Thread: Archive News - Iraqi Dinar Think Tank - 22/06/2010 - 04/10/2010

Nouri al-Maliki nominated to return as Iraqi prime minister
Shia political lists want incumbent to resume duties after seven months of limbo, but Iyad Allawi bloc refusing to back him

Iraq's Shia political lists have renominated the incumbent prime minister, Nouri al-Maliki, as their candidate for his second term in the post after seven months of bickering that left the country rudderless.

The move is the first step towards forming a new government that would lead Iraq in the years beyond the seven-year occupation. However it does not necessarily mean a new administration will be quickly formed.

Maliki and his support base now potentially commands 156 seats in the new 325-seat national parliament. It will have to do business with the Kurdish blocs and the list of his main foe, Iyad Allawi, which remains staunchly opposed to granting him a second term.

Allawi's list, a secular grouping known as Iraqiya, has reiterated that it will not enter a government led by Maliki. Allawi could take his 91 seats and whoever else he can muster into opposition in a new parliament – a first for Iraq – or according to analysists he might hold out, forcing the current lists to split and regroup into different alliances.

A heightened round of inter-party talks has begun in the capital with Allawi remaining hopeful of enticing at least one Shia party away from the deal to sponsor Maliki.

Iraq's Kurdish bloc, which has 60 seats, is set to bring to centre stage its two key demands, both of which were sidelined by Maliki during the past four years: a resolution to Kurdish claims on the disputed oil city of Kirkuk and the enactment of a hydrocarbon law, which would prescribe the Kurds' take of revenues from the vast unexplored oil fields within its autonomous area in northern Iraq.

"For three years they have been delaying this," said Sami Shoresh, a Kurdish MP. "They fear they will lose power in these giant fields and there will be nothing more they can do about it.

"On Kirkuk they know it is a red line for us. They say it's an Iraqi city and we say it's Kurdish. We will negotiate on everything else but not this."

A member of Maliki's State of Law list, Khalid al-Assadi, said Maliki's renomination was a significant breakthrough that would re-energise Iraqi politics.

The US had been pushing hard for Maliki to retain office but with diluted powers that would be shared with Allawi. Washington fears a steadily deteriorating security situation in Iraq would get much worse if Allawi's predominantly Sunni support base was disenfranchised by an electoral process they had been assured would empower them.

http://www.guardian.co.uk/world/2010...prime-minister

Haider Mulla : Iraq continues to refuse to give al-Maliki for the premiership

He said a spokesman for the Iraqi bloc Haider Mulla that Iraq continues to refuse to give Prime Minister Nuri al-Maliki and it will not participate in any government he heads.

He said Mullah, told the independent press (Iba) .. That Iraq has a common aspects of understandings and deals with some of the political blocs, making them go to form a government of national partnership and representative of all parties and sects.

He explained that the way in which al-Maliki was selected by the Sadrists and the rule of law, are irrelevant to the political process and not serve the vision of a government of national partnership.

He said Mullah al-Maliki said the choice of candidates for the National Alliance in this way, represents the loss of his last chance for prime minister.

The National Alliance, announced yesterday a press conference for the selection of Maliki's candidate for prime minister With Withdrew the Supreme Council and the Virtue Party for this alliance protesting Maliki took a second term.

http://www.ipairaq.com/index.php?nam...itics&id=30879

U.S. delegation of 15 major firms visits Iraq this month

The U.S. Department of Commerce is sending a delegation of 15 major firms to Iraq this month for a visit, the first of its kind since the end of U.S. combat missions in the war-torn country, according to CNN.

“The companies include General Electric, Boeing and energy giant Warmer Engineering as well as other U.S. oil companies,” a U.S. commerce official said.

The U.S. all-news network quoted a State Department official as terming Iraq’s infrastructure needs as “exceptional”.

The Iraqi government has appropriated more than $80 billion for infrastructure projects, the official said, adding the U.S. firms are well aware of the business sector opportunities available in Iraq.

http://en.aswataliraq.info/?p=137480

Political Vacuum not to affect Iraq economy

Head of Economic Reforms Unit Thamer Al Ghadban said that the political vacuum problem in Iraq will not affect foreign Investments. Ghadban said that Iraq enacted some new laws in order to entice foreign investors and capitals such as laws to cut taxes for the foreign companies which have been operating in Iraq for more than 10 to 15 years. To that, new facilities measures regarding moving capitals to Iraq and from it will be set in addition to opening accounts process. Ghadban said that investment opportunities for foreign companies in Iraq are multiple and they will increase in the future.

http://www.alsumaria.tv/en/Economics...q-economy.html

IMF Executive Board Completes First Review Under Stand-By Arrangement with Iraq, Grants Waivers and Approves US$741 Million Disbursement

The Executive Board of the International Monetary Fund (IMF) today completed the first review of Iraq’s economic performance under a program supported by a 24-month Stand-By Arrangement (SBA). Completion of the first review makes an additional SDR 475.36 million (about US$ 741 million) available for disbursement, bringing the total resources that are currently available to Iraq under the arrangement to SDR 772.46 million (about US$ 1,204 billion).

