term.
7 reforming the tax system in order to achieve justice and the reduction of financial and administrative corruption in it.
8 accounting system reform so that rise to the global level measurement, through the consolidation of multiple accounting systems currently in place in the public and private sectors, and the development of financial control and quality of the methods, and raise the professional capabilities of workers in the fields of accounting, management, and use of new tools to address the function of the accounting system for the production of information At the macro-economic level (macroscopic) and micro (Almaekeroa), and the application of international accounting standards, which will document the many benefits of the internal commercial transactions national and foreign companies or world-Iraqi joint venture companies.
9 application of a modern financial system, relying on information technology to produce the data necessary for the process of making economic decisions, and administrative and financial information.
10 necessity of activating and applying the principle of administrative and financial decentralization of the Iraqi provinces and the provinces.
Second, the social dimension
Must check the overall national development and social dimensions Mrduha, through the completion of the following tasks:
1 tackle unemployment by securing decent jobs for all, and the eradication of poverty and reduce class differences, by providing more opportunities to run the middle class to expand the size, reduce the size of the poor and those living below the poverty line.
2. Adoption of the all-inclusive economic and social policies to achieve the principle of economic and social justice, in order to reduce the great disparity in income levels and the accumulation of wealth among individuals and between regions of the country.
3 social responsibility towards the environment and protect it from pollution and destruction.
4 contribute to the work through the rehabilitation and training of manpower market, to keep up with modern technology, in order to increase production and productivity and Godthma.
5 to take care of production quality and provide better marketing services in accordance with the standards, consumer protection and favor.
6 social security insurance system to help the poor, the unemployed and an efficient means of income distribution among members of the community fairly as possible.
7 provide free health system for all citizens.
8 to provide free education at all levels for all people.
9 to raise public awareness of the cultural and civilizational level of society, and activating the role of civil society organizations in the exercise of democracy and participation in decision-making and popular control.
Third: the sustainability of development
The economic and social dimensions referred to above shall, if taken out carefully and grandparents according to the vision and strategy of deliberate on the basis of goals and priorities and programs, the socio-economic development process, which is one of the core priorities and duties of the government, will undoubtedly concept of sustainability for the overall development, in accordance with the following objectives:
1 Iraq's transition economy gradually yield economy unilateral character of a consumer to a diversified economy with a recipe productivity through structural economic reconstruction in favor of the productive sectors, a producer of value-added economy, ie contribute to increased capital accumulation.
2 satisfy the urgent and growing needs of citizens through the adoption of productive economy policy, He alone is able to raise labor productivity, helping to raise living standards and provide goods and services to the citizens.
3 to ensure continued economic growth at regular intervals in the foreseeable future.
4 - Reduction of open import the existing policy and limited to what is necessary products and various commodities required for production, investment and consumption, intermediate inputs and industrial and agricultural different sectors of production, relying on the national production of goods and services available and protect it from through the activation and re-governmental productivity institution-building, and encourage the private sector to contribute to productive investments, and activate the tariff Alikirkih Law No. (22) for the year 2010 average. Also, think about the export of petroleum products and petrochemicals and fertilizers, sulfur, etc., and some agricultural and animal products such as dates, grain, wool, leather and other, which helps to adjust the balance of trade in favor of Iraq in the foreseeable future.
5 adoption of the budget as a system of information in the formulation of operational strategies for public projects.
6 follow-up mechanisms to improve the administrative and financial and operational performance of the projects budget.
7 strengthen the regulatory process through the application of international standards and regulatory review and guide the rules of ethical conduct for professional accountants.
8 fight financial and administrative corruption through cooperation between financial control and integrity and the elimination of the popular and Supervisory Board.
9 support and facilitate the application of uniform accounting policies on all economic sectors process.
10 to move from a cash basis to process the applicable governmental accounting currently for revenues and expenses on an accrual basis to the application.
11 unify the methods of preparation of government reports and financial statements and disclosed periodically in accordance with international standards.
