Economic Analyst accused govt of obstructing banks & criticizes decision to withdraw desposits
Economic analyst accused the government of obstructing the work of private banks and criticizes the decision to withdraw government deposits from
Economic analyst, said Sadiq al, that the Iraqi banks without money and unable to cover bank guarantees for investments and a basket of incentives offered by the Iraqi government to foreign investors. He accused the government of obstructing the work of Iraqi banks and Afaqadha ability to work and project finance, criticizing the withdrawal of money from the banks lose the Iraqi market liquidity. quoted Union Alamartyh on Thursday on the stirrup, "The supervisor surprised by the amount of money obtained by the recent government and declare their inability to finance projects of infrastructure infrastructure."
He explained, "The Iraqi government announced on 12 June this year it agreed to add $927 million to the supplementary budget for the completion of some infrastructure projects related to electricity for the current year 2011, and the IMF agreed in February 2010 to give Iraq a loan of $3, $7 billion spent on payments for two years."
He Rikabi "not to mention the money Development Fund for Iraq, received by the Iraqi government in late June this year, which are estimated at $250 billion, that is, Iraqi banks and especially the Central Bank of Iraq was certainly able to finance these projects or provide guarantees to help Iraqi banks to take positions more credibility and financial solvency, but they were unable to."
He explained, "banks have become unable to provide guarantees for projects that need the Iraqi state, a banker Warka Ahly Development and Investment, and Basra International, who have failed to provide liquidity and support some of these projects, two of the biggest customers of deposit of government for the rest of Iraqi private banks." :blush:
And "What is surprising, although the budget in 2011 amounted to 79.6 billion dollars, an increase of up to $8 billion last year on the basis of $73 for a barrel of oil one, and despite the increase in oil prices, which exceeded one hundred dollars per barrel, increasing oil exports Iraq, which reached more than two million barrels a day, but the Iraqi government withdrew large sums of money from a bank Warka and Basra International, and reached more than $ 20 million from each bank."
He stated that the Iraqi diplomacy made a great effort to convince the South Korean companies to come to Iraq and invest in some infrastructure projects, but these companies opted to withdraw from the contracts agreed before the implementation. :fryingpan
He said that the Iraqi government still believes that the incentive package offered to foreign investors at the beginning of contracts, enough to make it able to overcome the obstacles faced by his work with Iraqi banks, and the latter do not have sufficient funds to cover bank guarantees later. He explained that the Iraqi banking system imposed on foreign companies commitment to bank guarantees issued by banks, Iraqi banks exclusively, which is inconsistent with the capacity of Iraqi banks to secure these guarantees.
He pointed out that the visit of Iraqi Prime Minister Nuri al- Maliki to China recently and tried to persuade Chinese companies to enter the momentum of the largest in the reconstruction of Iraq will not be an easy task, especially after the withdrawal of a number of foreign companies, including South Korean companies from the electricity projects, water, transport and other infrastructure projects. He stressed that the government is hampering the work of Iraqi banks and lose the ability to work and the financing of projects. "The policy of drawing unwarranted exercised by the Iraqi government from the banks of the Iraqi economy will lose its credibility in the global economy and will lead to further withdrawal of foreign companies." (End) ..
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