The Parliamentary Energy Committee disclosed that the U.S. is exerting pressure to expedite the amendment of Iraq's budget law.
Deputy Chairman Adnan Al-Jaberi mentioned during an interview on the "Al-Mudawala" program on "Al-Ahd" channel that most companies operating in the Kurdistan Region are American, which explains the U.S. interest.
The primary goal of this budget amendment is to resolve the ongoing oil dispute between Baghdad and Erbil. Specifically, amending Article 14 would allow for the appointment of approximately 12,000 contract-based employees. Additionally, the amendment would lead to Baghdad recognizing the oil contracts made by the Kurdistan Region.
Al-Jaberi also proposed the establishment of a national oil company under the federal Ministry of Oil. Furthermore, there is a push to strictly amend Article 12 to ensure compliance from both the region and the central government in implementing the changes.
President of the Republic reviews Iraq's long-term economic development plan in Davos
President Abdul Latif Jamal Rashid reviewed, on Friday, the main points of Iraq's plan for a long-term economic development strategy at the Davos Conference Center.
A statement by the Presidency of the Republic received by "Mawazine News" stated that "President Abdul Latif Jamal Rashid participated in a dialogue session entitled (Towards a more stable land through land reclamation) at the Davos Conference Center."
The statement added that "during the session, which was attended by the Under-Secretary-General of the United Nations and Executive Secretary of the United Nations Convention to Combat Desertification Ibrahim Thiaw, the South African Minister of Agriculture Gwen Steenhuizen, the Executive Director of the Consultative Group on International Agricultural Research Asmahan Al-Wafi, the Executive Director and CEO of New Aero Farms Molly Montgomery, and the Deputy Prime Minister of Mongolia Togmeddin Dorjkhand,
The President delivered a speech in which he emphasized his experience as an engineer specializing in water management with decades of experience, and he has devoted a large part of his career to addressing water scarcity issues and developing sustainable land use methods."
In his speech, the President explained the pressures that Iraq is facing due to climate change, water scarcity and desertification, stressing that "Iraq does not stand idly by in the face of these challenges, but has taken decisive and tangible steps to confront them through effective policies aimed at achieving sustainable development."
The statement continued, "The President reviewed the main points of Iraq's plan for a long-term economic development strategy, especially in the areas of agriculture, energy and water security," noting that "Iraq is currently participating in ongoing negotiations with neighboring countries such as Turkey and Iran, with the aim of concluding fair agreements to share the waters of the Tigris and Euphrates rivers," indicating that "these negotiations represent a strategic priority for the future of our region, in addition to its work at the international level with specialized international organizations to adopt agricultural practices that are resistant to climate change and ensure access to the necessary funding and expertise to achieve success."
The statement continued, "The session was attended by Deputy Prime Minister and Minister of Foreign Affairs Fuad Hussein, Chairman of the Advisory and Experts Authority in the Presidency of the Republic Ali Al-Shukri, and the Iraqi Ambassador to the Swiss Confederation Mohammed Al-Dabbagh."
Here is the text of the speech: “I am pleased to be with you today at this important meeting. As a water management engineer with decades of experience, I have devoted a large part of my career to addressing water scarcity issues and developing sustainable land use methods.
These challenges are not new to me, nor are they merely theoretical issues; they are urgent realities that require us to act quickly. I am pleased to share with you today Iraq’s strategies to address these issues effectively and directly.
Today’s session, entitled “
Towards a more stable land through land reclamation,” focuses on a critical global challenge: land degradation.
40% of the world’s land has lost its fertility, threatening the stability of our economic and social environments. This phenomenon has caused a decline in agricultural productivity, pollution of waterways, and increasing and accelerating drought, putting economies and livelihoods around the world at risk.
Iraq is no exception to these challenges. About 39% of our land is exposed to desertification, at a time when our water resources, which are the basis of agriculture and livelihoods, are under increasing pressure.
The situation is exacerbated by climate change, rising temperatures, and declining water flows from rivers coming from neighboring countries.
However, Iraq is not standing idly by in the face of these challenges. We are taking decisive and tangible steps to confront them, through effective policies aimed at achieving sustainable development. Let me review with you some of the main initiatives that we have begun to implement: * The first and most important step is to improve the management of our existing water resources, by enhancing water use efficiency, developing modern irrigation systems, and collecting rainwater to use it for irrigating land. * A ten-year federal national program to combat desertification: This program focuses on reforestation, soil conservation, and adopting sustainable agricultural methods.
* Expanding green belt projects: We are in the process of establishing buffer zones around our cities, to reduce the risk of desert encroachment by using local plants that are drought tolerant. These efforts are an integral part of Iraq’s long-term economic development strategy, particularly in the areas of agriculture, energy and water security.
Sustainable development is the real guarantee of balanced growth that preserves the health of our environment for future generations.
As part of our quest for sustainable development, we are shifting towards renewable energy. We are also working to promote climate-smart agriculture, diversify crops, encourage organic and regenerative agriculture, and tighten legal regulations for sustainable land use practices.
