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Specialized newspaper: ill-functioning banking system caused economic chaos in Iraq
ID number: 2431 Issue Date: 29/12/2011 day: Thursday
Last Updated: 12/29/2011
Arbil - Follow-up:
Reported McClatchy U.S. economic, that Iraq was a state of economic chaos and that I understand only given to the banking sector in the country, pointing to the absence of electronic funds transfers for salaries or bills or lose their bank accounts or credit cards, indicating that ATMs are few and far between, as well as the lack of loans for home improvement, mortgages are few.
It added that "For most Iraqis, the banks serve as the secretariats of the Fund."
The newspaper reported that Iraq's oil reserves are emphasizing that the third country after Saudi Arabia and Iran, and Iraq could one day be one of the richest countries in the world. But the Iraqi oil is made only for Iraq, which represents two thirds of GDP. Citing the words of President Barack Obama this month that "in the coming years, Iraq's economy will grow faster than China or India."
But however by saying that "compared with before 2003, the industry and agriculture Iraqi ministers are moribund, and construction is down in Baghdad and many other parts of the country. According to Central Bank of Iraq, the eighty percent of the economy in the hands of the government, and the unemployment rate up to 46 percent. According to the Bank.
Explaining to the newspaper darker the situation in Iraq to "that Iraq lacks the infrastructure bank to get rid of this mess and to the political will to undertake economic reforms enormous," indicating that "dominates the financial landscape, two state banks lean with the budgets of false, seen widely as a facilitate corruption.
The United Nations, with the United States, it played a major role, as it imposed harsh economic sanctions continued for more than those a decade.
And follow the newspaper The "US-led invasion in 2003, which was badly planned and built on the intelligence flawed, it has triggered a sectarian war that killed 4 483 U.S. soldiers and more than 50 thousand of Iraqi security forces and more than 104,000 Iraqi civilians were killed, according to My organization (ie Kajoltez and Araki Body Count).
And wonder McClatchy "with, it seems surprising that after nearly nine years of occupation and the American military presence to show Iraq as lacking many basic services, including electricity supply normal, most people get four to six hours at best, and to the postal service and public transport The national airlines and the judicial process to protect foreign investments and the settlement of claims, and this example is not limited to. as she put it.
She adds, "Iraqis feel paralyzed about how to get out of the quagmire of economic, in his recent visit to Washington, he promised Prime Minister Nuri al-Maliki's new legislation to encourage foreign investment. But some of his top aides downplay the role of the private sector and are happy just to squeeze the public sector in it."
They are reporting that half of the general budget, including a lot of oil revenues from flowing now you will Atnvq to future production or to capture the gas flowing now, which could provide enough electricity for the entire country, but instead will go to salaries, where employment of more Iraqis in government institutions.
In the view of the newspaper that the economy is not only one of the problems in Iraq, there are sectarian tensions that have matured after the war. There are major constitutional disputes such as the political situation of the oil-rich city of Kirkuk, which can lead to violence. As well as neighboring countries such as Saudi Arabia, Iran and Turkey are all ready to throw money to destabilize the political situation of Iraq, as well as the presence of 3 million internally displaced and refugees abroad, according to the United Nations. And it is possible to extend the uprising in Syria, Iraq's neighbor to the sectarian tensions flared again.
But the newspaper says that "the market for its nothingness, there is no market for the ownership or market real estate, etc. Apart from this, all imported goods are available in the markets of Baghdad."
Iraq is one of the most countries below the required level for the banking system in the Middle East and beyond with the presence of 450 branches of the bank in a country with a population of 31 million, compared to Saudi Arabia, which has 6 000 branch bank for 18 million citizens. Also supplies the paper.
The paper adds "in the heart of the crisis there are two banks are saddled with debt and are owned by the state shall be deposited in which all government funds. To Aaadian works such as lending institutions to stimulate the economy, but is believed widely that the Rafidain and Rasheed are to facilitate corruption, which brought the economy into a quagmire."
She explained that the Transparency International monitors corruption in the economic and political institutions in the field of international development, classified Iraq as the eighth most corrupt in the world, tied with Haiti, a little less corrupt than Sudan, Afghanistan and North Korea.
