"We Need the GOI" - Sun. PM KTFA Thoughts/News 9/23/18

by **Ssmith** Mon Sep 24, 2018 9:19 am

KTFA

Samson » September 23rd, 2018

Private banks see the appropriate time to launch the initiative "trillion dinars"

23rd September, 2018

The Association of Iraqi Private Banks confirmed that the time has come to activate the initiative of the Central Bank to support small and medium enterprises, amounting to one trillion dinars.

The head of the Association of Wadih Handal in a speech during a workshop on the initiative held in the city of Irbil: "The reason for not activating the initiative At the time of its launch, due to the existence of a window selling the currency, which banks were making profits from them, "noting that:" When the interest rate set by 4% to lend to the market there was another source of profit, the currency window, but the recent profits ended, only lending. "

He suggested the President of the Association of private banks Iraq Y, review the interest rate and leave the market is determined by the interest rate, the latter competition will be between banks. LINK

DD937 » September 23rd, 2018

Is this saying the currency window(auction) is over , therefore its time to launch this initiative ?

Don961 » September 23rd, 2018

imo... sounds like it's time for the banks to be real banks and make money by doing traditional loans and providing other services ... instead of just making easy money on the spread from what they bought usd for in the currency auction ... and what they got in the street market ... there was no need to work so hard when all they needed to do was be a money-changer and resell the usd for big profits ... those days of high spreads are ended with 2% compliance .. and the pending closure/reduction of that auction window ... bringing that true value back to the iqd can't hurt either

Jay » September 23rd, 2018

DD937, I agree that this is saying its time for the auctions to stop because it is prohibiting the private sector from taking off. Which is basically saying its prohibiting the RI from being implemented. But its not the JUST the auctions stopping the RI imo.

This is the second time that this article has come out saying almost the same thing as the article I saw last week. There was an auction today for Monday. So the auctions are still happening. But I suspect will stop, pause or change soon imo and as Frank has said IHO. Also in Frank's video last night he did mention the auctions and that he wants to talk to us about them tmrw. So lets see what he says. BUUUUUUUUT IMO,,,, for this article to come out again from Wadih Handal and the Association of Iraqi Banks is V.E.R.Y exciting and telling indeed.

What I find a shame is that the Iraqi banking sector and private sector is MORE than ready for this RI. It's the dumb politicians who are holding this up. As usual and apparently no matter the country, a politician can muck it up for everyone.

We wait for an ANNOUNCED seated GOI before the Banking side of this investment will implement the RI. We need the GOI & the CBI and security in Iraq before we see this RI. Well we have Security (ISIS gone) we have stability in Iraq in the form of finance/banking being ready for the RI. Now we just need the GOI to be on board and completed. NO INTERNATIONAL company will want to invest in Iraq if the GOI is not fully formed, seated and the corrupt gone.

Post 110 page 6 of todays thread. Says it best and IMO proves we wait for an announced seated goi..... Pompeo to Barzani call. Little snippet. Barzani says:

According to the statement, stressed Barzani and Pompeo, "to intensify efforts to make the success and progress of the political process in Iraq," expressing the aspiration that "the next phase in Iraq will be a stage of political stability and security, and that the new government and authority reflect the aspirations and rights of all components of Iraq.
^^^

Political stability means a seated GOI. Which will complete all other forms of stability that they have now. IE... Private sector stability. Banking stability. All of these are needed for the RI to happen. I agree the goi is done but its not done for us until it is in INK. We can not move forward until its told to us in ink. I always keep that in mind. Frank & Teams know waaaay before the media is willing to tell us.

ALLL OF THE ABOVE IS IMO ONLY and keep in mind I am only 12. (smile)

GodsServant » September 23rd, 2018

The mtg in Jordan was HUGE with all the ENTITIES present. As Frank said at this point in the MR this collective group met for a PURPOSE. ALL parties are ready and done. Politics within the GOI IMO is the hold up. The 25th when Parliament meets,a President is to be named. As I understand the Constitution if Parliament cannot agree they have up to 30 days to resolve it. The results from the mtg in Jordan and what they don’t tell us about the GOI may all be timed. This is my focus of our study. The excerpts from the posts I have included demonstrates the importance of the seated GOI Executives inclusive of the PM.

