Advisor to the Prime Minister: Budget schedules resolved in the middle of this month, 3 APRIL

Advisor to the Prime Minister: Budget schedules resolved in the middle of this month

The financial adviser to the Prime Minister, Mazhar Mohammed Saleh, signed the approval of the budget schedules in the middle of April.

“The budget schedules are supposed to be decided in mid-April probably,” Saleh said in a press statement.
He added that “the tripartite federal general budget, which was stated in Law No. 13 of 2024, did not be without the principle of its annuality in the issue of preparing the annual schedules and submitting them to the House of Representatives for approval, specifically for the two years (2024, 2025). ”
He stressed, “The law on the approval of the tripartite budget constitutes an expression of an exchange of trust between the legislative and executive authorities to manage public financial affairs in our country to ensure the continued implementation of investment projects and the communication in the adoption of new projects in an integrated and planned manner.”
Saleh continued that “annual government spending constitutes about 50% of the value of GDP directly, and exceeds 80% indirectly by affecting the work cycle and the general activities of the market and building its positive expectations and stability.”

He pointed out that “the three-year budget was the first experiment that was adopted in the financial history of the country and was adopted based on an explicit legal text contained in the Federal Financial Management Law No. 6 of 2019 as amended, so it became necessary to document this financial experience rich in its economic contents and evaluate its results and the requirements for its implementation in the future when proceeding with its adoption again, including the proposal to study an appropriate ame ndment to some provisions of the Financial Management Law in light of what was produced by the experience of the application of the Tripartite Federal Public Budget Law.”

The Council of Ministers, a few days ago, received the budget schedules from the Ministry of Finance, and began work on them to sign and later send them to the House of Representatives.
 https://alforatnews.iq/news/مستشار-لرئيس-الوزراء-حسم-جداول-الموازنة-منتصف-الشهر-الجاري

"RV UPDATE" BY FNU LNU, 3 APRIL

 Fnu Lnu 

   Article quote: "Al-Kadhimi indicated that increasing the budget’s overall amount, from 199 trillion Iraqi dinars (nearly $152 billion) to 228 trillion Iraqi dinars (approximately $174.04 billion), resulted in a rise in the deficit, revealing that the budget is still being discussed in the Council of Ministers and would likely be presented to the Iraqi Parliament next month."   It would logically follow that a revaluation would be likely before next month's USA confab.

 [Response to Pimpy's HCL non-revenue sharing post from 3-31-2024 below]  

The notion of revenue-sharing is nothing new in the Middle East.  Bruni and Kuwait both do it...Revenue Watch Middle East Director Yahia Said recently returned from several months in Iraq working on the International Compact with the UN...This USIPeace Briefing summarizes the discussion.  Many Iraqi citizens look to the law for what it can contribute to reconciliation, security, and welfare. The three parts of the agreement will deal with the issues of 1) revenue sharing; 2) restructuring of the ministry of oil; and 3) establishing the Iraqi National Oil Company (INOC). 

  It is quite clear that the HCL has intentions to codify the issue of welfare (not for government) and the number 1 issue is REVENUE SHARING.  To be more specific; Section 1314 of the FY2007 Supplemental Appropriations Act [P.L.110-28] specifically identified the enactment and implementation of legislation  “to ensure the equitabledistribution of hydrocarbon resources of the people of Iraq without regard to the sect or ethnicity of recipients” and “to ensure that the energy resources of Iraq benefit Sunni Arabs, Shia Arabs, Kurds, and other Iraqi citizens in an equitable manner” as benchmarks. 

https://dinarevaluation.blogspot.com/2024/04/rv-update-by-fnu-lnu-2-april.html

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Sudanese for deputies: The importance of passing laws aimed at improving the investment environment and developing the economy, 3 APRIL

 Sudanese for deputies: The importance of passing laws aimed at improving the investment environment and developing the economy

 Prime Minister Mohammed Shiaa Al-Sudani received a group of members of the House of Representatives.

During the meeting, Al-Sudani stressed, according to a statement from his office, {Euphrates News} received a copy of it, “the importance of integration and coordination between the executive and legislative authorities; in order to support the work of the government and its program, which includes many priorities that concern citizens and state institutions, through its focus on service and reform aspects in various fields.”

