Where is the Iraqi economy? !

LAST UPDATE 12/30/2021 | 2:45 PM

Books / Qassem Al-Gharawi ||

The total amount that Iraq has paid over the 17 years since 2003 to today amounted to 52.4 billion dollars, which is equivalent to approximately 5 percent of its total oil revenues.

Governmental parties are trying to redirect the funds that were intended to pay compensation towards establishing sovereign funds for the future in which funds will be collected and invested internationally as a fund for generations, but the idea may not be appropriate at the present time, as the additional financial abundance estimated at 2 to 3 billion dollars annually that was allocated For Kuwait’s compensation, it is better to place it in a local development fund that participates in setting up a development program to create profitable and sustainable development projects for the fund and that are outside the authority of the government, and that contribute to strengthening national development plans, instead of the annual borrowing operations that the Iraqi government holds with international parties to pay some of its expenses or spending on projects categorized in balance

Therefore, the payment of compensation to Kuwait provides Iraq with a wider political and economic scope in its international relations at the diplomatic and commercial levels.

Economic crises must be addressed to reduce the damage caused by them, and this is done through; Maximizing the country's non-oil revenues,

Relying on the industry and overcoming the difficulties in front of it.

Reducing imports as much as possible and relying on domestic product by encouraging agriculture and providing soft loans, which provides hard currency for the central bank’s reserves to support internal projects and reduce the volume of debts and their benefits as well as a necessity

Reducing public expenditures and compressing them to the maximum extent to stop the waste of money.

Investment should also be encouraged and the private sector should be allowed to take its leading developmental role in the country.

And seriously consider real alternatives to oil and invest money from the cash flows that are available after the Kuwaiti debts have been paid, which constitute a percentage of the oil revenues.

Activating tourism in Iraq, and adopting a more flexible foreign policy in Iraq's relations with countries, especially America, in order to try to recover the money reserved for Iraq.

The widening of the gap between expenditures and revenues is widening and it is heading to a collision in the coming decades because Iraq depends on oil revenues by ninety percent, and this is a disaster because it is the only resource, and the next government should think and plan to find alternatives to oil, considering that the world is currently thinking about using clean energy In the future, which affects the fluctuations and decline of oil prices, funds must also be allocated to complete the large FAO project, which is beneficial to Iraq and is therefore a reliable resource by studying the economic feasibility of this giant project.

https://almaalomah.me/2021/12/30/573725/