Finally, the many and different from the destruction that can be avoided forms stem from privatization and market economy in the absence of social preparation and technical advances have enough. What's happening in Eastern Europe and the most underdeveloped and developing countries, including Iraq, is to hold a copy of the free-market capitalism (ideological) strongly within the recipe (shocked), which do not have any basis of experimental treatment. Some of the information, reports, and research and opinion polls in Central and Eastern Europe indicate that the rampant corruption in the privatization and Alsoqna policies, implemented under existing rules, has essentially created a resistance requires either a comprehensive settlement or repression. It is noticeable from the experience of welfare states, including for example the Scandinavian countries, they do not reflect quite a few interesting forms of pure capitalism, but that the regulations emphasize the option to include forms of social protection and to varying degrees. To achieve another alternative, a new type of social settlement contains a mix institutionally different from European classical capitalism may appear, and in line with economic rationality correctly, social, regulatory and legal environment of each country.
(*) Expert and researcher accounting Iraqi resident in Denmark
The opinions expressed in all articles published on the Web site of Iraqi economists necessarily Does not represent the opinion of the editorial board, but the opinion of the author who bears the scientific and legal responsibility alone
Copyright network Iraqis Alaguetsaldean. Permission to quote and re-publication provided reference to the source. 17/03/2015
[You must be registered and logged in to see this link.]
- PUBLISHED ON 03.17.2015
Government faces d. Haider al-Abadi day duties big and heavy and tasks, and the Iraqi people waiting impatiently for completion of this government. At the forefront of these duties and tasks to address the security situation, and to ensure stability in the ...
Government faces d. Haider al-Abadi day duties big and heavy and tasks, and the Iraqi people waiting impatiently for completion of this government. At the forefront of these duties and tasks to address the security situation, and to ensure stability in the country, especially the extraordinary efforts to accelerate the elimination of (Daash) and gangs of terrorist organizations, and the achievement of civil peace among all spectrums of the Iraqi people, through the solution of political, sectarian and ethnic problems between the parties involved in the political process and with the Kurdistan region for the sake of the unity of Iraq and its people. Also, serious approach towards activating the role and performance of the various state institutions, based on the principles of good governance based on the foundations of a true democracy, transparency, integrity, responsibility, and disclosure of information, and the fight against financial and administrative corruption in the administrative and party joints.
The background ideology adopted by successive governments based on orders, resolutions and recommendations of the former US administrator Paul Bremer after the occupation in 2003, and support some of the new economic liberals, and in line with international financial organizations' policies (the IMF and the World Bank and the World Trade Organization). The emphasis in the current government's economic program, and within several themes, focused on encouraging a shift towards the private sector, financial and administrative reform of government institutions, all of which recognize and support the privatization.
Means privatization converter (public domain) to (private property), which is usually directed toward projects with high profitability, and the launch of price fixing in the market on the basis of free competition without any restrictions, paving the way, in the end, to the dominance of monopoly of big companies and installed themselves in market and dispose of prices and quality for their own interests (profit maximization), and the acquisition of small and medium-sized companies and expelled from the market.
The market economy, according to this ideology, this means the dimensions of the state of the market and non-interference in the regulation and control of economic activity or reduce its role to the fullest extent possible, given that the market itself does so by supply and demand and free competition.
Within this data, we see that the state of the Iraqi economy today need to go about applying some kind of balanced economy, according to the diverse forms of ownership (government, cooperative, mixed), and / or even the voluntary sector, if it became part of the Iraqi culture in the future, with the adoption and implementation of protection measures Iraqi national production of dumping the local market and the liberalization of foreign Mountojat prices of any restrictions.
To accomplish these tasks and the other requires the current government thinking seriously process of economic and social reform, through the adoption of a clear vision and transparent strategy for sustainable economic and social development, including overall economic and social of the process according to a number of trends we show, in short dimension, as follows:
First, the economic dimension
1 that the reform of the economic structure should be based on clear and transparent strategy to activate the productive sectors, notably agriculture, industry, construction, etc., and secure infrastructure and modern technology necessary, in order to rid the Iraqi economy of structure unilateral based on reliance on oil revenues, so as to diversify the sectors economic participation in the production of GDP, permanent insurance to public sources of financing of the budget of the state from outside the oil sector.
