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IRAQ | Economy

by elusive
please post any Iraqi Stock Exchange, oil sector, any other economic news here...
in topics:

  • CBI sells $737 million this week

    May 21, 2010 - 11:29:16
    BAGHDAD / Aswat al-Iraq: The Central Bank of Iraq (CBI) dollar sales in auctions for this week increased slightly to $737.394 million compared to $735.659 million last week.
    “The demand hit $26.760 million in cash, covered at an exchange rate of 1,183 Iraqi dinars per dollar, compared to last week’s $34.230 million, while foreign transfers outside the country registered $710.634 million, covered at an exchange rate of 1,173 Iraqi dinars per dollar, compared to last week’s $701.429 million,” according to a CBI news bulletin received by Aswat al-Iraq news agency.
    None of the banks that participated in this week’s sessions offered to sell dollars.
    The Central Bank of Iraq runs a daily auction from Sunday to Thursday.
    SH (P)
    - elusive, 4 years ago
  • Oil ministry achieves $1 billion surplus in 2010

    May 21, 2010 - 08:23:35
    BAGHDAD / Aswat al-Iraq: Oil revenues in the first four months of 2010 reached $17 billion, exceeding by one billion the general budget’s expectations, spokesman for the oil ministry said on Friday.
    “The oil ministry has exported 222.7 million barrels during the first four months of 2010, which achieved $17.218 billion with an average price of $75.6 per barrel,” Essam Jihad told Aswat al-Iraq news agency, pointing out that the ministry achieved a financial surplus of one billion dollars.
    Jihad had said last Tuesday that Iraq’s revenues from oil exports in April have reached more than $4 billion after exporting 53 million barrels.
    “The oil ministry has made $4.222 billion from exporting 53 barrels last month,” Jihad said, noting that the average price per barrel reached 79.66 dollar from the Basra oil.
    He said that Iraq had achieved $4.351 billion from exporting 57.1 million barrels last March.
    SH (P)
    - elusive, 4 years ago
  • ISX down by 0.4% in first session this week
    May 23, 2010 - 02:04:43

    BAGHDAD / Aswat al-Iraq: The Iraqi Stock Exchange (ISX) index went 0.4% down in the first session this week to close at 93.7 points as rates of shares of 21 out of a total 37 traded in the national capital market decreased.
    Sunday’s session saw more than 535.357 million shares exchanging hands at 693.405 million Iraqi dinars through 153 deals with non-Iraqi investors grabbing seven purchase deals worth 18.4 million dinars over the banking, industrial and hotel sectors.
    Thirty-seven out of a total 84 electronically-registered companies traded shares during today’s session, 21 of whom went down, four up while 12 retained their previous rates.
    The banking sector took the lead with 70% of the overall trading through 49 deals worth 490 million dinars over 11 firms, followed by the hotel sector with 20% through 24 deals worth 131 million dinars over five firms, the industrial sector with 6% through 48 deals worth 46 million dinars over 13 firms and a poor trading over the service, investment and agricultural sectors.
    The ISX witnessed its first E-trading session on April 19, 2009 over five registered companies, three banks and two hotels. The banks were: Ashur International Bank (AIB), Al-Mansour Bank and the Iraqi Credit Bank while the hotels were: Ashtar Hotel and Al-Mansour Hotel.
    On June 7, 2009 the Iraqi Middle East Investment Bank and the Warka Bank joined the electronic trading sessions.
    The ISX now holds five sessions from Sunday to Thursday.
    AmR (S)
    - elusive, 4 years ago
  • I don't think many people follow the ISX at this point. It's still very small, and doesn't even exhibit market behaviour due to its size. not to mention insider trading and market manipulation issues.

    But I do think the situation will change once the economy gains traction, and more companies start listing on the ISX
    - BigDreamer, 4 years ago
  • Iraq May Maintain Growth of 7% This Year

    May 21 (Bloomberg) -- Iraq may maintain an economic growth rate of about 7 percent this year, led by oil, Central Bank Governor Sinan Al-Shabibi said.

    Growth was about 7 percent as well in 2009, al-Shabibi said in an interview yesterday at an economic conference in Beirut. “Of course oil output is still the main driver,” he said.

    Iraq holds the world’s third-largest oil reserves, with 115 billion barrels, behind Saudi Arabia and Iran. The International Monetary Fund said it expects the economy of Iraq to expand 7.3 percent this year and 7.9 percent in 2011.

    IMF and Iraqi authorities are projecting average production of 2.6 million barrels of oil per day with exports of 2.1 million barrels a day this year. Next year, the projections are for output of 2.9 million barrels a day and exports of 2.3 million a day.

    The central bank cut its key interest rate by 1 percentage point to 6 percent in April to fuel growth.

    Al-Shabibi said the bank has received requests from “six or seven” lenders seeking to set up units in Iraq or a partnership with existing banks in the country.

    “We look favorably on any application,” he said without elaborating
    http://www.businessweek.com/news/2010-05-21/iraq-may-maintain-growth-of-7-this-year-central-bank-says.html
    - BigDreamer, 4 years ago
  • I don't think many people follow the ISX at this point. It's still very small, and doesn't even exhibit market behaviour due to its size. not to mention insider trading and market manipulation issues.

    But I do think the situation will change once the economy gains traction, and more companies start listing on the ISX

    yeah i agree, also when the dinar is revalued, things will change dramatically.
    - elusive, 4 years ago
  • yeah i agree, also when the dinar is revalued, things will change dramatically.

    you mean devalued, as the plan is.

    since the last government gave too many pay rises to state employees (denominated in IQD), the only way to claw that back and have some funds for capital projects (like rebuilding the country, for example) is to DEVALUE the salaries of all state employees.

    a straight pay cut will result in revolt.

    so devaluation is the only way.

    I bet this will make all the thousands of unfortunate foreign "dinar hoarders" cry. but its the economic reality. - these misguided souls based their entire "dinar game" on what happened in Kuwait, completely ignoring the 180 degree difference in the economies of the two countries...
    - sheytanElKebir, 4 years ago
  • ^^ by devalued do you mean the dinar would be worth more in terms of the US but worth less than it is now for the iraqi people and investors?
    - elusive, 4 years ago
  • ^^ by devalued do you mean the dinar would be worth more in terms of the US but worth less than it is now for the iraqi people and investors?

    what I mean is that currently the Dinar is about 1175 to the dollar. and prudent economics means that the government will want to make it around 1500 to the USD. The central bank is lowering interest rates as we speak. So anyone who bought into dinars at 1400 with some hallucination that for some unbeknown reason the government was going to blow away tens of billions of dollars to bring it up to parity with the USD in effect giving those tens of billions of dollars to these amateur speculators.

    thats the entire basis of the silly "dinar investments" and some iraqi banks have encouraged foreign amateurs by having "dinar" forums and spreading all kinds of nonsense about "revalue and give you $1000 for your one $1 invested!". Top of the guilty, of course are no other than the perpetually crooked and terrorist funding Bunniyas via their warka bank and various forums on the internet. the less said about the bunniyas and their long term destabilisation of iraq via the wholesale use of bribery in government contracts going back 3 decades (and in effect they were the initiators of the "corruption culture" prevalent in Iraqi government contracting).

    they should have their citizenship revoked and shipped back to Pakistan after a few decades of hard labour in nigret al salman.
    - sheytanElKebir, 4 years ago
  • I posted this comment first on the thread about the opening of the Erbil Rotana hotel. But I think its relevant to this thread:

    I saw today the announcement of the imminent opening of a Rotana brand hotel in Erbil, and more such hotels in Baghdad and other parts of Iraq being under construction. - What made me sad however is the naive gloating of the Iraqis about this "achievement".

    I hope that one day we can establish a large "Iraqi brand" hotel with a portfolio across Iraq and the world and listed on the Baghdad stock exchange.

    For the moment, these international hotels are repatriating all profits out of Iraq. if we don't have local companies with taxes/iraqi listing we will go down the route of the "new" EU states who end up asset stripped.

    Kurdistan should set up its own large "hotel group" to manage tourism projects locally by pooling both government and private equity in a (local) exchange listed company... By combining government shareholding as well as private management and public listing the Iraqi/Kurdish hotel group can ensure that it operates efficiently in a market economy, focuses on customer service and pays its taxes and dividends to the Iraqi treasury and Iraqi stock holders!

    This point applies to all aspects of Iraq's economy, not just hoteling. I am seeing today in Iraq exactly what happened in eastern europe after 1990. Today they are all simple cheap employees for large foreign companies that are tax exempt (the east europeans then, like the iraqis today, were desperate for foreign "investment" and gave ludicrous incentives to the western companies), and simply pay pittance salaries to locals whilst reserving all highly paid positions (of which there are very few) to their own nationals - meaning very little trickle down to the average citizen.

    I can unfortunately already envisage iraq in about 2025 where all the citizens are heavily in debt, surviving day-day with no savings and the treasury being almost bankrupt, whilst the country is full of grandiose hotels and malls - all foreign owned - with the BSX still being a joke and very little iraqi intellectual or monetary capital in the private sector.

    Iraq needs to make sure that:
    -they focus on having only one stock exchange - since we can't have the ludicrous fragmentation of having multiple exchanges like some people are calling for now.
    -creating a "development fund for iraq" from the oil proceeds which are distributed as shares per capita to every citizen, which is redeemable by their next of kin on death only. during their lifetime, the citizens receive an annual dividend that can be collected as "tokens" to purchase products and services from any one of the group of companies that the "development fund" is invested in.
    -having this development fund invest in joint ventures with foreign and local entrepreneurs in both "established" businesses like:
    franchising supermarkets/chains/restaurants,
    setting up new local chains in the retail sector,
    investments in construction and aggregates manufacturing
    creating a "public private" integrated transport and shipping company with international reach.
    Integrating Iraq's current state industries inside the fund including the Oil companies
    The fund should own a maximum of 51% of shares in any company, with the rest of the shares openly traded on the BSX. Iraqi and foreign citizens and establishments can buy shares from this portion of the fund.
    Bonds and Debt can be raised from both voluntary "dividend reinvestment" by shareholders or on the international debt markets.

    A large part of the fund should be set aside to fund "early phase" local companies and new technologies in:
    -Renewable energy
    -Farming and irrigation
    -Water desalination
    -Forestation / ecology
    -Bio-Chem industries
    -Information and Communications Technology
    -Construction technology developments
    -Other innovative / new industries where Iraq has a potential commercial advantage


    In terms of "assets and Cash" The Iraqi government has at its disposal, as of today the following:
    $120Bn in cash in foreign banks and the Central Bank reserve
    $150Bn asset value of the 250 state companies (including the oil companies)

    at a 51% shareholding in the entire fund can be worth approximately $550Bn as of 2010 with no gearing.

    Such a fund will have both the assets, capital and ability to raise debt similar in size to most "sovereign wealth funds" around the world and would ensure that EVERY Iraqi citizen receives his share of the divindend annualy, and upon their death, their next of kin receive the value of those shares in "tokens" usable to purchase any product or service from a "Iraqi development fund" invested company around the world.

    New born citizens receive an allocation of shares from a percentage of dividends which are not distributed to shareholders - ensuring no dilution of sharevalue or "pyramid" effect.

    The above shareholding means that the government no longer has to support the ration programme for 80% of the population.
    - sheytanElKebir, 3 years ago
  • Iraqi Kurdistan oil output 'could hit 200,000 bpd this year

    NICOSIA, — Iraqi Kurdistan could raise oil production to 200,000 barrels per day by the end of 2010 and hopes to resume crude exports, the autonomous region's energy minister was quoted as saying Friday.

    "Volumes could be quickly ramped up to 100,000 bpd and hit 200,000 bpd by year end," Natural Resources Minister Ashti Hawrami told the Middle East Economic Survey (MEES) in its edition to appear on Monday.

    Iraqi Kurdistan halted oil exports -- of about 60,000 bpd, through a pipeline to neighbouring Turkey -- in October last year due to a payment dispute with Baghdad.

    On May 18, the federal cabinet approved a draft deal hammered out by Hawrami and Iraq's deputy oil minister
    KRG Minister of Natural Resources Dr. Ashti Hawrami
    for upstream Abdulkarim al-Laibi that would allow investors in the Kurdish region to be paid for costs and could pave the way for exports to resume.

    But Hawrami stressed the deal with the central government was only provisional until a wider oil agreement is reached, adding Iraq's political deadlock after inconclusive March elections was an obstacle.

    "I am optimistic, but as you know we are in the process of forming a new government in Baghdad, so there is a question over whether they will give the issue the attention it requires," Hawrami told MEES.

    "We all need this. Iraq needs the revenues."

    Companies exploiting Kurdish oil fields, which currently produce about 20,000 bpd, include Norway's DNO, Turkey's Genel Energy and state-owned Chinese firm Sinopec.
    - kurd123, 3 years ago
  • Iraqi economist: decline of Euro will give Iraqi Dinar a major boost

    Economist Basim Abdul-Hadi, confirmed that the decline of euro in global markets will have a positive and negative impact at the same time on Iraqi economy.

    Abdul-Hadi said that the positive impact is the fact that all of Iraq's foreign reserves are in US dollar, adding that the price of the dollar against the depreciation of euro will increase the purchasing power of the dollar, which will result in importing more goods through foreign swap and exchange prices, with the same purchasing prices especially goods from European Union.

    The negative impact of the decline of euro is the effect on the price of oil, though the barrel of oil is priced in US dollar, but the link between the dollar and euro as two major currencies in the global economy, leading to the possibility of lower oil prices which affects Iraqi oil exports.

    He noted that the decline of euro is not sharp, pointing out that the treatment methods pursued by the European Union are promising, through pumping subsidies of 120 billion dollars.

    Adding that we are waiting for the impact of actions taken by the European Union and it’s reflect on the global economy and oil prices generally, because the long-term decline in oil prices (below normal rates) would affect the Iraqi budget.
    http://www.iraqdirectory.com/DisplayNews.aspx?id=12678
    - BigDreamer, 3 years ago
  • ISX index up 0.4%, closes at 93 points

    June 1, 2010 - 12:22:07
    BAGHDAD / Aswat al-Iraq: The Iraqi Stock Exchange (ISX) index went up by 0.4% to close at 93 points as rates of shares of 11 out of a total 29 firms traded in today’s session saw better time.
    Tuesday’s session saw more than 395.378 million shares exchanging hands at more than 563.872 million Iraqi dinars (roughly $482,000) through 249 deals, with non-Iraqi investors obtaining 37 purchase deals worth 46.7 million dinars over the banking and industrial sectors and three sale deals worth 5.5 million dinars over the industrial sector.
    Twenty-nine out of a total 85 electronically-registered companies traded stocks today (June 1) with 11 going up, eight down and 10 retaining their previous rates.
    The banking sector took the lead with 56% of the overall trading through 98 deals worth more than 316 million dinars over 10 firms, followed by the industrial sector with 29% through 101 deals worth 163 million dinars over nine firms, the hotel sector with 6% through five deals worth 35.9 million dinars over three firms and a poor trading over the service, agricultural and investment sectors.
    The ISX witnessed its first E-trading session on April 19, 2009 over five registered companies, three banks and two hotels. The banks were: Ashur International Bank (AIB), Al-Mansour Bank and the Iraqi Credit Bank while the hotels were: Ashtar Hotel and Al-Mansour Hotel.
    On June 7, 2009, the Iraqi Middle East Investment Bank and the Warka Bank joined the electronic trading sessions.
    The ISX now holds five sessions from Sunday to Thursday.
    AmR (S)/SR
    - elusive, 3 years ago
  • US filters banned nationalities working in Iraq
    Nepal lifts ban on travel to Iraq to save jobs


    Iraq/Nepal (Agencies)

    Thousands of Nepalese workers in Iraq will be able to keep their jobs after the government lifted a ban on travel to the war-torn country, the employment ministry said on Thursday.

    The workers risked being sent home after the US government directed all companies it employs in Iraq to dismiss anyone working there illegally.

    "The government has taken this decision to protect the interests of thousands of Nepalese migrant workers in Iraq," ministry spokesman Purna Bhattarai said.


    Nepal banned its nationals from working in Iraq after 12 Nepalese contractors were kidnapped and executed by an Islamic militant group in 2004.

    But the government estimates that up to 30,000 may be working there illegally, mostly as security staff, attracted by the comparatively high pay on offer.

    Thousands of Nepalese leave the desperately poor country every month to seek employment abroad, mostly in Gulf countries and Malaysia.

    Last year, remittances from overseas workers accounted for 21 percent of the country's gross domestic product.


    Many nationalities work illegally in Iraq despite the ban

    The U.S. military said Wednesday it is clamping down on contracting firms on American military bases using employees whose home countries ban travel to Iraq, raising questions about why the contractors were allowed to work in the country for so long despite the ban.

    Philippine’s citizens have been banned since 2004 from traveling to Iraq after insurgents threatened to behead a Filipino truck driver, and officials in the Philippines say they have repeatedly asked the U.S. and other countries to respect their ban.

    Despite the ban, many citizens from the Philippines still make the journey to Iraq, joining the tens of thousands of contractors.

    U.S. Col. Richard E. Nolan, of the military's contracting office in Iraq, said the military is investigating the firms' work forces.

    Nolan says companies would have 20 days to outline a plan for ensuring their work force conforms with regulations. There is no immediate timeline for when the workers would have to leave the country.

    "We want to make sure that we give contractors enough time to do that so that it doesn't impact our mission out here," said Nolan, who arrived in Iraq about two weeks ago.

    Nolan said the issue came to light when he received information that at least eight contractors had been left behind by their employers. When the military began trying to repatriate the eight contractors, they discovered that four were from countries that banned travel to Iraq.

    News of the clampdown was first made public by the Ms. Sparky website, which bills itself as being run by an American former contractor in Iraq and often covers issues related to contractors working with the U.S. military.

    The website posted a memo written by Nolan outlining concerns about the contractors that had been left behind and setting a 20-day timeline for compliance. Nolan authenticated the contents of the memo to The Associated Press.

    When asked why there were contractors in the country whose home countries have banned travel to Iraq, the U.S. military press desk said in a statement: "Many Third Country Nationals (TCNS) were employed as contractors to support the war effort in Iraq before travel bans were put in place ... The U.S. government continuously inspects our contractor work force to ensure they are in compliance with contract terms and conditions."

    According to the press desk, no disciplinary actions have been taken against the contracting companies.

    http://www.alarabiya.net/articles/2010/07/29/115140.html
    - MKTJ, 3 years ago
  • Releasing cash to banks reinforces economy – banker

    August 28, 2010 - 10:35:39
    BAGHDAD / Aswat al-Iraq: The decision of the Central Bank of Iraq (CBI) to release 5 percent of cash reserves is a step toward reinforcing the role of the private sector in the Iraqi economy, a banker said on Saturday.
    “The amount was semi reserved without taking advantage of it,” the banker told Aswat al-Iraq news agency.
    He explained that the cash will improve loaning, credit, and letters of credit.
    “Having cash in banks will also improve daily banking services,” the banker added.
    MH (P)/SR
    - elusive, 3 years ago
  • Iraq's core inflation falls to 1.7 pct in July

    Iraq's core inflation continued to slow in July, dropping to an annual rate of 1.7 percent from 2.7 percent in June, a central bank official said on Monday.

    The bank gave no immediate explanation for the fall in core inflation, which excludes expenditures on fuel.

    The oil sector accounts for more than 95 percent of government revenues in Iraq, which is now pulling out of years of sectarian violence following the 2003 U.S.-led invasion.

    Outside of oil, private investment has lagged despite a sharp fall in overall violence in the past two years and ahead of a full U.S. military withdrawal in 2011.

    To spur investment and economic growth outside of the oil sector, the central bank has relaxed monetary policy and tried to encourage banks to lend.

    The central bank last week said that from Sept 1 it will cut commercial banks' reserve requirements to 15 percent from 20 percent. In April it cut its key interest rate by 100 basis points to 6 percent due to subdued inflation.

    Iraq's economy remains largely disconnected from the global financial system, and the bank's policy rate is more symbolic than effective as there is little credit, few Iraqis keep savings in bank accounts, and only a handful of banks buy central bank and government-issued notes.
    - BigDreamer, 3 years ago
  • Iraq's new budget puts deficit at $18.6bn
    Baghdad: 4 hours and 11 minutes ago

    Iraq's proposed 2011 budget runs a deficit of 22 trillion dinars ($18.6 billion) and assumes oil exports of 2.4 million barrels per day, Deputy Finance Minister Fadhil Nabi said on Sunday.

    The ministry last month proposed a budget of 102 trillion dinars ($86.4 billion) based on a world oil price of $70 a barrel.

    "We've sent the budget to the cabinet. We are waiting for them to discuss the issue," Nabi said. "Possibly during this week the economic committee will hold a meeting and discuss the budget."

    The government, which is trying to rebuild Iraq after years of war and sanctions, is dependent on oil revenue to fund about 95 percent of its budget.

    The Opec producer has signed deals with global oil firms that could boost its output capacity to 12 million barrels per day in six to seven years from the current 2.5 million a day, potentially rivalling top Opec producer Saudi Arabia.

    The assumed exports of 2.4 million bpd next year would represent a significant boost. Iraq's exports in September were 2.021 million bpd.

    The International Monetary Fund approved a disbursement of $741 million to Iraq on Oct 1 under a $3.7 billion loan program and commended the government for maintaining macroeconomic stability in the face of difficult security conditions.

    It said Iraq's budget was likely to swing into surplus in 2012 based on conservative assumptions for oil prices and exports.

    The budget must be approved by the cabinet and then by parliament. Iraqis elected a new parliament in March but no political bloc won enough seats for a governing majority. Politicians have been squabbling over the formation of a new government since then, and parliament has not been sitting regularly.-Reuters
    - sheytanElKebir, 3 years ago
  • Baghdad trade fair great chance to attract global companies – ministry

    October 12, 2010 - 07:37:17
    BAGHDAD / Aswat al-Iraq: The Baghdad International Trade Fair is a great chance to attract several global companies to get investment opportunities in Iraq, the trade ministry said on Tuesday.
    “The Fair, which will be held next month, will be a massive gathering of several global companies to win investment opportunities in Iraq,” the media office of the trade ministry told Aswat al-Iraq news agency, noting that the fair represents a message to these companies to be sure that the situation in Iraq now is safe and stable.
    “The fair will be an occasion to launch a commercial initiative to turn Iraq’s central markets into malls, ” it said, noting that the ministry started the first step in this direction in the al-Mansour central market in Baghdad.
    SH (P)
    - elusive, 3 years ago
  • ^^ is that the mansour mall that you were referring to in another thread Elusive?
    I still haven't figured out where this mysterious big mall in mansour is :lol:
    - BigDreamer, 3 years ago
  • ^^ is that the mansour mall that you were referring to in another thread Elusive?
    I still haven't figured out where this mysterious big mall in mansour is :lol:

    lol no i was referring to the mall from the Baghdad Gate complex at muthana airport, its practically in mansour...they must be talking about another one?
    - elusive, 2 years ago
  • I have a few questions about Iraqs economy:

    they say Iraq got worlds 3th largest oil resources and a lot of gas to. Small and big neighbour country's of iraq (and country's close to Iraq), like Sauoiedie-Arabyiea (sorry don't know how to spell it), Kuwait, Qatar and the UAE are very, very rich. Stronger then that; the UAE, Kuwait and Qatar belong to the worlds richest country's. Their economy is for the greater part based on oil and gas. But why is Iraq not rich like those country's?
    On wikipedia there is a list of country by GDP and Iraq is placest 110th of 180 country's, while Qatar is in the top 3!

    WHY!?
    And why is the GDP just 112 billion, that is nothing for a country with 31 million people!
    I think is very strange that a country with that much oil and gas like Iraq is so poor..
    GDP just $2000,- thats about €1450 per year per person!
    The GDP of Qatar is €5300 per MONTH per person! They make almost 4 times more money in one month, what an Iraqi is making in a whole year! Why!? Iraq got much more oil and gas then Qatar!

    1-oil production per capita (iraq has a much larger population than the examples you mentioned).
    2-Money velocity in the economy
    3-Capital flight (money drain out of the country to neighbouring countries)
    4- wars for 3 decades (that does do some small damage...)
    5- dilapidated industries and infrastructure that doesn't support economic growth or employment
    6-large informal economy and lack of accurate statistics in iraq which results in an underestimate of GDP.

    those are the most important points. Iraq (if it stays united) will certainly never reach the kind of income per capita that Qatar with its sub 1M population has. NEVER.

    Yet Iraq does have a realistic chance of getting an income per capita similar to Saudi Arabia / Turkey / Iran.

    if iraq splits up, then Basra can certainly compete with Qatar for title of the richest country on earth, the rest of Iraq will be lucky to match Armenia or Georgia.
    - sheytanElKebir, 2 years ago
  • But why is the GDP in the north much higher then the average GDP income of Iraq?
    (North $9.000 - $10.300 and average $2.000). Only my grandmothers pension is about $2.000 :S (we live in the north, dont know how the pension and other incomes outside of work is in the other parts of Iraq).

    1-unequal distribution of oil wealth
    2-safe area causing "capital flight" from the rest of Iraq to KRG
    3-safe area causing many foreign companies to put their iraqi offices there.

    all the above together increases money velocity massively which causes exponential increase in GDP. http://en.wikipedia.org/wiki/Velocity_of_money

    also the difference isn't quite as high as you make it, it is perhaps double the iraqi average in KRG, which is in line with the differences in income + capital inflows vs capital flight.

    The main reasons KRG achieved these are :
    -efficient security services to make the area safe
    -fast land allocation to foreign investors to make sure investment projects are not delayed
    -disunity between arabs (sunnis/shias) making KRG kingmakers in Baghdad who can get away with "eating their pie and sharing in Iraq's" (ruling themselves, and sharing the rule over the rest of Iraq!).

    Of course Iraq's convoluted political climate, fractured society is the main cause of the retardation in the rest of Iraq, because even with an extra 25% oil income coming to baghdad (if Iraq unilateraly ceded from kurdistan), it would make little improvement to the overall situation in Baghdad.
    - sheytanElKebir, 2 years ago
  • Oke, thnx for the information. But is it possible for Iraq to be as rich as some European country's like Spain, Italy (GDP of $30.000) within 20 years or will Iraq be allways poor?

    And the KRG gets only 17% of the Iraqi money and there are 5 million people in the KRG and 25 million in whole Iraq. So 20% would have been fair...

    KRG gets 17% for itself + it shares in part of the 83% from the rest of Iraq using several methods including reexport of oil meant for local consumption, employment of kurdish officials in Iraq, kurdish ministers and officers in iraq on iraqi budget, as well as using iraqi budget for kurdish projects (like kurdish "cultural offices" in iraqi embassies)... all in all KRG takes about 25% or more of the budget in spite of having about 13-17% of population.

    Iraq may become as "wealthy" as spain within 20 years. but that depends on good economic management which simply does not exist in iraq. Certainly oil production will rise, and subsequently iraq will achieve a higher plateau around $10-$13k GDP p/a but in order for iraq to go higher than that they must use the oil money for energy, farming, industrial development rather than current account payments on salaries/pensions and a few "white elephant" projects like major stadiums, skyscrapers and other idiotic things..


