Article: “Parliamentary electricity: The floating platform will receive gas from 3 countries in compensation of the Iranian sanctions”
they are working on removing all Iranian influence.
Not only will they be able to receive gas, but they will also be able to start pumping gas out to become an exporter and not just an importer of natural gas…this is a big one.
The US wants Iraq to be independent so they can move forward with their whiter paper reforms. Revaluation, stability etc
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Comment: Someone...said we should get notifications...somewhere between the 21st and 24th?
MarkZ: I have heard that from many. I have heard this from folks in Reno, Zurich and Hong Kong. Keep in mind none of us know the exact date. Stay calm when you hear those things.
The Prime Minister’s Advisor, Mazhar Mohammed Saleh, revealed on Sunday the importance of the single window for registering companies, while pointing out that there are 7 exceptional features, including reducing time from weeks to minutes.
Saleh said in a statement, reported by the official news agency, and seen by “Economy News”, that “the establishment of a unified electronic system for registering companies is an important step to support commercial movement and stimulate investment in Iraq, as it not only contributes to facilitating procedures, but also enhances the efficiency of business, and generates a strong economic environment that is more developed and innovative surrounded by many fundamental causes and factors, foremost of which is: speeding up procedures and reducing routine.”
He pointed out that “this digital system saves the time spent in registering companies, which used to take weeks or several months and convert them into hours or minutes, allowing entrepreneurs and investors to start their business quickly without the need to move between several government entities.”
He added that “this system reduces the operational and administrative cost, as it also contributes to reducing dependence on paper transactions, and thus reducing costs for investors; and avoiding a lot of wages associated with paper documents, transportation and other additional expenses.”
Saleh pointed out that “the digital system enhances the subject of research to the degree of transparency and superiorly, as the electronic registration system for companies is an important part of the philosophy of the government program in digital transformation and e-governance, because of the high credibility it provides,
as the aforementioned electronic system allows immediate verification of data and reduces the chances of manipulation or errors, which enhances trust between investors and government entities, to end up improving the business environment, which is one of the most important criteria adopted by the World Bank for emerging economies in this regard and attractive to investment and enhances competitiveness.”
He continued, “The electronic system achieves a high degree of interconnection and network integration between the relevant authorities in a digital form, such as the General Tax Authority, investment authorities in the governorates, and banks, in addition to the registrar of companies itself, with the competent departments of the Ministry of Commerce, and with high speed, accuracy and effectiveness, which helps to make the right investment and productive decisions.”
He added that he “contributes to supporting entrepreneurship and small enterprises, as it encourages the removal of bureaucratic obstacles facing start-up entrepreneurs, which contributes to increasing the number of small and medium-sized enterprises, which are the backbone and main pillar of the national economy within the strategy and applications of the government program and in line with the comprehensive national development plan 2024-2028.”
NEWS ROOM WITH CHELLA : Oil Cuts, Currency Fluctuations, and the Road to Revaluation Part 2
Highlights
Summary
This week’s update on Iraq’s economy highlights significant developments amidst ongoing challenges. The dynamics of oil production cuts, fluctuations in the Iraqi dinar, and concerns regarding Kurdish oil exports are key themes. OPEC+ has announced further output cuts, which will have repercussions not only for Iraq but also for global oil prices.
The Iraqi dinar is facing uncertain exchange rates that threaten local businesses and international investments. Additionally, pending negotiations between the U.S. and Iraq regarding Kurdish oil exports via Turkey remain unresolved, presenting further complexities for the country’s energy sector.
Social issues such as proposed amendments to legislation concerning child marriage highlight the intertwining of legal reforms and women’s rights, potentially affecting Iraq’s international standing. For investors holding Iraqi dinar, the potential for revaluation (RV) remains a topic of speculation and concern.
🌍 OPEC+ Cuts: Iraq announced further cuts to oil production as part of the OPEC+ agreement on March 20, impacting global oil markets.