2 activating the role of the national private sector and encouraged to contribute to the increase of investment, production and operation, through concessional financing for small and medium industries and in collaboration with the Chambers of Commerce and the Federation of Iraqi industries. As for the foreign private sector to take advantage of it should be rational and thoughtful, to invest in sectors which includes the large, advanced and high-tech industries that require experience and skill Graham Walter is Almtovrtin with national staff. And must be studied carefully by all financial, administrative, and regulatory and legal aspects, according to the basis of common interests and the maintenance of national sovereignty.
3 financial and monetary system reform through the Central Bank, the only independent and specialized in formulating monetary policy, without interference in his duties essential in securing monetary stability process, and maintain the reserve balance of foreign currencies has, and the exchange rate of the Iraqi dinar against foreign currencies basket. Also, observe the phenomenon of inflation by controlling the rise in prices compared to strengthen the purchasing power of the Iraqi dinar, and determine the interest rate, and activating the role of banks and provide the necessary support to the private sector of soft loans, low-interest. In addition to the follow-up of import documents in accordance with the real her, and monitor the implementation of letters of credit and the arrival of the goods to the ports and the Iraqi border, in order to avoid financial corruption and money laundering operations. This is in addition to seeking to increase economic growth and employment rate, and the achievement of social justice in the distribution of income and wealth in the foreseeable future.
4 On the financial side, attention must be paid using the scientific and logical standards in the preparation of budget classification, based on the measurement of the efficiency of performance and productivity, and control of financial resources available in a rational manner, so that the budget estimates are closer to reality on the basis of the real objectives and programs.
5 compel the Ministry of Finance to apply "the law of financial management," which provides for the application of budget transparency to the use of public funds in the field of sustainable national development in accordance with international standards followed, and provide the community with more data and information on the economic situation and the general budget of the state in order to be found on the priorities and details of expenditure and sources government financial.
6 address the structural imbalance in the composition of the previous budgets, because of the great disparity in the distribution of budget expenditures ratio between operational public spending, which represents a rate up to 70% of the public investment and spending up to 30% of the total budget. The cause of this situation (low spending for investment) budget deficit in the creation of a dynamic state-level economic growth rate of 5% to 7% for example, which requires a huge investment needs of the country in the field of rebuilding the infrastructure and expansion, and rehabilitation of the oil sector to raise production of crude oil to 9 million barrels a day until 2020, and moderately priced oil, as well as the advancement of other productive sectors. To achieve this requires the distribution of budget expenditures equally between operational and investment in the medium and long term.
7 reforming the tax system in order to achieve justice and the reduction of financial and administrative corruption in it.
8 accounting system reform so that rise to the global level measurement, through the consolidation of multiple accounting systems currently in place in the public and private sectors, and the development of financial control and quality of the methods, and raise the professional capabilities of workers in the fields of accounting, management, and use of new tools to address the function of the accounting system for the production of information At the macro-economic level (macroscopic) and micro (Almaekeroa), and the application of international accounting standards, which will document the many benefits of the internal commercial transactions national and foreign companies or world-Iraqi joint venture companies.
9 application of a modern financial system, relying on information technology to produce the data necessary for the process of making economic decisions, and administrative and financial information.
10 necessity of activating and applying the principle of administrative and financial decentralization of the Iraqi provinces and the provinces.
Second, the social dimension
Must check the overall national development and social dimensions Mrduha, through the completion of the following tasks:
1 tackle unemployment by securing decent jobs for all, and the eradication of poverty and reduce class differences, by providing more opportunities to run the middle class to expand the size, reduce the size of the poor and those living below the poverty line.
2. Adoption of the all-inclusive economic and social policies to achieve the principle of economic and social justice, in order to reduce the great disparity in income levels and the accumulation of wealth among individuals and between regions of the country.