    DISCLAIMER> The above is not the truth just my personal opinion.
    - sheytanElKebir, 2 years ago
  • Big Increase in Iraq’s Foreign Currency Reserves
    Posted on 29 November 2010. Tags: banking, IQD, iraqi dinar

    The Iraqi Central Bank announced recently an increase in its reserves of foreign currency to more than $ 50 billion, up from $ 41 billion at the end of the first half of 2010.
    Mohammed Salih, an advisor to the bank, said in an interview with Radio Free Iraq that this increase is attributable to rising world oil prices during the second half of this year, and added that the rise in reserves would increase the strength of the Iraqi currency.
    A number of Iraqi economists stressed that increasing the size of the Iraqi Central Bank’s reserves of hard currency will not directly affect the local economy, but will serve to strengthen the local currency.
    In this regard, economic expert Dr. Abdul Rahman al-Mashhadani said the strength of the currency “will increase the trust of foreign and local investors by increasing the attraction of investment in Iraq.”


    the arm twisting of the US is glaringly apparent here. Iraq is force to accumulate dollar reserves in order to keep the dinar down (just like the gulf arab states). Meanwhile, the government doesn't have a paltry $1Bn for social security and has a budget of just $250M (over 4 years!) to rehouse the poor.
    - sheytanElKebir, 2 years ago
  • ^^ any news about when the iraqi dinar will be revaluated?
    - elusive, 2 years ago
  • ^^ any news about when the iraqi dinar will be revaluated?

    in my humble opinion this whole internet rumour about "revalue the iraqi dinar" is just a scam on the internet that iraqi banks on the internet use to rip off gulible and greedy foreigners... first and foremost the bunniya owned warka bank (but others too...).

    iraq has a soft peg to the USD... therefore it will continue to accumulate USD reserves. I am not an economist, but my view is that iraq should have a free floating currency, and the central bank's reserves should be filled with "bonds" issued by iraqi infrastructure and industrial firms rather than US dollars!

    Imagine that $50Bn (+ the other $80Bn in the new york federal reserve bank), issued as bonds for Iraqi "joint stock" companies to modernise our industries, farms, housing and infrastructure instead of just sitting there...
    - sheytanElKebir, 2 years ago
  • Posted on 22 November 2010. Tags: IMF, International Monetary Fund, IQD, iraqi dinar

    The International Monetary Fund (IMF) has cited Iraq’s monetary policy as the reason for turning down an Iraqi request for a loan package to reduce its 2011 budget deficit, an advisor to the Iraqi government said on Sunday.
    AKnews reports that despite the IMF’s rejection, talks between Iraq and the fund continue.
    “The IMF… is not satisfied with the current Iraqi financial policy and has urged the government to make extensive changes”, said Abd Hussein al-Jaberi, a member of the board of advisors to the Council of Ministers.
    The IMF has reportedly called for:
    changes at the level of the spending;
    reduction of inflation;
    a plan to encourage the private sector; and,
    a plan to address employment levels in governmental departments.
    The Iraqi Finance Ministry called on the Ministry of Industry and Minerals to work on transforming its subsidiaries into self-financing companies in order to cover the expenses of its employees.
    The Ministry of Planning and Development has said there is a huge workforce in governmental departments.
    “Iraq has promised the IMF to address the monetary issues”, said al-Jaberi, “but talks are still underway between the two sides to come up with solutions”.
    The Iraqi Finance Ministry announced last month the finalization of Iraq’s 2011 draft budget, the majority of which has been devoted to investment. The 2011 budget amounts to US$86.4 billion, up from around US$72 billion last year.
    - sheytanElKebir, 2 years ago
  • ^^ any news about when the iraqi dinar will be revaluated?

    speak of the devil....


    Bloomberg reports that Japanese consumers are being warned about an investment scam selling Iraqi dinar on predictions the currency will surge in value.
    A man in western Japan spent 2 million yen ($25,000) to buy 500,000 Iraqi dinar ($428) after a caller recommended buying the currency because it was expected to gain as much as 30-fold, the National Consumer Affairs Center said on its website. The man, whose attempts to get a refund were unsuccessful, was among more than 200 people who bought the currency, the posting said.
    A quick calculation shows that even a 30-fold increase would still have left the man down 50% on the deal.
    “In most cases, the exchange rate is extremely bad,” Ryota Kato, a spokesman for the center, told Bloomberg by telephone. “And you wouldn’t be able to exchange the dinar back into yen because currently no Japanese The Central Bank of Iraq exchanges 1,170 dinar for 1 U.S. dollar, according to its website, a rate that has been in place since early 2009. An Iraq government spokesman said in April the country has no plans to stop linking its currency to the dollar.
    Kato said the center received 368 inquires about Iraqi dinar in the nine months ended September, compared with four for all of last year. Among the 202 people who said they purchased the currency, the average investment was 3.5 million yen [$44,000].
    “One person spent 20 million yen buying dinar,” said Kato, adding that the elderly have been targeted. Consumers are also advised to take precautions if asked to buy the Sudanese pound, he said.
    “Our organization can’t judge whether these transactions are fraudulent, but you should be very careful when you deal with currencies that have low liquidity,” Kato said. “We’re still getting many inquiries.”
    - sheytanElKebir, 2 years ago
  • Industrial offsets as the way to reconstruct both Iraq's military as well as its civilian infrastructure.

    http://iraqimilitary.org/forums/viewtopic.php?f=10&t=295
    - sheytanElKebir, 2 years ago
  • Oh dear.

    Now we can expect some silly things to start with the donkeys in charge of the Central Bank:
    chopping off three 0,
    printing cash on demand (inflation)
    Interest rate rises
    etc....

    back to the days of the unreliable dinar, with the currency out of the hands of professionals and in the hands of bead sellers (maliki) and social security claimants (the rest of the government).

    Iraq cenbank slams ruling placing it under cabinet


    BAGHDAD | Mon Jan 24, 2011 7:43am EST
    Jan 24 (Reuters) - Iraq's central bank on Monday warned that a court ruling placing it under the supervision of the cabinet, and not of parliament, could expose its international assets to seizure by Iraq's creditors.

    "(The bank's) independence, as stated in the law, was and still is the only guarantee that the Central Bank of Iraq's financial resources outside Iraq are not subject to measures of confiscation and seizure by international creditors," the bank said in a statement.

    Iraq's supreme court last week issued a ruling placing a number of key independent institutions under the supervision of Prime Minister Nuri al-Maliki's cabinet, rather than parliament. The central bank was one of them.


    Iraq central bank slams ruling putting it under cabinet
    BAGHDAD (January 25, 2011) : Iraq's central bank warned on Monday that a court ruling placing it under the supervision of the cabinet rather than parliament could expose its international assets to seizure by Iraq's creditors.

    "(The bank's) independence, as stated in the law, was and still is the only guarantee that the Central Bank of Iraq's financial resources outside Iraq are not subject to measures of confiscation and seizure by international creditors," the bank said in a statement. Iraq still faces war reparations claims from Kuwait for invading the emirate in 1990 under Saddam Hussein.

    The supreme court issued a ruling last week placing a number of independent institutions under Prime Minister Nuri al-Maliki's cabinet instead of parliament. They included the electoral commission and the main anti-corruption watchdog, as well as the central bank.

    Maliki requested a court ruling on the issue before he was reappointed prime minister last month. The decision in his favour alarmed critics who view it as an attempt by the Shia leader to consolidate power as US forces withdraw this year.

    The government said the measure was aimed at clearing up constitutional ambiguities in parliament's oversight of the institutions which had allowed the bodies to be hijacked by partisan political interests. The central bank holds $50 billion in international reserves. Iraq could also face hundreds of millions of dollars in private lawsuits in the United States once it emerges from sanctions imposed by the United Nations.

    Asked whether the government might interfere in the bank's policies, central bank senior adviser Mudher Kasim said, "This is where the danger lies."
    - sheytanElKebir, 2 years ago
  • ^^ this is indeed a very a dangerous development..

    Two vital concepts that Iraqis haven't fathomed yet, seperation of power, and goverment accountablity by having a strong political oppostion..

    This is why I still think our deomocracy is still "in development".. we have a long way to go
    - BigDreamer, 2 years ago
  • oh wow. things are getting done.

    This will cause some short term inflation, but in the long term its only good for our local industries.

    Iraq to raise import tariffs in March
    Text size
    BAGHDAD, Feb 03, 2011 (AFP) - Iraq will sharply raise tariffs in March in the first major reform of its customs regime since the US-led coalition that ousted Saddam Hussein slashed duties, documents obtained by AFP showed on Thursday.

    The new tariffs were detailed in a 794-page document published by the Iraqi finance ministry's public commission of customs, and will come in to effect on March 6.

    The duties, which allow Baghdad to protect local industries as its moribund economy slowly grows following decades of violence and sanctions, range from zero to 80 percent of the value of products being imported.

    Tariffs for rice, sugar and antibiotics will be set at five percent, while duties for cars are 15 percent.

    The detailed list also includes items such as castanets and bayonets, which carry tariffs of 20 percent and 25 percent respectively.

    The law replaces a variety of past regulations, including some dating back to the time of the Coalition Provisional Authority (CPA), the occupation authority charged with administering post-invasion Iraq.

    In Order 12, originally signed June 12, 2003, the CPA suspended tariffs on all products, notably leading to a massive influx of used cars, some of which are still on Iraq's streets today.

    Order 38, signed in September 2003, created a "reconstruction levy" -- a single tariff of five percent on all imported goods except food, medicine, books, clothing and products related to humanitarian assistance or Iraq's reconstruction.

    Receipts from the levy, which was implemented at the start of 2004, were meant to be used "only to assist the Iraqi people and support the reconstruction of Iraq."

    Notable exceptions included products used by the CPA, coalition forces, their contractors and foreign governments.
    - sheytanElKebir, 2 years ago
  • antibiotics !!!!

    what about produce from Syria, turkey, Iran etc.. !! why on earth target antibiotics !
    - BigDreamer, 2 years ago
  • antibiotics !!!!

    what about produce from Syria, turkey, Iran etc.. !! why on earth target antibiotics !

    they haven't targetted anti-biotics. the tarriffs remain at 5% (as before).
    - sheytanElKebir, 2 years ago
  • Iraq Expects $30bn Investment in 2011

    02 February 2011. Tags: National Investment Commission, NIC
    Iraq expects private investment in its economy to triple to $30 billion [36 trillion Iraqi dinars] this year, as energy, agriculture and housing projects accelerate now that the country has formed a new government, a senior government official said on Tuesday.

    Investment exceeded $10 billion last year, Salar Mohammed Ameen, vice chairman of the National Investment Commission (NIC), told Reuters on the sidelines of an energy conference in Istanbul.

    Some $4 billion of investment will be in Iraq’s electricity sector, Ameen said
    - Persi, 2 years ago
  • maliki's trying to save his neck with bread and circuses... but by channeling the money into the "same old" ways (ministries, state salaries, state subsidies, social security) nothing will be done and unemployment will remain high (unless he hires "everyone" who still hasn't got a state job to do nothing!! (like most of the people in state jobs already) :D

    Iraq cabinet ramps up spending as oil prices rise
    (AFP) – 1 day ago
    BAGHDAD — Iraq's government submitted a revised draft budget to MPs for approval on Sunday, raising projected public spending as oil prices have increased, government spokesman Ali al-Dabbagh said.
    The new spending programme estimates overall expenditure at $81.86 billion, or 96.6 trillion Iraqi dinars, while income will be $68.56 billion, leaving a shortfall of $13.3 billion-- about a 16 percent budget deficit.
    Sunday's submission is based on average oil prices of $76.5 per barrel and projected exports of 2.2 million barrels of oil per day (bpd), a figure which includes 100,000 bpd of exports from the autonomous Kurdish region.
    A previous draft budget, sent to parliament on December 1, estimated spending of $78.8 billion based on oil prices of $73 per barrel.
    Of the overall spending in the new budget, $56.44 billion will be operating expenses -- primarily salaries and pensions for civil servants - and the remaining $25.42 billion will be dedicated to investment, Dabbagh said.
    Energy sales are expected to account for 90 percent of revenues.
    Dabbagh said the $13.3 billion deficit would be covered by "money accumulated from past surpluses and from internal and external loans."
    He added that the cabinet also gave the green light for the finance ministry to request a $4.5 billion loan from the International Monetary Fund, and a further $2 billion from the World Bank.
    While Iraq's projected oil price currently looks to be a conservative estimate -- prices currently stand at around $89 in New York -- its projected exports are more ambitious.
    Iraq has not exported 2.2 million barrels per day of oil since the 2003 US-led invasion ousted dictator Saddam Hussein.
    The country currently produces around 2.5 million bpd, with exports averaging around two million bpd, though the former figure is expected to rise to three million bpd by the end of the year, according to the oil ministry.

    by the way the money dedicated to investments also includes the weapons they're buying for the defence and interior ministries (about $5bn or so)...

    utter madness.


    then you have hakim's bunch trying to curry favour with the electorate, demanding a monthly payment of 15k dinars for every citizen in addition to the ration program (and allocating 15% of the entire budget for that).

    15% of Iraq budget allocated for the people

    Tuesday, February 08, 2011 09:57 GMT
    The amendments made on Iraq’s 2011 budget includes allocating 15% of the budget to the Iraqi people, member of the parliamentary financial committee Najiba Najib told Alsumaria News.

    Al Mehrab Martyr Party threatened on Monday to refuse voting for Iraq’s budget if the ration card system which it labeled as a red line is not dealt with seriously.

    Iraq’s government must deal with this issue as soon as possible, the party MP Habib Al Tarfi told Alsumaria News.
    Al Tarfi believes granting 15000 Iraqi Dinar for citizens is little in comparison with the routine procedures they would have to go through in order to receive the money.

    Al Fadhila (Virtue) Party for its part called to form a parliamentary committee specialized in the ration card system. The Party urged to compensate Iraqis for the lack of ration cards by an adequate amount of money.

    the crass, incompetent, retardation, narrow minded, economically illiterate, cretinous donkeys! Their idea of the 21st century Iraq is:

    1- sell oil
    2- distribute cash to populace
    3- import stuff for the populace to buy with the cash.

    = happiness and prosperity (in their cretinous retarded minds). Never mind the fact that the export of oil alone with no domestic economy will mean that Iraq will ALWAYS remain POOR! as long as you keep the people quiet, there's no need to try and tick over the brain for a few minutes and see if you can actually create a domestic economy instead of doling out cash.

    but then again, these retards spent the best part of three decades living on social security themselves in europe (whilst not learning anything of Europe! not even the language), so why expect anything else?
    - sheytanElKebir, 2 years ago
  • Iraqi Banks Urged to Merge

    08 February 2011
    Abdul Hussein Al-Anbuge, an Iraqi government economic adviser, has urged the country’s private lenders to merge in order to strengthen their capital and provide stronger support to the banking sector, AK News has reported.

    The total capital of Iraqi private banks rose from $30m in 2004 to $1.6bn now, not including what is owned by branches of foreign banks operating in the country.
    - Persi, 2 years ago
  • some details about the new tarrifs.

    They are actually quite good! Lets hope enforcement works. this is certainly one of the "cornerstones" of building Iraq's local industries and farming sector.

    As other Arab states scramble to prevent Egypt- and Tunisia-style uprisings sparked in part by rising prices, Iraq is going its own way by raising tariffs on a range of goods from bottled water to bayonets.
    The new law, which takes effect on March 6, replaces a variety of past regulations, including some dating back to the time of the Coalition Provisional Authority (CPA), the occupation authority charged with administering Iraq after the 2003 US invasion.
    Tariffs for rice, sugar and antibiotics will remain at five percent, while duties for cars will rise to 15 percent.
    The 794-page list also includes items such as castanets and bayonets, which carry tariffs of 20 percent and 25 percent respectively, while bottled water and soft drinks will incur a maximum import duty of 80 percent.
    "The new scheme aims to protect the economy and the Iraqi market," Hatem Hashem, head of international trade at the commerce ministry, told AFP.
    "Many (local) industries have disappeared because they were not able to compete with cheap goods that have flooded the market after 2003," he said.
    "Of course prices will go up, but we think it will be acceptable," said Hatem, arguing that the scheme would prevent low-quality goods from entering Iraq.
    "The market was flooded in 2003 with poor-quality products and the Iraqis are now more concerned about quality," he added.
    For months, Iraq has been the scene of sometimes violent protests, fuelled by acute shortage of basic services such as electricity and clean water.
    With angry protests raging around the Arab world, many governments have been quick to boost subsidies and slash tariffs on many basic goods.
    Rising food prices triggered angry riots in Tunisia and Algeria that began at the end of last year, toppling Tunisian leader Zine El Abidine Ben Ali, and spread to Egypt where President Hosni Mubarak is battling to stay in power in face of mass protests.
    Over the past few weeks, Jordan, Syria, Algeria and Libya have either cut food taxes or boosted subsidies as a bulwark against public anger.
    Conscious of the storms blowing around the Arab world, Iraq's Prime Minister Nuri al-Maliki, who pledged recently to halve his salary, suggested in an interview with AFP on Saturday that implementing the new scheme required a "favourable environment."
    Hatem said he was "100% certain" that the new rates would be in force early next month as planned, because it was passed as law and was only awaiting implementation.
    He added that the scheme would especially protect local agriculture by providing seasonal adjustments, so that tariffs would be higher when Iraqi crops are in the market and lower when they are not in season.
    "It's quite clear the Iraqi government wants to remove dependence on oil by supporting domestic industry," said Ali al-Saffar, a London-based Iraq analyst with the Economist Intelligence Unit.
    Saffar said that while agriculture accounted for eight percent of Iraq's economy in 1975, the figure was now just three percent.
    "The Iraqi government wants to stimulate industries which are going to employ people and decrease dependency on oil," he said. A UN report released to the press on Monday noted that the oil sector accounts for 65 percent of Iraq's economy but just one percent of jobs.
    "Increasing tariffs may not be the best way to do so because the immediate transition period comes at a time of unprecedented unrest in the region, unrest that is fuelled by disenchantment surrounding high prices and rampant unemployment," he added.
    Iraq's inflation last year was 3.3 percent, according to the ministry of planning. Saffar said that could rise to 5.6 percent -- even without accounting for the new tariffs.
    "The government will have to consider how it will explain the price rise to the people," Saffar said.
    - sheytanElKebir, 2 years ago
  • I still want tarrifs on fruits and vegatbles imported from turkey & syria in particular.


    Atleast until they decide to release more water.. it's only fair.
    meanwhile, we can import from other nations, Iran, Pakistan, Brazil, there are many options..
    - BigDreamer, 2 years ago
  • Iran is also blocking water to Iraq :D so remove that from the list.
    - sheytanElKebir, a year ago
  • jesus bloody christ. now they;'re all at it.
    Iraq parties call to earmark 15% of budget to citizens

    Wednesday, February 09, 2011 11:07 GMT
    Iraq’s 2011 budget was at the core of discussions in Tuesday’s Parliamentary session. A number of Iraqi parties insisted on allocating a share of the budget to the Iraqi people.

    The revised draft budget passed by the Iraqi Cabinet to Parliament stipulates to allocate 500 billion Dinar to the Trade Ministry in order to increase ration cards.

    Al Ahrar Party and Al Iraqiya List called to earmark 15% of the budget to Iraqi citizens.

    A number of parties however threatened not to vote on the draft budget unless the government submits the end year accounts reports of the different ministries.

    Iraq’s Parliamentary Education Committee called for its part to increase financial allocations of the Education Ministry which is in dire need of building up more than 4000 suitable schools for students.

    Iraqi MPs voted in Tuesday’s session on forming an investigation committee to look into the reports of an international organization on human rights violations in a secret prison in Baghdad.

    Parliament Speaker Ousama Al Nujaifi scheduled the next session on Sunday February 13. The draft budget is expected to be discussed during the next parliamentary session after reviewing the reports of the financial and economic committees, a source from the Parliament told Alsumaria.

    so that is it then. Iraqis do not want work, investment, constructing the country. They want some handouts to survive to the next day.

    THe oil money should not be in the hands of the government! It should be held by a national investment company which invests in public and joint-stock companies!

    Any "social security" type payments can only come from taxes and levies by government (where it has to compete with all other government spending!).

    but i am not surprised that allawi who spent 25 years of his life queuing for his social security cheque, simply is unable to formulate any economic plan that's slightly more complicated...
    - sheytanElKebir, a year ago
  • the entire ration system should be scraped.. it's not needed anymore, and it's simply against the principles of market economics..

    i doubt WTO will let Iraq in with such a huge ration system.. what a joke
    - BigDreamer, a year ago
  • Iraqi Cabinet Ramps Up Spending as Oil Prices Rise

    09 February 2011

    Iraq’s government submitted a revised draft budget to MPs for approval on Sunday, raising projected public spending as oil prices have increased, government spokesman Ali al-Dabbagh said.

    The new spending programme estimates overall expenditure at $81.86 billion, or 96.6 trillion Iraqi dinars, while income will be $68.56 billion, leaving a shortfall of $13.3 billion– about a 16 percent budget deficit.

    Sunday’s submission is based on average oil prices of $76.5 per barrel and projected exports of 2.2 million barrels of oil per day (bpd), a figure which includes 100,000 bpd of exports from the autonomous Kurdish region.

    A previous draft budget, sent to parliament on December 1, estimated spending of $78.8 billion based on oil prices of $73 per barrel.

    Of the overall spending in the new budget, $56.44 billion will be operating expenses — primarily salaries and pensions for civil servants – and the remaining $25.42 billion will be dedicated to investment, Dabbagh said.

    Energy sales are expected to account for 90 percent of revenues.

    Dabbagh said the $13.3 billion deficit would be covered by “money accumulated from past surpluses and from internal and external loans.”

    He added that the cabinet also gave the green light for the finance ministry to request a $4.5 billion loan from the International Monetary Fund, and a further $2 billion from the World Bank.

    While Iraq’s projected oil price currently looks to be a conservative estimate — prices currently stand at around $89 in New York — its projected exports are more ambitious.

    Iraq has not exported 2.2 million barrels per day of oil since the 2003 US-led invasion ousted dictator Saddam Hussein.

    The country currently produces around 2.5 million bpd, with exports averaging around two million bpd, though the former figure is expected to rise to three million bpd by the end of the year, according to the oil ministry
    - Persi, 8 months ago
  • here's the full list of tariffs.

    http://www.iraq-businessnews.com/wp-content/uploads/2011/02/Iraqi-DRAFT-Tariff-Schedule.pdf

    and it seems that the government has put the tariffs on Hold and won't bring them into effect, for fear of upsetting the mob with temporary price rises!

    utter utter stupidity of the "mob".
    - sheytanElKebir, 7 months ago
  • they fear an uprising .. there is already high unemployment, no one wants to take the risk
    - BigDreamer, 5 months ago
  • Iraq's economy prospers amidst Middle East turmoil

    AME Info - [4/17/2011]
    While many Middle Eastern countries have faced setbacks this year from the political unrest that has swept the region, Iraq is quietly enjoying an economic resurgence thanks to improved security, high oil prices, and a large influx of foreign investment.
    Iraq's economy suffered greatly from many years of war, sectarian violence, and crippling sanctions, but its fortunes are on the rebound at a time when much of the region is in turmoil.
    Fuelled in part by a sharp drop in violence throughout most of the country, Iraq's stock market surged over 25% in the first three months of this year, whereas the S&P Pan Arab Index is down about 8% year to date.

    With one of the world's largest proven oil reserves, Iraq is also benefitting from oil prices that have soared above $100. The International Monetary Fund estimates that higher oil revenues will help Iraq's economy grow 11.5% in 2011, up from 2.6% last year.

    Investment is also pouring in as optimism about Iraq improves. According to a recent report by Dubai Frontier Consultants, 156 foreign firms from 34 different countries announced new investments, service contracts, and other commercial activities in the country last year. The total reported value of these deals reached $42.668bn, an estimated 48.7% increase in total deal value over the previous year.

    "Iraq is now potentially one of the more stable investment destinations in the region," says Kyle Stelma, managing director at DFC. "It's still a little chaotic, but it's the same type of chaos that we've seen in recent years...so if you're a potential investor, the things you're seeing in Iraq are nothing new. But if you're a hedge fund looking at Bahrain you're seeing something totally different. So it's that point of massive discontinuity that you see in places in North Africa and the Middle East that investors really don't like."
    - BigDreamer, in a month
  • About $57 million worth of cooking oil once destined for Iraq's national food ration program may be fed to animals because it was left outdoors for three years and passed its expiry date for human consumption.

    A parliamentary committee Saturday suggested turning the wasted 30,000 metric tons of vegetable oil into fodder after saying it was left sitting at the port of Umm Qasr since 2008 while officials squabbled over the price.

    Iraq has been hit by nationwide protests in recent months in which many demonstrators have complained about corruption and pressed the government to address food ration shortages. Iraqis receive monthly supplies of rice, cooking oil and other staples.

    The committee said the Trade Ministry ordered the oil left at the port while it renegotiated the price with importers. Last month it finally agreed to take delivery after negotiating the price down from $1,900 to $1,800 a metric ton.

    Wahda al-Jumaili, a lawmaker and a member of the committee, said Iraq contracted for the oil during the global financial crisis at a time when the world price dropped to $600.

    "Imagine Iraq paid $1,900 as a unit price for this material," she said.

    Iraq is considered one of the world's most corrupt countries. Protesters have lashed out at corruption and called for the ouster of many provincial politicians.

    Jumaili said the committee had documents indicating Iraq had signed contracts in 2008 with 33 companies to import vegetable oil at $1,900 a metric ton.

    Parliament decided to summon the former trade minister and other officials for questioning.

    In addition to the wasted oil, a member of the committee said the ministry had to pay $12 million in storage fees and fines for keeping it at the port for so long.
    - sheytanElKebir, in a month
  • ^^ :lol: yea I read that one too few days ago..

    seriously, how embarrassing !
    - BigDreamer, in a month
  • ^^ :lol: yea I read that one too few days ago..

    seriously, how embarrassing !

    just another day with the Iraqi "ministries"
    - sheytanElKebir, in a month
  • Iraq's economy prospers amidst Middle East turmoil

    AME Info - [4/17/2011]
    While many Middle Eastern countries have faced setbacks this year from the political unrest that has swept the region, Iraq is quietly enjoying an economic resurgence thanks to improved security, high oil prices, and a large influx of foreign investment.
    Iraq's economy suffered greatly from many years of war, sectarian violence, and crippling sanctions, but its fortunes are on the rebound at a time when much of the region is in turmoil.
    Fuelled in part by a sharp drop in violence throughout most of the country, Iraq's stock market surged over 25% in the first three months of this year, whereas the S&P Pan Arab Index is down about 8% year to date.

    With one of the world's largest proven oil reserves, Iraq is also benefitting from oil prices that have soared above $100. The International Monetary Fund estimates that higher oil revenues will help Iraq's economy grow 11.5% in 2011, up from 2.6% last year.

    Investment is also pouring in as optimism about Iraq improves. According to a recent report by Dubai Frontier Consultants, 156 foreign firms from 34 different countries announced new investments, service contracts, and other commercial activities in the country last year. The total reported value of these deals reached $42.668bn, an estimated 48.7% increase in total deal value over the previous year.