The Prime Minister pointed out “the importance of proceeding with the adoption of laws aimed at improving the investment environment, developing the economy and meeting the terms of reform adopted by the government; in order to strengthen and diversify the resources of the state.”
 

https://alforatnews.iq/news/السوداني-لنواب-%C2%A0أهمية-إقرار-قوانين-تستهدف-تحسين-بيئة-الاستثمار-وتنمية-الاقتصاد

"IMPORTANT IRAQ NEWS: THE CENTRAL BANK OF IRAQ CLARIFIES THE MECHANISM FOR DEPOSITING OIL REVENUES ABROAD" BY MNT GOAT, 3 APRIL

THE CENTRAL BANK OF IRAQ CLARIFIES THE MECHANISM FOR DEPOSITING OIL REVENUES ABROAD

Economy Baghdad News

The Central Bank of Iraq revealed the mechanism for depositing oil revenues abroad, in response to a parliamentary question on the subject.

The document stated that the legal basis for depositing oil revenues in the IRAQ2 account with the Federal Reserve Bank of New York was the expiration of the extension of the US President’s Executive Order 13303 put in place in 2003, which granted immunity to Iraqi funds deposited in the DFI account.

The Deputy Governor of the Central Bank, Ammar Hamad, explained that the “IRAQ2” account is used to deposit Iraqi crude oil export funds, and they are transferred to the Central Bank of Iraq account with the Federal Reserve Bank within 24 hours of receipt.

This mechanism ensures that funds are not subject to creditors’ claims, he said, as they belong to the Iraqi government from the export of crude oil.

He added that a memorandum of understanding signed between the Iraqi Ministry of Finance and the Central Bank of Iraq in 2014 regulates the work of the “IRAQ2” account, and that this memorandum is the legal basis for the establishment of the aforementioned account.

He noted that the immunity granted under the memorandum of understanding covered sovereign funds only, not funds used for commercial purposes.

He explained that Iraq’s foreign reserves are deposited with several external parties, including central banks and financial institutions, and are not limited to the Federal Reserve.

He pointed out that the interest rates on these deposits vary according to the investment segment, the duration of the investment and the institution with which the investment is made.

Finally, he explained that the company transporting dollars from the Federal Reserve Bank to Baghdad International Airport is Orient, and that the insurance amount for one shipment is 414,000 US dollars, and that the transportation fees are 216,310 US dollars.

https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/

Iraqi Dinar 🔥 Value 0.00076 becomes 0.76 🔥 Guru Updates And Latest RV Ne...

Iraqi economy faces threat as US closes oil revenue account, 2 APRIL

Iraqi economy faces threat as US closes oil revenue account

According to the letter, Iraq maintained this account with the US Federal Reserve Bank, allowing it to receive oil revenues in dollars and utilize them to cover essential expenses in accordance with agreements with the United States.

Iraq Central Bank 

ERBIL (Kurdistan 24) – In a recent development that has raised concerns over the stability of the Iraqi economy, the United States has closed the account through which Iraq collects revenue from its oil sales.

This revelation came to light through a letter addressed to the Finance Committee of the Iraqi Parliament, dated March 18, 2024.

The letter, signed by Ammar Khalaf, Deputy Governor of the Central Bank, outlines the closure of the account known as the Development Fund for Iraq (DFI), which has been operational since 2003.

The DFI, under the supervision and protection of the United Nations and the United States, served as a crucial mechanism for Iraq to collect and manage its oil revenues.

According to the letter, Iraq maintained this account with the US Federal Reserve Bank, allowing it to receive oil revenues in dollars and utilize them to cover essential expenses in accordance with agreements with the United States.

However, with the closure of the DFI account, Iraq’s oil revenue is now being directed to a new account, referred to as IRAQ2. This transition raises concerns among experts, including finance and banking specialist Kamaran Qadir Yaqub, who warns that the protection previously afforded to Iraq’s revenue may no longer be guaranteed.

Yaqub emphasizes the risk that IRAQ2 could be vulnerable to potential interference or manipulation by the United States, posing a significant threat to Iraq’s financial stability.

In addition to the closure of the DFI account, the letter also sheds light on a contractual arrangement between Iraq and a US company for the transportation of dollars from the United States to Iraq. Under this contract, Iraq paid a security deposit of $441,000, with a transportation fee of $216,310 for each convoy of dollars.

The closure of the DFI account and the implications for Iraq’s financial security highlight the complex dynamics of international financial relations and the vulnerability of countries reliant on oil revenue. As Iraq navigates these challenges, stakeholders closely monitor developments to assess the impact on the country’s economic stability and future prospects.

Kurdistan 24.net