“Tidbits From TNT” Sunday 10-15-2023

TNT:

CandyKisses:  China hosts representatives from 130 countries at New Silk Roads Forum

Economy News – Baghdad

Russian President Vladimir Putin arrives in China next week to meet his counterpart Xi Jinping and strengthen ties with his strategic partner.

The Chinese capital will host representatives from 130 countries, including the Russian president, on October 17 and 18 for the New Silk Roads Forum, which will mark the tenth anniversary of the launch of this mega infrastructure project.

The plan, officially dubbed the Belt and Road, aims to improve trade links between Asia, Europe, Africa and even further afield, by building ports, railways, airports and industrial parks

CandyKisses:  Erbil: Withdrawing the dollar via ATM machines stopped by a decision of the Central Bank

Erbil – 964

A number of Erbil residents were surprised, on Saturday, by the stopping of the ATMs, which were designated for withdrawing US dollars, in several areas, including the “Empire” complex, which witnesses a large presence of foreign expatriates.

964 Network Banking Source:

We are committed to the Central Bank’s decision issued 3 months ago, which prevents banks from granting dollars via ATM machines, and we have observed a commitment from other banks.

964 Network sources :

There are banks that still issue dollars via ATM machines, and they are subject to stopping at any time.

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CandyKisses:  Saleh: The economic reform law is a complementary element to promote wealth produced from outside oil wealth

{Economic: Euphrates News} The financial and economic adviser to Prime Minister Mazhar Muhammad Saleh, on Sunday, that the issuance of the economic reform law is a complementary element to the advancement of wealth produced from outside the oil wealth

Saleh told Al-Furat News: “The Iraq Fund for Development, which was approved as a system based on the government curriculum, will work in an important part of its functions and objectives to draw mechanisms consistent with the management of internal sovereign wealth funds.”

He added: “What can be expected from the importance of the issuance of the economic reform law, which will be the complementary element to the management of the country’s material and human resources in the framework of promoting the wealth produced from outside the oil wealth.”

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Tishwash:  Stability in the exchange rate is achieved through comprehensive financial and banking reform

In light of our follow-up to the measures of the Central Bank and the government to control the stability of the exchange rate, we clearly and accurately noticed that there is an organized lobby working against achieving monetary stability, led and implemented by multiple parties linked to speculators and corrupt people who have a special agenda to weaken the national economy and harm it by fabricating news, media statements and economic analyses.

It is incomplete and transforms it from news that reassures the market and citizens into news that confuses the market and creates panic among citizens, and this is what is actually happening now.

Which requires clarification here. Almost ten years ago, especially after the financial and security shocks in mid-2014, the culture of relying on the Central Bank to confront economic and financial crises and challenges took root.

This was done by using its means and tools for monetary policy to overcome the government’s lack of liquidity, its inability to pay salaries, and the failure to implement… Its government programs rely on foreign monetary reserves, which in reality are not the government’s reserves, but rather the central bank’s reserves to control the stability of the exchange rate according to the target, cover the local currency in circulation, and cover imports.

Because of these accumulated crises, the central bank was previously forced to lend to the government up to 46 trillion dinars during the past years. None of it has been paid so far, which has reflected in this policy exposing the national economy to complex problems.

 The solution is always the central bank, and it is also held responsible for the problems of other concerned parties, and this is not its primary role, as it is not responsible for the deficit in non-oil revenues, the deficit in the balance of payments, and the deficit in… The trade balance is not responsible for the rise and fall of global oil prices.

Therefore, the obligatory cash reserve rose and fell due to these wrong policies that were not based on clear and specific economic strategies and approaches. 

Therefore, the return of stability in the exchange rate to its rates targeted by the Central Bank is achieved with the support of the concerned authorities in the government by activating other productive sectors and reforming the financial and banking sector. 

And drawing up clear financial policies and in coordination with monetary policy and its currently approved applications and tools, and overcoming the challenges of achieving economic stability, which means achieving stability in the financial system and the monetary system. This is not only the duty of the central bank alone, but rather it is a fundamental duty of financial policy and the government’s methodology in managing the economy and activating sources of national income without Oil, supporting, protecting and encouraging local production, activating dealing in the Iraqi dinar in all internal monetary trading activities, and expanding the use of electronic payment methods whenever possible.

The expectations of the Central Bank and specialists that the exchange rate will return to a stable state requires time, which we hope will not be long, despite the daily and new procedures adopted by the Central Bank in issuing packages and instructions and taking daily executive measures for the purpose of finding facilities and openness to all segments that need the US dollar in foreign transactions at the official rate.

He concluded a series of negotiations and agreements with the US Treasury, the US Federal Reserve, and some international correspondent banks to regulate foreign trade with China, India, Europe, the Emirates, and Turkey, and to adhere to the standards of international banking transactions.

We affirm that the criterion adopted and confirmed by the Central Bank and specialists in achieving this is the availability of cash reserves of foreign currency exceeding 100 billion dollars and the continued flow of dollar revenues from oil sales on a daily basis in accordance with the quantities planned to be marketed in 2023 and at the prices of the product that are expected to continue at their current limits, or as energy experts expect that Prices exceed $100 at the end of this year   link