    "Iraq is now potentially one of the more stable investment destinations in the region," says Kyle Stelma, managing director at DFC. "It's still a little chaotic, but it's the same type of chaos that we've seen in recent years...so if you're a potential investor, the things you're seeing in Iraq are nothing new. But if you're a hedge fund looking at Bahrain you're seeing something totally different. So it's that point of massive discontinuity that you see in places in North Africa and the Middle East that investors really don't like."

    good news!
    - elusive, in a month
  • Iraq To Stop Being World’s Garbage Dump
    Posted on 24 May 2011. Tags: Industry & Trade

    The three-day Conference on the Economic Future of Iraq began on Tuesday with representation from the World Bank and the Iraqi parliament.
    Parliament Speaker Usama al-Nujaifi said that “Iraq has turned into the world’s garbage dump through bad commodities that were imported, a matter would have not existed were it not for legislative shortcomings.”
    Yet he explained that new legislation will correct the problems, Aswat Al-Iraq reports.Nujaifi called for re-opening plant works to get Iraqis producing again.
    The World Bank’s country director for Iraq, Hedi Larbi, said that infrastructure and institutions need to get working, and that the private sector needs to get moving: “The inflation of the public sector, increase in salaries, lack of legislation and non-partnership between the public and private sectors, all negatively affect the development of the private sector.”

    great move, time to decrease the amount of low quality chinese products and start importing/producing the good stuff iraqis truly deserve.
    - haiderpass, in 2 months
  • $43bn Investment In Iraq In 2010
    Posted on 24 May 2011. Tags: Investment

    The ‘Investment in Iraq’ Summit recently concluded in Dubai and organized by Range Hospitality highlighted that Iraq has some of the most favorable foreign investment laws in the Middle East, making Iraq one of its most lucrative markets.
    The summit witnessed keen participation from over 100 decision makers, entrepreneurs and investors representing diverse business backgrounds. Key speakers at the event included Ibrahim Al Baghdadi, elected Chairman of the Iraqi National Businessmen Council and Board Member of the National Investment Council of Iraq; Mohammed Al Assam, Chairman and Managing Director, Dewan Architects and Engineers; Mohammed Asaria, Vice Chairman, Range Hospitality; Kyle Stelma, Managing Director, Emerging Markets, Dunia Frontier Consultants; Khaled Saqqaf, Head of Jordan and Iraq offices, Al Tamimi & Company and William Wakeham, Founder and principle shareholder in AAIB Insurance Brokers.
    Elaborating on the potential of the region, Kyle Stelma said: “In 2010, foreign firms and investors reported $42.668bn in investments, service contracts and other commercial activities across Iraq — an estimated 48.7% increase in total deal value over the previous year (2009).”
    - haiderpass, in 4 months
  • Dozens Of Countries Flock To Iraq
    Posted on 24 May 2011. Tags: Baghdad, Industry & Trade, Investment

    Just this week, we have seen a United Arab Emirates firm invest in a new Iraqi oil refinery, a German company discussing investing in Basram, and a Korean company building 25 power stations.
    On top of that, there have been Iranian gas deals and Saudi Arabian interest in Iraqi telecoms, plus both British and Turkish firms have been mentioned in the topic of new investment in Iraq.
    It is not surprising, then, that the Iraqi Department of Trade is expecting even bigger things for the next Baghdad International Fair.
    30 countries and 1,500 companies are expected to attend from around the world, the Ministry for Trade said. Learning its lessons from last year, the preparations for this year are to begin earlier.
    - haiderpass, in 4 months
  • ^^ great news thanks haider
    - elusive, in 4 months
  • no probs bruvs :okay:
    - haiderpass, in 5 months
  • Banks in Iraq move towards modernisation

    Eight years on from the US-led invasion of Iraq and with seven months to go until the remaining American combat troops are due to leave, thoughts are turning from guns to butter.

    In particular, the belated arrival of the international oil companies has boosted Iraq’s hydrocarbon exports and its macroeconomic prospects. The International Monetary Fund forecasts real gross domestic product growth in Iraq of 9.6 per cent this year and gross official debt falling from $107.8bn to $33.9bn.

    Yet it is clear the banking system in Iraq remains under-developed – particularly for a country of more than 31m people.

    Hussein al-Uzri, chairman of Trade Bank of Iraq, estimates there are still only 4.5m bank accounts in the country.

    Set up in 2003 in the immediate aftermath of the invasion, government-owned Trade Bank has 15 branches but it is opening outlets in Hilla, Mosul, Kirkuk and Ramadi this year. Normality, Mr Uzri argues, is returning to what were previously no-go areas.

    Even if security is improving somewhat, James Hogan, chief executive of Dar Es Salaam Investment Bank, points out that there are still fewer than 800 branches countrywide. This contributes to a huge and persistent reliance on cash.

    “We have learnt across the banks to get quite adept at manhandling – I use that term deliberately – fairly large amounts of cash on a day-to-day basis. That obviously has security and logistics challenges and insurance implications that you don’t normally associate with banking,” says Mr Hogan with some understatement.

    Now, attention is turning to communication systems and interoperability. There are, for example, 239 automated teller machines (ATMs) in Iraq but the individual banks have yet to see the benefits of linking up and, Mr Hogan says, half the machines may not be working at any one time.

    Dar Es Salaam uses an expensive satellite network for its 16 branches. Maintaining the network is “probably one of the bigger costs of doing business” in Iraq, Mr Hogan says.

    Carl Rosenquist of Synercom, a consultancy working on a USAID-funded project to automate the Iraqi payments system dating back to 2005, says a wholesale system is in place. It provides the “backbone” for real time settlement and clearing for cheques, direct credits and debits between the banks – but it is not fulfilling its potential.

    “That system is basically not being used a lot because first of all there is no regulation mandating the use of it and secondly there is no retail infrastructure that creates interbank transactions,” Mr Rosenquist says.

    Elsewhere in the world, institutions have generally determined, after a period of time, that it is better to co-operate than to maintain standalone systems of ATMs and points of sale. The owners and managers of Iraqi banks have yet to reach that conclusion.

    For Iraq, mobile telephony is the way forward, Mr Rosenquist says, because of the security situation and because of the much higher rates of telephone penetration compared with bank accounts.

    This month, USAID held a conference in Baghdad to promote the merits of private sector-led banking and mobile banking.

    “A mobile payment system . . . would allow people to pay anytime, anywhere, and anybody to pay,” says Mr Rosenquist. “We need to make sure that it becomes easy to get a bank account.”

    He says a tender will be issued in August for a switching system to link the mobile networks.

    “Basically it is a tender for a central switch that will be a hub for all the other switches,” he says. The contract, likely to fall in the range of $15m-$20m, is due to be awarded by the end of the year and the project can then be rolled out over the following six to eight months.

    Mr Hogan adds: “A lot of this can happen very quickly. You have got the political will – certainly more so than we have seen over the past couple of years – and the energy on the part of the various banks to pull together.”

    Rasheed and Rafidain, the state-owned behemoths that between them account for 80 per cent of bank customers in Iraq, already operate a switch that allows pensioners to pick up their payments from a local branch. A second system, Amwal, aims to do the same for armed forces personnel but is less successful than envisaged, bankers say.

    Though dangerous, banking in Iraq can be fruitful. Dar Es Salaam has been profitable since the day HSBC bought 70 per cent of the bank in 2005. Trade Bank made $361m last year compared with $305m the year before on assets of $14,991m.

    And interest in Iraq is picking up, even if from a low base induced by years of extreme violence.

    “Almost every day we have foreign investors coming to the bank,” Mr Uzri says. “They are coming and they are spending time. That is very encouraging.”

    http://media.ft.com/cms/d4c1be98-86ea-11e0-92df-00144feabdc0.jpg
    A cash dispensing machine in Baghdad, one of only 239 in the entire country
    - iraqishi3i, in 7 months
  • Iraq To Be In The Black For First Time

    The Iraqi government is increasing spending by about 25% next year to USD98.45bn, but higher oil prices will still allow it to balance its books for the first time, reports Reuters.
    Next year’s budget will be based on an oil price of $85, due to consistently high oil prices at $100 or more. Even after spending increases, this will cover this year’s deficit and still bring next year’s budget up into the black
    This year’s budget is around $80bn based on an average oil price of $76.50 per barrel and 2.2 million barrels per day in exports.
    “We expect the rise in revenue coming from the difference in the (projected) oil price will be enough to cover the deficit planned in the 2011 budget,” al-Esawi said. ”Any increase in oil prices or a rise in oil production will be allocated to cover the deficit.”
    Next year’s budget, if approved by cabinet and parliament, will allocate an additional $34bn for investments. At $85/barrel, the new budget will cover this and wipe out the deficit of $13bn this year.
    Central bank governor Sinan al-Shibibi told Reuters that Iraq GDP excluding the oil sector will grow by 6 percent in 2011, as fast as the current core inflation rate of 6.1%. Add oil in, and GDP growth could be 12%, and that will also be the goal for next year.
    - iraqishi3i, in 10 months
  • ^^ very good news :yes:
    - BigDreamer, in 11 months
  • Citigroup, Bank of Baghdad Announce Strategic Partnership

    Posted on 31 May 2011.

    Citigroup and Bank of Baghdad have announced a strategic partnership which offers corporate clients, with major business presence in Iraq, a seamless cash management solution and other relevant banking services.

    The client offer encompasses account services, domestic and international payments and collections, liquidity management and electronic banking solutions, backed by a comprehensive customer service and streamlined documentation processes.

    This key partnership leverages Citi’s state-of-the-art global cash management platform, as well as Bank of Baghdad’s franchise and extensive branch network. The partnership also gives Bank of Baghdad, a subsidiary of Kuwait’s Burgan Bank, access to Citi’s global network across more than 107 countries for cash management solutions and other banking services.

    Steve Donovan, Head of Global Transaction Services, Middle East & Pakistan at Citi, said:

    “We are delighted to announce this partnership with Bank of Baghdad which is in line with our commitment to Iraq as well as our strategy to bring the right capabilities to our clients through our own global network or through partnerships with prime local banks. This alliance certainly creates a win-win situation for our mutual client base.“

    Dr. Younes Brouche, Executive Vice Chairman at Bank of Baghdad said:

    “Bank of Baghdad has had a long standing and successful relationship with Citi. It brings together our bank’s extensive network in Iraq, our product suite and service excellence with the global reach of Citi. We look forward to working with Citi to provide valued clients with bespoke solutions to help them with their operations in Iraq.“

    Eduardo Eguren, Chief Executive Officer at Burgan Bank Group, said:

    “We are pleased to announce this winning partnership. Bank of Baghdad is a fast growing member of Burgan Bank Group and has successfully placed itself as one of the major players in Iraq. This partnership will indeed add value to both Bank of Baghdad’s and Citi’s clients as well as to Burgan Bank Group clients.“

    Citi has been in the Arab World for nearly 50 years and views the region as critical to its global franchise. It currently offers full scale corporate banking services across ten Arab countries including Egypt, UAE, Lebanon, Jordan, Tunisia, Morocco, Algeria, Bahrain, Qatar and Kuwait as well as Pakistan. Its consumer banking services cover UAE, Egypt, Bahrain and Pakistan, while it maintains close relationships with high net worth clients in the region through the Citi Private Bank.
    - Persi, in a year
  • Iraq seeks bank head's arrest, denies witchhunt
    Published: Sunday, 5 Jun 2011 | 10:18 AM ET Text Size


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    BAGHDAD - Iraqi authorities have issued an arrest warrant for the head of one of the nation's biggest banks, which is under investigation for alleged irregularities, a government source and the bank's lawyer said on Sunday.

    An Iraqi government source said Hussein al-Uzri, president and chairman of the state-owned Trade Bank of Iraq (TBI), had fled to Lebanon. He did not answer calls to his mobile phone.

    Prime Minister Nuri al-Maliki ordered a judicial inquiry into TBI on Thursday, after a committee including officials from Iraq's anti-corruption commission and audit authority reported "violations" at the institution.

    The move comes as Maliki faces growing discontent over rampant corruption and poor public services in oil-exporting Iraq. Protests erupted against his fragile coalition government earlier this year.

    A British adviser to TBI's board told Reuters on Sunday the investigation was politically motivated and came after the bank had resisted government pressure to engage in "highly dubious and irregular" operations.

    Sir Claude Hankes said the investigation could damage Iraq's ties with the international banking community. He said Uzri was "safe" outside Iraq but was "not in Lebanon."

    "POLITICAL GAME"

    "The political game is to discredit the bank," he said.

    Hankes, a former Chairman of the Management Committee of Price Waterhouse and Partners, said he believed the government probe was part of a campaign to deflect public anger over corruption away from Maliki and his associates onto scapegoats.

    "Why else would they be trying to destroy a bank that is one of the success stories of Iraq and is key to the wellbeing of the Iraqi people?" he said.

    "This is putting the clock back for Iraq."

    A spokesman for Maliki rejected such suggestions. "We want to confine our action to the wrongdoers only and we want to save the bank so it can play its role in the reconstruction," said Ali al-Moussawi, media adviser to the prime minister.

    Tareq al-Maamouri, TBI's legal adviser, confirmed the arrest warrant against Uzri and said the bank chairman had been suspended from his duties.

    Set up in 2003, after the U.S.-led invasion that toppled Saddam Hussein, TBI has developed a reputation as one of Iraq's most successful financial institutions. It is involved in financing food supplies and securing private sector financing for power and other reconstruction projects.

    A senior Iraqi government source said authorities had information that Uzri had gone to Beirut.

    "The judiciary issued an arrest warrant against those people who could be detained on the basis of the evidence against them and one of them is the chairman of the bank," he told Reuters.

    TBI, with 14 branches across Iraq, reported total assets of $15 billion for 2010, a 16 percent increase over 2009. It reported an 18 percent increase in 2010 profits to $361 million.

    On Thursday, an Iraqi banking source said the violations related to billions of Iraqi dinars in "irrecoverable bad debts" owed by Iraqi companies. Charges included poor administration and non-compliance with banking regulations, the source said.
    - haiderpass, in a year
  • "Iraq projected to grow FASTER then CHINA in next 2 years" says secretary CLINTON

    fOHNWYPUMvw

    ;)
    - MKTJ, in a year
  • ^^ the link is broken :(
    - BigDreamer, in a year
  • Japan is to launch an investment offensive in Iraq, starting with the southern city of Basra, the Japanese ambassador to Iraq said on Tuesday, according to a report from AKnews.
    Speaking at the conclusion of the Japanese investment conference at the Basra International Hotel (“Sheraton“), Mitsuo Sakaba said numerous Japanese companies are looking to get a share of the massive profits that it is possible to make from Iraqi investments, with a particular focus on energy.
    “Japan is aware of Basra’s economic and regional status and this makes us determined to make it the center to begin our investments in Iraq,” he said.
    Twenty-seven Japanese companies, mostly from the energy and industrial sectors, took part in the conference.
    “The conference is the first serious step to return the economic relations between Iraq and Japan after being frozen for many years,” he said.
    The chairman of Basra Investment Commission, Haider Ali Fadel said: “We have presented the Japanese delegation with everything they need to start investing in the region. We have also provided detailed explanations for the Iraqi investment law and instructions.”
    Before the 1990 Iraqi invasion of Kuwait, Japan was one of the biggest investors in the country, but supported the resulting UN sanctions that banned any trade with Iraq.
    In 2003 Japan loaned $3.5 billion to develop oil and gas sector and another in 2007 worth $860 million, which opened up channels to allow Japanese companies to invest.
    Sabaka said many of his compatriots have failed to take advantage of the opportunities Iraq offers for investment due to fears about the security situation.
    - iraqishi3i, in a year
  • Basra will be Iraq's boom capital.. a smart person would invest in basra right now ahead of the boom
    - BigDreamer, in a year
  • Iraqi banking delegation meets Lebanese bankers

    09 July 2011

    BEIRUT: An Iraqi banking delegation comprised of representatives of Iraq's central bank and banking institutions, visited on Friday the headquarters of Lebanese Banks Association, upon the invitation of Lebanese Central Bank.

    The delegation was briefed over the latest economic developments in Lebanon and the indicators of economic growth, public finance, foreign accounts, and financial mediation.
    Representatives of Iraq’s central bank discussed with Lebanon’s representatives ways of strengthening the financial and banking relations between the two countries.
    - MARTYR, in a year
  • ^^ Thanks MARTYR
    - Persi, in a year
  • Basra will be Iraq's boom capital.. a smart person would invest in basra right now ahead of the boom

    i totally agree...i reckon it'll supersede erbil
    - elusive, in a year
  • i totally agree...i reckon it'll supersede erbil

    +1
    Basra = $$$$$$$$$$$$$$$
    - Yousifovic, in 2 years
  • Iraqi Central Bank Grants Licenses to 4 New Banks

    Banking sources in Iraq say the Central Bank of Iraq
    granted preliminary approval to give licenses to four new banks with capital of 250 billion Iraqi dinars ($212 million dollars) per bank.

    The four new licenses bring the total number of private banks in Iraq to 35, excluding the following seven Arabic and foreign bank branches working in Iraq: the Bahraini "Arab Banking Corporation", the "Central Bank of Turkey", the Lebanese "ByBlos Bank", the Lebanese "Intercontinental Bank", "Bank of Beirut and the Arab Countries", "Iran Melli Bank" and "Abu Dhabi Islamic Bank".

    The Chairman of the Department of Banking and Credit Control in the Central Bank of Iraq, Idi Walid Abdel Naby, said there are opportunities for joint cooperation to establish new banks, new branches of foreign banks, or new posts in the capital, to increase the banking sector's contribution to development by lending to productive products. He added that there is an urgent need to expand the number of licenses granted to new banks and to support initiatives for the development of the banking sector in Iraq, indicating there is the possibility of establishing completely foreign owned banks.
    - Persi, in 2 years
  • Iraq tops the list of Arab financial markets trading

    Baghdad, July 16

    The Securities Commission said Saturday that Iraq’s progress on the countries of the region the size of financial trading by 70%.

    The Iraqi government recently agreed with the Bank (HHPT), which is spread throughout the countries of the world to develop the Iraqi market for financial Orac.

    The head of the Abd al-Razzaq al-Saadi told the Kurdish news agency (Rn) that “Iraq traded funds issued by 70% compared with the countries of the region,” indicating that “trading volume during the last three months amounted to some 274 billion Iraqi dinars.”

    He added that “the Iraqi market for financial funds managed to acquire the trust of others because of their reliance on the legal disclosure controls assets of the companies.”

    Saadi continued that “the movement of the Iraqi market for securities rise the higher the volume of investment projects in the country and expanded financial transactions between the Iraqi market and world markets through banks.”

    “The market for securities Iraq works to expand foreign capital, which amounted to 15% of the total trading year to expand the financial activities in the foreign country, which will support the market in the securities and correlates with the global markets.”

    And started the Iraq Stock Exchange initial preparations for membership of the global market for securities, also announced the start electronic filing of the investment companies of foreign and domestic, instead of filing paperwork.

    The Iraq Stock Exchange has started operation in 2004, shifted from manual trading to the use of e-dealing screens in 2009 and opened for trading two hours a day five days a week.

    The banking sector is the largest in the exchange, which also includes the shares of industrial companies, insurance companies, hotels and agricultural companies.

    The total value of shares listed on the Stock Exchange about three billion dollars.

    Source : http://currencynewshound.wordpress.com/2011/07/16/iraq-tops-the-list-of-arab-financial-markets-trading/
    - Persi, in 2 years
  • July 16, 2011

    Iraq May Increase Proven Crude Reserves by 21% With Kurdish Oil

    Iraq may raise its proven oil reserves by 21 percent after adding those from the semi- autonomous Kurdish region, Hussain al-Shahristani, deputy prime minister for energy affairs, said today.

    Iraq’s oil reserves may increase to 173 barrels by adding 30 billion barrels of Kurdish oil, al-Shahristani said in a speech to ambassadors at the Foreign Ministry in Baghdad. The country’s crude production capacity will rise to 12 million barrels a day by 2017, he said.

    Iraq, home to the world’s fifth-biggest oil reserves, is struggling to boost energy exports, the main source of revenue, to help rebuild an economy shattered by years of conflict, economic sanctions and sabotage. The country has signed 15 gas and oil licenses since the 2003 U.S.-led invasion of Iraq that ousted the regime of President Saddam Hussein.

    Iraq will sign contracts before the end of the year to add 7,500 megawatts of electricity production capacity, he said.

    http://www.iraqdirectory.com/DisplayNews.aspx?id=16293
    - sally2, in 3 years
  • July 16, 2011

    Central Bank decides to develop coins in his plan to restructure the currency


    Sout Al Basra revealed adviser to the CBI, Saturday, part of a plan to restructure the banks, currency and coins for the development of financial trading bank to support the Iraqi economy.

    The appearance of Mohammed Saleh said that "the central bank decided to introduce coins as part of his plan to restructure the currency, which require the approval of the government and the House of Representatives because it will contribute to a strategic plan in support of the Iraqi dinar's value in financial trading."

    He added that "the draft coins in 2004 was not successful because he has not been as comprehensive reforms to support the financial value of the Iraqi dinar in the global market."

    He pointed out that "the coin is not a low currency, but will be important medium of exchange which are used for simple banking transactions in the internal business transactions."

    The Iraqi Central Bank announced in June 22 last he decided to restructure the local currency in order to develop the payment system in the country.

    He expressed the IMF in August / August, his support of the Iraqi economy in the event of having a number of economic measures including the privatization of banks and raise three zeroes from the local currency and to meet debt and compensation is the responsibility of Iraq.

    The Iraqi government has denied any change in the local currency this year to reduce inflation.

    The local Iraqi currency has gone through several changes in its history, most recently in 2004 when the former Governing Council replaced the previous currency, which was the symbol of the former regime.

    The main tasks of the Iraqi Central Bank to maintain price stability and the implementation of monetary policy, including exchange rate policies, and management of reserves of foreign currency, and the issuance of currency management, as well as to regulate the banking sector.

    http://translate.googleusercontent.com/translate_c?hl=en&rurl=translate.google.com&sl=ar&tl=en&twu=1&u=http://basvoice.com/ar/news.php%3Faction%3Dview%26id%3D581&usg=ALkJrhj2rtvtLyYcfpg00mNmo_VIL_GfXA (http://translate.googleusercontent.com/translate_c?hl=en&rurl=translate.google.com&sl=ar&tl=en&twu=1&u=http://basvoice.com/ar/news.php%3Faction%3Dview%26id%3D581&usg=ALkJrhj2rtvtLyYcfpg00mNmo_VIL_GfXA)
    - sally2, in 3 years
  • Welcome to the forum Sally2. are you one of the "investors" in Iraqi dinar who still hopes for a "revaluation" (whereby your old dinars are not revalued as well!)?
    - sheytanElKebir, in 4 years
  • Welcome to the forum Sally2. are you one of the "investors" in Iraqi dinar who still hopes for a "revaluation" (whereby your old dinars are not revalued as well!)?

    No, I'm not. I have read about the currency and I think it will eventually, over a long period of time, gain strength. I'm not invested in Iraq's currency, but I am interested to see if Iraq's new democracy takes hold.

    I do watch and I am amazed at how far Iraq has come. Most people view Iraq as a war torn country. I view iraq as an up-and-coming dubai. You may think that's a crazy, way out dream, but, I have Iraqi friends that believe their country will be great once again, given time.

    By the way, I like this forum. It's really informative and very cool. :)
    - sally2, in 4 years
  • Oh great. Sorry for the misunderstanding. As you know there's a long running scam going around where people are conned into thinking they can become millionaires buying Iraqi dinars and somehow magically having it "revalued" whilst retaining its old nominal zeros!

    Your friends' optimism about iraq is nice, but reality is a little further away from that at the moment.
    - sheytanElKebir, in 4 years
  • Investment in Iraq Set to Double This Year

    Posted on 21 July 2011

    Iraq attracted $45 billion in new investment so far this year, more than the total for the whole of last year, according to a report by Dunia Frontier Consultants reported by USA Today.

    The spike in investment is down to improved confidence in Iraq’s stability, analysts say. Last year Iraq secured $42bn in investment.

    Much of the investment is from companies within the Middle-East, but substantial investment from other parts of the world has been flowing in too. French companies account for 9.9 per cent of all investment in Iraq. The U.S. – despite leading the 2003 invasion – only accounts for 4.7 per cent.

    U.S. business interest is growing though. Iraq’s commercial attaché office in Washington received 2,251 applications to do business in Iraq in the first half of this year, compared with 1,369 in the same period last year.

    South Korea was the largest foreign investor this year, representing 24% of the foreign money flowing into Iraq, according to the report. China also plays a significant role, with a Chinese oil company this month opening the first major oil field in Iraq in 20 years.

    Decades of war and sanctions have left Iraq’s economy and infrastructure in tatters. But, it is increasingly seen as an untapped market for foreign investors keen to get in on the action early and secure heavy profits despite the obvious risks.

    The need for development in Iraq is great. It’s electrical grid in desperate need of modernization, there are major housing shortages and infrastructure such as transport needs major improvement. Foreign investment is seen as key by some in the alleviation of these problems, while others warn of companies coming into Iraq, making massive profits and doing little to improve the lot of ordinary Iraqis

    http://www.aknews.com/en/aknews/2/252746
    - Persi, in 4 years
  • Market Report, "Iraq Infrastructure Report Q3 2011", published
    2011-07-24

    Reconstruction in Iraq is providing considerable contract opportunities and creating substantial added value for the construction sector. Infrastructure continues to be a priority investment area for the government, especially as protests against the poor provision of services have become more widespread over recent months, stimulated in part by the wave of protests across the Middle East and North Africa. Addressing core concerns including electricity shortages, scarcity of housing and insufficient transport links is a priority. Indeed, in order for the economy to return to some semblance of normality, core infrastructure needs to be in place. As a result, a number of contracts have been awarded in these sectors over the past 12 months. Key sectors to watch:

    Transport:

    Transport is slowly emerging as the sector which is receiving the greatest attention, even though electricity has taken priority in recent years. In January 2011, Alstom signed an outline agreement for the construction of a 25km elevated metro line in Baghdad. In February 2011, it was announced that the contract for construction of the Al Faw port would be released by the end of 2011. It is hoped the US$6.3bn project will be completed by 2013. At the same time, a tender for a new international airport to serve the provinces of Kerbala, Najaf and Hilla is due to be released in October 2011.

    Electricity:

    A shortage of electricity continues to be a major cause of unrest and a substantial barrier to growth. The ambitious new target of generating 27,000MW of electricity by 2013 appears unlikely to be met; however, investment is filtering through to the sector, with projects tendered and contracts awarded for the installation of turbines.

    Housing:

    Huge housing projects have been announced over recent months. A scarcity of housing is another major issue which has provoked popular unrest. In response around 2mn housing units are to be built in the country over the next four years, with the government committing large funds to achieving this. The sector has seen a number of regional construction companies - especially those from the GCC - enter the country. Multi-billion dollar projects have been announced in both Kurdistan and the rest of Iraq. Most recently, Turkey's Ayyıldızlar Construction announced it would build 62,000 houses in Arbil, the capital of Kurdistan. The growing focus on infrastructure in Iraq will continue to present substantial opportunities for those construction companies willing to price in the sizeable risks and enter the market. A lack of capacity and expertise among local construction companies has the led the government to call for international participation in rebuilding Iraq's infrastructure. With social and economic infrastructure forming a significant portion of the government's investments, we expect strong growth to continue over the medium term. In 2011, growth of 15% is expected, as a result of contracts awarded. Owing to the substantial project pipeline, real growth is forecast to average 9% between 2012 and 2015.
    - IraqiPlan_et, in 4 years
  • New Schlumberger CEO has Big Plans for Iraq
    25 July 2011

    Schlumberger‘s incoming CEO, Paal Kibsgaard, has big plans for the company’s business in Iraq.

