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Far from the government's hand, an expert calls for the establishment of a sovereign fund to control oil revenues
Economic Last update 05/01/2022 | 5:32 pm
information / special
Today, Sunday, the economist Nabil Al-Ali called for the establishment of a sovereign fund to deposit the money and revenues of oil revenues away from the hands and disposal of the central government, while stressing that the government deals with revenues in a contradictory manner.
Al-Ali said in an interview with "Information", "The current government's policies in dealing with oil revenues are contradictory.
Whenever the revenues diminished, it looked for austerity policies, increasing taxes or changing the exchange rate, and
whenever those revenues increased, the government contradicts itself by setting high spending policies without A sense of responsibility about the future of the upcoming budgets and the protection of Iraq from the reversal of the economic cycle.
He added, "Increasing spending at a higher level than the periodic public budgets may lead to an increase in domestic inflation faced by the consumer."
The economic expert explained that "it is supposed to invest large oil revenues to establish a development fund, away from the government's hand and disposal, that contributes to the financing of strategic projects inside Iraq in partnership with large investment companies and to obtain and develop revenues, such as metro projects, railway projects, and refinery projects."
And he indicated that "global economies are working to protect consumers from inflation, as in the United States," noting that
"it is working to increase the interest rate and reduce public budgets to reduce its historical inflation rate."
Far from the government's hand, an expert calls for the establishment of a sovereign fund to control oil revenues
Economic Last update 05/01/2022 | 5:32 pm
information / special
Today, Sunday, the economist Nabil Al-Ali called for the establishment of a sovereign fund to deposit the money and revenues of oil revenues away from the hands and disposal of the central government, while stressing that the government deals with revenues in a contradictory manner.
Al-Ali said in an interview with "Information", "The current government's policies in dealing with oil revenues are contradictory.
Whenever the revenues diminished, it looked for austerity policies, increasing taxes or changing the exchange rate, and
whenever those revenues increased, the government contradicts itself by setting high spending policies without A sense of responsibility about the future of the upcoming budgets and the protection of Iraq from the reversal of the economic cycle.
He added, "Increasing spending at a higher level than the periodic public budgets may lead to an increase in domestic inflation faced by the consumer."
The economic expert explained that "it is supposed to invest large oil revenues to establish a development fund, away from the government's hand and disposal, that contributes to the financing of strategic projects inside Iraq in partnership with large investment companies and to obtain and develop revenues, such as metro projects, railway projects, and refinery projects."
And he indicated that "global economies are working to protect consumers from inflation, as in the United States," noting that
"it is working to increase the interest rate and reduce public budgets to reduce its historical inflation rate."