The Executive Board also approved a waiver for nonobservance for the end-June performance criterion on the net international reserves and a waiver of applicability for the end-June performance criterion on the central government current spending bill for which data is not yet available. A rephasing of the remaining disbursements was also approved by the Board.

The SBA was approved on February 24, 2010 (see Press Release No. 10/60) for SDR 2.38 billion (about US$3.7 billion). In addition to providing temporary budget support, the SBA supported program aims to ensure macroeconomic stability and provide a framework for advancing structural reforms in Iraq.

Following the Executive Board’s discussion on Iraq, Mr. Naoyuki Shinohara, Deputy Managing Director and Acting Chair, stated:

“Iraq has continued to make good progress in rebuilding key economic institutions and maintaining macroeconomic stability, under very difficult circumstances. The Fund-supported program has provided a valuable anchor for economic policy during a period of high vulnerability. In the first half of 2010, oil revenues remained strong, inflation continued to be subdued, and the budget recorded a surplus. For 2010 as a whole and 2011, based on conservative assumptions for oil prices and export volumes, Iraq’s external and fiscal positions are expected to remain in deficit but return to a surplus in 2012.

“The 2011 budget will need to be consistent with the goal of achieving medium-term fiscal sustainability and be based on conservative assumptions for oil prices and volumes. Containing current spending would allow further increases in investment, and a stronger emphasis on improving the quality of spending and rebuilding public infrastructure will help achieve higher economic growth.

“Success in reconstructing the economy will depend on accelerating the pace of implementation of the government’s fiscal and financial sector structural reform agendas. The modernization of Iraq’s public financial management system encompasses further improvements in fiscal reporting and the budgetary process, and the adoption of a single treasury account. Further progress in strengthening the Central Bank of Iraq’s supervisory role and moving ahead with the financial and operational restructuring of the two largest state-owned banks will help in increasing financial intermediation. As a candidate member of the EITI, the Iraqi authorities intend to continue making progress in strengthening governance and transparency in the hydrocarbon sector.

“The authorities have made commendable efforts to conclude debt agreements. Further progress in resolving outstanding claims under terms comparable to the 2004 Paris Club Agreement will be important.”

http://www.imf.org/external/np/sec/pr/2010/pr10373.htm

Iraq Seeking $200bn in Foreign Direct Investment

Iraq offers $200 billion investment opportunities to foreign investors, making it one of the most lucrative investment destinations in the region, an Iraqi government adviser said on Thurday.

“To be or not to be is not the question here as huge investment opportunities do exist in Iraq and the government will ensure the security to all strategic investors,” Ali al-Dabbagh, official spokesman of the government of Iraq said on the sidelines of Iraq Investment Conference in Manama.

“The issues of security and political stalemate are facts but, on the other hand ,the country does exist and so does the government. In my point of view the security situation is not as bad as shown on the TV and foreign investors should grab the existing opportunities,” Al Dabbagh said.

Earlier, during a session of the conference, Al Dabbagh said that the massive $50bn housing project near Karbala is one of the prime examples of the government’s commitment to ensuring the security for the ongoing strategic projects in housing, oil and gas and power sectors.

Organised by the Economist Group, over 130 delegates from the US, Europe and the GCC attended the one-day summit at the Ritz Carlton Hotel.

Al Dabbagh said there were huge opportunities for foreign investors as the country plans to privatise the power sector to meet the future demand of 28,000MW of power.

“We are planning to open the tenders for the 5000MW power generation project soon as part of the government’s effort to enhance the scope of the participation of the private investors i the power sector,” he said.

“Iraq needs trillions of dollars for the infrastructure development, rehabilitation and to modernise all the vital projects seen as a crucial part of the national economy,” Al Dabbagh said.

The Conference delegates discussed Iraq’s business outlook and investment climate and how the Government is tackling the challenges including security, rampant corruption and political instability.