    The 43-year-old Norwegian, who will take over as chief executive on 1st August, is currently Chief Operating Officer of the company, having begun his career with ExxonMobil in 1992.

    He will succeed Andrew Gould, who again reiterated that Iraq is a key factor in the improving international outlook.

    Just weeks ago, Gould announced that “next year Iraq will be really big”.

    Asked about Iraq, where many oil firms have found it hard to establish a foothold, Kibsgaard said it is likely to be Schlumberger’s seventh biggest out of 14 markets in the Middle East and Asia, before improving to No. 3 next year.

    Schlumberger was recently chosen to develop Gazprom Neft‘s Badra oilfield.
    - IraqiPlan_et, in 4 years
  • Maliki, in a conference with Talabani: The whole world looks to Iraq
    25/07/2011

    Baghdad (news) .. reviewed the Prime Minister Nuri al-Maliki, President Jalal Talabani, the results of his recent visit to China.
    A statement from the presidency, "said Talabani met with Maliki on Monday evening, and had been meeting, they discussed the evolution of Iraq's relations with the countries of the world, particularly China, which has had the Prime Minister last week, as well as discuss ways to solve problems and develop the political process and strengthen national harmony between the various political components in the country. "
    The statement noted: President Talabani said in a joint press conference after the meeting, "Maliki told us about his trip to China trip, which he considered very successful and very fruitful, and used much of Iraq, as we discussed the general issues and opinions were consistent and our estimates are identical.
    For his part, Prime Minister Nuri al-Maliki: "We found in China a great opportunity because the advantage of the capabilities and experience in construction and development, and carried a message from the President to the Chinese government to encourage Chinese companies to invest in Iraq, and this rule has been discussed all the issues that pave the way for stability and security solutions to political problems that need to speed up solutions we create the ground for the construction and reconstruction. "
    He added: "The whole world looks to Iraq and this is what we found. China is a superpower and a super looking forward to a close relationship with Iraq, and so accepted by the Korean Wa European countries looking to do with Iraq, and to us to prepare the ground because the world coming to us and we need to create the climate in which we receive by the turnout of the world. "
    He said he "has been trading in some of the issues related to the political process and agreed to find a consensus, understanding and positive relations between the components of the political process of creating a renaissance of Iraq, which possesses all the capabilities of the Renaissance and the biggest renaissance in the region."
    Prime Minister Nuri al-Maliki visited China last week at the head of a ministerial delegation, at the invitation of Chinese Premier Wen Jiabao /
    - IraqiPlan_et, in 4 years
  • Iraq aims to lift 2012 investment budget to $51 bln
    July 25 2011

    (Reuters) - Iraq is looking to raise its 2012 investment budget to as much as 60 trillion Iraqi dinars ($51 billion) to inject more money into ongoing investment projects and to start new ones, its planning minister said.

    "What is being put forth is 40 trillion Iraqi dinars (as the investment budget). We are now trying to increase it to a minimum of 55 or 60 trillion dinars," Planning Minister Ali al-Shukri told Reuters in an interview on Monday.
    - IraqiPlan_et, in 4 years
  • Iraqis’ per capita income to shoot to $9000 in 2014
    July 26, 2011

    Per capita income in Iraq will surge to $9000 from the current $4000 in 2014, the Central Bank says.
    The new per capita income forecast means that Iraqis’ living standards are expected to more than double in less than four years.
    The promising economic prediction for the war-torn country is a rare good piece of news.
    “The per capita income will more than double by the end of the investment plan in 2014” said Mudher Saleh, a Central Bank consultant.
    Saleh put the country’s growth rate at a little more than 9 per cent and said his figure was based “on the aggregate growth forecast for 2014-2014.”
    If Iraq achieves the growth rate predicted for the investment plan, the country will see an explosion in income, he said.
    There will be enough income to finance infrastructure projects in various fields, he said.
    Saleh said the country’s bloated civil service sector was currently among the most prosperous in the country.
    He said while average per capita income was $4000, civil servants earned an average of $6000 a year.
    Oil revenues, he said, would still make the lion’s share of the country’s income.
    “The importance of oil royalties in financing investment projects is of vital importance,” he said. “Maximizing oil earnings is the philosophy the oil sector is pursuing to provide steady access to resources to finance the national development plant.”
    - IraqiPlan_et, in 4 years
  • ^^ Great news...thanks mate :cheers:
    - Persi, in 4 years
  • ^^ nemas problemas:)
    - IraqiPlan_et, in 5 years
  • thanks for your great contribution to the news threads IraqiPlan really appreciated :)
    - BigDreamer, in 5 years
  • ^^my pleasure:)

    I also want to thank all who contributed to this subforum, you have done a great job:applause: :bow:
    - IraqiPlan_et, in 5 years
  • Iraqi economists analyze the implications of U.S. indebtedness
    27.07.2011

    Raises the worsening debt crisis of U.S. government that over 14 trillion dollars and the consequences of an impaired ability to pay raise interest economists Iraqis about the possible negative impact on the local economy. In his analysis of these implications, said adviser to the CBI the appearance of Mohammed Saleh told Radio Free Iraq that "the occurrence of Iraq within the area dollar, which constitutes 87% of the volume of trade payments and more than 60% of the total cash reserves of the countries 99% of the value of Iraqi imports from the sale of crude oil, "which is its market mainly on the calendar sales prices of crude oil in dollars," makes the national economy in the blown Wind any economic crisis plaguing the U.S. currency. " He added that the rise in the total size of the debt of U.S. government to close to the total size of the gross domestic U.S. public and $ 15 trillion dollars a year "would be very difficult to addressing the debt if it is almost impossible," as he put it. but Saleh expressed his optimism that the U.S. administration can in time to prevent exit of its debt crisis of control, the fact that this "has its risks of sovereign strategy for the future of the United States as well as the international community is quick to help address the crisis because it threatens the economy as a whole." In further analysis, economists warned Iraqis that "there is no before the Iraqi government in the short or medium of any effective solutions to reduce the negative effects of acute aggravation of the debt crisis the U.S. on the national economy if not addressed within the United States and within the time limit is possible for this treatment." In this regard, , noted professor of economics Mustansiriya University Dr. Abd al-Rahman al-Mashhadani, that "the collapse of the dollar likely will, when they occur automatically to the collapse of the value of sales of Iraqi crude oil, and upon which the state budget by at least 99%" not to mention the link-state total for Iraq's dealings economic since 2003 and so far the U.S. dollar. " For his part, called economic expert, Dr. Hilal Al-Taan Iraqi authorities to "accelerate the transfer of as much as possible from the cash reserves of Iraq to a basket of other foreign currencies such as the euro and the pound sterling" in order to minimize possible negative effects of the continuing debt crisis U.S. government on the economy of the country. more in the audio file:
    Audio Link: On Page
    - IraqiPlan_et, in 5 years
  • Zubaidi: $ 15 billion budget surplus as a result of the high oil prices
    July 27, 2011

    MP in the National Alliance for stream martyr mihrab Bayan Jabor said that oil prices will stay this way will lead to the creation of a surplus in the budget for this financial year up to [15] billion dollars. "

    He told all of Iraq [where] on Wednesday that "section of this amount will go to the financial budget will be allocated automatically and the other part to support the ration card and the remaining amount is allocated to the project as part of petro dollars from the budget of oil-producing provinces."

    Zubaidi said, "This large increase in the current budget should invest in important projects have a positive impact on the lives of citizens and that these projects have an impact on the ground."

    The balance of Iraq's financial for the year is estimated at [86] billion dollars calculated on the basis that the price of a barrel of oil [76] dollars, and as much as economists said the surplus will be achieved from high oil prices in the budget for Iraq this year, more than $ 15 billion if it has reached price of a barrel of oil [100] dollars.
    - IraqiPlan_et, in 5 years
  • Iraq can only go up from here :) good news.
    - elusive, in 6 years
  • Kuwait stolen $ 14 billion from Iraq's oil with U.S. assistance
    08/09/2011


    Revealed a large U.S. organization and sharing important documents show U.S. - Kuwait to Iraq's oil wealth, above $ 1 billion annually. Organization «ADL» League defenders the U.S., an organization critical of U.S. policy in Iraq and the Middle East since 1991, said: America and the help of Kuwait's neighbor, the very small to Iraq, the theft of Iraqi funds since 1991.
    has provided Washington to Kuwait as shown by the League of defenders of the U.S., since 1998 and to this day through the technology of oil extraction is very complex and difficult to explain the techniques developed for the U.S. withdrawal from Iraqi oil on the Iraqi-Kuwaiti border, said the league has the documents and evidence on many of these thefts continued Iraqi oil sincere .... Organization also exposed the complicity of Iraqi parliamentarians to get the money, and says Kuwait is spent on these to ensure their loyalty billion dollars a year is almost a large sum as described (Josh DSL), which is one of the members of this organization, but it is not a little to the largest amount that Tsthsalh Kuwait from Iraq, while sinking its politicians and its protectors in the problems of large and small ... and sorry for Josh to the outgrowth of the people of this ancient civilization of the floundering and failure and control of the small states did not have a little less than half a century from now.
    Organization confirms in a letter to the Office of monitoring human rights in Iraq of the United Nations that it had put in their hands such documents which show funding Kuwait's propaganda campaign for a number of electoral lists, as well as contracts for marketing and sale of quantities of large oil in partnership with U.S. companies owned by people influential in politics and decision-making and the U.S. Congress, these funds also confirms Organization U.S. comes from the theft of Iraqi oil from the Iraqi-Kuwaiti border.
    The Iraqi bloc White has been accused earlier in some Iraqi politicians to remain silent about the development of the draft port of Mubarak Al-Kabeer's controversial statement by the White attributed the reasons for their silence politicians to receive money from Kuwait and from some Gulf countries.
    - IraqiPlan_et, in 6 years
  • ^^ Don't know how much this article makes sense linguistically but..
    - IraqiPlan_et, in 6 years
  • Iraq to provide 4 million jobs over the next three years
    12 August


    Said Ali Shukri, told the Kurdish news agency (Rn) that "the Ministry of Planning and Development Cooperation, has developed high-level plan for the development of 4 million job opportunities during the next three years."

    The Iraqi government maintains that economic development projects on the rise as the unemployment rate dropped from 52% to 15% and the level of the poverty line from 54% to 23% and the overall level of inflation declined from 65% to 6%.

    The government survey indicates that the unemployment rate for males in Iraq has reached 30.2% versus 16% for women.
    According to a report on the results of a survey of employment and unemployment rate of unemployment in urban areas 30% compared to 25.4% in rural areas.

    Shukri added that "the job opportunities that will include private and government sectors will reduce the level of poverty in the country from 23% to 16%, which is a good percentage could be reduced after 2014."

    He pointed out that "the Ministry of Planning will be the process of developing mechanisms and plans for the rehabilitation of the administrative organ of the state and organize the distribution of posts in the next phase of its institutions."

    According to international statistics show that more than 23% of Iraqis live below the poverty line, despite the fact that Iraq is one of the richest countries in the world.
    - IraqiPlan_et, in 7 years
  • The Iraqi government maintains that economic development projects on the rise as the unemployment rate dropped from 52% to 15% and the level of the poverty line from 54% to 23% and the overall level of inflation declined from 65% to 6%.


    how accurate is this?
    - elusive, in 7 years
  • A non google translated article on the same subject:


    Government plans to create 4 million jobs by 2015
    12/08/2011


    Baghdad, Aug.12 (AKnews) - The Iraqi Planning and Development Ministry has plans to create four million jobs in the course of the next three years, the minister said today.

    Ali Shukri told AKnews that the opportunities which will be provided through the public and private sectors with a view to decreasing the poverty rate from 23% to 16% by the end of 2014.
    Iraqi private sector employment systems are ad hoc with most employees deprived of basic rights, such as unionisation and the right to a pension after retirement. Most Iraqis are therefore, interested in work in the public sector.

    The Ministry’s first step towards this end is to assign procedures and plans to rehabilitate the administrative organs of the state and organize the allocation of posts.

    Since the peak of economic woes in 2006 the Iraqi economy has stabilized. The unemployment rate has fallen from 52% to 15%, poverty from 45% to 23%, and inflation from 65% to 6%.

    However, government figures show the unemployment rate for young males stands at 30.2% nearly double the rate for women, 16%.
    - IraqiPlan_et, in 7 years
  • Al-Mansour Company achieves 2.5 billion profit in 6 months
    September 12 2011


    Iraq’s state-owned al-Mansour General Company, belonging to the Ministry of Industry & Minerals, has achieved a record profit of 2 billion (b), 575 million and 352,000 Iraqi dinars over the first six months of this year, an increase of 363 million dinars, compared to the same period of last year, a Ministry statement reported on Monday.

    The statement, as was received by Aswat al-Iraq news agency, has quoted the Company’s Director-General, Engineer Khalil Hayawi, as saying that “his Company, thanks to its great efforts, has achieved a high level of sales during the period from January 1, 2011 and June 30, 2011, with a considerable increase of 363 million dinars, compared with the same period of last year.”

    “The Company’s revenues had covered the marketing and sale of its products of healthy drinking water, solar-energy networks, natural and industrial gases, such as oxygen, nitrogen, hydrogen and other products, such as electricity-protection appliances, etc.,” he said.
    - IraqiPlan_et, in 8 years
  • 2 billion dinars? isn't that like a couple of million USD ? lol
    - BigDreamer, in 8 years
  • ^^ when i first read it, it sounded impressive only to realise it was in dinars lol!
    - elusive, in 8 years
  • Budget year 2012 will be 131 trillion is the largest in the history of Iraq
    09/18/2011


    Announced the Council of Ministers, today Sunday, 09/18/2011, that the 2012 budget next year will be approximately 131 trillion dinars, the equivalent of $ 110 billion, an increase of 36 percent from last year's budget, and is the largest in the history of Iraq.

    Ali al-Dabbagh, spokesman for the government in a statement issued on Sunday, 18/9/2011: The Council of Ministers discussed in the meeting on Sunday, the draft law of the federal budget for 2012, which includes allocating (131) trillion dinars total federal counterbalance an increase of 36% for 2011.

    Al-Dabbagh said: that the total federal income of (107.7) trillion dinars a deficit of a total of $ (3.23) trillion dinars is covered by the cash retained from the balance of 2011 and internal and external borrowing, and the proportion of savings is expected to increase selling prices or increased oil production or borrowing from the IMF and World Bank.

    Dabbagh said: that the budget includes the allocation of (20) trillion dinars to promote security, stability and capacity-building of military, security, and (11) trillion dinars for the expenses of the compensation and debt, and (15) trillion dinars for support to social strata, and (3.4) trillion dinars for support to companies public bodies and self-funded.

    Ali al-Dabbagh: The budget includes a (570) billion dinars for the agricultural sector, and (5) trillion dinars for the industrial sector, energy, and (269) billion dinars for the transportation sector, and (5.10) trillion dinars to the education sector and (3.4) trillion dinars for the reconstruction of and development projects, regions and provinces, and (6.1) trillion dinars for projects related to petro-dollars to the oil-producing provinces, and rotate the amounts are not incurred in 2011.

    Dabbagh said that the draft budget includes the exemption of citizens from the amount of interest on loans granted to them by both the Land Bank and Agricultural Bank and the Housing Fund and to continue to grant these loans without interest to the citizens.
    - IraqiPlan_et, in 8 years
  • ^^ Very good news.. Thanks bro :cheers:
    - Persi, in 8 years
  • no problem :)
    - IraqiPlan_et, in 8 years
  • Iraqi Stock Market in the Spotlight

    Posted on 27 September 2011.

    With most Middle East stock markets having been dragged down by the turmoil unleashed by the Arab spring and a sputtering global economy, some adventurous fund managers have started exploring opportunities in the tiny Iraqi market, according to a report from Bloomberg.

    The Iraqi Stock Exchange, or ISX, says its main market index has surged some 65% so far this year, making it one of the world’s best-performing markets. Though many doubt the accuracy of the ISX’s main index, fund managers who follow the country agree that Iraqi share prices have risen about 15% in 2011—still outperforming most global peers.

    Investors have been attracted by the relative political stability following the formation of Prime Minister Nouri al-Maliki’s coalition government last year, as well as the promise of higher oil revenues and the reconstruction of the economy. The International Monetary Fund estimates that Iraq’s economy will grow at 9.6% this year and likely expand by 12.6% in 2012.

    “Foreign buying has picked up in the past 18 months or so with inflows estimated at about $130 million in this period,” said Shwan Ibrahim Taha, chief executive of Rabee Securities, whose weekly stock market reports are published by Iraq Business News.

    “The fact that it is one of the best performing markets this year, with further potential upside as the economy develops, is definitely whetting investor appetite,” he said.

    The Iraqi bourse’s gains this year compare well to the performance of other indices in the region. Saudi Arabia, the Middle East’s biggest market, is down some 7% so far this year. Egypt, the most open market in the region, has dropped 38% in the wake of the January revolution that toppled former President Hosni Mubarak.

    With a market capitalization of about $4 billion, and daily turnover of about $2 million, the ISX is one of the smallest markets in the region. Even after its sharp falls this year, Egypt has a market capitalization of about $56 billion.

    Investing in the Iraqi market is still complicated and risky. The ISX lists about 85 companies across sectors such as banking, insurance, services, industry and agriculture. But only about 30-40 stocks are actively traded, and only a smaller number are liquid enough for investors to buy or sell without disrupting the price, according to Sherif Salem, a fund manager at Abu Dhabi-based Invest AD, which has an Iraq-focused fund with about $20 million in assets under management.

    Iraq’s $115 billion economy continues to be dominated by the oil sector, which provides over 90% of government revenue and 80% of foreign-exchange earnings. But the country’s major energy companies aren’t listed, depriving investors of one of Iraq’s most attractive sectors.

    This leaves Iraq’s banking sector as the dominant component on the index, accounting for about 70% of market turnover. However, the shares of several Iraqi banks have been subject to lengthy trading suspensions this year because of the regulator’s policy of halting trade while institutions are involved in market-sensitive activity such as bonuses or rights issues. Many Iraqi banks have also been seeking new capital this year.

    Mr. Salem at Invest AD said that transparency is an issue that has put off investors, though he expects this to improve. Companies are allowed almost six months to disclose their quarterly financial reports, and even when issued the reports in general contain limited information. “This will likely improve with time, and can be overcome if one has a typically longer term view of say five years,” he said.

    Mr. Salem said he also hopes that liquidity will improve once more companies list. At least three telecom firms are expected to go public this year, though their plans have been delayed, mostly due to concerns about liquidity. The companies—Zain Iraq, a unit of Kuwait-based Zain Group; Asiacell, a unit of Qatar Telecom; and Korek Telecom, in which France Telecom and Kuwaiti logistics company Agility own around 44%—are all expected to list at least 25% of their shares under the terms of licences issued in 2007.

    “We need more companies…The next 18-24 months are likely to see a lot more action on this front,” said Mr. Taha of Rabee. He said liquidity is a concern but added that the situation is getting better as about six Iraq-specific funds have been set up. Several more are also investing in the market as part of their broader frontier market mandates.

    While investing in Iraq’s stock market carries risks similar to those associated with any young emerging market—including lack of transparency and bureaucratic hurdles—security remains a big concern, especially among fund managers who visit the country regularly.

    Violence is down across Iraq from its peak in 2006 and 2007, but concerns remain as the deadline approaches for the U.S. to withdraw its troops from the country by the end of the year. Some investors, though, are ready to take that risk for now.

    “Iraq has continued to stumble along a slow and bumpy path towards improved institutions. But with oil revenues buoyant, and production volumes set to increase, we still think the risk-reward trade-off is acceptable,” said Gabriel Sterne, a London-based analyst at investment bank Exotix.
    - Persi, in 8 years
  • Capital Bank Opens first National Bank of Iraq Branch in Erbil

    Posted on 03 October 2011.

    As part of its expansion plans across Iraqi provinces, and in an effort to offer premium banking services and facilities to its corporate clients, Capital Bank announced the opening of its first National Bank of Iraq (NBIRQ) branch in Erbil.

    Through its acquisition of a controlling 72% share in the National Bank of Iraq (NBIRQ), Capital Bank is the only Jordanian bank in Iraq offering superior services that facilitate and fund trade and banking services between clients in Jordan and Iraq.

    The new Erbil branch was inaugurated by His Excellency Dr. Barham Salih, Prime Minister of the Kurdistan Regional Government, in the presence of His Excellency Bassem Khalil Al-Salem, Chairman of Capital Bank, and Nozad Hadi, Governor of Erbil, in addition to National Bank of Iraq Board Members and a number of prominent figures in the region.

    The new Erbil branch increases the total number of NBIRQ branches to seven, three of which are located in Baghdad, one in Mosul, one in Karbala and one in Basra.

    “We are delighted that the National Bank of Iraq has brought its services to Erbil in addition to the other provinces it is already serving and we are also pleased that the National Bank of Iraq branch is the only Capital Bank branch in the Region. Erbil is currently witnessing exceptional economic activity as a result of its political stability making it a prime destination for investors that are targeting the Iraqi market”, said His Excellency Dr. Barham Salih, Prime Minister of the Kurdistan Regional Government.

    “Our investment in the National Bank of Iraq is a long-term strategic decision that stems from Capital Bank’s firm belief in the wide-ranging economic opportunities that are available in Iraq”, commented His Excellency Bassem Khalil Al-Salem, Chairman of Capital Bank, the fourth largest bank in Jordan in terms of capital.

    “As the only Jordanian Bank in Iraq that provides both commercial and investment banking services – through its investment arm Capital Investments – our relationship with the National Bank of Iraq allows Capital Bank to better service businessmen and merchants in Jordan and support the increase of Jordanian exports to Iraq”, stated Al-Salem.

    Al-Salem went on to affirm that the National Bank of Iraq aims to strengthen ties and enhance investment opportunities between Jordan and Iraq, which is considered one of the fastest growing economies in the world.
    - Persi, in 9 years
  • Economic researcher: oil exports will reach 250 billion dollars/year over the next five years
    October 10 2011



    Baghdad (newsletter).Hussein sees economic researcher, increase the size of the star oil production in the coming years to (6) million barrels and exports will reach 250 billion dollars a year, calling for the exploitation of these amounts to investment and service projects for the country.

    The star said in an interview with a reporter (News Agency news) Monday: Iraq oil production will develop from 3 million barrels to 6 million barrels over the next five years to reverse the oil plan that up to 12 million barrels for very common (2017), noting that a number of difficult access Fantasy within five years.

    Star: he held large cash block Iraq through annual imports as a result of increased oil production by up to 250 billion dollars per year, adding that a large number and the Iraqi market will drive towards progress and prosperity.

    And stressed the need to exploit this star funds to investment projects and services and sustainable development of other economic sectors, especially the infrastructure sector, noting that changes that occur on global oil prices that do not affect the Iraqi economy that produced high oil and economy investor through cash.

    Economic researcher said Iraq other production despite a slowdown in some oil fields as a result of third party infrastructure complete or plans require sophisticated programs to sustain these fields.
    - IraqiPlan_et, in 9 years
  • ^^ Do they mean exports instead of imports ?
    - BigDreamer, in 9 years
  • ^^ Lol that I didn't catch that....it should obviously be "exports"....I'll change it :)
    - IraqiPlan_et, in 9 years
  • Or maybe they mean "incomes" or "incomings" as in revenues but through google trans it became "imports" :hm:
    - IraqiPlan_et, in 9 years
  • Khor Al-Zubair witnessed export more than 10 million tons of dates last month
    November 3 2011



    Announced that the General Company for Ports of Iraq that the port of Khor Al-Zubair has exported more / / 10 million tons of dates in the past month.

    A source in the company that with the beginning of the season dates and cattle exported from Iraq to many countries of the world could the port of Khor Al-Zubair ports to be attractive to exporters of these materials. "

    He noted that "the volume of oil exports for the month of last October amounted to ten thousand and 825 thousand tons of dates and / 400 / tons of cattle.
    - IraqiPlan_et, in 9 years
  • A new Japanese loan to Iraq
    November 17 2011


    Tokyo plans to implement 15 projects worth in excess of three billion dollars

    BAGHDAD - Al Sabah -
    Revealed the Japanese ambassador to Iraq Susu Segawa all went according to plans for the loan of a major financial of Iraq. Segawa said in an interview with the "morning" to be published in a later issue: "The size of the new loan, and mechanisms to deal with it will be agreed upon during the visit of Prime Minister Nuri al-Maliki Japan next week. "

    It is said that the Prime Minister will visit Japan next week at the top of high-level delegation, the official invitation of his Japanese counterpart Yoshihiko Noda, where The delegation comprises the Ministers of Finance and the oil industry and a number of advisers and heads of bodies, and will focus the talks with the Japanese side on the development of political and diplomatic relations and coordination of positions in international forums, in addition to the expansion of investment in energy and oil industries, and is scheduled to sign agreements in this regard, according to a statement issued by the Office of the Prime Minister.

    He said the Japanese ambassador that his country is willing to increase its presence in Iraq, where she participated for the first time in the Baghdad International Fair since 2003, pointing to the pursuit of his country's companies to create partnerships with companies operating in Iraq, especially the Turkish projects strategy is huge. And new Segawa his country's support to Iraq's full , said in this regard: "The security and stability of Iraq is necessary in the region, and that Iraq is at the forefront of countries in the region which saw a democratic revolution, democracy Iraqi progressing day after day, what drives the world, particularly Japan to increase its presence in Iraq."

    And on the steps to remove Iraq from Chapter VII of the Charter of the United Nations, Ambassador of Japan:

    "The Tokyo supports the processing of this file through the mechanisms of the United Nations." And got "morning" on the scheme in English shows loans to develop 15 projects currently valued at three billion and 280 million, which are: a project to rehabilitate the Gaza port, and a loan for the irrigation sector, and project to rehabilitate the thermal power plant in Mussayab, in addition to the project for the construction of bridges and roads Samawa, and the development project refinery refining Basra and Rehabilitation Project Factory Khor Al-Zubair Fertilizer, as well as the project re- construction of facilities to export crude oil, and the project re-construction of the electricity sector, and the development project processing water Basra, also includes a draft re-construction of the electricity sector in the province of Kurdistan, and a project to develop water supply in the province of Kurdistan, and a project development facility sanitation, and supply project water sector in Central western Iraq, in addition to the gas plant construction project crutch, and factory construction project Hidrelik of energy.
    - IraqiPlan_et, in 10 years
  • New Deals and a Better Future for Iraq
    November 17 2011


    The past week has seen two of the biggest oil stories in recent times in Iraq — the approval by the Iraqi cabinet of the $17 billion project with Shell and Mitsubishi to capture gas from Iraq’s main southern oilfields, and the confirmation that the KRG has signed an exploration agreement with the giant ExxonMobil.

    The Shell contract has been very broadly welcomed, and it brings us closer to the day when Iraqi homes and businesses will have a reliable supply of electricity, powered by the gas that is currently flared off into the atmosphere.
    Exxon’s project, on the other hand, is more politically sensitive, and the full implications of it remain to seen.