3 social responsibility towards the environment and protect it from pollution and destruction.
4 contribute to the work through the rehabilitation and training of manpower market, to keep up with modern technology, in order to increase production and productivity and Godthma.
5 to take care of production quality and provide better marketing services in accordance with the standards, consumer protection and favor.
6 social security insurance system to help the poor, the unemployed and an efficient means of income distribution among members of the community fairly as possible.
7 provide free health system for all citizens.
8 to provide free education at all levels for all people.
9 to raise public awareness of the cultural and civilizational level of society, and activating the role of civil society organizations in the exercise of democracy and participation in decision-making and popular control.
Third: the sustainability of development
The economic and social dimensions referred to above shall, if taken out carefully and grandparents according to the vision and strategy of deliberate on the basis of goals and priorities and programs, the socio-economic development process, which is one of the core priorities and duties of the government, will undoubtedly concept of sustainability for the overall development, in accordance with the following objectives:
1 Iraq's transition economy gradually yield economy unilateral character of a consumer to a diversified economy with a recipe productivity through structural economic reconstruction in favor of the productive sectors, a producer of value-added economy, ie contribute to increased capital accumulation.
2 satisfy the urgent and growing needs of citizens through the adoption of productive economy policy, He alone is able to raise labor productivity, helping to raise living standards and provide goods and services to the citizens.
3 to ensure continued economic growth at regular intervals in the foreseeable future.
4 - Reduction of open import the existing policy and limited to what is necessary products and various commodities required for production, investment and consumption, intermediate inputs and industrial and agricultural different sectors of production, relying on the national production of goods and services available and protect it from through the activation and re-governmental productivity institution-building, and encourage the private sector to contribute to productive investments, and activate the tariff Alikirkih Law No. (22) for the year 2010 average. Also, think about the export of petroleum products and petrochemicals and fertilizers, sulfur, etc., and some agricultural and animal products such as dates, grain, wool, leather and other, which helps to adjust the balance of trade in favor of Iraq in the foreseeable future.
5 adoption of the budget as a system of information in the formulation of operational strategies for public projects.
6 follow-up mechanisms to improve the administrative and financial and operational performance of the projects budget.
7 strengthen the regulatory process through the application of international standards and regulatory review and guide the rules of ethical conduct for professional accountants.
8 fight financial and administrative corruption through cooperation between financial control and integrity and the elimination of the popular and Supervisory Board.
9 support and facilitate the application of uniform accounting policies on all economic sectors process.
10 to move from a cash basis to process the applicable governmental accounting currently for revenues and expenses on an accrual basis to the application.
11 unify the methods of preparation of government reports and financial statements and disclosed periodically in accordance with international standards.
Finally, the many and different from the destruction that can be avoided forms stem from privatization and market economy in the absence of social preparation and technical advances have enough. What's happening in Eastern Europe and the most underdeveloped and developing countries, including Iraq, is to hold a copy of the free-market capitalism (ideological) strongly within the recipe (shocked), which do not have any basis of experimental treatment. Some of the information, reports, and research and opinion polls in Central and Eastern Europe indicate that the rampant corruption in the privatization and Alsoqna policies, implemented under existing rules, has essentially created a resistance requires either a comprehensive settlement or repression. It is noticeable from the experience of welfare states, including for example the Scandinavian countries, they do not reflect quite a few interesting forms of pure capitalism, but that the regulations emphasize the option to include forms of social protection and to varying degrees. To achieve another alternative, a new type of social settlement contains a mix institutionally different from European classical capitalism may appear, and in line with economic rationality correctly, social, regulatory and legal environment of each country.
(*) Expert and researcher accounting Iraqi resident in Denmark
The opinions expressed in all articles published on the Web site of Iraqi economists necessarily Does not represent the opinion of the editorial board, but the opinion of the author who bears the scientific and legal responsibility alone
Copyright network Iraqis Alaguetsaldean. Permission to quote and re-publication provided reference to the source. 17/03/2015
[You must be registered and logged in to see this link.]
