Economist: The Finance Minister's statements about layoffs in the coming years are a "bubble"

Monday 27 December 2021 13:17
 
Baghdad / NINA / - An expert in economic affairs, Raad Twij, criticized the statements of Finance Minister Ali Allawi about laying off employees in the coming years, describing these statements of laying off the workforce as "a bubble."

Twig said in a statement to the National Iraqi News Agency ( NINA ): "One of the things that is confirmed and proven is that the Iraqi economy is one of the rentier economies that depends mainly on oil, as the dependence of the general budget is more than 90% on oil imports, and it is known that the oil market depends mainly on oil. on demand and supply.

He added: "The statement of the Minister of Finance that the demand for oil is inelastic even after 25 years is an inaccurate statement due to the increasing global population growth and the diversified use of oil. Iraq went through it several times in the years 2008, 2015 and 2019 as a result of the drop in oil prices.

He explained that, "With the presence of a workforce working in the public sector and a total of 6 million retirees, we have not seen any government move to restructure this workforce and transform it from a low-productivity workforce to a high-productivity force that works to cover its operating costs."

Tawij suggested establishing a Ministry of Manpower aimed at reforming and absorbing unemployment, noting: “The establishment of the ministry must work to address a major economic problem, especially what was mentioned that the amounts allocated to retirees are about 19 trillion dinars and are expected to reach 25 trillion dinars in the coming years.”/ End 8

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