💱 Dinar Fluctuations: Recent volatility in the Iraqi dinar exchange rate could jeopardize local businesses and deter international investments.
🇹🇷 Kurdish Oil Exports: Ongoing disputes over Kurdish oil exports through Turkey are unresolved, affecting Iraq’s overall energy strategy.
⚖️ Child Marriage Legislation: A controversial amendment concerning women’s rights suggests shifting legal landscapes in Iraq.
🔮 Future of Dinar Revaluation: Investors holding Iraqi dinar are anxious for potential revaluation, affecting their financial strategies moving forward.
📊 Economic Pressures: Iraq significantly faces global and regional economic pressures that may challenge its economic stability.
🔔 Engagement Call: The public is encouraged to engage in discussions about what they believe will most impact Iraq’s economy in the coming months.
Key Insights
⚠️ Impact of OPEC+ Cuts: The oil production cuts announced by OPEC+ are pivotal for Iraq’s economy, known for its reliance on oil exports. This development is likely to create volatility in oil prices, impacting everything from government revenue to local employment. The cuts could force Iraq to reevaluate its budget and fiscal policies, especially in light of soaring expenses tied to essential services and infrastructure projects.
📉 Economic Instability Due to Currency Fluctuations: The fluctuations in the Iraqi dinar represent a dual-edged sword; while they can open up opportunities for traders and investors willing to take risks, they can devastate local businesses reliant on stable pricing for imports and exports. Such uncertainty could compel businesses to reconsider investing in new operations or expanding existing ones, leading to stunted economic growth.
🤝 Urgency of Kurdish Oil Negotiations: The unresolved issues surrounding Kurdish oil exports signify broader geopolitical tensions within Iraq. The Kurdish region’s autonomy and its ability to export oil independently have long been contentious subjects. How these negotiations proceed will dictate not only regional stability but also Iraq’s future as a principal player in the global energy market.
👩⚖️ Child Marriage Legislation and Social Change: The proposed amendments to Iraq’s personal status law regarding child marriage stir crucial discussions around gender equality and women’s rights, areas that international organizations watch closely. The resolution of these amendments has implications for legal reform and Iraq’s social outlook, impacting its international relationships and domestic acceptance.
📈 Revaluation of the Iraqi Dinar: The ongoing speculation surrounding the possible revaluation of the Iraqi dinar highlights the sentiments of investors who are anxiously following economic indicators. A successful revaluation could increase hope for economic recovery, but it also comes with risks, as mismanagement could lead to further depreciation and mistrust among both local and foreign investors.
🌐 Global Economic Pressures on Iraq: Iraq’s economy is increasingly intertwined with global markets. The implications of OPEC+ decisions extend beyond oil production; they serve as indicators of Iraq’s economic health, reliance on oil revenues, and potential routes for diversifying its economy. These pressures call for strategic shifts to ensure long-term sustainability.
🎙️ Public Engagement as a Tool for Awareness: Encouraging public input on Iraq’s economic future fosters awareness and creates a collective dialogue around pressing economic challenges. Engaging the community can lead to informed discussions, boosting confidence among investors and creating a more participatory political environment.
This summary and analysis encapsulate pressing issues within Iraq’s economy, covering not only immediate economic challenges but also the broader social implications that these developments entail. As Iraq navigates this complex economic landscape, the outcomes will be vital in shaping its immediate future and long-term stability.
In light of the analysis of the current situation of international variables economically, politically and security and the extent of their expected effects on the Iraqi economy. With a scutify eye to the challenges and crises that the national economy has experienced, affected by the economic crises that major countries have suffered economically.
The strategic conflicts between America and China and the alignment of some countries with the US strategy to lead the world economically and other countries are moving towards the strategy of China and some emerging countries to establish a new international economic pole to confront American hegemony.
One of the most prominent results of this conflict is the global crisis in energy and food, which has lasted for more than a decade and continues to plagh countries with rit, weak and poor economies and prevent them from moving structurally and comprehensively to emerging economies that are able to withstand and overcome the effects of global economic conflicts.