He said foreign experts familiar with, the newspaper that "The problems start with government contracts, where the bidders are selected from lists of pre-defined and closed, rather than competition should be open. The rules of the game is anything but transparent."
He said a foreign observers, does not want to be identified because of the sensitivity of the issue, "tried to find out the actual qualifications for these companies to be in the winning lists, but no one could tell me."
And follow the newspaper that "in one of the biggest scandals purchases recently, had electricity minister Raad waterfall Ani to resign last August after the signing of contracts worth $ 1.3 billion with the company in Canada does not exist already, and one in Germany had gone bankrupt a month before the signing of the the contract, adding: "The World Bank proposed a new law for purchases that would open the bidding process, is to form committees to identify and evaluate the bids to ensure the legitimacy of bidders, requiring them to produce a deposit in advance, as is the case in the Western world, but the Maliki government slowed down. In the words of the newspaper.
He said a Western diplomat told the newspaper that there are ways that banks can facilitate the corruption, "After completion of the deal, the state banks enter into the game."
The diplomat, who can not be named because he is not authorized to speak to reporters, "You can buy something from overseas, but the deal is not", sending forged documents, indicate that the goods arrived, and requests the release of some funds abroad received by the person , to be sent to the seller, but the goods will not appear at all. The money is gone, and you look like you not know what happened. "
He adds there are other scenario, "a government agency to buy a large shipment of spare parts, but what actually appears in the fund and up is a small one, or a box of figs."
"There are a thousand ways of corruption, as long as you do not fear criminal prosecution of banks in the sense, or civil sense."
There is a third way of corruption is to offer loans to banks, a senior government official has no intention of paying, "the bank here will never ask him, but will only write the loan only.
For his part, said Adnan Ali (30 years), Director of pine furniture in Baghdad, "all self-financed imports," adding, "We have no relationship with banks."
He continued, "Give me the power, machinery, and allow me to import materials and you'll see what I can do."
As said, the owner of Emmanuel Dnkhu markets rose in Baghdad, "Since we opened our market in 1973, did not deal with the banks, because they were not at the level we need. It is only to keep our money."
"If they are supported by small business banks, the economy will improve and become we can hire more people and reduce unemployment, but this does not happen in Iraq."
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ID number: 2431 Issue Date: 29/12/2011 day: Thursday
Last Updated: 12/29/2011
Arbil - Follow-up:
Reported McClatchy U.S. economic, that Iraq was a state of economic chaos and that I understand only given to the banking sector in the country, pointing to the absence of electronic funds transfers for salaries or bills or lose their bank accounts or credit cards, indicating that ATMs are few and far between, as well as the lack of loans for home improvement, mortgages are few.
It added that "For most Iraqis, the banks serve as the secretariats of the Fund."
The newspaper reported that Iraq's oil reserves are emphasizing that the third country after Saudi Arabia and Iran, and Iraq could one day be one of the richest countries in the world. But the Iraqi oil is made only for Iraq, which represents two thirds of GDP. Citing the words of President Barack Obama this month that "in the coming years, Iraq's economy will grow faster than China or India."
But however by saying that "compared with before 2003, the industry and agriculture Iraqi ministers are moribund, and construction is down in Baghdad and many other parts of the country. According to Central Bank of Iraq, the eighty percent of the economy in the hands of the government, and the unemployment rate up to 46 percent. According to the Bank.
Explaining to the newspaper darker the situation in Iraq to "that Iraq lacks the infrastructure bank to get rid of this mess and to the political will to undertake economic reforms enormous," indicating that "dominates the financial landscape, two state banks lean with the budgets of false, seen widely as a facilitate corruption.
The United Nations, with the United States, it played a major role, as it imposed harsh economic sanctions continued for more than those a decade.
And follow the newspaper The "US-led invasion in 2003, which was badly planned and built on the intelligence flawed, it has triggered a sectarian war that killed 4 483 U.S. soldiers and more than 50 thousand of Iraqi security forces and more than 104,000 Iraqi civilians were killed, according to My organization (ie Kajoltez and Araki Body Count).
And wonder McClatchy "with, it seems surprising that after nearly nine years of occupation and the American military presence to show Iraq as lacking many basic services, including electricity supply normal, most people get four to six hours at best, and to the postal service and public transport The national airlines and the judicial process to protect foreign investments and the settlement of claims, and this example is not limited to. as she put it.
