The government’s budget decisions have faced political criticism, especially over its move to devalue the Iraqi dinar against the US dollar to increase revenues and deal with the financial deficit. Critics are questioning why the government is trying to reduce spending while also adding new financial burdens through permanent appointments and the conversion of contract workers into permanent employees.
Mohammed Ibrahim, a former member of the parliamentary Finance Committee, told dinaropinions.com that there are serious questions about the government’s decision to devalue the dinar to bring in more money while the country is already facing a budget deficit and a shortage of cash. He questioned why the government is creating new jobs and approving appointments under these financial conditions.
Ibrahim said that giving contract workers permanent positions does not automatically increase government income or improve the economy. He pointed out that keeping some employees on contracts is a common practice in other countries and can work well when those employees are productive.
He added that approving new permanent appointments while changing the exchange rate creates clear contradictions in the government’s financial plans. He questioned how the government can deal with its cash shortage and reduce the deficit while adding more salaries and expenses to an already strained budget.