    But it is very clear that significant deals such as these in the energy sector will be required to push Iraq forward towards greater prosperity and stability. And as the UK’s Ambassador Michael Aron said this week:

    “A combination of stability, economic development and the creation of a competitive private sector offer huge opportunities for international and Iraqi business. And it puts Iraq right back at the centre of the global economy it left 20 years ago …
    “Ultimately, business will go where conditions are best.“

    Few would argue with that.
    - IraqiPlan_et, in 10 years
  • Iraqi-Emirati trade reached $6.5bn
    04 Dec 2011


    UAE and Iraq trade is worth $6.5 billion USD (7,500 billion IQD), up from $5 billion USD (6,000 billion IQD) in 2009 according to Iraqi Government figures. The two countries hope to continue this rise and increase trade to $7 billion USD (8,000 billion IQD) at the start of 2012.

    The relations improved between the UAE and Iraq after Abu Dhabi decided in 2008 to cancel Baghdad's debt which reached to about $7 billion USD.

    The volume of trade between Kurdistan Region and the UAE reached $3 billion USD (3,500 billion IQD) with hopes it could rise to $10 billion USD (11,500 billion IQD).

    The Economic Advisor in the Iraqi government Salam al-Quraishi told AKnews the commercial exchange includes all industrial, agricultural, food and service products. About 24 Emirati companies are operating in Iraq in the investment, housing and food processing sectors, he added.
    - IraqiPlan_et, in 10 years
  • Increase in the volume of Turkish exports
    03 Dec 2011


    Turkish media sources said on Saturday, the volume of Turkish exports in the last month compared to last year, according to Turkey's breaking news today.

    A site that "according to the data Turks Exporters Association (TİM), the volume of Turkish exports in the month of November of this year reached $ 10.7 billion, an increase of 13.9% compared to the same month last year."

    While the total Turkish exports in the period between the month of December and the month of November of this year of $ 122.1 billion, an increase of 19.7% over the same period of last year.

    The total exports of Turkey during the last twelve months 133 billion and 978 million, an increase of 19.5%.

    It is worth mentioning that most sectors of the Turkish export in the month of November last was the auto industry with total exports amounted to one billion and $ 624 million, followed in second place the chemicals and their products at one billion and 254 million, while the garments sector in third place with total exports of billion and $ 160 million.
    - IraqiPlan_et, in 10 years
  • ^^ Hmm but it doesn't say if Iraq is exporting more from Turkey.
    - Sinjar, in 10 years
  • ^^ It says that Iraq is importing more.....and Turkey is exporting more
    - IraqiPlan_et, in 10 years
  • ^^ It says that Iraq is importing more.....and Turkey is exporting more

    It's about ALL the Turkish export is increasing which is not a necessity that it's the same way for Iraq.
    - Sinjar, in 10 years
  • It's about ALL the Turkish export is increasing which is not a necessity that it's the same way for Iraq.

    Yea you're right :hammer:....I just assumed that Turkish exports to Iraq increased, since I took this article from an Iraqi news agency
    - IraqiPlan_et, in 10 years
  • Iraq Approves $100bn Budget for 2012

    07/ December/ 2011.

    Iraq’s Cabinet has approved a federal spending plan of almost $100 billion for 2012.

    The budget is based on an oil price of $85 a barrel and is smaller than the $112 billion spending plan discussed by the Cabinet in September, which was based on an oil price of $90 a barrel.

    The deficit will be about 16 trillion dinars ($14 billion).

    Revenue projections are based on exports of 2.6 million barrels of oil a day, including 175,000 barrels from the northern Kurdish region.

    Iraq’s 2011 budget was $82.6 billion, based on an average oil price of $76.50 per barrel and 2.2 million bpd in crude exports.

    Iraq also has $4.5 billion in International Monetary Fund loans available should it need additional funds, government spokesman Ali al-Dabbagh (pictured) said.
    - Persi, in 10 years
  • Has the budget increased and shouldn't be higher?
    - Sinjar, in 10 years
  • Yeah the budget for this year was $110 billion and next year it'll be $100 billion?? LOL the budget should be increasing not decreasing!
    - Chounz, in 10 years
  • weird :S
    - Sinjar, in 10 years
  • This is iraqi politic :D
    - Ali - Iraq, in 10 years
  • Iraq is expected to decline in the deficit to $ 4 billion by 2014
    10/12/2011



    Rafie al-Issawi said Iraqi Minister of Finance that the budget deficit will drop to 5 trillion Iraqi dinars (4 billion dollars) by the end of 2014 from 14 trillion dinars (12 billion dollars) expected in 2012 with the country to benefit from increased oil revenues. Issawi said that the deficit according to the ministry's plan in 3 years until 2014, will decline steadily with the growth of production and oil exports.

    He said in an interview with Reuters yesterday that the deficit in the medium-term plan is supposed to fall to 5 trillion and predicted that the deficit in 2014 is equivalent to 5 trillion dinars. Baghdad has signed several deals with international oil companies to increase its oil production to 12 million barrels per day by 2017 from 2.95 million barrels per day at the moment.

    That would put paid to the ranks of Iraq's largest oil producers in the world. But many analysts are skeptical that Iraq up to the target level due to infrastructure constraints. He said Iraqi Oil Minister Abdul Karim and coffee last September, the target level of production capacity between 8 million and 8.5 million barrels per day "is more appropriate."

    And budget deficits of the challenges that limit the ability of Iraq's reconstruction after the conflict that followed the US-led invasion of the country in 2003.

    Issawi said that the proposed budget for 2012 which is estimated at one hundred billion dollars, which is still awaiting approval, based on the forecast growth rate of 5% in the gross domestic product and inflation at 5% during the year. The Iraqi government approved a draft budget for 2012, Monday is scheduled to be submitted to parliament within days of final approval.

    An official from the Iraqi Central Bank last month that Iraq's core inflation fell to 6.9% last October from 7.3% in September.
    - IraqiPlan_et, in 10 years
  • Iraq Expects To Be Given OPEC Presidency In 2012 - Oil Ministry
    Dec. 13, 2011


    Iraq will be given the presidency of the Organization of Petroleum Exporting Countries, or OPEC, for 2012 at the group's Wednesday meeting, Iraq's Oil Minister said Tuesday.

    "Yes we are having discussions with members on OPEC's presidency next year," Iraqi oil minister Abdul Kareem Luaiby told Dow Jones Newswires.
    "We will get it," he said.

    Iraq, a founder of the 12-member producers group, has not been bound to an OPEC production quota since the 1980s, when the country's production fell sharply below its quota due to the 8-year Iraq-Iran war that ended in 1988.

    Then the country came under U.N trade sanctions for 13 years following its invasion of Kuwait in 1990, when it was banned from freely exporting oil.

    Asked if Iraq being outside OPEC's quota system would affect it getting the OPEC presidency next year, he said: "No, the quota has nothing to do with us being OPEC president."

    The OPEC presidency is a ceremonial post that rotates among the 12 members of the organization. It is chosen on the consequence of members' alphabetical names and it is a one-year term. Iraq will take the presidency from Iran.
    - IraqiPlan_et, in 10 years
  • Iraq Can Lead the Arab World If It Gets Oil Policy Right: View
    Dec. 12 2011

    Source: Bloomberg


    U.S. President Barack Obama and Iraqi Prime Minister Nouri al-Maliki had many important issues to discuss yesterday in Washington: the impending withdrawal of the last U.S. troops from Iraq, the fragility of democracy there, the looming presence of Iran on its border and so on.

    But an item further down the agenda may well be the most important factor in Iraq’s future: oil.

    Iraq possesses the fourth largest proven oil reserves on the planet. That treasure once made the country one of the most economically developed in the region. If it can re-energize its petroleum industry, Iraq, with its emerging democracy, can become the most advanced nation in the Arab world.

    Iraq hopes to increase its oil production from 2.7 million barrels a day now to 13.5 million by 2018. Outside experts think even half that is a stretch. In any case, a major production increase will require significantly more investment by foreign companies, which have the expertise and capital Iraq has lost through decades of war and turmoil. Their enthusiasm, however, has been dampened by bureaucratic holdups, legal uncertainties and the diminished state of Iraq’s pipelines, storage facilities, export terminals and the like.

    The red tape companies encounter in Iraq -- when they apply for employee visas, for example, or try to import equipment or seek payment -- seems to reflect attitudes rooted in the past. The oil industry was nationalized in 1972, and the idea of excluding foreign companies still has resonance, including within Maliki’s coalition government.

    Time to Decide

    Iraq’s leadership has a choice: Either create an administrative environment conducive to foreign investment or accept a slow growth rate for oil production.

    The latter is bad for Iraq and the former needn’t be. Offshore interests can’t be allowed to plunder Iraq’s reserves. But in the 15 contracts the central government has signed so far, it has made strong deals for itself.

    The international companies working in the country, however, have worries that Iraqi officials need to resolve. Iraq’s 2005 constitution promised a hydrocarbon law that would settle who had the power to approve what type of deal. Yet no such legislation exists because the central government and the semi-autonomous Kurdish region in the north, which has oilfields only recently being exploited, haven’t agreed on terms.

    In August, Maliki’s Cabinet sent Parliament a draft law that would let a federal council approve only technical-services agreements, the type of contract the central government has granted. With these, companies are compensated for costs plus a fee per barrel of oil produced. But the Kurds, in their deals with 43 companies, have signed production-sharing arrangements, in which the company is responsible for costs but gets a percentage of any oil that is extracted. Contractors prefer such terms, which are higher risk but potentially higher yield. They also seem to make more sense for the northern oil deposits, which are generally fragmented and don’t offer the same ease of production as the larger fields in the south.

    In the absence of a law, Maliki’s government has deemed the Kurds’ contracts illegal and banned companies that have signed them from bidding for oil business in the rest of Iraq. Creating more uncertainty, Baghdad, until earlier this year, denied such contractors the ability to export the oil they produced in the Kurdish areas, limiting their sales to the domestic market. For these reasons, the northern oilfields have attracted mainly wildcatters and second-tier companies like Marathon Oil Corp. (MRO)and Hess Corp. (HES)

    Shake Things Up

    Having angered Kurdish authorities with its draft law, the central government agreed to new negotiations. But Exxon Mobil Corp. shook things up in October when it became the first major oil company to sign with the Kurds -- sealing six exploration deals. It did so while also doing business with the central government. In response, Baghdad not only blacklisted the company from the next auction of exploration blocks in Iraq’s south, it threatened to cancel the company’s 60 percent stake in developing the giant West Qurna 1 oilfield, which is already producing 350,000 barrels a day. The U.S. oil giant’s move defied not only Baghdad but also the U.S. government, which has warned companies against signing contracts with the Kurds in the absence of a legal framework.

    Still, Exxon’s gambit could prove a positive catalyst, if Maliki’s government makes the right decisions. Expelling the company from the West Qurna 1 oilfield, or forcing it to choose between doing business with the Kurds or the central government, could scare away other potential partners. Baghdad would do better to support a hydrocarbon law that embraces production-sharing contracts for the north and technical-services agreements for the southern fields.

    Many Baghdad officials worry that giving in on the issue will feed the Kurds’ desire for more independence. It may. However, refusing to legitimize the Kurdish contracts is already having that effect, while perpetuating the legal uncertainty. The sooner that fuzziness is resolved, the sooner Iraq can get the help it needs to accelerate oil production.

    Increasing output will generate the money Iraq requires to renovate its oil infrastructure, which will allow still greater production. Corroded pipelines need to be replaced. A system for bringing water, which facilitates oil flow, from the Persian Gulf to the oilfields needs to be completed. New storage facilities and export terminals, replacing those destroyed as long ago as the 1980s Iran-Iraq war, must be built.

    The Iraqis estimate it may take $50 billion in investments in these systems to get production up to 6 million barrels per day. That money will be hard to come by if the Maliki government keeps getting in the way of foreign investment.
    - IraqiPlan_et, in 10 years
  • EU, Iraq sign partnership agreement
    22 Dec. 2011


    European Union (EU) on Thursday authorized the signing of a partnership and cooperation agreement with Iraq.

    According to an EU press release, this agreement will mark the first ever contractual relation between the two sides, and provides a legal framework covering issues from regular political dialogue to trade relations and regulatory cooperation, and development assistance.

    "The agreement underlines the EU's determination to play a significant role in Iraq's transition and will be the main vehicle for the EU's support to Iraq and further enhancement of EU-Iraq relations," said the statement.

    Last Sunday, the last batch of U.S. combat forces in Iraq departed and crossed into neighboring Kuwait, marking the end of nearly nine-year military presence in the war-torn country.
    - IraqiPlan_et, in 10 years
  • Parliamentary expects the economy in 2015 budget of more than $200 billion
    January 17 2012


    Predicted for the economy and invest in the House of Representatives to reach the general budget for the year 2015 more than 200 billion dollars. A member of the Committee Deputy Yousef al-Tai in a statement »morning»: The «is expected to witness the year 2015 budget explosive, thanks to increased oil export», calling for the need to invest and exploit optimally the investment sector in promoting and supporting the private sector.

    He described the Tai next stage as a stage «important» in the history of Iraq, where a turnaround job within the country, considering that this stage will be of nature purely economic view of the dominance of the economic file on the Iraqi scene after the withdrawal of U.S. occupation forces him, especially during the coming years because of budgets large and how direct these funds and invest them properly.
    - IraqiPlan_et, in 10 years
  • Average Incomes to Increase 15% in 2012
    18 jan 2012


    The Central Bank of Iraq expects the average annual income in 2012 will reach almost $6,000 (7 million IQD), up from $5,200 (6 million IQD) in the previous year, according to AKnews.

    The deputy governor of the CBI, Mudhar Mohammed Saleh, said the estimate was made based on the governments planned investment in oil and economic projects in the coming year.

    According to UN reports there are still seven million people living below the poverty line in Iraq despite the fact that the oil rich country is now exporting 2.5 million barrels of oil per day.
    - IraqiPlan_et, in 11 years
  • Even though it's quite a small increase and the average income is still sh%t, it's good news. Just hope it starts to increase more rapidly every year. If it reaches $10,000 in 2015, I'd be satisfied.
    - Chounz, in 11 years
  • Iraq to Grow 36% in Three Years
    Jan 20 2012


    The World Bank says it expects Iraq’s gross domestic product (GDP) to grow by 12.6 percent in 2012, and 10.2 percent in 2013, following a growth of 9.6 percent last year.

    If achieved, this would give a compound growth of 36 percent in just three years.

    This follows a downward revision of growth expectations for the world as a whole, with the global economy expected to expand 2.5 and 3.1 percent in 2012 and 2013 (3.4 and 4 percent when calculated using purchasing power parity weights), versus the 3.6 percent projected in June for both years.
    - IraqiPlan_et, in 11 years
  • guys

    the IMF updated their GDP stats for 2011

    Iraq's GDP (PPP) is now $125.665 billion

    thats slightly under 11% growth from the 2010 figure of $113.366 billion


    http://www.imf.org/external/pubs/ft/weo/2011/01/weodata/weorept.aspx?sy=2008&ey=2011&scsm=1&ssd=1&sort=country&ds=.&br=1&c=433&s=NGDPD%2CNGDPDPC%2CPPPGDP%2CPPPPC%2CLP&grp=0&a=&pr.x=19&pr.y=18
    - BigDreamer, in 11 years
  • how does it compare with other countries
    - elusive, in 11 years
  • ^^ don't know where to find the table for every coutnry yet, but I imagine that's pretty impressive growth.. world economy grew at something like 2.5% so we did very well
    - BigDreamer, in 11 years
  • wow GDP is really increasing substantially...it might even be higher pre invasion
    - elusive, in 11 years
  • ^^ yes it's higher than pre-invasion.. our GDP (PPP) was around 60 billion (taking inflation into account).
    - BigDreamer, in 11 years
  • in 10 years time it might be catching up to developed countries :)
    - elusive, in 11 years
  • Haha well obviously 9 years later it's gonna be higher than pre-invasion! We were under sanctions remember... no investment.
    - Chounz, in 11 years
  • yes correct, but remember, few years after invasion our economy actually contracted !

    one year (i think it was 2007 or 2006) the economy shrank close to 30% !!! but managed to recover most of it the around a year later..

    under war-like conditions, the economy becomes an extreme roller coaster, from one extreme to another ..

    lets hope we will have many years of stable two digit growth to come.. we sure have a lot to catch up ..

    I think for Iraq to be considered a a true wealthy country our GDP should be higher than $500 billion (and that's in today's dollar), in few decades, it should be MUCH more.
    - BigDreamer, in 11 years
  • I think iraq should devellop the Fertilizer industry...

    There are several reasons

    1) The global demand for fertilizer keeps growing up

    2) Iraq has already some experience in that industry (Plants in Basra & Al-qaim)

    3) The main reason : Iraq has the three natural ressources needed to devellop High scale fertilizer industy

    - Huge reserves of phosphates (Akashat)

    - Huge reserves of Sulfur (Rock sulfur in Mishraq + Sulfur as oil processing byproduct)

    - Huge reserves of Natural gas (At least 4 fields of non-associated gas + associated gas)

    I don't think many countries have all those factors together.

    That can be a Great economic opportunity for Iraq.
    - adnan12, in 12 years
  • ^^ +1000

    my uncle worked in the phosphates industry in Iraq (he has long left tho during early 90s)

    he told me that Iraq has a better potential to be big player in the phosphate industry than in the oil industry !!

    not to mntion we get uranium when we process phosphates raw meterial, so we can be in that industry too !!

    we have so much potential, but our stupid leaders are too busy slaughtering eachther for personal gains..

    we need people who are smart and loyal to iraq, not everyday party poltics.. only then we can truly prosper
    - BigDreamer, in 12 years
  • this was never posted

    Iraq approves $100.5 bln budget for 2012

    BAGHDAD Feb 23 (Reuters) - Iraq's parliament approved on Thursday a much delayed $100 billion budget for 2012, based on an average oil price of $85 per barrel and 2.6 million barrels per day (bpd) in crude exports.

    The long overdue budget approval was held up by frequent disagreements between the country's lawmakers. Under a delicate power-sharing agreement, Iraq's ministries have been divided between Shi'ite, Sunni and Kurdish political blocs.

    The most recent dispute flared up in December, when moves by Shi'ite Prime Minister Nuri al-Maliki against two Sunni officials prompted a walkout by lawmakers from the Sunni-backed Iraqiya bloc which lasted until late January.

    The budget passed late on Thursday included a projected deficit of $12.6 billion, the bulk of which will be covered by a surplus in the Development Fund of Iraq (DFI) account at the New York Federal Reserve.

    The DFI was established after the 2003 U.S.-led invasion of Iraq in order to direct oil revenues to reconstruction and food programmes for Iraqis. Iraq holds the bulk of proceeds from its oil export sales in the DFI.

    The budget, which covers operational and investment spending, allocated $31.7 billion for investment projects. The rest would go to covering salaries and food ration items.

    The budget also allocated 17 trillion dinars ($14.6 billion) to the country's security forces, since bringing violence under control remains a top concern in Iraq after U.S. troops ended their nearly nine-year presence in mid-December.

    Earlier on Thursday, a string of attacks across the country killed at least 60 people, highlighting the fact that the security situation in Iraq remains precarious.

    The budget was based on annual crude oil exports of 2.6 million bpd, including 175,000 bpd from the autonomous Kurdistan region. Last year, oil exports averaged 2.165 million bpd, and they slipped to 2.106 million bpd in January.

    In London, Brent crude for April delivery settled at $123.62 a barrel, up 72 cents.

    The OPEC member, which is trying to rebuild its battered economy after years of war and sanctions, depends mainly on oil revenues, which fund about 95 percent of its budget.

    Iraq, which has the fourth-biggest oil reserves in the world, aims to boost its oil production capacity to 8-8.5 million bpd by 2017, which could vault it into the top echelon of world producers.

    Iraq's 2011 budget was $82.6 billion, based on an oil price of $76.50 per barrel and 2.2 million bpd in crude exports.
    - elusive, in 12 years
  • Iraq has launched a spree of commercial and political deals across the Middle East to try to end festering Saddam Hussein-era disputes and build needed alliances as it prepares to host its first Arab League summit for 20 years. Despite deepening internal tensions, outbreaks of deadly violence (http://www.ft.com/intl/cms/s/0/f3734458-7265-11e1-9c23-00144feab49a.html)and its precarious position between Iran and Gulf Arab states, analysts say Baghdad sees the conference next week as the moment to declare itself politically viable and open for business now the US military occupation has ended.

    A settlement last week over compensation to Kuwait’s national airline after Saddam’s 1990 invasion is the most eye-catching sign of how Iraq – whose Arab Shia-led government is aligned ethnically with Gulf countries but religiously with Iran – is trying to soothe old enmities and pursue a delicately balanced foreign policy.

    Toby Dodge, an Iraq expert at the London School of Economics, says Iraqi politicians are “painfully aware” of their need “to tidy up their international relations”, especially as the unfolding crises over the Syrian uprising and Iran’s nuclear programme make it hard for them not to choose sides among their neighbours.

    “It gives Iraq very little room for non-alignment,” Mr Dodge says. “And it is trying to capitalise on this little room now.”

    Iraq and Kuwait reached a settlement last week under which Kuwait City agreed to cancel its long-running legal action against Baghdad over aircraft and parts allegedly taken during the six-month Iraqi occupation. In exchange for Kuwait dropping a claim for $1.2bn, Iraq agreed to pay $300m in reparations and another $200m to set up a joint airline operated by both countries, according to the Iraq government.

    Both countries lauded the high-level discussions, held in Kuwait and signed off by Nouri al-Maliki, Iraq’s prime minister. Khaled al-Jarallah, undersecretary at Kuwait’s foreign ministry, said the talks were “excellent and in the interests of both brotherly nations, governments and peoples”, according to Kuwait’s official news service.

    Days after the announcement, Kuwait’s Jazeera Airways (http://markets.ft.com/tearsheets/performance.asp?s=kw:JAZEERA) was granted approval to become the first Kuwaiti carrier to offer flights to Iraq, an indication that warmer relations could also boost the private sector. The countries said they also made progress on compensating Kuwaitis who could prove that they owned properties in Iraq.

    Analysts link the flurry of amends-making with the Arab League summit beginning in Baghdad on Tuesday – the first in Iraq for more than 20 years and the first in a country with a Shia head of government.

    Dominick Donald, a director of Aegis Advisory, a risk consultancy, says: “It would be rude to go to Baghdad in Arab amity without having made progress on something. This is an important but comparatively easy first step.”

    The Kuwait deal is part of a broader – and pragmatic – charm offensive by Iraq in recent weeks, including concluding a prisoner-transfer agreement with Saudi Arabia. It has also agreed to compensate Egyptian expatriate workers over unpaid Saddam-era remittances, while Cairo will start exporting electricity to Iraq to help it meet its domestic needs.

    Hoshyar Zebari, Iraq’s foreign minister, says the diplomatic activity and the Arab League conference were statements that Iraq had “really become a normal country again”.

    “We are the master of our decisions and our destiny, and we will address the remaining unresolved issues from past years,” Mr Zebari says. “The big idea is that the summit will enhance international confidence in Iraq – in business, in trade and in diplomatic and commercial relations.”

    But for all the new spirit of concord, analysts warn that Iraq still has big past and present problems to tackle in domestic politics and foreign relations.

    Kuwait expects Iraq to keep paying reparations over the invasion, amounting to 5 per cent of its oil revenues annually – an obligation that Mr Zebari says has already cost Baghdad $22bn, with another $17bn due. The two countries also face tensions (http://www.ft.com/intl/cms/s/0/13e087f4-dc4e-11e0-8654-00144feabdc0.html) over Kuwait’s decision to build the Mubarak al-Kabir port on Bubiyan Island, a direct competitor to Iraq’s Grand al-Faw terminal just a few kilometres away.

    Iraq’s national unity government is grappling with severe internal pressures that erupted within days of the US withdrawal in December, when Tariq al-Hashimi, the country’s Sunni vice-president, fled Baghdad after a warrant was issued to arrest him on terror charges. This week’s slaughter of dozens of people across the country in a wave of co-ordinated car bomb attacks was a reminder that the appalling violence seen since the 2003 US-led invasion has not disappeared entirely.

    On foreign policy, Iraq is uncomfortably placed both geographically and politically amid the hostility between the Gulf states and Iran over Tehran’s nuclear ambitions and the brutal crackdown by President Bashar al-Assad’s Iranian-aligned regime in Damascus. If the regional proxy war developing in Syria deepens, it may yet prove a fatal test for Iraq’s policy of detente.

    Copyright (http://www.ft.com/servicestools/help/copyright) The Financial Times Limited 2012
    - Sinjar, in 12 years
  • Double-Digit Growth Forecast for Iraq (http://www.iraq-businessnews.com/2012/04/19/double-digit-growth-forecast-for-iraq/)



    While much of the developed world struggles to drag itself out of recession, Iraq managed to register real GDP growth of 9.9% last year, according to IMF estimates.

    Their projection for this year is 11.1 percent, followed by 13.5 percent next year, giving compounded growth over the three years of nearly 40%.
    Iraq may have its problems, but economic growth is not one of them.

    “There’s a tremendous imbalance between the potential wealth of Iraq and its current situation in terms of both consumer goods and infrastructure,” Farouk Soussa, Middle East chief economist at U.S. bank Citi, told Reuters.

    “When it happens, the catch-up will be immense. A lot of people are positioning themselves for this.”
    - Sinjar, in 12 years
  • ^^ IRAQ Can do it, trust me. :yes:
    - fazl1991, in 12 years
  • Imagine how much greater the economy will grow once we become the largest exporters of phosphate.
    - SumerianKing, in 12 years
  • One thing is sure, Iraq's economy will continue to grow rapidly in the next decade.
    - Sinjar, in 12 years
  • If we don't enter a war..
    - Ali - Iraq, in 12 years
  • actually, i was hoping iraq would growing atleast 15% + p/a by now.. in my opinion iraq is under performing giving it's potential.. remember, our GDP is very small to begin with, high growth rate should be the expected result, not the the exceptional result !
    - BigDreamer, in 12 years
  • Would such rapid growth place inflationary pressure on the currency?
    - ardamir, in 12 years
  • actually, i was hoping iraq would growing atleast 15% + p/a by now.. in my opinion iraq is under performing giving it's potential.. remember, our GDP is very small to begin with, high growth rate should be the expected result, not the the exceptional result !

    The Iraqi economy will keep at growing considerably lower than it's full potential mainly because of electricity and corruption. Corruption will greatly decrease once electricity is supplied 24/7 and the government operations become automated. Only then will the real boom begin in the Iraqi economy.
    - alshawi1234, in 12 years
  • The Iraqi economy will keep at growing considerably lower than it's full potential mainly because of electricity and corruption. Corruption will greatly decrease once electricity is supplied 24/7 and the government operations become automated. Only then will the real boom begin in the Iraqi economy.

    You got it on point. Corruption and electricity are huge denominators in the rate of our growing economy.
    - SumerianKing, in 12 years
  • http://media.economist.com/sites/default/files/imagecache/290-width/20120123_CPC022.gif

    GDP growth: 10.9%
    GDP: $112bn (PPP: $159bn)
    Inflation: 6.1%
    Population: 32.8m
    GDP per head: $3,410 (PPP: $4,850)

    http://www.economist.com/node/21538052
    - Sinjar, in 13 years
  • of course the biggest factor is the lack of BANKING / loans for investments, real-estate development and small companies.
    - sheytanElKebir, in 13 years
  • ^ and banking of course which would only be developed when the electricity problem and corruption are solved.
    Banking and the complicated application process as well as security is probably the main reasons why most foreigners are not investing.
    - alshawi1234, in 13 years
  • ^ and banking of course which would only be developed when the electricity problem and corruption are solved.
    Banking and the complicated application process as well as security is probably the main reasons why most foreigners are not investing.