She adds, "Iraqis feel paralyzed about how to get out of the quagmire of economic, in his recent visit to Washington, he promised Prime Minister Nuri al-Maliki's new legislation to encourage foreign investment. But some of his top aides downplay the role of the private sector and are happy just to squeeze the public sector in it."
They are reporting that half of the general budget, including a lot of oil revenues from flowing now you will Atnvq to future production or to capture the gas flowing now, which could provide enough electricity for the entire country, but instead will go to salaries, where employment of more Iraqis in government institutions.
In the view of the newspaper that the economy is not only one of the problems in Iraq, there are sectarian tensions that have matured after the war. There are major constitutional disputes such as the political situation of the oil-rich city of Kirkuk, which can lead to violence. As well as neighboring countries such as Saudi Arabia, Iran and Turkey are all ready to throw money to destabilize the political situation of Iraq, as well as the presence of 3 million internally displaced and refugees abroad, according to the United Nations. And it is possible to extend the uprising in Syria, Iraq's neighbor to the sectarian tensions flared again.
But the newspaper says that "the market for its nothingness, there is no market for the ownership or market real estate, etc. Apart from this, all imported goods are available in the markets of Baghdad."
Iraq is one of the most countries below the required level for the banking system in the Middle East and beyond with the presence of 450 branches of the bank in a country with a population of 31 million, compared to Saudi Arabia, which has 6 000 branch bank for 18 million citizens. Also supplies the paper.
The paper adds "in the heart of the crisis there are two banks are saddled with debt and are owned by the state shall be deposited in which all government funds. To Aaadian works such as lending institutions to stimulate the economy, but is believed widely that the Rafidain and Rasheed are to facilitate corruption, which brought the economy into a quagmire."
She explained that the Transparency International monitors corruption in the economic and political institutions in the field of international development, classified Iraq as the eighth most corrupt in the world, tied with Haiti, a little less corrupt than Sudan, Afghanistan and North Korea.
He said foreign experts familiar with, the newspaper that "The problems start with government contracts, where the bidders are selected from lists of pre-defined and closed, rather than competition should be open. The rules of the game is anything but transparent."
He said a foreign observers, does not want to be identified because of the sensitivity of the issue, "tried to find out the actual qualifications for these companies to be in the winning lists, but no one could tell me."
And follow the newspaper that "in one of the biggest scandals purchases recently, had electricity minister Raad waterfall Ani to resign last August after the signing of contracts worth $ 1.3 billion with the company in Canada does not exist already, and one in Germany had gone bankrupt a month before the signing of the the contract, adding: "The World Bank proposed a new law for purchases that would open the bidding process, is to form committees to identify and evaluate the bids to ensure the legitimacy of bidders, requiring them to produce a deposit in advance, as is the case in the Western world, but the Maliki government slowed down. In the words of the newspaper.
He said a Western diplomat told the newspaper that there are ways that banks can facilitate the corruption, "After completion of the deal, the state banks enter into the game."
The diplomat, who can not be named because he is not authorized to speak to reporters, "You can buy something from overseas, but the deal is not", sending forged documents, indicate that the goods arrived, and requests the release of some funds abroad received by the person , to be sent to the seller, but the goods will not appear at all. The money is gone, and you look like you not know what happened. "
He adds there are other scenario, "a government agency to buy a large shipment of spare parts, but what actually appears in the fund and up is a small one, or a box of figs."
"There are a thousand ways of corruption, as long as you do not fear criminal prosecution of banks in the sense, or civil sense."
There is a third way of corruption is to offer loans to banks, a senior government official has no intention of paying, "the bank here will never ask him, but will only write the loan only.
For his part, said Adnan Ali (30 years), Director of pine furniture in Baghdad, "all self-financed imports," adding, "We have no relationship with banks."
He continued, "Give me the power, machinery, and allow me to import materials and you'll see what I can do."
As said, the owner of Emmanuel Dnkhu markets rose in Baghdad, "Since we opened our market in 1973, did not deal with the banks, because they were not at the level we need. It is only to keep our money."
"If they are supported by small business banks, the economy will improve and become we can hire more people and reduce unemployment, but this does not happen in Iraq."
[You must be registered and logged in to see this link.]