Samson » September 23rd, 2018

Construction: The voting session on the presidential candidate will proceed smoothly and smoothly

23rd September, 2018

MP for the parliamentary building block Thamer Dhiban, Sunday, September 23, 2018, that the session of Parliament next Tuesday and allocated to vote on the candidate of the post of President of the Republic will go smoothly and easily without any high problems because of the great understandings between the political forces, indicating that the talks are on foot And to arrange the meeting positively to complete the rest of the constitutional entitlements.

"The next Tuesday's session, which is dedicated to the vote on the candidate of the Kurdistan forces for the post of President of the Republic expect to pass smoothly and easily without any problems," said Zebian in an interview followed by "Masala", noting that "the passage of the candidate will be very high for the existence of consensus and understandings high-level political forces "He said.

He added that "the passing of the constitutional entitlement to the post of President of the Republic is an important step to move towards assigning the President of the candidate of the largest bloc to form a government and provide his cabinet," pointing out that "the talks are in full swing to arrange the next meeting scheduled next Tuesday to be positive to move to the rest of the benefits" .

The Presidency of the Council of Representatives set on September 25, a date for the session of Parliament to vote on the candidate for the post of President of the Republic. LINK

More than a third of the year holidays .. Legal expert: frequent holidays negatively affect the economy

22nd September, 2018

The financial expert, Safwan Qusay Abdul Halim, that the large number of official holidays in Iraq adversely affect the economic sector, calling for the identification of official holidays by law and compensation by Saturday on Saturday.

"The high number of official and non-official holidays leads to the failure to provide government services on a regular basis, entangles work, creates momentum on normal working days, and increases the already fixed costs invested in government capital to the number of actual working days," said Abdel Halim. Cost per day. "

He added that a law on public holidays was supposed to be issued with compensation for public holidays through official working hours on Saturday.

According to the law passed by the Iraqi parliament, there are 150 official holidays in Iraq, more than a third of the year. The law also allows some provinces with religious specificities - Karbala, Najaf and Kadhimiya - to take their own holidays. LINK

What is the vision of the new government to explore the future of Iraq economically ?

23rd September, 2018

Although Iraq is the ninth richest country in the world with its natural resources - oil, natural gas, mineral materials, water availability and land fertility - these resources are not exploited because of financial corruption, administrative confusion and planning failure.

It goes beyond the role of economic planning in calculating growth rates to the future, ie, how can the economic and social situation after a certain period of time? What are the obstacles to achieving this vision? In this context, the objectives that the government must strive to implement are determined so that the vision can be realized and the necessary financial resources and efforts will be monitored.

Iraq faces great economic challenges, the most important of which is: the economic stagnation and lack of funding, which caused an open economic crisis and serious economic and political repercussions. The year 2000 witnessed crises and repercussions that negatively affected directly the sectors of the state and the people. The debt and debt rates, which have formed a new crisis may be reflected on the country in the future, as the debts of Iraq have worsened and continue to increase over time, the government does not develop real solutions to avoid crises that will remain the effects of the passage of generations, the distribution of debt between borrowing and arrears, Ministries and others. The poverty rate has increased, and the productive and service sectors have deteriorated steadily until agriculture contributes no more than 5 percent, the industry has less than 1 percent of GDP, and the only sector the government has been able to develop is the oil sector.

The companies of the Ministry of Industry were filling the largest proportion of the need of the domestic market until the year two thousand and three, and successive governments tried to rehabilitate and spent a lot for this purpose, but there seems to be opposition from the beneficiaries of continued reliance on imports.

