Iraq's delegation concluded its meetings with theInternational Monetary Fund (IMF)in Amman (February 24-26), with participants including Minister of Finance Taif Sami and the Governor of the Central Bank of Iraq (CBI).
Discussions focused on Iraq's economic performance and sustainable growth prospects, with the IMF acknowledging the progress made.
Key discussions included:
Non-oil GDP growth of 5% in 2024, driven by agriculture expansion and increased public spending, with 3.5% growth expected in 2025.
Reduced dependence on oil revenues, improving economic diversification and stability.
Review of actual 2024 expenditures and 2025 revenue forecasts, alongside strategies for deficit financing.
Public debt strategy update, ensuring fiscal sustainability and investor confidence in government bonds.
Financial sector reforms, with the IMF stressing the importance of banking modernization to attract foreign capital.
Expanded collaboration with international correspondent banks to facilitate trade financing.
Increased use of the Iraqi dinar in major transactions to strengthen the national currency.
The IMF reaffirmed its support for Iraq's financial policy development, offering advisors and experts to assist the Ministry of Finance in public debt management and tax system improvements.
The meetings underscored Iraq's commitment to fiscal reforms, promoting economic stability and investment-friendly policies, in line with its strategic partnership with the IMF.
TRUMP HINTS AT IMMINENT EVENT IN IRAN: I HOPE TO MAKE A PEACE DEAL WITH THEM
US President Donald Trump expressed his hope on Friday evening to conclude a peace agreement with Iran that would prevent them from possessing a nuclear weapon, stressing that “something will happen with them very soon.”
Trump added in statements he made at the White House that “the United States is in the final moments of negotiations with Iran, and that he hopes that military intervention will not be necessary.”
“We have a situation with Iran, something is going to happen very, very soon,” Trump continued. “You’ll be talking about it soon, I think.”
He expressed his hope for reaching a peace agreement, saying: “I am not speaking from a position of strength or weakness, I am just saying that I would rather see a peace agreement than the other option,
but the other option will solve the problem,” without further clarifying what he meant by the other option.
Trump had said earlier in an interview with Fox Business that aired on Friday that he wanted to negotiate a nuclear deal with Iran and that he had sent a letter to the Iranian leadership last Wednesday proposing talks with Tehran, which the West fears is rapidly approaching the ability to make nuclear weapons.
“I think they want to get that message across. The other alternative is that we do something, because we cannot allow another nuclear weapon,” he continued.
Asked whether he had sent the message to Iranian Supreme Leader Ayatollah Ali Khamenei, Trump replied, “Yes.”
“There are two ways to deal with Iran: militarily or make a deal, and I prefer making a deal because I’m not looking to hurt Iran. They’re a great people,” Trump said.
Last month, Trump reimposed a policy of “maximum pressure” on Iran, including efforts to cut off its oil exports to zero. But he also said in February that he wanted to strike a deal with Iran that would prevent it from developing a nuclear weapon.
ECONOMIST: LOWER OIL PRICES MAY PUSH IRAQ TO REDUCE EXCHANGE RATE AND CUT EXPENSES
Economic expert Nabil Al Marsomi warned today, Monday, that the continued decline in oil prices will put the Iraqi government before difficult choices, including those that may include reducing the exchange rate to confront financial challenges.
(Mnt Goat- by reducing the exchange rate they mean to devalue the currency. Get it? It does not mean a revaluation. Again they do not mean taking 1310 and making for instance 1200, which would be a literal reduction.
But they do not mean literal reduction instead they mean a reduction in the value of the dinar, meaning it would take more dollars to buy a dinar and thus the dinar would be worth less in Iraq than it is today. Think, Think and Think! Gosh….
Stop listening to these idiot intel gurus. Why else would Iraq tell us it would be a “difficult decision”. If it was a revaluation, it would not be difficult, it would be easy. The difficulty comes in a devaluation.)
Al-Marsoumi told Al-Furat News Agency that “the government may be forced to take austerity measures that include reducing public expenditures and increasing non-oil revenues,” noting that “the oil market is currently suffering from significant weakness, with a decline in oil policy that may include imposing fees on some countries such as China, Canada and Mexico, in addition to the possibility of canceling the OPEC Plus agreement, which stipulates reducing production by two million barrels per day.”
He added, “These expectations indicate further declines in oil prices in the coming weeks, which will negatively affect the Iraqi economy.”