    The problem is always security.

    The arab world has many young talented people skilled in finance & banking , who can't find any job in their country, like egypt, tunisia, jordan, lebanon.

    If they are sure not to be slaughtered, many of them woul enjoy working in iraq to help building the basis of a modern banking system in iraq, and train local people to financial jobs.
    - adnan12, in 13 years
  • Iraq's banking problem has nothing to do with electricity (they can run a generator! it doesn't cost that much extra) nor labour (modern banks are mostly automated and locals can certainly manage day to day operations without issues).

    The real problem is a lack of legislation to protect banks from bad loans, a lack of clear business courts to settle disputes and a lack of a clear mechanism for checking credit worthiness of loan applicants (whether individual or corporate).

    -LAWS for investments / insurance / collaterals
    -Credit Rating / Management agencies to cover all Iraqi companies / citizens

    =

    all the international banks will come rushing in.



    I will give you one TINY example.

    Person A has a 1000m piece of land in a prime spot in baghdad. The land is worth $4M dollars.
    The person has $500k in "cash" to build a project on it.

    In today's situation: he build a nasty 3 floor building using his cash only.
    With low interest rate modern banks: He builds a modern 10 storey building with a "loan of $5M on his land + $500k cash".

    when he builds a bigger building, he employs more people for construction, buys more materials for construction and creates modern real-estate to replace the 98% dilapidated beyod human use real-estate we have in Iraq today.

    The importance of legislation and electronic IDs / credit reference system for Iraq CANNOT be overstated! NOTHING will happen without it. But it doesn't even REGISTER with the parliament.
    - sheytanElKebir, in 13 years
  • Hi all,

    This is the trade map for the city of Basra (Counties not included). Please move to a more convenient place if this is not the right one. Thanks.

    http://www.noojooom.com/lib/attach/Basra%20Map%202012.jpg
    - Basrawii, in 13 years
  • ^^ this image is too big ! can you please resize it !
    - BigDreamer, in 13 years
  • Its a map y resize it just give a link like this

    http://www.noojooom.com/lib/attach/Basra%20Map%202012.jpg
    - fazl1991, in 13 years
  • Netherlands Sees Business Opportunities in Iraq

    THE HAGUE, 12/05/12 - Foreign Minister Uri Rosenthal has discussed current political issues and economic cooperation with Iraqi Deputy Prime Minister for Energy Hussain al-Shahristani.

    A Dutch trade delegation comprising companies from the oil and gas and agricultural sectors will be visiting Baghdad, Basra and Erbil from 2 to 8 June. Rosenthal sees "major opportunities" in Iraq for Dutch businesses, he said after meeting with Iraqi Deputy Prime Minister for Energy Hussain al-Shahristani. He is in the Netherlands to receive the Roosevelt Four Freedoms Award for freedom from fear.

    The ministers also discussed Iraq's neighbours Iran and Syria. Rosenthal emphasised the importance of Iraq's support for UN envoy Kofi Annan's plan for Syria. Rosenthal and Mr Al-Shahristani discussed the meeting in Baghdad on 23 May in which the five permanent members of the UN Security Council and Germany will talk to Iran about its nuclear programme.

    In addition, Rosenthal conveyed his concerns about the position of ethnic and religious minorities in Iraq, particularly in Nineveh. He expressed support for the efforts the UN has made to find a solution for the residents of Camp Ashraf.
    - Sinjar, in 13 years
  • Ambassador: Australia invests initially with $2.5b in Iraq

    Wasit, May 11 (AKnews)

    Australian Ambassador to Iraq Lindal Sax said her country has decided to begin investment in Iraq initially with $2.5b in agriculture sector.

    Her statement was made today during a joint press conference with Wasit Governor Mahdi al-Zubaidi.

    Australian government will begin investment in Iraq by soil reclamation projects in Wasit, Dhi Qar, and Diwaniya provinces, Sax said.

    She added the initial calculations show that the projects require $2.5b and the lion's share in the project will go to Wasit province which owns vast agricultural lands.

    The Tigris River which flows north through south of Wasit, has turned the province a fertile Iraqi provinces, distinguished for its high production level of wheat and barley.

    Sax added the Australian government is willing to visit some Iraqi provinces, especially those with a solid ground for investment in various sectors in order to sign joint economic and trade protocols.

    she said the "strong desire" of her country to invest in Iraq was in realization of the improved security situation and the appropriate investment environment in the country "which is joined to Australia with strong ties."

    The ambassador thought the Iraqi Investment Law has provided a plenty of guarantees, especially for the foreign investors.

    During her meeting with the Iraqi Planning Ministry Ali Yusuf on Jan.19, the Austrian Ambassador pointed to the capacities of her country in the agricultural sector and anticipated Austrian investment in the sector.

    © AK News 2012
    - Sinjar, in 13 years
  • منظمة عربية: العراق سيحقق نمواً بـ12% ومتوسط الدخل سيتجاوز 3000 دولار في 2012

    السومرية نيوز/بغداد
    توقعت المنظمة العربية لضمان الاستثمار وائتمان الصادرات أن يحقق اقتصاد العراق خلال عام 2012 نسبة نمو تتجاوز 12% ، تعد الأولى عربياً، فيما رجحت أن يتجاوز متوسط الدخل السنوي للمواطن العراقي الـ3000 دولار

    وقالت المنظمة في تقرير تلقت "السومرية نيوز"، إن "معدل النمو الاقتصادي المتوقع للعراق خلال عام 2012 سيبلغ نحو 12.6% وهو الأول عربياً"، مبينة أنه من "المتوقع أن تأتي قطر في المرتبة الثانية بنسبة نمو تبلغ نحو 6%"

    وأضافت المنظمة أن "العراق حقق نسبة نمو خلال عام 2011 بلغت نحو 9.6%، مشيرة إلى أن "متوسط الدخل السنوي للمواطن العراقي خلال عام 2012 سيبلغ نحو 3306 دولار"

    ورجحت المنظمة أن "تحل موريتانيا ثالثة بنسبة نمو 5.70%، وجيبوتي رابعة بنسبة نمو بلغت 5.10%، فيما سيحتل المغرب والكويت المركز الخامس بنسبة 4.6%"

    ولفتت المنظمة إلى أن "مصر وسورية ستسجلان النمو الأقل عربيا بنسبة 1.8% و1.5% على التوالي"، فيما توقعت أن "يسجل السودان نمواً سلبياً بنسبة 0.4%، وأن يتراجع نمو اليمن بنسبة 0.5%"

    وتعد المؤسسة العربية لضمان الاستثمار وائتمان الصادرات التي أسست في عام 1974 بموجب اتفاقيات وقعت بين بعض الدول العربية من المؤسسات العربية الإقليمية المختصة بالمجال الاقتصادي، وتضم في عضويتها جميع الدول العربية باستثناء جمهورية جزر القمر، وتتخذ المؤسسة من الكويت مقراً دائما لها، ولديها مكتب إقليمي في مدينة الرياض بالسعودية

    وكانت وزارة التخطيط أعلنت، في آذار 2012، أن نسبة النمو في العراق بلغت عام 2011 نحو 8.5% مقابل 5.8% في العام 2010

    يذكر أن العراق أطلق في شهر أيار من عام 2010 خطة التنمية الوطنية الخمسية 2010-2014، خلال حفل نظمته وزارة التخطيط والتعاون الإنمائي العراقية تحت شعار "نحو اقتصاد عراقي متنوع ومستدام". وتهدف الخطة إلى تقليص الفوارق والحواجز بين مناطق الحضر والريف، وإنشاء البنية التحتية وتأمين الخدمات الاجتماعية والوظائف، وزيادة الناتج المحلي بنسبة 9.38 بالمئة كمعدل نمو سنوي خلال مدة الخطة مع العمل على تنويع الاقتصاد والذي يعتمد حالياً على واردات النفط
    - Sinjar, in 13 years
  • Iraq's economy shows signs of growth
    BAGHDAD – Businessman Issam al-Assadi reclines in a chair in his spacious villa with sweeping views of the Tigris River, as a servant pads over to serve tea.


    Hadi Mizban, AP
    A department store in Baghdad's Azamiya neighborhood on June 2.
    Enlarge
    Hadi Mizban, AP
    A department store in Baghdad's Azamiya neighborhood on June 2.
    Sponsored Links
    Iraq is finally open for business, says al-Assadi, a powerful entrepreneur whose network of construction and other companies has won millions of dollars in Iraqi government contracts. "International companies are starting to come to Iraq," he says.
    Buoyed by an increase in oil production and declining violence, Iraq's economy is showing signs of life.
    Iraq has boosted oil production to 3 million barrels a day with the help of international oil companies. That's up from the 2.5 million barrels before the 2003 U.S.-led invasion. The government expects to expand capability to 10 million barrels a day in six years, which would put it at the top of world oil producers.
    Baghdad streets are jammed with late-model cars, and restaurants and cafes are open well into the night. People have more disposable income and can buy an infinite array of consumer goods. "There is a sense money is percolating," says Kevin Carey, a senior economist at the World Bank.
    The International Monetary Fund forecasts Iraq's economy will grow 11.1% this year to about $144 billion.
    Foreign investment

    Foreign business activity in Iraq in 2011.

    Country
    Amt. (in billions)
    % total

    South Korea
    $12
    21.5%

    USA
    $6.9
    12.4%

    UK
    $4.1
    7.4%

    Netherlands
    $3.8
    6.9%

    Turkey
    $3.7
    6.6%

    Germany
    $3.2
    5.7%

    China
    $3.1
    5.6%

    UAE
    $3
    5.3%

    Italy
    $2.8
    5.1%

    Iran
    $2.2
    3.9%

    Source: Dunia Consulting

    But there's no shortage of reasons to be wary. Iraq's government is not fully formed, two years after elections. Bitter political and sectarian fights have threatened to bring the government to a standstill. The government still struggles to provide basic services, such as electricity. Al-Qaeda remains a threat and is trying to trigger a civil war by targeting Shiites with bombings.
    "The security situation is getting better, but they know that any day, it can implode," says Subhi Khudairi, an Iraqi-American who does business in Iraq.
    Encouraging U.S. investment
    One of the encouraging signs of Iraq's economic recovery is foreign investment.
    Last year, Iraq attracted $55.67 billion in foreign investment and other commercial activity, a 40% increase from the previous year, according to Dunia Frontier Consultants.

    That means investors are looking past the perceptions of Iraq as a violent place, analysts say. "If you can get some foreign investors interested, you're doing something right," Carey of the World Bank says.
    American companies were initially hesitant to enter Iraq. "We always encourage American companies to come here, but they hesitate," says Shaker al-Zamily, director of the Baghdad Investment Commission. "We ask them to not miss the opportunities."
    He said Chinese firms have shown no hesitation. "If you go to Wasit, it's like Beijing," he said referring to an oil-rich province in the south. China's Shanghai Electric has a $1 billion deal to expand a power plant there.
    Last year, China's investment and other business activity in Iraq was valued at more than $3 billion, according to Dunia. South Korea ranked No. 1, with about $12 billion in Iraq, according to the report. A South Korean real estate developer is in negotiations on a deal potentially worth $35 billion to build 500,000 housing units and related infrastructure, according to Dunia.
    The real estate business is expected to expand rapidly as Iraq's government attempts to close an acute housing shortage. Iraq estimates it needs to build more than 800,000 homes or apartments, al-Zamily says.
    Lately, U.S. firms have been showing more interest in Iraq. ExxonMobil is among a number of large oil companies working to help develop Iraq's oil fields, and Iraq has agreed to a $2.3 billion contract to purchase 36 U.S. F-16 fighter jets.
    American firms have also started making inroads into real estate, tourism and agriculture, the Dunia report said.
    The improvements in the oil industry and security have begun to build confidence.
    "People know that, barring disaster, there is going to be this steadily increasing oil income year after year," said Jared Levy, senior Middle East analyst at Dunia. "Most people don't think there is going to be a relapse into civil war."
    Outmoded regulations
    Still, Iraq has made only limited progress in diversifying its economy.
    With a population of more than 30 million, Iraq is not a small principality that can employ all its citizens with oil revenues, analysts say.
    "They know this themselves," Carey says.
    "The dominance of oil in the economy carries risks shared by all oil exporters, namely, the concern that the revenue will be dissipated without any long-term benefits to the Iraqi people," he says.
    Iraq's economy remains heavily dependent on the government. More than 30% of its $100 billion budget goes toward salaries and pensions, according to the World Bank, draining money that could go toward building infrastructure.
    Most Iraqis still look to the government for employment. "The system has not changed," says Zuhair Humadi, who heads a program that helps young Iraqis study abroad.
    The economy is slowed by a creaky regulatory system formed under former dictator Saddam Hussein.
    Humadi says his father has tried to sell a building in Nasiriyah, a town in southern Iraq. The permit process has taken two years and is not completed yet, he says.
    "This system is so cumbersome," he says.
    Yet, consumers are ready to spend. Stores are jammed with microwaves, computers, air conditioners and wide-screen televisions.
    "In one day, we might sell 75 cars in this showroom," says Ali Alrobaiy, a marketing official for a large car dealer in Baghdad. "It's a huge market."
    Consumerism alone will not drive the economy, analysts say. "This is consumption," Humadi says. "This is not production."
    Crony capitalism?
    Many investors are still taking a short-term view, looking for guaranteed government contracts rather than risking capital in expensive investments that might not pay off for years.
    That dependence on the government for contracts inevitably raises questions of crony capitalism.
    Al-Assadi, the Iraqi contractor, says he has done well with U.S. and Iraqi government deals through the years. He says his company currently is helping to build a massive water treatment plant. He says his contracts are awarded on merit, but says some of his competitors receive favorable treatment regardless of ability.
    Not that Al-Assadi is without connections. He interrupts an interview to take a call on his cellphone from Prime Minister Nouri al-Maliki.
    "I'm the friend of all politicians," he says, putting down his phone.
    Despite drawbacks, economists and business people see enormous potential in Iraq.
    "Things are going in the right direction," says Khudairi, whose company operates a range of businesses, including oil support contracts.
    "It could be faster and bigger if there was more political stability," Khudairi says. "Everybody can win here."
    http://www.usatoday.com/money/world/story/2012-06-15/iraq-economy/55796928/1
    - Ali - Iraq, in 13 years
  • Iraq's key economic indicators

    AGHDAD, July 8 (Reuters) - Following are latest Iraqi economic indicators,
    including data from the central bank, the Central Organisation for Statistics
    and Information Technology (COSIT), the Oil Ministry and the State Oil Marketing
    Organisation (SOMO).

    OIL EXPORTS
    Barrels per day (bpd) is the daily average of monthly total exports as
    reported by the Oil Ministry and SOMO. Price per barrel is the average of total
    monthly revenue or a range.

    Month Total bpd From Basra From Kirkuk $ per barrel
    June'11 2.275 mln 1.726 mln 546,666 105.17
    July 2.164 mln 1.709 mln 458,000 108.79
    Aug 2.189 mln 1.728 mln 461,000 104.91
    Sept 2.101 mln 1.767 mln 334,000 104.89
    Oct 2.088 mln 1.628 mln 460,000 104.91
    Nov 2.135 mln 1.712 mln 423,000 106.59
    Dec 2.145 mln 1.733 mln 412,000 106.18
    Jan'12 2.106 mln 1.711 mln 395,000 109.08
    Feb 2.014 mln 1.639 mln 375,000 112.93
    March 2.317 mln 1.917 mln 400,000 117.99

    April 2.508 mln 2.115 mln 393,000 116.80
    May 2.452 mln 2.086 mln 366,000 103.04
    June 2.403 mln 2.085 mln 318,000 90.00




    INFLATION
    Data from Iraq's central bank

    Month Core CPI y/y, pct change
    May'11 6.3 pct
    June 6.4 pct
    Jul 7.1 pct
    Aug 7.6 pct
    Sept 7.3 pct
    Oct 6.9 pct
    Nov 6.4 pct
    Dec 7.0 pct
    Jan'12 6.1 pct
    Feb 6.3 pct
    March 6.1 pct
    April 6.7 pct
    May 6.2 pct


    Core consumer price index excludes expenditure on oil, gas and petrol and
    transport. Included components are food, rent, tobacco and drinks, clothes,
    furniture, medicines and medical services.

    UNEMPLOYMENT
    Data from COSIT

    Year Rate
    2006 17.50 percent
    2007 -
    2008 15 percent, with 30 percent partial employment
    2011 11 percent, with 20 percent partial employment

    POLICY INTEREST RATE

    Date Rate changed to
    2010
    April 1 6 pct

    BUDGET EXPENDITURE
    2012 budget -- $100.5 bln
    2011 budget -- $82.6 bln
    2010 budget -- $72.4 bln
    2009 budget -- $58.6 bln**
    2008 budget -- $48 bln + $21 bln supplementary
    2007 budget -- $41 bln

    ** Reduced several times from draft $80 bln due to falling oil
    prices

    (Compiled by Aseel Kami; Editing by David Hulmes)
    http://af.reuters.com/article/energyOilNews/idAFL5E8DT2OZ20120708
    - Ali - Iraq, in 13 years
  • Kurd leader warns against budget cuts by Iraq
    Last updated: 4 hours ago

    Massoud Barzani says any move to cut funding to the region in a dispute over oil sales would be a "declaration of war".
    SALAHADIN, IRAQ – The president of Iraq's Kurdish region has warned that he would view as a "declaration of war" if the federal government cuts funding to the region in a dispute over oil sales to Turkey.

    In an interview with Al Jazeera this week, Massoud Barzani also said his region would take measures to counter any military threat from the Iraqi government.

    The comments, in the Kurdish leader's first international interview in months, appear to serve notice to the government in Baghdad that he does not intend to back off on the escalating dispute over its authority over the region.

    Speaking at his presidential palace outside Erbil, Barzani said the issue could be solved if political parties agreed to pass an oil and gas law. Hostility by the Iraqi prime minister and others towards the Kurds was holding it up, he said.

    "Our fear is the mentality that still believes in using planes, artillery and tanks to solve the problems"

    - Massoud Barzani

    "And of course cutting the budget of the region from Baghdad we would consider it as war, a declaration of war and Baghdad will be held responsible for the consequences," he said, speaking in Kurdish through his official interpreter.

    Asked to explain what that would mean, the Kurdish president said: "It’s obvious what it entails. It's premature [to talk about that now] but certainly the moment they do that [cut budget] then we consider it a war declaration."

    Disputed oil contracts

    The Iraqi government considers the Kurdish region's contracts with oil companies such as Exxon Mobil and its plans for direct oil exports illegal. The Kurds argue that the contracts are in line with the constitution and say they have been forced to sell crude because of delayed revenue transfers from the central government.

    "Instead of having such an animosity to Kurdistan and the Kurdish people they should respond to the Iraqi people," Barzani said. "After spending $27bn on the electricity sector can they respond to the Iraqi people and tell them what happened to that money?"

    Barzani said he would not accept the current political situation to continue and said his region would find ways to counter any threat arising out of the Iraqi government's purchase of F-16 fighter jets from the United States.

    "If Baghdad or the federal government thinks about the usage of such things then we will be obliged to go back to the times when we had to think about how to target the F-16s... We hope this will not be the case but we have to get ready," he said.

    "For us, F-16s do not differ from MIG 19s or MIG 21s. We have seen them being used against us. We have seen tanks, artillery and other weaponry being used against our people. We have seen large numbers of troops being used against our people. Our fear is not of that. Our fear is the mentality that still believes in using planes,
    artillery and tanks to solve the problems."
    Aljazeera
    ---
    Anyone else agree that barzani is speaking out of his ass? Why doesn't he declare independence were already were getting sick of his demands.

    It seems that the last failed attempt to oust Maliki out of power made him too insecure. That's why his been talking too much BS. Most likely to scare the Kurdish population and get him to side with him.
    - alshawi1234, in 14 years
  • Despite Oil Reserves And Billions In International Aid, Iraq's Economy Falters

    By Nish Amarnath:

    August 1, 2012

    The financial situation in Iraq, one of the world's largest reservoirs of crude oil, has become grave.

    Iraq's crown jewel -- oil -- is not helping its crumbling economy. The OPEC country has boosted its oil production to 3 million barrels a day, thanks to help from international companies. However, economists say that this will not be enough. Foreign investors remain reluctant to put their money in Iraq because of a burgeoning financial pressure on banks, which continue to operate with low credit and limited lending capacity.

    In spite of billions of dollars in international aid aimed at strengthening private sector businesses and restoring civil harmony over the past decade, Iraq continues to face gaping shortfalls in resources, with its banking sector being one of the worst hit because of weak capital reserves. The funds' shortage is a key factor behind the faltering efficiency of the Central Bank of Iraq (CBI), though its governor Dr. Sinan al-Shabibi effectively steered a policy to contain inflation in the economy.

    Since the CBI remains overworked and understaffed, it is not able to develop new strategies to encourage foreign companies to set up shop on Iraq's turf. Subsequently, foreign investments in the country are dwindling at best.

    The banking community also remains poorly balanced in its role as a lender or a credit provider. According to the CBI website, the country is home to seven state-owned banks, 23 private banks and 11 Islamic private banks, including Abu Dhabi Islamic Bank (ADIB), which just began operating in Baghdad, hoping to develop a better private banking scenario in the nation.

    "Our challenges are clear. We aim to increase the private sector banks' share of the Iraqi market from the current level of less than 20 percent and to develop the Islamic banking industry there," Tirad Al-Mahmoud, CEO of ADIB told Reuters in an interview.

    At least 85 percent of banking transactions are controlled by two state-owned banks, Rafidain and Rashid, while private banking remains confined to a deposit services and sporadic personal lending. Debt-to-equity ratios -- an indicator of what proportion of loans and equity banks use to finance their assets -- remain low across both public and private banks, as borrowers do not understand the process of applying for loans. This means that banks are using a higher portion of equity to finance their operations. Moreover, banks are awash with poor risk management regimes as they lack a credit bureau.

    Last year, the World Bank foresaw that private banks would play a more important role in expanding credit flow with increased lending operations and stronger capital buffers. However, it was state-owned banks that dominated the banking sector in the first quarter of this year.

    Meanwhile, Iraq, which is barely on the priority lists of governments' foreign policy programs, ranks ninth on the latest Index of Failed States, unchanged from last year. The country has seen a rise in poverty and a deterioration of economic activity -- key indicators of economic well-being. Furthermore, the push for economic reform remains weak amid an abuse of political power and a government that is not fully formed even two years after elections.

    National unemployment remains sky-high at 19 percent, and 23 percent of Iraqi nationals languish below the international bread line. With no strategy for economic rehabilitation or market growth reform, prospects of alleviating poverty and generating more jobs in the troubled nation remain bleak, the Iraq Institute for Strategic Studies reported in a paper.

    "The economy is in shambles; save oil there is hardly an economy," the paper summed up.

    Economists say that banking reform is necessary if the nation is going to be able to cash in on its oil reserves to lure foreign investments.
    - elusive, in 14 years
  • http://img690.imageshack.us/img690/4681/eccv.png
    - Sinjar, in 14 years
  • But according to wikipedia future gdp per capita, Iraq's GDP sucks.
    Its basicly worse than egypt by 2017 which is 6,800 dollars while Egypt will be 7,800 dollars.
    http://en.wikipedia.org/wiki/List_of_countries_by_future_GDP_(PPP)_per_capita_estimates
    What the Hell!!!
    - haymaker, in 14 years
  • Hi dear haymaker.

    First of all welcome to the Iraqi section!

    Regarding your question, yes Iraq's GDP is sadly not the best but the table is showing the growth it's going to have in the coming year which means that the GDP will grow with +10% this year. That's a good sign for Iraq. :)

    Feel free to ask further if you want to.
    - Sinjar, in 15 years
  • Here is another chart showing the growth of GDP since 2004.

    http://img801.imageshack.us/img801/8789/iqeconomy.png
    - Sinjar, in 15 years
  • these figures may be showing a rise in GDP but the economy is mainly oil based, which isn't good long-term, we need to diversify and privatise
    - elusive, in 15 years
  • Thanks for welcoming me to this forum.
    What suprises me is everybody is saying by 2020 Iraq will produce 8 mbpd or a figure close to that and it will start to enhance it's gas production.
    So why arent the Iraqi people set to have a high GDP like other big oil producers e.g Saudi Arabia.
    Like how long do Iraqis have to wait to reach a gdp per capita of 20,000 dollars per year.

    Some people say that when Iraq's infrastucture is complete in 10-15 years the growth will show. Is this true?

    Because right now we can see that every country has high growth rates. For example look at Lebanon.
    - haymaker, in 15 years
  • Thanks for welcoming me to this forum.
    What suprises me is everybody is saying by 2020 Iraq will produce 8 mbpd or a figure close to that and it will start to enhance it's gas production.
    So why arent the Iraqi people set to have a high GDP like other big oil producers e.g Saudi Arabia.
    Well you have to distinguish between GDP per capita and GDP. GDP is for the whole country, mean while the GDP per capita is for the average individual in the country.
    Like how long do Iraqis have to wait to reach a gdp per capita of 20,000 dollars per year.
    You have to think about the fat that Iraq's economy is almost 90% depended on oil, while Saudi Arabia have other sectors and therefore aren't only depended by oil.
    Some people say that when Iraq's infrastucture is complete in 10-15 years the growth will show. Is this true?

    Maybe why not? By then we would make a greater private sector, the industrial sector will also grow and maybe also the agricultural sector.
    - Ali - Iraq, in 15 years
  • I was speaking to an economist friend of mine. He told me that even though Iraq might have a GDP per capita of 10,000 dollars per year by 2020 while a country like Lebanon would have 20,000 dollars per year but the difference is in Iraq the 10,000 dollars is new money entering the economy every year while in Lebanon it is recycled over every year and little money is entering the economy.

    I think this is the main reason why we are better off and should grow quicker in the future and plus the fact that the economic crisis is over and growth rates of other countries are set to increase including a 40% increase in the demand of oil setting prices at maybe $200/barrel.
    What do you think?
    - haymaker, in 15 years
  • I think this is the main reason why we are better off and should grow quicker in the future and plus the fact that the economic crisis is over and growth rates of other countries are set to increase including a 40% increase in the demand of oil setting prices at maybe $200/barrel.
    What do you think?[/QUOTE]
    200$? maybe that's an exaggeration?
    - Ali - Iraq, in 15 years
  • Who knows?
    In July 2008 oil prices hit $145 dollars per barrel.
    And i read a news report that Saudi Arabia can't continue to produce at their current rate and their production will decrease in the next 5 years. Who will replace Saudi Arabia?
    - haymaker, in 15 years
  • Iraq should aim to have the oil income as 1/3rd of the total economy.

    in 2020, with oil at $200/barrel and production at 8M/day = $580Bn from oil per year.

    Multiply by 3x

    $1.6 Trillion per year... with a population of 35M then... $45,000 Per capita.


    Even if oil still constituted 50% of our GDP (a VERY SERIOUS UNDERESTIMATE, that is estimating that Iraqis just sell oil and consume the proceeds)...

    The GDP per capita will still be about $30k/year.
    - sheytanElKebir, in 16 years
  • Sheytan, What are you suggesting 66% or 50% of Iraq's economy will rely on?

    Sounds like great news.
    Coupled with good safety in Iraq, we should get hundreds of billions in investments.
    - haymaker, in 16 years
  • I will break it down for you:

    Iraq sells a barrel of oil for $200 in 2020.

    they bring that $200 and pay some of it out in salaries/pensions/social security...
    that money gets spent in the local retail economy and real estate... GDP doubles...