Economic development plans that Iraq can take as a model:

Malaysia. It may be appropriate to refer to the experience of Malaysia when Mahathir Mohammed became prime minister in 1981 and the country was poor and underdeveloped (52%) of the population below the poverty line. The per capita income does not exceed $ 1200 per year. He had a vision of the future of Malaysia twenty years later, and when his rule ended, it was established in Malaysia (50,000) factories in the field of electronics and manufacturing, and the proportion of people living below the poverty line to only 5% 5200) dollars, leaving a large stock of foreign currency to his country, and in exchange for this success story, there are a lot of Developing countries that have been in a vicious circle, not only because of the scarcity of financial resources, as is usually said, but also because there is no clear vision of what the government is trying to achieve.

The Iraqi government has implemented two plans for the economic development period (2010-2017). The Iraqi Council of Ministers announced the third five-year plan for the period 2018-2022 and the government is seeking to adopt the so-called 20-year development plan. The Iraqi Minister of Planning, Salman Al-Jumaili, confirms the National Development Plan (2018-2022) prepared by the Ministry, which represents an important step towards launching the broader national development in the framework of the sustainable development journey, according to the vision of Iraq (2030) Mainly on human and social capital, the economy of the people and the provision of services at the lowest cost.

The plan paves the way for the building of a future state by addressing the challenges and objectives set out in Vision 2030 and providing new opportunities for growth, especially with continued international and regional support for Iraq.

The new Iraqi government should design economic plans to explore the future of Iraq's economy, in cooperation with all ministries, and the participation of all sectors, to promote the painful reality, to eliminate poverty, unemployment and underdevelopment and all economic problems and their impact on Iraqi society.

The plan should start by saying that it wants to see at the end of the five years the increase in the contribution of the national, Arab and foreign private sector in the total investments of the plan by 40% or more, And identify the sectors that want to go to Arab and foreign investments, and then identify the obstacles that stand in the face of raising this contribution, the most important of which is security and corruption, which hinder foreign investment in the country.

Among the tasks of the plans to improve the economic and social reality are also the reconstruction of the provinces, alleviation of poverty, the promotion of the sectors of agriculture, industry, electricity, health and tourism, reaching an economic growth rate of 7% annually,

The plan also aims to increase partnership with the private sector, and to invite it to contribute up to 40% of the total investments of the plan for five years. Here we must mention the efforts exerted by the sector alone during the past years, the sector that was able to achieve successes and development and raise the level of production and operation of drilling stations and rehabilitation of oil fields and achieve development, the oil sector. Agriculture still accounts for less than 5 percent of GDP, and industry accounts for less than 1 percent of GDP, reflecting higher levels of poverty than before, while other productive and service sectors are declining.

The role of the private sector:

The private sector is very important for the advancement of the economy in all its forms, as it will attract money to invest in industry, agriculture and services. For its part, the government must reform the "state bureaucracy" to facilitate laws and procedures for the implementation of infrastructure projects and to facilitate the activity of the private sector. To increase the contribution of the private sector to development and to benefit from Arab and foreign investments, the return of Iraqi capital migrations, and to reduce or even end the debt, it should focus on its vision of the plan on how to increase private investments, Of the plan's need for funding.

Even if a percentage of less than 40% is achieved by the end of the plan period, this is not considered a failure. Rather, the plan has put this vision on track, and when the contribution of the private sector to investment and production increases and conditions for its activity improve, Economic growth in non-oil sectors, per capita income, low poverty, and increased non-oil government resources. But all of this and more positive results depend on the government's goodwill and efforts to establish security and fight corruption.

The chances of success will be favorable after Iraq rid itself of terrorism. Today, it adopts the philosophy of sustainable development building, building strong partnerships with the national private sector and benefiting from international support, economically and politically, with the unified national political will that will provide a more stable environment. To implement the development policies that enable us to activate successful economic alternatives, leading to a multi-national economy, not a unilateral one.

The Iraqi street, the simple citizen, looks with caution, anticipation and fear, from the formation of the new Iraqi government, will it be like its predecessors? Or will it save Iraq from the bitter reality it is experiencing at all levels? We will monitor events .... LINK