Addressing our water challenges requires cross-border cooperation. Iraq is currently engaged in ongoing negotiations with neighboring countries such as Turkey and Iran to conclude fair agreements for sharing the waters of the Tigris and Euphrates rivers. These negotiations represent a strategic priority for the future of our region.
Iraq is working internationally, alongside global organizations such as the United Nations Convention to Combat Desertification, the Food and Agriculture Organization (FAO), the World Food Programme (WFP), and the World Bank, to adopt climate-resilient agricultural practices and ensure access to the financing and expertise necessary for success. In conclusion, we know that sustainable solutions can only be achieved through effective local action and community engagement, which is the foundation of our strategy to address challenges.
Ladies and gentlemen, land reclamation is not just an environmental imperative, it is a moral responsibility towards future generations. It is about protecting livelihoods, preserving ecosystems and ensuring a sustainable future for us and our children. Iraq is committed to this mission and I look forward to working with all of you to achieve these common goals. Thank you." link
Iraq update: The potential for the Iraqi Dinar (Dina) to strengthen and gain a more significant position in the global currency landscape
Highlights
🌍 Global Importance: The Iraqi Dinar could become a significant player in the global economy amidst currency fluctuations.
💰 Natural Resources: Iraq’s oil wealth positions the Dinar for potential strengthening due to rising oil prices.
📈 Currency Basket: A proposed currency basket could stabilize the Dinar’s value against other currencies.
📊 Inflation Control: Tackling inflation is critical for improving the Dinar’s value and economic outlook.
🏗️ Investment Climate: Attracting foreign investment through political stability and incentives is vital for the Dinar’s growth.
⚖️ Public Perception: Trust in the currency by the Iraqi people is essential for its strength and acceptance.
📝 Budget Amendments: Successful budget amendments can spur local economic growth and community development.
Key Insights
📉 Economic History: The Iraqi Dinar has a turbulent history, heavily influenced by wars and sanctions, leading to its current low value. Understanding this history is essential for grasping why current efforts to strengthen the currency are significant.
⛽ Oil as a Lever: Iraq’s economy relies heavily on oil exports, which is a crucial factor in the potential appreciation of the Dinar. With rising global oil prices, Iraq could increase its revenues, which should positively impact the Dinar’s value.
💼 Currency Basket Benefits: Incorporating the Dinar into a currency basket can provide a stabilizing effect, reducing the risks associated with currency fluctuations. This strategy is commonly used by various countries to protect their economies from volatile market conditions.
📉 Inflation’s Impact: High inflation rates diminish the purchasing power of the Dinar. The Iraqi government must implement effective monetary policies to control inflation, which is critical for restoring confidence in the currency.
🌐 Investment Attractiveness: For the Dinar to gain strength, Iraq must create a conducive environment for foreign investments. This includes political stability, clear regulations, and incentives that make it appealing for investors to engage with the Iraqi market.
🔧 Technological Adaptation: The rise of digital currencies and payment systems presents an opportunity for Iraq to modernize its financial infrastructure. Embracing technology can enhance the Dinar’s usability and attractiveness in a digital economy.
Will spending be disrupted by delaying the budget amendment? A government advisor explains
The financial advisor to the Prime Minister, Mazhar Muhammad Salih, explained the disbursement mechanism in the event that the amendment to the financial budget law is not approved.
Saleh told Al Furat News Agency: "There is a legal rule that stipulates that the special law restricts the general law, and since the Federal General Budget Law No. 13 of 2023 is the basis for legislation for the state budget for the year 2025 within the scope of the federal general budget legislation and is specialized for three years, there is no other text that adds to the suspension of work on it."
He added, "I also do not see that one article, which is 77/second, related to submitting tables related to estimates for implementing the 2025 budget and according to the required adjustments, will restrict work in implementing the general budget originally legislated in 2023 and resorting to Law No. 6 of 2019, as amended, and we mean the Federal Financial Management Law.
" Saleh continued, "Despite that, we do not see anything that hinders the submission of the state's general budget tables for the year 2025, as the financial authority has the ability and sufficient tools to submit them in the appropriate coming period and according to a broad technical consultation circle between the executive and legislative authorities and in a manner that serves the national interest of the country and the government program."
Saleh said that "government spending is proceeding normally, in addition to public revenues, and there is nothing restricting the elements of implementing the general budget, except for the amendment currently before the House of Representatives." link
There is a significant difference between Germany's recovery which took 5 years [after WWII] and Iraq's recovery which we are still waiting on 20 years later. After, WWII Germany's currency faced a significant crisis.
The war had devastated the country's economy, leading to hyperinflation and the collapse of the Reichsmark...In 1948, three years after the war, the countries overseeing post-war Germany introduced a new currency, the Deutsche Mark...
This new currency helped eliminate the black market and incentivize people to engage in legitimate economic activities. The currency reform is often credited with laying the groundwork for Germany's economic recovery...during the 1950's.
This transformation turned West Germany into one of the leading economies in Europe, demonstrating the critical role currency reform played in it's post-war rebuilding