    Rest of the money spent on infrastructure and things for the country...
    the money doubles here again.

    This is presuming that "oil" is the only source of foreign exchange and that there are absolutely no local production happening... just selling imported stuff.

    This is the absolute MINIMUM level... of course it will be higher than this.

    $40k a year would be a good rough estimate for Iraqi GDP if 8M barrels is reached and the price is at $200/barrel.
    - sheytanElKebir, in 16 years
  • But isn't that exactly what Iraq is doing now. Paying salaries/pensions and spending on infrastucture.
    We don't see the gdp doubling?
    All we see is Iraq's economy relies 90% on oil.
    - haymaker, in 16 years
  • no,

    what you see is the GDP being massively UNDERESTIMATED because no one is keeping track of the private sector who supply the goods and services which the oil money is being spent on.

    This year I expect the TRUE GDP (nominal NOT PPP) to be near $180Bn (about $6000/capita) and thus higher (more like double) the likes of jordan, egypt, syria etc. (here I did not even account for FDI and other outputs and thus is still an underestimate of the true value)

    By 2020 hopefully the government would have improved its accounting of small businesses... in addition to the additional capital inflows from oil income and Foreign Direct Investments... the nominal GDP in Iraq should be nearer 10x the likes of Egypt/Syria/Jordan etc...
    - sheytanElKebir, in 16 years
  • The thing is, though iraq's GDP growth is in fact very high (10-14% this year), simple essentials like electricity, security and Transparency will always be in the forefront of all articles, analysis pieces and public opinion surveys.

    But according to recent prices (from Najaf at least), salaries are much higher than reported, a median salary for example is around $800-$1000 from what i know, thats around $12000 a year.

    lets say 50% rely on cushy government salaries, thats atleast $6000 a year if only based on government income, not including private market.

    However, until we get our basics down, well continue to be underestimated/undervalued in our region and wont know true private sector growth.
    - haiderpass, in 16 years
  • here's what GDP means...


    GDP = private consumption + gross investment + government spending + (exports − imports)


    for Iraq:
    private consumption = oil money paid as salaries, profits from government contracts, profits from selling to government employees.

    gross investment = new housing and infrastructure built with oil money

    government spending = all the oil money

    exports - imports = trade deficit or surplus... in Iraq's case a surplus of $20bn a year (estimate)

    so for 2012 lets say:

    private consumption = $70Bn
    gross investment = $50Bn
    government spending = $100Bn
    Trade surplus = $20Bn

    GDP = 70+50+100+20 = $240Bn = $7500 per capita NOMINAL GDP.

    most "external estimates" of Iraq's GDP simply forget to include Iraq's "private consumption" element because they don't know what it is exactly.. but it should really be obvious... salaries, pensions, social security multiplied by 120% (due to the people who provide them with products and services also going out to spend...).
    - sheytanElKebir, in 16 years
  • Hmmm yes that answers my first question on this forum. As to why, according to wikipedia, our gdp would be around the same as Egypt's.

    It's all simple really, the goverment needs to provide electricity for the whole country, complete the sewage systems, treat the water, pave all the streets and build bridges (as they are now doing in Basrah) and the rest will come automatically through investment.

    Basicly just complete the basic infrastructure for the
    - haymaker, in 16 years
  • Our GDP has nothing to do with Egypt. Iraq's nominal GDP is more than double Egypt's today (and this is a "low" for us)
    - sheytanElKebir, in 16 years
  • Edit.
    - Euphrates, in 16 years
  • Still Egypt's economy is much better than Iraq's....... or at least as a country they are much more developed than Iraq is.
    - Chounz, in 16 years
  • اللجنة المالية ترجح المباشرة بحذف الأصفار من العملة خلال تموز المقبل
    رجحت اللجنة المالية البرلمانية أن يتم المباشرة بحذف الأصفار وتبديل العملة خلال شهر تموز من العام المقبل، مؤكدة أن الحكومة ستدعم هذا المشروع بعد تزويدها بايجابياته وسلبياته.
    وقال عضو اللجنة هيثم الجبوري في تصريح صحفي إن اللجنة المالية تساند مشروع حذف الأصفار وتبديل العملة، ولابد من إشراك الحكومة بهذا المشروع باعتبارها المسؤولة عن رسم السياسة المالية للبلاد، وأضاف الجبوري أن البنك المركزي أزال كافة المخاوف من عملية تبديل العملة، بعد التحذيرات من إجراء عمليات غسيل للأموال أو زيادة حجم التضخم، مشيرا إلى أنه شكل لجانا مختصة للسيطرة على ذلك, واكد الجبوري أن الحكومة العراقية لم تعترض على أصل المشروع لكنها اعترضت على عدم علمها بذلك، لافتا إلى أنها ستدعم المشروع بعد تزويدها بايجابيات وسلبيات المشروع.
    http://www.alfayhaa.tv/news/economy/86520.html
    - Ali - Iraq, in 16 years
  • pStKKHitwiQ
    - Ali - Iraq, in 16 years
  • lol at the lingerie store, which woman would go in there since 90% of those shop owners are men
    - elusive, in 16 years
  • Poverty in Iraq is disastrous
    20/02/2012 11:06
    DUHOK, Feb. 20 (AKnews) - Seven million people living below the poverty line, on less that $2 a day, is disastrous in oil-rich and plentiful Iraq, said a member of the Council of Representatives.



    The figure amounts to 23 percent of the population, who live in extreme poverty and earn less than $30 (37,000 IQD) a month, according to a report from the US-Iraqi Organization of Human Rights.

    Veyan Daxel, Chairperson of the Services and Reconstruction Commission in the Iraqi Council of Representatives told AKnews on Sunday that while this proportion is not low, it is disastrous in a country like Iraq which has has tremendous amounts of oil and other riches.

    Iraq's GDP is currently $170bn (198.3tr IQD), and is expected to rise to $360bn (419.9tr IQD) by 2015.

    Daxel said: "This number of people living below the poverty line need laws for social security and to ensure the rights of citizens to any job - like widows, people with special needs, and the elderly - in order to help them cope with their daily living conditions."

    A small percentage of those affected live in the Kurdistan region, while the majority live in the south and center of Iraq.

    However, the spokesman for the Ministry for Planning and Development Cooperation, claims that the figures are from 2007 and that the current poverty line is actually marked by a maximum salary of $62 (77,000 IQD) a month.

    Speaking to Alsabaah news agency, the ministry said they have prepared a $386m (450bn IQD) strategy to reduce poverty to 16 percent by 2014 under a larger plan that includes the improvement of education, health, employment and ration cards.

    He added that surveys of all the provinces will be undertaken by the government to determine poverty levels.

    Daxel added: "We are monitoring the service projects in Iraq and working to activate a greater role for the ministries because they provide employment opportunities for Iraqi citizens.

    "But the problem is the significant delay in some projects, lack of money allocated and corruption."

    By Khudr Khallat


    With a budget of around 140 Billion Dollars they are spending 386 Million dollars to reduce poverty by 7%( from 23% to 16%) by 2014. (So basically by 2014 instead of 1 in 4 people living on less than 2 dollars a days we have 1 in 6 people living this way. WOW! Congratulations

    Are they kidding us? There's kids in the street collecting cans and kids in markets selling plastic bags for 250 dinars!!!
    Give these kids money to go to school

    Why aren't they taking this seriously?
    I can imagine a goverment saying we will allocate 384m by 2014 to reduce global warming but these are our people and they are suffering!!
    Someone please shoot these politicians
    - haymaker, in 16 years
  • Shameful...
    - diako_ber, in 16 years
  • let them eat cake.
    - sheytanElKebir, in 17 years
  • Wow you sound like that Austrian French queen, forgot her name
    - diako_ber, in 17 years
  • She (supposedly) said like if the poor people don't have bread, let them eat cake
    - diako_ber, in 17 years
  • I was being sarcastic about Iraqi politicians' attitudes.
    - sheytanElKebir, in 17 years
  • The goverment isn't going to help them
    They just have to wait for the middle class to convert to the high class so they can jump to middle class.

    It's going to be a long wait .....
    - haymaker, in 17 years
  • Or we could have a French Revolution in Baghdad, guillotines and all...
    - Spin Cycle, in 17 years
  • Or we could have a French Revolution in Baghdad, guillotines and all...

    that won't happen... because the haves now outnumber the have nots by a good margin.
    - sheytanElKebir, in 18 years
  • Poverty in Iraq is disastrous
    20/02/2012 11:06
    DUHOK, Feb. 20 (AKnews) - Seven million people living below the poverty line, on less that $2 a day, is disastrous in oil-rich and plentiful Iraq, said a member of the Council of Representatives.



    The figure amounts to 23 percent of the population, who live in extreme poverty and earn less than $30 (37,000 IQD) a month, according to a report from the US-Iraqi Organization of Human Rights.

    Veyan Daxel, Chairperson of the Services and Reconstruction Commission in the Iraqi Council of Representatives told AKnews on Sunday that while this proportion is not low, it is disastrous in a country like Iraq which has has tremendous amounts of oil and other riches.

    Iraq's GDP is currently $170bn (198.3tr IQD), and is expected to rise to $360bn (419.9tr IQD) by 2015.

    Daxel said: "This number of people living below the poverty line need laws for social security and to ensure the rights of citizens to any job - like widows, people with special needs, and the elderly - in order to help them cope with their daily living conditions."

    A small percentage of those affected live in the Kurdistan region, while the majority live in the south and center of Iraq.

    However, the spokesman for the Ministry for Planning and Development Cooperation, claims that the figures are from 2007 and that the current poverty line is actually marked by a maximum salary of $62 (77,000 IQD) a month.

    Speaking to Alsabaah news agency, the ministry said they have prepared a $386m (450bn IQD) strategy to reduce poverty to 16 percent by 2014 under a larger plan that includes the improvement of education, health, employment and ration cards.

    He added that surveys of all the provinces will be undertaken by the government to determine poverty levels.

    Daxel added: "We are monitoring the service projects in Iraq and working to activate a greater role for the ministries because they provide employment opportunities for Iraqi citizens.

    "But the problem is the significant delay in some projects, lack of money allocated and corruption."

    By Khudr Khallat


    With a budget of around 140 Billion Dollars they are spending 386 Million dollars to reduce poverty by 7%( from 23% to 16%) by 2014. (So basically by 2014 instead of 1 in 4 people living on less than 2 dollars a days we have 1 in 6 people living this way. WOW! Congratulations

    Are they kidding us? There's kids in the street collecting cans and kids in markets selling plastic bags for 250 dinars!!!
    Give these kids money to go to school

    Why aren't they taking this seriously?
    I can imagine a goverment saying we will allocate 384m by 2014 to reduce global warming but these are our people and they are suffering!!
    Someone please shoot these politicians

    Simply a disgrace!

    I doubt that a repeat of the French Revolution is enough. More harsh methods are needed!
    - Al-Hashimi, in 18 years
  • And who would replace the current politicians in the green zone?

    Unless we brang back the monarchy? ...but that would be going backward

    Countries like Saudi Arabia and Bahraini people want to get rid of their monarchies ...
    - haymaker, in 18 years
  • And who would replace the current politicians in the green zone?

    Unless we brang back the monarchy? ...but that would be going backward

    Countries like Saudi Arabia and Bahraini people want to get rid of their monarchies ...

    Not good idea.
    - Ishtarporten, in 18 years
  • Very simple. Better politicians. Not that much to wish for I would say.

    Don't care if they are Assyrian, Sunni Arab, Shi'ah Arab, Marsh Arab, Turkmen, Mandaeans, Shabak, Yazidis, Kurd, Circaussians etc. as long as they are good politicians and good people that don't work along secterian lines but for the good of the country and it's people.
    - Al-Hashimi, in 18 years
  • Most of these people living in these condition are in the south.

    So if the politicians work on the basis of sectarian lines ..
    the kurds only care for the kurds
    sunni arabs only represent sunni arabs

    So what are the shia arabs doing for these people in the south?
    So shia arab politicians really suck!
    - haymaker, in 18 years
  • All Iraqi politicians suck no matter their sect with a few exceptions.

    The problem is not limited to one region in Iraq. All regions are affected by poverty, some more than other's of course.

    A lot of the big Sunni majority cities are also in a horrible condition left without any investmets and in some cases depleted uranium and other toxic effects (Fallujah) left by the American invadors.

    Even in Iraqi Kurdistan there is a lot of poverty. So in short ALL of Iraq need better conditions in order to prosper and develop as we all wish will happen.

    First of all basic commodities such as water supply and electricity NEED to be fixed very soon. It's really destroying the prosperity and ability of Iraq to move forward.

    It's really a curse considering our enormous natural wealth that is in the top 5 in the world!
    - Al-Hashimi, in 19 years
  • One thing the Iraqi Arab politicians don't have is gheera. They don't feel jealousy for their own people living in these kind of conditions. What we see between the leaders of Kuwait and the UAE is that they compete and are jealous of each other's achievements
    - haymaker, in 19 years
  • One thing the Iraqi Arab politicians don't have is gheera. They don't feel jealousy for their own people living in these kind of conditions. What we see between the leaders of Kuwait and the UAE is that they compete and are jealous of each other's achievements

    comment of the year! thank you
    - elusive, in 19 years
  • il yom yomak ya 3iraqi hala yabul gheera.... il3ab il3ab khali khasmak dom yubqa ib7eera. :D
    - Chounz, in 20 years
  • One thing the Iraqi Arab politicians don't have is gheera. They don't feel jealousy for their own people living in these kind of conditions. What we see between the leaders of Kuwait and the UAE is that they compete and are jealous of each other's achievements

    What you forget is that they've not going through three major wars or sanctions. They have HUGE oil and gas reserves with a tiny population. Yes we have huge oil reserves too but our population is much bigger than theirs.
    - Sinjar, in 20 years
  • What you forget is that they've not going through three major wars or sanctions. They have HUGE oil and gas reserves with a tiny population. Yes we have huge oil reserves too but our population is much bigger than theirs.



    Come on, be real
    Are you saying there is no problem with the distribution of wealth?

    I'm not saying Iraqis should all buy the latest cars and build the highest buildings but at least everyone should live comfortably if the money is distributed equally.

    If they can spend 17.8 billion on defence, they should spend more than 384m to alleviate the poor.
    - haymaker, in 20 years
  • Come on, be real
    Are you saying there is no problem with the distribution of wealth?

    No I'm saying we can't have the same economy as the tiny Gulf countries.


    I'm not saying Iraqis should all buy the latest cars and build the highest buildings but at least everyone should live comfortably if the money is distributed equally.

    If they can spend 17.8 billion on defence, they should spend more than 384m to alleviate the poor.

    I agree akhi :)
    - Sinjar, in 20 years
  • Hey guys, we know that KRG currently relies on Baghdad for funds but in the future 10-20 years will the KRG contribute more to Iraq than what they gain ?

    I asking this question whether or not the oil contracts the kurds are making. So future-wise, do us arabs have something to gain economically keeping kurds in Iraq.
    - haymaker, in 21 years
  • no we don't. because even if KRG increase their oil production to 2M barrels a day, that would in effect be bringing in the money of 1M barrel per day (because of the contracts they signed).

    If Iraq at the same time is producing 8M barrels a day... then the total production of iraq+kurdistan is:

    9M, of which Iraq contributes 8M of money (89%) and KRG contributes 1M barrel equivalent (11%). Taking into account Kurdistan's share of 12% "regional" + 5% "national" funding, Iraq will stand to continue losing money by keeping Kurdistan as part of Iraq. And this is not even including the far larger domestic economy that Iraq will have once its industry and larger consumer economy is operating again (all of which will contribute more money back to the Kurds than what the Kurds contribute back to Iraq).
    - sheytanElKebir, in 22 years
  • no we don't. because even if KRG increase their oil production to 2M barrels a day, that would in effect be bringing in the money of 1M barrel per day (because of the contracts they signed).

    If Iraq at the same time is producing 8M barrels a day... then the total production of iraq+kurdistan is:

    9M, of which Iraq contributes 8M of money (89%) and KRG contributes 1M barrel equivalent (11%). Taking into account Kurdistan's share of 12% "regional" + 5% "national" funding, Iraq will stand to continue losing money by keeping Kurdistan as part of Iraq. And this is not even including the far larger domestic economy that Iraq will have once its industry and larger consumer economy is operating again (all of which will contribute more money back to the Kurds than what the Kurds contribute back to Iraq).

    Thanks for the reply
    but why would a larger consumer economy contribute more to the kurds than to the arabs?
    - haymaker, in 23 years
  • iraq shares its import duties with kurds. kurds don't reciprocate.

    the kurds charge a lower import tarriff than iraq therefore many people import to kurdistan then bring it into Iraq (because there's no border control). This is one of the main reasons for the "success" of businesses in Kurdistan.

    so they get:
    -tarrifs for selling to iraq
    -businesses based in Kurdistan (inward investment) for doing business with Iraq bypassing Iraqi law
    -getting a % of Iraq's tarriffs and not contributing anything back.
    - sheytanElKebir, in 23 years
  • iraq shares its import duties with kurds. kurds don't reciprocate.

    the kurds charge a lower import tarriff than iraq therefore many people import to kurdistan then bring it into Iraq (because there's no border control). This is one of the main reasons for the "success" of businesses in Kurdistan.

    so they get:
    -tarrifs for selling to iraq
    -businesses based in Kurdistan (inward investment) for doing business with Iraq bypassing Iraqi law
    -getting a % of Iraq's tarriffs and not contributing anything back.

    which is why they are still part of Iraq despite an overwhelming majority of them wanting independence.

    Kurdistan should be renamed Leechtenstein.
    - Spin Cycle, in 23 years
  • IMF extends two-year Iraq loan package by seven months
    August 04, 2012 01:17 AM


    WASHINGTON: The International Monetary Fund announced Friday an extension of a two-year loan window to Iraq by seven months to allow the authorities time to get policy measures on track under the program.

    That means Iraq has extra time to borrow from the $1.96 billion in IMF financing that remains available.

    The loan, initially for $3.6 billion, had been scheduled to expire on July 23 and will now expire on Feb. 23, 2013, the IMF said in a statement.

    The IMF executive board approved the extension on July 20 following a request by the Iraqi authorities, the global lender said.

    The IMF said the extension will provide the Iraqi authorities with more time to implement the policy measures needed to complete the fund’s combined third and fourth reviews under the so-called Stand-By Arrangement program.

    “The extension will, in particular, provide time for discussions on fiscal policies for the remainder of 2012 and on measures to improve the functioning of the exchange regime,” it said.

    The IMF approved the SBA for the war-torn country in February 2010 to help authorities ensure macroeconomic stability, advance structural reforms and temporarily support the budget.

    The IMF has released two installments of the loan to Iraq, in October 2010 and March 2011, following the first and second reviews of the country’s economic performance.

    The current IMF loan to Iraq follows a loan of $746 million in 2005, which was extended in 2007 and replaced by another SBA that expired in March 2009.

    In 2004, the IMF had given “post-conflict” aid to oil-rich Iraq after it lost a war against the U.S. and its allies.

    The Iraqi economy is slowly recovering from the destruction caused by the international isolation of the regime of Saddam Hussein before the war, by the war itself and the violence that followed.



    Read more: http://www.dailystar.com.lb/Business/Middle-East/2012/Aug-04/183330-imf-extends-two-year-iraq-loan-package-by-seven-months.ashx#ixzz23lJrST54
    (The Daily Star :: Lebanon News :: http://www.dailystar.com.lb)

    Why wouldn't they spend this huge loan on infrastructure, alleviating the poor or creating jobs?
    - haymaker, in 23 years
  • http://www.fanack.com/uploads/pics/Iraq_debt_730px.jpg
    - Sinjar, in 23 years
  • ksa can suck a fat iraqi one if they want debt lol , was this accumulated from saddams time?
    - Doc_I.R.Q, in 23 years
  • ksa can suck a fat iraqi one if they want debt lol , was this accumulated from saddams time?

    Yup they were paying money to keep the Iraqis and Iranians on killing each other during the war.
    - alshawi1234, in 23 years
  • Yup they were paying money to keep the Iraqis and Iranians on killing each other during the war.

    one minor correction. they were LOANING money for that. and then accumulating interest during Iraq's embargo years whilst letting their allies bomb iraq from the air from their land...

    now they want the rawafidh who they're butchering via paid proxies to pony up :D
    - sheytanElKebir, in 23 years
  • iran-contra really did seal it, saddam was fooled into going to a war with iran while u.s backed both sides to produce a stalemate war that should see both countries be superseded by the gulf.. fucking us up after 91 and promising the southern and northern uprisings of "liberation" but the US just watched saddams Republican guard swiftly retreat from kuwait city to bring down the the rebels in south n north... the rest is history

    i would strongly condemn if any of that blood money is returned
    - Doc_I.R.Q, in 23 years
  • This was the most stupid war in the history of mankind.Bastard mullahs did continue the war after saddam wanted to retreat,and bastard saddam played the bitch of the saudis
    Ufffffffffffffff what would our countrys look like if this stupid war was not there.
    - sarbaze tabarestan, in 24 years
  • Taking away the factor of human life(the biggest factor!!)
    If we talk in terms of economy, since this is the economy thread...

    The Iran-Iraq war destroyed the Iraqi economy 10% compared to the Kuwait war and sanctions after which destroyed our economy 90%!
    - haymaker, in 24 years
  • PyefCsfcQEw
    - Ali - Iraq, in 24 years
  • The Iraqi economy is highly dependant on the oil sector, and according to Dr. Ali Hussain, one of the Middle East's most respected independent oil consultants, developing the oil industry is a priority as it will ultimately bring economic sustainability.



    As the author of numerous papers in international magazines consisting of OPEC policies, Iraqi oil industry, consumer-producer dialogue, international oil markets, and international oil prices, Dr. Ali Hussain recently spoke to The Energy Exchange providing a comprehensive analysis on how to build a sustainable oil and gas industry in Iraq emphasising the need for infrastructure.

    Iraq has officially stated that its goal is to produce 12 million barrels per day (bpd) by 2017. Last year Iraqi oil exports generated $80bn. At present however, oil production is expected to hit 3.4 million bpd by the end of 2012, and if oil prices stay relatively high, the increased production may push the revenue generated from exports even higher.

    "From an international perspective, there is an expected global increase in the demand for Iraqi oil due to the expected increase in the international demand for oil generated by the increase in oil consumption from countries like India and China," said Dr. Hussain.

    According to forecasts by the US Energy Information Administration, India is expected to see an average of 3.5% annual growth in oil demand, outpacing China's 2.9% between 2008 and 2035.

    Dr. Hussain further continued, "In order to support the Iraqi economy and Iraq's oil industry to fulfil Iraq's domestic and international goals, the economy, and in particular, the infrastructure must be developed. Iraq needs to invest in schools, hospitals, water, electricity, pipelines, terminals, communication, transportation and so on, in order to support its economy and the oil industry, and capitalise on the opportunities presented by its huge oil reserves."

    "Once there is strong, modern, secure and reliable infrastructure, oil production will increase and the domestic economy will be boosted," he added.

    The production of oil will significantly increase with strong infrastructural foundations and if oil prices remain high, more international oil companies will look to enter Iraq and capitalise on its huge oil and gas reserves.

    International investment is not only crucial to boost the Iraqi economy, but presents lucrative opportunities for international investors too.

    Dr. Hussain said, "Iraq's new international investment law encourages investment and offers incentives to international companies looking to enter the Iraqi market."

    When the infrastructural foundations required to boost oil and gas production has been laid, agricultural and industrial development will follow. Iraq can then further proceed to look at opportunities in the tourism sector that consist of the numerous religious, historical and archaeological sites to further develop its economy.

    Dr. Hussain then proceeded to state that it was undesirable for Iraq to continue with a small petrochemical industry with such huge oil and gas reserves. The country should work on developing its petrochemical capacity to satisfy both domestic demand and exports too, adding value to the Iraqi oil and gas resources.

    Currently, there are three major Iraqi oil refineries - Baiji, Doura refinery in Baghdad and the Basra refinery. The total capacity of these refineries is approximately 720,000 barrels per day (bpd), however, at present the refineries are working under capacity producing an estimated 500,000 bpd.

    Iraq is now planning to build five new refineries with a total capacity of 840 Mbbl.

    Dr. Hussain said, "These refineries are being planned purely to satisfy domestic demand. However, I believe there is a need to build a further refinery with the sole purpose of exporting oil products. This would need to be a large facility with a capacity of at least 500 million barrels (MMbbl), and if located in Basra near the Gulf, the refinery would be in a prime location to export its products."

    With the development of its economy through the development of its oil and gas industries, Iraq will quickly become a key player in the international oil market and the Iraqi economy and market will certainly offer long term and limitless opportunities to international companies looking to invest in Iraq.

    Dr. Hussain is confirmed to participate at the Iraq Future Energy 2012 conference. Organised by The Energy Exchange and held in Istanbul Turkey from 17 - 20 September 2012 Dr. Hussain will present an overview of the current energy sector and Iraq's vision to deliver the desired increase in oil production.
    - sheytanElKebir, in 24 years
  • actually the new nassiriya refinery (300k barrels/day) is being built primarily for export of refined products of Nassiriya crude... and an export pipeline is being constructed as part of the project.
    - sheytanElKebir, in 24 years
  • Iraq sees annual 10 percent GDP growth over next 3 years: central bank
    Iraq’s gross domestic product is expected to grow at an average rate of about 10 percent per year over the next three years, driven by increased oil revenues, a senior central bank official said on Monday.

    The OPEC member has the world’s fourth-largest oil reserves and is producing more than 3 million barrels per day (bpd) for the first time in three decades. It has ambitions to double its oil production over the next three years.

    Its exports rose to 2.565 million bpd on average in August, the highest level for three decades, the head of the State Oil Marketing Organization (SOMO) said on Saturday.

    “Without the oil, in my opinion, it (GDP) would not exceed 4.5 percent, but the oil sector (makes up) 60 percent of the economy,” Mudher Kasim, deputy governor of the central bank, told Reuters in an interview.

    “Oil adds a lot to GDP. Each increase of 100,000 bpd of exports adds more than $3.4 bln per year.”

    Iraq’s oil sector pulls in 95 percent of government revenue but still suffers from aging infrastructure.

    Kasim said he hoped the rate of GDP increase would breach 10 percent after the three-year period if other sectors outside of the oil industry saw increased investment.

    The central bank expects that Iraq’s federal reserves will hit around $75 billion by the end of 2013 from $67 billion currently if oil prices stay at present levels and exports continue to perform as estimated, Kasim said.

    Oil prices steadied on Monday, with Brent October futures up 17 cents at $114.74 per barrel by 1200 GMT after jumping nearly $2 on Friday. U.S. crude futures eased 15 cents to $96.32.

    Kasim said he expected the core inflation rate for 2012 to stay in single digits at 6 percent. The average year-on-year inflation for 2010 and 2011 was 6.5 percent.
    http://english.alarabiya.net/articles/2012/09/03/235903.html
    - Ali - Iraq, in 24 years
  • "The Organization of the Petroleum Exporting Countries (OPEC) was founded in Baghdad, Iraq, with the signing of an agreement in September 1960 by five countries namely Islamic Republic of Iran, Iraq, Kuwait, Saudi Arabia and Venezuela. They were to become the Founder Members of the Organization.

