Financial distress affect the investment budget for the ministries and cut off the livelihood of more than four million Iraqis

by **Ponee** Mon Jul 20, 2015 11:19 am

The head of the government's economic affairs adviser, on Monday, that the launch of the financial allocations for the ministries will be according to the availability of liquidity, noting that the government will go to borrow and issue foreign bonds to cover the shortfall, while member of the Finance Committee of the Parliamentary stressed the need to solve the problem of the investment budget for its impact on the services provided for citizens, economic expert said that more than four million workers in the private sector have been affected as a result of projects stopped.

He said the appearance of Mohammed Saleh, said in an interview to the (long-Presse), said that "Iraq is going through a financial crisis and austerity which affected ministries received allocations in the budget law," adding that "the amount of the budget will be spent for government departments after the availability of financial liquidity, because up of resources different from what is planned. "

Saleh added, that "the budget allocations for the ministries will be spent according to the availability of funds and revenues," noting that "the government will be forced to postpone some of the things midwife for the delay."

He said the prime minister for economic affairs adviser, that "foreign loans does not exceed one billion dollars only a little," pointing out that there are "legitimate external borrowing negotiated by the government through the issuance of bonds (Euro Bank) European launches in the world."

For his part, he said a member of the Parliamentary Finance Committee, Jabbar Abdul Khaliq, said in an interview to the (long-Presse), "The government launched the operating budget," returned "The problem lies in the investment budget."

Said Abdul Khaliq, that "the government put some controls for investment projects and completion rates, in a new direction for the disbursement of budget funds", returned it necessary to "solve the problem of the investment budget for its impact on the services provided to citizens."

In turn, the economic expert on behalf of Jamil, in an interview to the (long-Presse), the "no-budget full impact of the government in the 4.3 million Iraqi citizens in the private sector."

He explained beautiful, that "the investment part of the budget represents the backbone of the infrastructure through the implementation of projects that provide jobs," noting that "what launched by the Government of the general budget is just to stroll the affairs of state through the provision of staff who work in the government sector salaries operational budget ".

He said economic expert, that there is "more than 4.3 million Iraqi citizens living on the private sector have been affected as a result of the launch of non-investment budget", Msttrda that "the budget deficit up to 25 trillion dinars, which requires the government to be covered by external borrowing."

And it led financial crisis in Iraq as a result of the fall in world oil prices, to give local governments for the majority of service projects, and the shrinking number of workers in the services sector and hygiene.

The Iraqi Council of Representatives approved, (the 29th of January 2015), the financial budget for the current year, B119 trillion Iraqi dinars and a deficit of 25 trillion dinars.

He announced the International Monetary Fund, in (the fifth of June 2015) is ready to give Iraq an exceptional financial assistance worth 833 million dollars, to help him to cope with the economic implications of war with al (Daash) and the deterioration of oil prices in the world market, noting that the Iraqi economy shrank by 2.1 percent in 2014, the past "because of the violence is the basis", and that "not record" the biggest growth of 0.5 percent this year, 2015.

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