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7/9/2015 0:00
Jabri: foreign investment, the most prominent means to achieve
Baghdad
said d. Qusay al-Jabri, Dean of the Faculty of Administration and Economics at the University of Mustansiriya: that the budget deficit is determined by factors and variables macroeconomic required to economic policy makers and decision-makers take them into account when drawing the financial policy to achieve internal and external balance.
This came in replying to a question »Sabah» on how to address the imbalance in the Iraqi economy, saying: First it is necessary to diversify the sources of income so it is not the economy depend on fluctuations in crude oil prices and politics affecting the global oil market by stimulating oil exports support policy.
He added that the trend towards investment in the real sector and open the way for foreign direct investment will play a significant role in reducing production costs and improve the quality through the use of advanced technology, as well as the wealth of experience and training of local labor.
He pointed out that the volume of foreign investments can lead to economic growth and provides jobs to absorb unemployment suffered by the Iraqi economy and thus reduce the pressure on the budget and to correct the imbalance in the structure of the Iraqi economy.
He stressed the importance of providing a conducive environment to attract foreign investment through appropriate legislation and laws to stimulate foreign investment and to provide sufficient guarantees for that by adopting the style of partnership between foreign investors and local while retaining the Iraqi identity leads to activate the role of the national capital to integrate with foreign capital in order to achieve high growth rates.
He called al-Jabri to re-invest part of the financial surpluses of foreign investment at home to develop the project itself or to finance other with forward and backward linkages of investment projects to be this investment as a catalyst for the diversification of productive activity and the development of the productive base and thus reduces pressure on the budget in terms of spending and reduce the current account in terms of bringing imports so as to provide a surplus in the current account can be used to finance current expenditure deficit.
He suggested Jabri activation of industrial and commercial free zones to play an important role in attracting foreign investment by easing customs restrictions on the movement of trade and the creation of some industries that are exporting to the outside which is integrated with industrial projects within the state, as well as the availability of jobs contribute to tackling unemployment and provision of hard currency through the fees you pay and increase the country's exports to the outside then decrease the current account deficit and thus contribute to increased GDP.
said Jabri: appoint a review of the fiscal policy, which represents government spending, one of the key the bases and the impact of this policy in determining the amount of the deficit or surplus in the budget and the way in which the deficit financing or how they are disposed of in surplus, explaining when it becomes clear economic imbalances show the need for action is the reduction in the fiscal deficit the size of the necessary time and duration and to identify factors affecting the size of this reduction and the extent of the sustainability of these reduction programs
and the need to develop adequate studies of the composition of public spending and the introduction of the principle priorities in determining the size of investment spending, trends, and in accordance with social and political imperatives, relying on the principle of the productivity of public spending and changing consumer support policy of support to productive investment support.
He concluded d. Jabri to say it is necessary to privatize the loss-making projects which constitute a burden on the Iraqi budget and support for the private sector to increase its contribution in the formation of gross domestic product, it generates positive effects in reducing unemployment and stimulating aggregate demand, which helps push the display wheel and adjust the imbalance in the real sector
, pointing out to correct the imbalance in the Iraqi economy must be accompanied by ambitious development plans through which the goal of harmony between the internal balance represented by the lifting of economic growth and increase the level of use and reducing inflation rates to acceptable determined by the monetary authority with the goal of achieving economic balance represented by the external balance of payments equilibrium levels.
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7/9/2015 0:00
Jabri: foreign investment, the most prominent means to achieve
Baghdad
said d. Qusay al-Jabri, Dean of the Faculty of Administration and Economics at the University of Mustansiriya: that the budget deficit is determined by factors and variables macroeconomic required to economic policy makers and decision-makers take them into account when drawing the financial policy to achieve internal and external balance.
This came in replying to a question »Sabah» on how to address the imbalance in the Iraqi economy, saying: First it is necessary to diversify the sources of income so it is not the economy depend on fluctuations in crude oil prices and politics affecting the global oil market by stimulating oil exports support policy.
He added that the trend towards investment in the real sector and open the way for foreign direct investment will play a significant role in reducing production costs and improve the quality through the use of advanced technology, as well as the wealth of experience and training of local labor.
He pointed out that the volume of foreign investments can lead to economic growth and provides jobs to absorb unemployment suffered by the Iraqi economy and thus reduce the pressure on the budget and to correct the imbalance in the structure of the Iraqi economy.
He stressed the importance of providing a conducive environment to attract foreign investment through appropriate legislation and laws to stimulate foreign investment and to provide sufficient guarantees for that by adopting the style of partnership between foreign investors and local while retaining the Iraqi identity leads to activate the role of the national capital to integrate with foreign capital in order to achieve high growth rates.
He called al-Jabri to re-invest part of the financial surpluses of foreign investment at home to develop the project itself or to finance other with forward and backward linkages of investment projects to be this investment as a catalyst for the diversification of productive activity and the development of the productive base and thus reduces pressure on the budget in terms of spending and reduce the current account in terms of bringing imports so as to provide a surplus in the current account can be used to finance current expenditure deficit.
He suggested Jabri activation of industrial and commercial free zones to play an important role in attracting foreign investment by easing customs restrictions on the movement of trade and the creation of some industries that are exporting to the outside which is integrated with industrial projects within the state, as well as the availability of jobs contribute to tackling unemployment and provision of hard currency through the fees you pay and increase the country's exports to the outside then decrease the current account deficit and thus contribute to increased GDP.
said Jabri: appoint a review of the fiscal policy, which represents government spending, one of the key the bases and the impact of this policy in determining the amount of the deficit or surplus in the budget and the way in which the deficit financing or how they are disposed of in surplus, explaining when it becomes clear economic imbalances show the need for action is the reduction in the fiscal deficit the size of the necessary time and duration and to identify factors affecting the size of this reduction and the extent of the sustainability of these reduction programs
and the need to develop adequate studies of the composition of public spending and the introduction of the principle priorities in determining the size of investment spending, trends, and in accordance with social and political imperatives, relying on the principle of the productivity of public spending and changing consumer support policy of support to productive investment support.
He concluded d. Jabri to say it is necessary to privatize the loss-making projects which constitute a burden on the Iraqi budget and support for the private sector to increase its contribution in the formation of gross domestic product, it generates positive effects in reducing unemployment and stimulating aggregate demand, which helps push the display wheel and adjust the imbalance in the real sector
, pointing out to correct the imbalance in the Iraqi economy must be accompanied by ambitious development plans through which the goal of harmony between the internal balance represented by the lifting of economic growth and increase the level of use and reducing inflation rates to acceptable determined by the monetary authority with the goal of achieving economic balance represented by the external balance of payments equilibrium levels.
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