    These countries were later joined by Qatar (1961), Indonesia (1962), Libya (1962), the United Arab Emirates (1967), Algeria (1969), Nigeria (1971), Ecuador (1973), Gabon (1975) and Angola (2007).

    From December 1992 until October 2007, Ecuador suspended its membership. Gabon terminated its membership in 1995. Indonesia suspended its membership effective January 2009.

    Currently, the Organization has a total of 12 Member Countries."


    if Iraq founded OPEC why the hell isn't there a massive HQ building in baghdad or basra? hope they build one in the future
    - elusive, in 24 years
  • new stats from 2012 (Annual Statistical Bulletin 2012)

    Population (million inhabitants) 33.33
    Land area (1,000 sq km) 438
    Population density (inhabitants per sq km) 76
    GDP per capita ($) 5,675
    GDP at market prices (billion $) 189.15
    Value of exports (billion $) 85.64
    Value of petroleum exports (billion $) 83.01
    Current account balance (billion $) 21.76
    Proven crude oil reserves (billion barrels) 141.35
    Proven natural gas reserves (billion cu. m.) 3,158
    Crude oil production (1,000 b/d) 2,653
    Marketed production of natural gas (billion cu. m.) 0.88
    Refinery capacity (1,000 b/d) 800
    Output of petroleum products (1,000 b/d) 613.2
    Oil Consumption (1,000 b/d) 752
    Crude oil exports (1,000 b/d) 2,166
    Exports of petroleum products (1,000 b/d) 163.8
    Natural gas exports (billion cu. m.) --

    b/d (barrels per day)
    cu. m. (cubic metres)
    - elusive, in 24 years
  • new stats from 2012 (Annual Statistical Bulletin 2012)

    Population (million inhabitants) 33.33

    too high

    Land area (1,000 sq km) 438
    Population density (inhabitants per sq km) 76

    roughly ok.

    GDP per capita ($) 5,675
    GDP at market prices (billion $) 189.15

    slightly too low.

    Value of exports (billion $) 85.64
    Value of petroleum exports (billion $) 83.01

    too low.

    Current account balance (billion $) 21.76

    its a deficit.

    Proven crude oil reserves (billion barrels) 141.35
    Proven natural gas reserves (billion cu. m.) 3,158

    ok

    Crude oil production (1,000 b/d) 2,653

    it is 20% higher than this...

    Marketed production of natural gas (billion cu. m.) 0.88

    too low.

    Refinery capacity (1,000 b/d) 800
    ok

    Output of petroleum products (1,000 b/d) 613.2
    too low
    Oil Consumption (1,000 b/d) 752
    ok

    Crude oil exports (1,000 b/d) 2,166

    too low... but 20% !!

    Exports of petroleum products (1,000 b/d) 163.8

    ok

    Natural gas exports (billion cu. m.) --

    ok
    - sheytanElKebir, in 24 years
  • haha thanks sheytoon
    - elusive, in 24 years
  • Interesting video.

    bEiu914b0wg
    - Ishtarporten, in 25 years
  • one born every minute. as the saying goes :D :lol:


    i thought the mashuganas were supposed to be smart with money?
    - sheytanElKebir, in 25 years
  • Lool and they think that Babylon is going to do them any good?
    Smart to gamble in the land that exiled them :/
    - SumerianKing, in 25 years
  • ^^ why do you think events that happened thousands of years ago has any impact on investing in the dinar?
    - BigDreamer, in 25 years
  • Seriously, how could such retards exist nowadays, and so many of them.

    How could they honestly believe that when re-denomination occurs, a 1000 Dinar note would be worth 1000 USD. That would mean every iraqi would become a millionaire/billionaire.


    http://img337.imageshack.us/img337/1820/untitlead1.jpg
    - haiderpass, in 25 years
  • but what if the dinnar gets redenominated to 1 and be worth 3usd. those who invested in the currency will get 3usd per 1000ID?
    - Doc_I.R.Q, in 25 years
  • ^^ why do you think events that happened thousands of years ago has any impact on investing in the dinar?

    Ofcors not, Im not that backward thinking, I was only making a dry joke :)
    - SumerianKing, in 25 years
  • but what if the dinnar gets redenominated to 1

    ok so far.

    and be worth 3usd.

    in which case each 1000ID become 0.4 NEW Dinars. not 1.

    those who invested in the currency will get 3usd per 1000ID?

    no they will get about $0.8 for their 1000ID.
    - sheytanElKebir, in 25 years
  • But initially they would try to keep it in parity with the usd? and then my point is if the Dinar gets stronger over timemuch like the KD. they probably would put a due date on the transfer of old notes or are they always transferable? apologies if you are not sure
    - Doc_I.R.Q, in 26 years
  • the dinar will not double in value against the USD since the main source of Iraq's foreign exchange (oil) is priced in USD... therefore like many other oil dependent nations our currency shadows the USD quite closely.

    On the contrary, I expect Iraq to be having serious monetary expansion in the future once the dysfunctional banking system is sorted out and broad money supply jumps through the roof... this will put a limit on any "upside" to the Iraqi Dinar (and rightfully so! we're not competitive as it is and government benefits/salaries/pensions which are IQD denominated are already unaffordable at current USD/IQD exchange rates!).
    - sheytanElKebir, in 26 years
  • Iraq is set to embark on an ambitious job creation plan it hopes will result in work for as many as five million Iraqis in the next five years as it spends US$275 billion (Dh1.01 trillion) of cash earmarked for development.

    "Between 2013 and 2017, these investment projects will bring four to five million job opportunities, some of which will be public sector positions and others will open up at private and foreign companies operating in Iraq," said Abdel Zahra Al Hindawi, the official spokesperson at Iraq's ministry of planning.

    Iraq's unemployment rate is among the highest in the Middle East at 16 per cent. That compares with 18.1 for Tunisia and is above Egypt at 12.6 per cent.

    "Iraq's high unemployment rate is one of the main reasons why we see breaches of security, terrorism, as people on the edge feel more and more marginalised," Mr Al Hindawi said.

    "We plan to tackle this problem with a three-pronged approach, through investment by government, private sector and foreign investors to kick-start these projects," he said.

    "The more jobs open up as these developments come online, the more we will see a more stable Iraq."

    The development projects will focus on housing, tourism, higher education, industries and agriculture, he said.

    Ahmed Shakir, a recent graduate with a bachelor of science from the University of Baghdad said he had spent almost a year looking for a job with no avail.

    "I have applied everywhere," he said. "For two years I have been working at one ministry, from 7am to 3am, with no pay in the hope that one day they will consider hiring me."

    The United Nations International Labour Organisation this month warned thta jobless rates among young people were expected to rise in North Africa and the Middle East, to above 25 per cent and possibly more.

    The high rate of unemployment means "even a quick acceleration in growth may not provide sufficient job opportunities in a short period of time", the ILO report said.

    Iraq's record budget of $100.5bn for this year, based on an estimated oil price of $85 per barrel, accounted for the addition of only 100,000 new jobs this year, indicating it has a long way to go to reach the planned five million in such a short time.

    In a country with a population of 32 million, more than 80 per cent of Iraqis work for the government or state-related entities, while the private sector is considered very small and weak.

    In this year's public budget only $30bn went into investment projects.

    That would mean either Iraq would have to depend on growing oil revenues, or on further foreign investment.

    High levels of corruption and inefficiency, particularly in government departments, also led experts to question whether Iraq would be able to deliver on its ambitious job-creation plan.

    "Iraq's government targets are ludicrously optimistic, especially when it comes to their potential to deliver infrastructure projects," said Toby Dodge, an Iraq expert at the London School of Economics, who has advised oil companies in Iraq.

    "That is part of the propaganda of state for population, 'Hurrah! good times are around the corner, you are going to see the final seed of crazy bonanza.' The great danger is that won't happen, institutions are too weak and do not have the capacity to oversee the spending, to direct where it should go, or oversee that it is being spent in the right way."

    The anti-corruption watchdog Transparency International ranked Iraq 175th out of 182 countries in its Corruption Perception Index last year.
    - sheytanElKebir, in 26 years
  • موازنة العراق العام المقبل 113 مليار دولار

    وكالة الأنباء القطرية


    بغداد: صرح علي الشكري وزير التخطي العراقي, أن الموازنة العامة الإتحادية للعراق للعام المقبل ستبلغ 113 مليار دولار 69 في المائة منها ستكون تشغيلية.

    وأوضح الشكري لصحيفة الصباح الحكومية اليوم الثلاثاء، باأ موازنة العام المقبل قدرت بـ113 مليار دولار باحتساب سعر 85 دولارا لبرميل النفط الذي حدد من قبل صندوق النقد الدولي وألزم العراق به إلى جانب اعتماد حجم تصدير النفط بواقع 2 مليون و600 ألف برميل يوميا على اعتبار أن هناك خطوطا للنفط ستدخل الإنتاج خلال الشهور المقبلة.

    وأضاف أنه تم الإبقاء على نسبة17 في المائة حصة إقليم كردستان من الموازنة بعد استقطاع المبالغ السيادية والحاكمة مثل نفقات البطاقة التموينية ووزارة الدفاع والخارجية لتصل النسبة المتبقية إلى 13.4 في المائة من مجمل الموازنة.

    وذكر وزير التخطيط أن الموازنة التشغيلية تشكل اليوم نسبة 69 في المائة من مجمل الموازنة العامة للدولة وهي عالية جداً وتدخل ضمنها البطاقة التموينية التي تبلغ 6 مليارات دولار والرواتب والأجور والخدمات والإيفادات والصيانة والمعدات والابنية وايجار المباني.

    وأوضح أيضا أن المقترح المقدم لرئيس الحكومة, يقضي بضرورة أن توجه موازنة العام المقبل إلى ثلاثة قطاعات فقط منها النفط الذي يشكل 92 في المائة من موازنة العام الجاري إضافة إلى قطاعي الكهرباء والسكن وان المقترح يتضمن تخصيص 42 في المائة من الموازنة الاستثمارية للعام المقبل لقطاع الطاقة بواقع نحو 18 مليار دولار للنفط و6 مليارات دولار للكهرباء فيما توجه النسبة المتبقية البالغة58 في المائة إلى قطاع السكن.

    وأضاف الوزير العراقي أن مجلس الوزراء يتجه لتخصيص نسبة3 في المائة من الموازنة العامة الاجمالية لوزارة الدفاع وأن الرادارات الحديثة التي تم نصبها وتشغيلها مؤخرا كشفت أن الأجواء العراقية مخترقة ومستباحة.
    - haiderpass, in 26 years
  • Finance Committee reveals submitting Modification of General Retirement law draft to parliament soon
    Baghdad (IraqiNews.com) -MP, Majida al-Timimi, of the parliamentary Finance Committee revealed that the Committee will submit the Modification of General Retirement law draft to the parliament within the next two days.

    Speaking to Iraqi News (IraqiNews.com), she said ” The Committee will submit the law draft to the parliament within the next two days due to the efforts that the Committee has done to complete it.”

    “The law draft is ready where we will discuss with the Secondary Finince Committee to set the minimum retirement salaries,” she added.

    “The law draft will not include numbers of the salaries where the Committee will cooperate with the members of the other committees and the government to set the numbers,” she pointed out, assuring that “The general budget will be the restricting point to the increase of the salaries.”



    Read more: http://www.iraqinews.com/baghdad-politics/finance-committee-reveals-submitting-modification-of-general-retirement-law-draft-to-parliament-soon/#ixzz284q2Viqe
    Follow us: @IraqiNews_com on Twitter | IraqNews on Facebook
    - Ali - Iraq, in 26 years
  • IFC to boost investments in Yemen, Iraq, N. Africa

    October 08, 2012
    By Mirna Sleiman

    DUBAI: The World Bank's financial arm International Finance Corp (IFC) plans to increase its investments in Yemen, Iraq and North Africa next year to help support development and job creation, a senior IFC executive said.

    "MENA needs to create 50-70 million jobs in the next decade. Recent events in the MENA region have created the urgency to address the fundamental conditions required to revive growth and support human development," Dimitris Tsitsiragos, the IFC's vice president for Europe, Middle East and North Africa, said in an interview on Monday.

    The IFC, which invests in developing the private sector in emerging economies with a special focus on small to medium-sized enterprises (SMEs), sees opportunities in infrastructure, energy, education and healthcare in the Middle East and North Africa (MENA).

    "MENA is a strategic priority for the IFC. Obviously a lot depends on market conditions but our objective is to keep our programme at the same level and hopefully grow it," Tsitsiragos said.

    "We are prepared to take the risk and support projects in Yemen."

    The poorest Arab country, Yemen was driven to the brink of bankruptcy by a year-long uprising that in February pushed long-time president Ali Abdullah Saleh from power and allowed al Qaeda to build its presence in lawless tribal regions.

    "It's a small country but deals have a bigger impact. If we succeed, our deals will boost investment sentiment and provide comfort for investors," Tsitsiragos said.

    The IFC would be interested in Yemen's energy sector, SMEs, microfinance and the financial sector.

    It has invested $2.2 billion in the Middle East and North Africa so far this year, Tsitsiragos said, as economies in the region try to recover from the impact of the Arab Spring uprisings. It hopes to top that amount next year.

    It plans to invest close to $100 million next year in OPEC member Iraq, which sits on the world's fourth-largest oil reserves.

    "We have so far done a total $400 million in Iraq and plan to do more next year," Tsitsiragos said. "We like infrastructure, manufacturing and the financial sector."

    Last year the IFC provided a $400 million, seven-year debt facility for Zain-Iraq, a mobile phone company and subsidiary of Kuwait's Zain Group. It also invested in Ahli United Bank, Iraq's largest lender by market value, and has put close to $75 million into the United Arab Emirates' Gulftainer Co to help it develop ports and logistics activities in Iraq.

    Since early last year, the IFC has arranged $450 million of financing for Egypt's Orascom Construction, $137 million in debt financing for Jordan's Hikma pharmaceuticals to help improve access to high-quality generic medicines in the MENA region, and a $50 million loan to French cement maker Lafarge to help the company expand its operations in Iraq.

    The IFC was the lead advisor for a public-private partnership project to build a new airport in Medina, Saudi Arabia and another to construct two teaching hospitals in northern Egypt.
    - Sinjar, in 26 years
  • Iraq cabinet proposes $115-billion budget for 2013

    AFP, 23 Oct 2012

    Iraq's cabinet approved a $115 billion budget for 2013 on Tuesday, an 18 per cent increase on this year's spending programme, a government spokesman said.

    The 138 trillion dinar budget, which still requires parliamentary approval, is 21 trillion dinars greater than Iraq's 2012 budget, and is based on average oil prices of $90 per barrel and expected production of 2.9 million barrels of oil per day, Ali al-Dabbagh said in a statement.

    Iraq's economy and government revenues are heavily dependent on oil sales, and the country has been dramatically ramping up production and exports in recent years, with still greater increases projected.

    Included in the 2013 budget is an expected 250,000 bpd of exports from Iraq's autonomous northern Kurdistan region, which is locked in dispute with the central government over energy contracts with foreign firms.

    Forty per cent of the proposed budget is earmarked for capital investments, with the rest set for the payment of salaries and other government operations.

    The main priorities of the spending programme are electricity and security, which account for 21 per cent and 14 per cent of the proposed budget respectively.

    Nearly a decade after the US-led invasion that ousted Saddam Hussein, Iraq still suffers from persistent power cuts, and Iraqis typically get between six to eight hours of electricity per day.

    Security, meanwhile, remains unstable -- while violence is down markedly from its peak in 2006 and 2007, attacks remain common, and at least 250 people have been killed in each of the past four months, according to an AFP tally.
    - Sinjar, in 26 years
  • http://ar.aswataliraq.info/(S(crwumq451zsfoi554zksxzyw))/Default1.aspx?page=article_page&id=306711


    الدباغ: 138 ترليون دينار الموازنة الإتحادية لعام 2013
    23/10/2012 05:28 م

    بغداد/ أصوات العراق: أعلن الناطق الرسمي باسم الحكومة العراقية علي الدباغ، الثلاثاء، بأن مجلس الوزراء قرر في جلسته السادسة والأربعون الإعتيادية، الموافقة على مشروع قانون الموازنة العامة الاتحادية لعام 2013 بمبلغ (138) ترليون دينار أي بزيادة قدرها 18% عن العام الماضي، مبينا أن حصة إقليم كردستان بلغت (14.3) ترليون دينار..
    وأوضح الدباغ في البيان الذي تلقت وكالة (أصوات العراق) نسخة منه أن "إجمالي الإيرادات الاتحادية بلغ (119.3) ترليون دينار جاءت نتيجة إحتساب الإيرادات الناجمة عن تصدير النفط الخام بمعدل سعر (90) دولار للبرميل الواحد وبقدره تصديرية تصل الى (2.9) مليون برميل يومياً من ضمنها الكمية المنتجة والمصدرة من إقليم كردستان والبالغة (250) ألف برميل يومياً حيث ستدخل ايرادات النفط هذه صندوق تنمية العراق بعد خصم (5)% عن تعويضات حرب الكويت".
    وأضاف أن "الموازنة الإستثمارية بلغت (55) ترليون دينار والموازنة التشغيلية (83) ترليون دينار توزعت على مؤسسات ووزارات وهيئات الدولة كافة حيث سيتم توزيع النفقات العامة وفق النسب السكانية بعد إستبعاد تخصيصات مركز الوزارة الإتحادية والنفقات السيادية ".
    وأدناه الجدول التالي:.


    ت

    القطـــاع

    المبلغ (بالدينار)

    النسبة %


    1

    الأمن والدفاع

    19.86 ترليون

    14.37


    2

    التربية والتعليم

    12.71 ترليون

    9.2


    3

    الطاقة

    29.45 ترليون

    21.31


    4

    البيئة والصحة

    6.82 ترليون

    4.94


    5

    الخدمات الإجتماعية

    17.7 ترليون

    12.81


    6

    الماء والمجاري والصرف الصحي

    4.2 ترليون

    3.04


    7

    النقل والإتصالات

    1.82 ترليون

    1.32


    8

    القطاع الزراعي

    2.68 ترليون

    1.94


    9

    القطاع الصناعي

    1.71 ترليون

    1.24


    10

    التشييد والاسكان

    1.57 ترليون

    1.14


    11

    الثقافة والشباب والاندية والاتحادات

    2.22 ترليون

    1.61


    12

    الإلتزمات الدولية والديون

    10.3 ترليون

    7.45


    13

    الإدارات العامة المركزية والمحلية

    12.76 ترليون

    9.24
    وتابع الدباغ أن "العجز في الموازنة سيقدر بـ (18.8) ترليون دينار ستتم تغطيته من المبالغ النقدية المدورة من موازنة عام 2012 وصندوق تنمية العراق ومن الاقتراض الداخلي بموجب حوالات الخزينة والخارجي وكذلك من الوفر المتوقع من زيادة أسعار بيع النفط أو زيادة الإنتاج أو الاقتراض من صندوق النقد الدولي والبنك الدولي حيث سيخوّل وزير المالية الإتحادي صلاحية الإستمرار بالإقتراض من صندوق النقد الدولي بما يكمل مبلغ (4.5) مليار دولار ومن البنك الدولي بما يكمل مبلغ الـ (2) مليار دولار خلال سنة 2013 وبأستخدام حقوق السحب الخاص بـSDR بحدود (1.8) مليار دولار لتغطية العجز المتوقع في الموازنة العامة الاتحادية".
    وأضاف الدباغ أن "حصة إقليم كردستان قد بلغت (14.3) ترليون دينار أي بنسبة (17)% من مجموع النفقات التشغيلية ونفقات المشاريع الإستثمارية للموازنة العامة الإتحادية لجمهورية العراق المصادق عليها لإقليم كردستان بعد إستبعاد النفقات السيادية وسيتم تسوية المستحقات المالية بين الإقليم والحكومة الإتحادية للسنوات (2004 ولغاية 2012) والسنوات اللاحقة لها بعد تدقيقها من قبل ديوان الرقابة المالية الإتحادي وبالتنسيق والتعاون مع ديوان الرقابة المالية للإقليم في موعد أقصاه 15 تشرين الأول 2013".
    وأشار الدباغ الى "تخصيص مبلغ (250) مليار دينار كإحتياطي للحكومة ومبلغ (7.2) ترليون دينار لمشاريع إعمار وتنمية الأقاليم والمحافظات وبضمنها إقليم كردستان ليتم إنفاقها وفق خطط إعمار للمحافظة مقدمة من قبل المحافظ ومصادق عليها من قبل مجلس المحافظة الى وزارة التخطيط الإتحادية حيث سيتولى المحافظ حصراً تنفيذ خطة الإعمار المقرة ويتولى مجلس المحافظة مسؤولية مراقبة التنفيذ ولا يجوز إجراء أي مناقلة ضمن هذه التخصيصات بين المحافظات كما وسيتم تخصيص مبلغ (1.318) ترليون دينار والتي تسمى بتخصيصات البترودولار وهي مبلغ دولار عن كل برميل نفط خام منتج في المحافظة أو مكرر في مصافي المحافظة ودولار عن كل (150) متر مكعب منتج من الغاز الطبيعي في المحافظة وعلى المحافظة أن تستخدم ما لا يزيد عن (50)% من تخصيصات البترودولار لشراء الطاقة الكهربائية وستخصص الإيرادات المتحققة من تأشيرة الدخول الى العراق لزيارة العتبات المقدسة لعام 2012 لخدمات الزائرين والبنى التحتية وحسب الجدول التالي:


    النسبة


    المحافظة


    النسبة


    المحافظة


    النسبة


    المحافظة



    40 %


    كربلاء المقدسة


    10 %


    بغداد/الكاظمية


    15 %


    صلاح الدين/سامراء



    25 %


    النجف الأشرف


    10 %


    بغداد/الأعظمية









    وبيّن الدباغ أن "مشروع الموازنة قد تضمّن الإعلان في الصحف المحلية عن الدرجات الوظيفية المستحدثة ضمن ملاك سنة 2013 من قبل الوزارات والجهات غير المرتبطة بوزارة حيث ستعطى الأولوية لتثبيت العقود إستثناءاً من شرط العمر للمتعاقدين في السنوات الماضية مع إحتساب فترة التعاقد كخدمة لإغراض التقاعد وسيتم إعفاء المواطنين كافة من مبلغ الفائدة عن القروض الممنوحة لهم من قبل المصرف العِقاري والزراعي وصندوق الإسكان والاستمرار بمنح تلك القروض دون فوائد للمواطنين وحسب نفوس كل محافظة وستتحمل وزارة المالية نسبة الفائدة".

    وأكد الدباغ على أن "الحكومة العراقية ومن أجل دعم القطاع الصناعي الخاص والقطاع المختلط وأسوةً بالمبادرة الزراعية سيكون الإقراض لمشاريع إتحاد الصناعات العراقي والقطاع المختلط بدون فائدة وتتحمل وزارة المالية دفع الفائدة للمصارف الحكومية وعلى وزير المالية الإتحادي إعادة تخصيص المبالغ المتبقية وغير المصروفة من المبالغ المعتمدة ضمن الموازنة العامة الاتحادية لسنة 2012 والمتعلقة بتعويضات المحافظات والمدن والأفراد المتضررين الى موازنة الجهة المستفيدة حصراً لأجراء صرفها خلال سنة 2013 إستثناءاً من أحكام (القسم الرابع) من قانون الإدارة المالية والدين العام رقم (95) لسنة 2004 وكذلك له الحق بإستخدام المبالغ المعتمدة لإحتياطي الطوارئ في تسديد نفقات الحوادث الطارئة وغير المتوقعة لحد (3) مليار دينار لكل حالة أما أذا تجاوز المبلغ هذا الحد فيجب إستحصال موافقة مجلس الوزراء الإتحادي".
    وأضاف الدباغ أن "وزير المالية الإتحادي بالتنسيق مع وزير التخطيط الإتحادي سيقوم بإعادة تخصيص المبالغ المتعلقة بمشاريع إعمار وإسناد المحافظات ((بغداد (الصدر والشعلة) والبصرة وديالى ونينوى)) التي تم اطلاق مبالغها على شكل سلف عام 2008 لغرض إجراء التسويات القيدية بشأنها ضمن موازنة عام 2013 دون أن يترتب عليها صرف فعلي وكذلك إعادة تخصيص الإيرادات المتحققة فعلاً في المنافذ الحدودية البرية والبحرية والجوية بما فيها الإيرادات السيادية خلال سنة 2011 الى موازنة المحافظات الحدودية كلاً حسب الإيرادات المتحققة فعلاً في المنافذ الحدودية الموجودة في تلك المحافظة مع إعطاء الأولوية بتأهيل وإعادة إعمار المنافذ الحدودية التابعة لكل محافظة".
    وأوضح الدباغ أن "على وزير التخطيط تقديم نسبة تنفيذ المشاريع الإستثمارية لكل وزارة أو جهة غير مرتبطة بوزارة الى مجلس الوزراء وفي حال عدم تنفيذ ما نسبته (25%) من تخصيصات كل مشروع خلال ال (6) أشهر من إقرار الموازنة فعلى وزير المالية وبالتنسيق مع وزير التخطيط رفع تقرير الى مجلس الوزراء لتحديد أسباب الإخفاق ولمجلس النواب إستجواب الوزير أو رئيس الجهة غير المرتبطة بوزارة في حال عدم تنفيذ ما نسبته (60%) من التخصيصات الإستثمارية لوزارته أو دائرته من الموازنة العامة الإتحادية".

    وأشار الدباغ الى أن "مجلس الوزراء الإتحادي سيضيف تخصيصات الى الموازنة الإتحادية لسنة 2013 عند تحقق زيادة في الإيرادات عن صادرات النفط الخام المصدر خلال الستة أشهر الأولى من هذه السنة لتسديد العجز المخطط بالموازنة وتأمين مبالغ للمشاريع الاستثمارية لوزارة الكهرباء بعد اقرارها من قبل وزارة التخطيط الاتحادية بالأضافة الى مبالغ استيراد الطاقة الكهربائية وتسديد مستحقات القطاع الخاص قبل 9/4/2003 والقروض الممنوحة من قبل المصارف الحكومية عن رواتب منتسبي الشركات العامة لعام 2010 و2011 و2012 والقروض الممنوحة من قبل المصارف الحكومية عن شراء محصول الشعير لعام 2010 ومبالغ لدعم المحافظات المتضررة (ديالى ونينوى) والمبالغ المتعلقة بالتعداد العام للسكان وستتحمل وزارة المالية مبلغ الفائدة البالغة (4%) من إجمالي القروض الممنوحة لمشروع بسماية السكني".
    م هـ ا (خ)
    - sheytanElKebir, in 26 years
  • look at it.

    the sports and youth is getting more money than:
    -construction and housing
    -Industry
    -Transport and Communications



    also:
    the electricity ministry is getting over $25Bn in ONE YEAR!!!!!!!!!!!!!!!! and yet electricity output is not even 8GW TOTAL!

    I will say it here. 90% of that money is being stolen. there is no other way about it.
    - sheytanElKebir, in 27 years
  • ^^
    MAHZALA!
    - Sinjar, in 27 years
  • Here is the table from this news:

    الدباغ: 138 ترليون دينار الموازنة الإتحادية لعام 2013


    http://img443.imageshack.us/img443/7130/13820131382013.png
    - Sinjar, in 27 years
  • http://img10.imageshack.us/img10/5329/gdppercpita2011.png
    © 2012 OECD/IEA
    - Sinjar, in 27 years

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