Interview - Minister of Finance Baqir al-Zubaidi economic
Iraq is heading towards the write-off the remaining debts and Denmark the first countries to begin to
Interview conducted by: Yasser incumbent
Dialogue, openness and transparency in the title chosen by the Economic Department in the morning newspaper to be the work of the economic program of the morning in the new year 2010. The first choice and the impact on the Ministry of Finance, the Ministry of why, exactly?. The answer is, you'll see at the end of the dialogue or Tschwouna between the lines, but will not be the end of the dialogue but we will follow up as promised by the Finance Minister in this dialogue through the dialogue to come.
That our knowledge of the background information to the Minister, where he worked as chief editor of a newspaper Mazadna rush to get out of the time that we have identified by the Director of the minister's office half an hour, where the minister had cut an extra hour of his time graciously accepted.
While the minister was busy in the receptivity Bmdolp official with one of two activists, where managers instructed His Excellency the Director General Implementation of the proposals to expand the branches of the bank where he works outside and travel to Iraq to complete the negotiations on the qualification of the bank.
By the Director-General is Hussein Azri, which achieved great success in developing the performance of Trade Bank of Iraq, according to the minister and the development indicators were put on the table of the Minister and his briefing Baprzha.
This scene made the minister recalled how the banking sector and where things stand it, was the first axis in the dialogue is the banking sector
We asked the Minister:
Q: How do you evaluate the performance of the banking sector?
- If you want to set up your performance of the banking sector, I must give you some idea as to what it was when we receive the banks of the ministry, where, and arrived at that Stgmon yourselves to sector performance.
As we receive the Ministry of Finance there was a study requires the closure of the Rafidain and rational and real estate, agricultural, industrial, because of many problems there is no room to go into right now I do not there is the possibility of promoting these banks.
Already and I have my team to re-activate the Rafidain and Rashid to provide traditional banking services.
We have visited the Land Bank too and found it to hang in full .. It was a dust-caked files, we decided to bank lending to real estate (200) million dinars from the Rafidain and Rasheed banks, however, as students of the benefits of commercial banks Vdfna the benefits of financial and bank appeared to have been active real estate professional and is now one of the best banks operating at the level Alt_khasisi.
The Agricultural Bank has done well until he was able in 2008 to continue lending to 80 thousand of the draft and we expect to grow the number of loans in 2009, the past and we are now awaiting the reports of the Agricultural Bank which we expect that it will mark an increase in the proportion of loans. In the intervention whether those loans within the agricultural minister said the initiative: it is not outside the initiative of agricultural loans.
Universal banking system.
As for the Rafidain and Rashid, the minister added, follows: After having completed the use of the universal banking at the Bank of Iraq, we would expect to see Rasheed Bank this year, and soon the application of the universal banking system .. Thus, we will enable citizen access to banking services with ease as he can from the account at the Bank of governance in Iraq or Baghdad. Withdrawals and deposits in all branches of banks in all parts of Iraq as well as abroad cross-Satellite system, this development will contribute to significant growth in the banks, and as reflected on the development of financial resources as well as the friendly service to the citizen.
He explained that this system has brought him to Iraq, and cost (10) million dollars and is a dedicated team of trained staff equipped with the company's banks to work in this advanced technology.
- What about the private banking sector?
We addressed the need to support private banks to give each bank has a market capitalization of $ (100) billion dinars, or over which credits of (4) gives millions of dollars in banks whose capital under this provision limits the number (2) million dollars,
We believe that this support would make is trying to develop their capital in order to rise to the level of private and foreign banks compete in the future.
Iraq's debt
* Iraq's debt and haunted by the suffering of the citizen Where did your efforts on them?
The truth is that talk about the debt with Concerns After that we were able to write off 80% of the debt we are now trying to extinguish the remaining 20% owed by Iraq.
Zubaidi, recalling the efforts made in this field and culminated in the dim (120) billion dollars out of (140) billion dollars that are owed by Iraq, according to Paris Club rules, which ruled to turn off the 80% remained 20% waiting for solutions.