Since mid-June 2014 and the first quarter of 2020, the Iraqi economy has faced complex and accumulated challenges due to the changes in the global economy and the slowdown in global economic growth of the conditions of the American-Chinese conflict, the Corona pandemic, the fight against terrorism, the decline in global oil prices and its reach of decline rates that exceeded 70%,
economic recession and damaged most countries due to those repercussions, which had their effects on the Iraqi economy, and what interests us is what are the results of these repercussions and what are the expectations, effects and their repercussions on the current economic reality in Iraq during the coming years and until 2030.
In the light of the study and analysis, my mayati can be expected at the level of the global economic system and the repercussions of this on Iraq:
First, the decline in growth rates in the global economy is expected, affecting the American economy and the economies of the European Union countries in China and Russia, but at varying rates, and the economic recession will prevail in most countries of the world.
This will be reflected in the slowdown in GDP growth by rates ranging from (4-10%) in oil-producing and non-producing Arab countries, especially after the countries of the geographical region entered new challenges due to the Zionist aggression on Gaza, the West Bank, Lebanon, Syria and Yemen. This created a new complex circumstance that will have negative effects on the national economy.
Second, the new global economic system, which we expect to emerge in the coming years, will inevitably be formed and will have a clear economic and financial leadership for America and China. It will make the Silk Road to include the countries that were planned to pass through to revive their economies. It will actually be achieved. It is expected to achieve the path of development and there will be an important role for Iraq and for the countries participating in the project.
Third, the philosophy of economic management will also shift in general, from the capitalist market economy to the social market economy that is currently adopted as a disciplined ideology, as in China and some countries of the world. It is just early expectations and the Arab economy will probably belong to the new pole, the largest and economically stronger.
So what is required of economic decision-makers in Iraq in the face of these developments and variables that are expected to sweep the world. I see from an insightful analytical view of the current economic reality that we urgently need a radical and comprehensive economic change and reform that adopts the following basic axes:
First, re-changing the map of national income resources by reducing dependence on oil as a major resource by activating other resources in the coming years to reach 30% of the total general budget resources.
Second, radical and comprehensive change of agricultural,
industrial, trade, oil, energy and water policies by adopting local resources in securing food and water security, encouraging, protecting and supporting the local product and developing programs and strategies in consumer protection.
Third, supporting, developing and stimulating the private sector and benefiting from its capabilities, potentials, capital and investments in building the national economy and involving it in economic decision-making and managing the economy.
Fourth, drawing clear strategies for coordination between monetary and financial policies, drawing clear financial policies and re-establishing the preparation and presentation of annual general budgets on the basis of programs, not items. The weight of the budget deficit to the legally specified ratio to GDP, as well as reducing domestic borrowing to the lowest possible and not borrowing from abroad at all.
Fifth: Completing the new methodology adopted by the Central Bank in reform, banking development and digital transformation in all digital fields, with a focus on implementing the Central Bank’s strategy and the development of the financial position and using artificial intelligence in the analysis, transparency and accuracy of data for the purposes of proper planning of the economy and to overcome the challenges of instability in the financial system and the monetary system. This means developing coordinated and balanced plans to overcome the challenges of monetary policy and the challenges of the non-oil income deficit, the deficit in the balance of payments, the trade balance and the percentage of the contribution of the productive sectors (real economy) to GDP.
[Response to Guru Sandy's 3-21-2025 digital dinar post below]
It was made abundantly clear that the electronic dinar/digital dinar will be used exclusively for International/ cross-border payments due to the expansion of global trade. That's the reason for it and the folding currency will be used for domestic trade and banks will use three zero notes for intrabank transfers. There is no "IF".
Sandy Ingram
If digital dinars are restricted to residents, those holding physical IQD outside Iraq may need to cash out sooner rather than later. However if Iraq opens access to digital accounts it could provide a modernized way for foreigners to hold and trade IQD but only through officially sanctioned channels.