Kurdistan Regional Government Concludes Meeting with Iraqi Prime Minister
The much-anticipated meeting between the delegation from the Kurdistan Regional Government (KRG) and Mohammed Shia’ Al Sudani, the Prime Minister of Iraq, has concluded. Central to the discussions was the contentious issue of salaries. The KRG delegation is now engaged in another round of talks with a separate team from the Iraqi government.
Political Instability and Peshmerga Reform
In related news, the KRG’s Peshmerga Minister, Shoresh Ismail, returned to his post after more than a year of absence. Ismail cited the region’s political and military instability as the catalyst for his return. He urged the ruling political parties in the Kurdistan Region to cooperate more effectively to continue the Peshmerga reform process. His return was welcomed by President Nechirvan Barzani, signifying a shared commitment to this cause.
Commitment to Women’s Rights and Elimination of Gender-Based Violence
Diplomatic representatives, civil society leaders, and government officials in Erbil have reiterated their commitment to ending gender-based violence and promoting women’s rights in the Kurdistan Region. This comes as the country’s tallest skyscraper was illuminated in orange in observance of the 16 Days of Activism campaign. KRG Interior Minister Reber Ahmed acknowledged the improvements in the situation for women in the Kurdistan Region, but emphasized the ongoing need to combat inappropriate traditions.
Conflict and Development: A Dual Narrative
In an unsettling development, Turkish police detained 98 suspects alleged to have links with the outlawed Kurdistan Workers Party (PKK) militant group, most of them on a charge of spreading PKK propaganda on social media. This follows Ankara’s intensified attacks on Kurdish militants in Syria and Iraq. On the other hand, Iraq’s $17 billion ‘Development Road’ project will be linked by railway to Turkey via a border town in Northwestern Kurdistan. The rail line and a parallel motorway in the mega project will start from the Southern Iraqi Faw Port and pass through 10 governorates towards Faysh Khabur town close to the border with Turkey.
What Are Iraq's Chances Of Joining BRICS? What Are The Consequences?
By Sotaliraq Ali Al-Hamdani
Iraq faces many obstacles that hinder its opportunity to join the BRICS group, despite the availability of most of the conditions that require joining this group, which constitutes a competitive pole for the United States of America, according to economic experts who spoke to (Al-Mada).
The BRICS group is a global economic bloc that seeks to break the hegemony of the West. The idea of establishing it began in September 2006, when the first ministerial meeting of the foreign ministers of Brazil, Russia, India, and China was held on the sidelines of the United Nations General Assembly in New York.
This bloc includes 5 countries that are considered to have the fastest economic growth in the world: Brazil, Russia, India, China and South Africa. The word “BRICS” in English is an abbreviation that includes the first letters of the names of these countries.
The BRICS group has become one of the most important economic blocs in the world, due to the growth numbers that the countries of this bloc have achieved over the years, which has made it the focus of attention of many other countries, which continue to want to join the bloc.
Conditions for joining BRICS
Joining the BRICS group requires the fulfillment of several conditions, the most prominent of which is that “the country’s economy be a major one in the region, and that it has the potential for economic growth in the future,” according to the economist, Dr. Nabil Al-Marsoumi.
Among other important conditions, Al-Marsoumi adds to (Al-Mada), “the country must have an independent and stable political system, and that the state be fully sovereign, and have a strategic location that allows it to be a focus in global trade.”
The economist stresses another condition, which is that “the country should not be hostile to one of the main countries of the group, and that it has close relations with them.”
Al-Marsoumi explains, “Most of these conditions are met in Iraq, but the American hegemony over the economic decision makes it lose a basic condition for joining BRICS, through the United States seizing oil money and transferring it to the US Federal Bank, and then transferring it to the Central Bank of Iraq.”
He continues, “The United States also places harsh conditions on the movement of the dollar and imposes sanctions on banks, which restricts Iraq’s monetary sovereignty over its funds.”
He explains, “BRICS aims to use national currencies to conduct trade settlements, and this is also a way to find an alternative to dollar trade and protect foreign exchange reserves.
He added, “However, the Iraqi economy is single-minded and completely dependent on oil, which contributes more than 97% of its total exports priced in dollars, while the remaining small percentage is limited to exporting some goods with low added values, such as mineral fuels, mineral oils, citrus peels, watermelon, and salt.”
He concluded by saying, “This is what makes the benefits that Iraq gains from joining BRICS limited and fraught with risks, and it may face an American reaction that increases the bleeding of the Iraqi dinar, especially since one of the goals of BRICS is to establish an effective model to oppose the dominant position of the West led by Washington.”
Barriers To Joining
The economic researcher, Omar Al-Halbousi, agrees with Nabil Al-Marsoumi that joining the BRICS group requires that “the country possess a strong economy and an industrial base that enables it to compete and add to the group, not be a burden on it.”
Al-Halbousi explains to Al-Mada, “Since 2003, Iraq has witnessed the systematic destruction of industry, agriculture, the private sector, and an economy that is reeling and burdened by many intertwined problems, all of which constitutes an obstacle to Iraq’s accession to BRICS.”
He continued, “In addition to this is Washington’s control over Iraq, which possesses many pressure cards that enable it to prevent Iraq from leaving under its control, and moving towards joining a group that constitutes a competitive pole for the United States of America.”
He explains, “Iraqi oil imports are under Washington’s control, which exposes the Iraqi financial situation to a setback in the event of joining BRICS.”
He added, “In addition to the United States’ military control through its military presence in more than one base, Washington also possesses political cards that can form a strangling cordon for the Iraqi government.”
From these data, it becomes clear that “there are many obstacles that hinder the opportunity of Iraq to join the BRICS group, represented by the presence of a group of obstacles facing Iraq that are owned by the United States of America, which exposes Iraq to serious consequences in the event of joining,” according to Al-Halbousi.
