Baghdad – IA – Nassar Al-Hajj
Today, Thursday, Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, commented on the optimistic expectations of the International Monetary Fund regarding the growth rate in non-oil gross domestic product in Iraq, and while announcing a decline in the annual growth rate of prices, he identified a factor that contributes to the stability of the general level of prices.
Saleh said to the (INA): “According to what was announced by the statement of the International Monetary Fund expert delegation in its recent consultations with the official Iraqi side: it is expected that the growth rate in non-oil GDP will reach about positive 5%, and in our estimate that these expectations are Optimism reflects a great economic dynamism in the growth movement of real and service sectors outside the oil sector, as a result of the renaissance of investment in the construction sector, infrastructure, digital services and various interconnected activities. It is an increase in growth equivalent to almost doubling the growth of the population, which means it has positive effects on the prosperity of individual income. “Because growth is linked to the level of employment, use of human resources, and reducing unemployment rates.”
He added, “Price spikes may occur individually, but what concerns us is the stability of the general level of prices. Therefore, it is noted that the increase in growth in price rates is decreasing, as the annual growth rate of prices decreased from 7% last January to 3.7% last month.” November of this year compared to November of last year.
Saleh continued, “On the other hand, the exchange rate in the unregulated market has not witnessed new rises. Rather, today it is in a gradual decline. The more regular the work of the compliance platform is and the more banks respond to the requirements of combating money laundering in a transparent manner, the more transfers will increase through the external transfer platform, which is the responsible platform.” On meeting the private sector’s foreign currency needs by 85% to finance trade.
He noted that “the needs of travelers are met through two ways: credit cards and cash dollars, and that private banks have imported cash dollars for themselves to meet the needs of their customers from their dollar accounts in amounts that have exceeded tens of millions of cash dollars in recent days, and they are continuing normally based on the regulations.” issued by the Central Bank of Iraq in this regard.
He pointed out that “the commodity market has begun to be supported by a diversified commodity supply through the movement of additional government imports, especially food, medicine, building supplies and spare parts, all of which are supplied at a fixed exchange rate of 1,320 dinars per dollar, which is the factor that contributes to the stability of the general level of prices and counters market noise.” Illegal and irregular exchange accounts for only 10% of foreign currency trading.”