Other top Iraqi officials attended the forum include Fawzi Al Hariri, the Minister of Industry and Minerals; Ali Sindi, Minister of Planning, Kurdistan Regional Government; Farhad Alaaldin, Senior Advisor to the Prime Minister of the Kurdistan Regional Government.

http://www.iraq-businessnews.com/201...ct-investment/

Consultant : International Monetary Fund calls for Iraq to reform the tax

A source in the Iraqi government ended its mandate on Saturday, the International Monetary Fund stressed the need for Iraq to hold semi- radical changes in the tax system as a prerequisite for granting loans and to support its projects.

A member of the Iraqi negotiating team Fadel Muhammad Sarraj told the Kurdish news agency (Rn) announced today that "the International Monetary Fund request from the Iraqi government formally Dharrop restructuring the tax system in the country in proportion to Iraq's financial dealings with the International Monetary Fund."

He pointed out that "the International Monetary Fund has criticized the report handed to the Iraqi negotiating the distribution of the budgets of previous years which focused on the financing of security mechanisms is studied."

He explained that the OS "The team was able to convince the Iraqi negotiator member states in the International Monetary Fund that Iraq would abide by the payment of loans through the sale of crude oil during the coming years."

OS and continued that "the International Monetary Fund yesterday agreed to grant the amount of $741 million as part of a loan of $3 billion and $700 million."

And that "the International Monetary Fund holds a vision for Iraq as completely isolated from the global system, which called him to ask the government to promote the value of the Iraqi dinar Iraq, compared with foreign currency and Arabic."

The value of the Fund disbursements of the loan to Iraq $ 1.2 billion out of 3.7 billion.

It is hoped to discuss the Iraqi government ended its mandate over the next few days the budget in 2011 Finance earlier that it will take care of the implementation of service projects.

http://www.aknews.com/ar/aknews/2/185442/

Legal expert calls for investment of oil away from the central ideologies and mental

Said a legal expert specialized in oil that the time has come to invest in natural resources away from the ideological hegemony, central, and political implications, calling for the adoption of the law of oil and gas and the formation of the Federal Supreme Council for Oil and Gas Company, a national company for oil and the empowerment of the territory of Kurdistan and the oil-producing provinces to manage their natural resources flexibly.

This came during a lecture in the oil adviser to the Iraq Institute for Energy and find Shaker, organized for Thursday night marked within the cultural center of business development in the negotiation and Strategic Studies, at FAO headquarters in the town of Ankaop north-west of the city of Arbil.

The Shaker that Iraq is "lost billions of dollars and a lot of opportunities to build a thriving economy because he was not able to invest its oil wealth by about sound and building industry benefit from this wealth and achieve value-added required", pointing out that the ideological and political ramifications that witnessed and are witnessing in Iraq "cast a shadow heavy And harmful to the oil sector and has been an obstacle in the way of benefit to the building of a prosperous national economy."

http://radionawa.com/Ar/NewsDetailN....911&LinkID=155

Ministry of Oil pipelines to transmit requests to a global company

The Iraqi government announced the approval of the request for the oil ministry to submit the draft to extend the pipes and set up units and export single floating to a Singapore company at $ 733 million and the implementation of standing period of 15 months.

Ali al-Dabbagh, Iraqi government spokesman , in a press statement, the Council of Ministers agreed to refer the project to build pipelines and installation of units export single floating to one of the Singapore companies in order to secure potential high export to the Southern Oil Company through the assignment of these projects to the specialized international companies to ensure the best Results and the best equipment used in this area, and added that this project is a turning point in the process of export of crude oil through the opening of new outlets to accommodate the increases generated by the licensing rounds of successive investment in the oil sector, especially that Iraq is on the verge of a quantum leap in the oil industry in terms of production And export capacities. He stated that the Oil Ministry requested a deferral of the project to one of the world total amount of $ 733 million and a period of executive standing 15 months, where they were planning for this project in two phases the first access to the export capacity of $ 1.8 to two million barrels per day, equivalent to the export port of Basra is currently with the possibility of Expansion to reach three million barrels per day in the second phase.

http://radionawa.com/Ar/NewsDetailN....954&LinkID=155

Iraq sees lowest monthly toll from violence since January

A total of 273 Iraqis were killed as a result of violence in September, the lowest figure since January, according to government figures released on Friday.

The toll, released by the health, interior and defence ministries, showed that 185 civilians, 55 police and 33 soldiers died in attacks in the first month after Washington officially declared an end to combat operations here.

The overall monthly death toll was the lowest in Iraq since January, when 196 people were killed in violence, and represents a 35 percent drop from August, when 436 people died.
A further 485 people -- 284 civilians, 90 police and 111 soldiers -- were wounded last month.

http://www.zawya.com/Story.cfm/sidAN...ince%20January