He points out that “Iraq does not have an economic system or an industrial base that qualifies it to join, to be an addition to the group. Rather, its entry will burden it, which means a lack of opportunities to join BRICS, and officials’ talk about joining is financial, economic, and political suicide.”
BRICS To Counter The Dominance Of The Dollar
Iraq is facing an ongoing dollar crisis despite the measures taken by the government and the central bank to control the rise in exchange rates.
Observers believe that the move towards joining the BRICS group will be important after the latter sought to issue a currency that would compete with the US dollar in an attempt to end Washington’s influence and its sanctions on countries and banks that violate its policies and conditions.
In this context, economic researcher Halim Salman says, “The US Federal Reserve is on its way to allowing the 14 previously sanctioned banks to deal again in dollars in a limited manner, and in doing so they can enter dollar liquidity that will help the market stabilize and reduce the exchange rate.”
Salman confirms to (Al Mada), “But on the condition that these banks continue to operate within the standards, and do not violate the conditions that will be imposed on them in exchange for returning to dealing in dollars.”
He explains, “If the government succeeds in eliminating the bottleneck of the dollar value of trade with Iran, the country will witness a major shift in the currency market, as there are sanctions on Iran that do not allow Iraq to deal through the platform in financial transfers, so it has become free and obligatory to get rid of 12 billion.” Dollars requested from the parallel market annually.” LINK
“Gold Prices Forecast: XAU/USD’s Future Moves Hinge on Federal Reserve Actions”
There is a strong expectation that the Federal Reserve will halt interest rate hikes for the time being from many economists. This move is expected to carry over into the first part of next year and possibly into the summer.
These actions would be good for foreign currency markets allowing them to move into higher values based upon new choices being made in the digital economy and the dollar pulling back from its strength.
We have oil getting ready to make a turn around and to higher values along with cryptocurrency and a gold. The stage is being set for new price pressures going forward.
These changes will make it easier to determine real values on the new tokenized assets backed by gold and supported by new algorithms taking place early next year as Protocol 20 transitions the market into price actions that level the playing field.
The National Bank of Iraq enjoys international ratings that enhance investment. 27 NOV
The National Bank of Iraq enjoys international ratings that enhance investmentShafaq News/ The National Bank of Iraq stated, on Sunday, that the “positive” credit rating it obtained from the international credit rating agencies, Moody’s and Capital Intelligence, reflected the bank’s “strong financial position and creditworthiness,” which contributed to increasing customers’ “confidence.” shareholders and investors, and enhanced its ability to “grow and prosper.”
Moody’s rated the bank’s long- and short-term deposits in local currency at B3, while Capital Intelligence rated the bank’s short-term deposits in foreign currency at B.
The bank said in a statement today that these classifications are the “cornerstone” of the National Bank of Iraq’s journey towards a “promising future,” especially as they confirm the soundness of the bank’s strategy, its distinguished reputation, and its advanced position within banking financial institutions at the local and regional levels.
The statement added that the National Bank of Iraq, “thanks to these classifications, has become a reliable reference for customers regarding banking services, as the increased confidence of customers enhances the volume of deposits and loan activity, which contributes to enhancing the bank’s resources and its ability to better meet the needs of its customers.”
According to the statement, “The bank’s credit rating is considered a strong signal to investors and donors about its ability to bear risks and achieve a sustainable return, as this support reflects confidence in correct management and financial stability, attracts new investments and enhances its capital.”
For his part, the authorized director of the National Bank of Iraq, Ayman Abu Dhaim, confirmed that “the positive credit ratings obtained by the National Bank of Iraq reflect the efforts made by the bank to enhance the soundness and strength of its financial position, including increasing its capital and improving its risk management.”
The statement indicated that, “Today, the National Bank of Iraq tops the list of banks operating in the Iraqi banking market, in terms of total assets that approached 2.8 billion dollars, supported by a growth in customer deposits of about 91%, while the bank has a growing customer base that today has reached about 200,000 customers being served.” Through more than 1,000 employees, 27 branches and 200 ATMs.”
Economists criticize the Central Bank’s policy and determine the level at which the dollar will stabilize
11-26-2023
Economists criticize the Central Banks policy and determine the level at which the dollar will stabilizeOn Saturday, economic experts criticized the financial policy of the Central Bank of Iraq, and while they expected the level at which the dollar would stabilize, their opinions differed about repeating the Lebanese scenario in the country.
The professor of public law, Safaa Al-Shammari, said in the program “The Eighth with Ahmed Al-Tayeb”, followed by “ Jarida ”, that “there is clear confusion in the financial policy of the Central Bank, as it recently recognized the parallel market and that the dollar is subject to factors of supply and demand, so the statements of the government and the Central Bank were The precedent for parallel is wrong.”
Al-Shammari added, “The parallel market has received official recognition from the Central Bank, and it is not possible to distinguish between the parallel dollar and the window dollar, and allowing the import of the currency will not reduce the increase in demand, and what is happening is a repetition of the Lebanese scenario in Iraq.”
He continued, “The State Council stated in 2011 that there is no legal basis for importing foreign currency, and that sanctions cannot be imposed without legal provisions, while the Central Bank did not issue an explanation regarding the Abu Dhabi meeting.”
For his part, the economic expert, Ahmed Manaf, said in the same program, “The government is looking for many ways to end the dollar crisis, and that implementing the platform has facilitated the legalization of import transfers, and that transferring through the platform at the official rate takes only 7 days, and the bank’s procedures must be adhered to.” Central Bank regarding the dollar.
Manaf explained, “Increasing circulation in dollars will reduce the increase in demand, and that the dollar will stabilize at 150 thousand dinars, and the Lebanese scenario cannot be repeated in Iraq.”