He pointed out that Iraq's first oil country, I got this 80% to allow any other countries because the poor do not get only a percentage to allow about 50 - 60% of the total debt.
And we have made strenuous efforts, "said the Minister, by seeking to extinguish the remaining debt amounts to 20% have responded to our first country, namely Denmark.
The move was made after the signing of the Danish ambassador in front of us but make us the responsibility to give priority in investment, construction and reconstruction, all States that follow the example of Denmark.
He noted that the amount owed by Iraq for Denmark is (250) million initiated Denmark kindly write off the debt, what makes us the responsibility to be rewarded by giving them priority in all the fields available in Iraq.
Budget
* All eyes are directed towards what it means to delay the budget approval?
- In this regard, says Finance Minister Baqir Jabr Al-Zubaidi: For me as Minister of Finance does not mean anything because I have a financial management law, which allows me the money shot that since 1 / 1 / 2010
And actually fired salaries, pensions, and launched social protection network and fired the ration card, and we have stayed ongoing projects, launching projects and aspects through the "morning," My plea to the Governors and the Ministers to submit requests for the delivery of 20% of the investment allocations. However, the minister said: The only remaining which I can not spend it until after the ratification of the budget is the new project in 2010.
I would like to delay approving the budget does not occur for the first time, in the past year were approved by the end of the fourth month and the year before that were approved in the third month.
- But Mr. Minister, people are concerned about the lack Agheraralmoisnp because the election period close?
Yes, this is true, but the Minister of Finance as I said has the potential to use the validity under the law of the previous budget and the law can be repealed only by law.
On that basis, things are moving in the right direction in accordance with the law.
* Where point of disagreement between Parliament and the Council of Ministers, which has delayed approving the budget?
- Summed up the difference that the parliament wants to reallocate 20% of the investment allocations for ministries to the provinces. But the minister wants to keep the ministries take their role and believe that the ministries more efficient to provide services, either the House of Representatives wants to get rid of the central direction of decentralization.
This means that the House wants to increase the allocations from the provincial share of ministries and the Council of Ministers wants to keep the assignments as they are. But the decision in the end, the House of Representatives in accordance with the Constitution according to Article 62 thereof.
- You agreed with an opinion?
I represent the opinion of the government now, but have my own opinion I can not speak it.
- When you returned the budget amendment was it?
Yes, we discussed the proposed amendment and the general framework but did not get approval of the Council of Ministers and this is the essence of the dispute.
Chapter VII
* Where did the government's efforts on chapter VII?
- An important question and I think that the government is working on several tracks: the first file ending debt and second to end the file of complaints and lawsuits filed against Iraq by the citizens of the United States because of the practices of the former regime, the file number specifically assigned to Iraq as scary up compensation to a trillion dollars.
The minister said that there is a committee formed under the chairmanship of Adviser to the Prime Minister of Legal Affairs Dr Fadhil Mohammed Jawad was in negotiations with the State Department were on the way to settle things Libyan, ie to pay a specified amount to the U.S. government and you are to settle compensation with the citizens, and the amount in this case does not exceed ( 400) million dollars in the case of giving him solve the problem file complaints.
The other topic is that Iraq is to find an alternate account of the Development Fund to be protected by the United Nations and the U.S. president.
The other important thing that Iraq will guarantee the payment of compensation to Kuwait because the United Nations deduct 5% of Iraq's revenues that is required to settle the matter with Kuwait because it has debts and reparations owed by Iraq.
There is a problem the total remaining debt owed by Iraq from the private sector estimated in the range (7) billions of dollars and Landry to their health or not, as some companies refused to disclose the debts and some of them is lying and we will respond to them by international law where the lawyer's response was a lot of lawsuits.
These funds if Iraq could have settled and to ensure the payment of compensation to Kuwait, when that goal will be achieved out of Iraq's Chapter VII.
Iraq and the International Monetary Fund
Q: What about Iraq's relationship with the IMF?
- That our relationship with the International Monetary Fund, a distinctive and characterized by fruitful cooperation and constructive .. We have managed to convince them that Iraq does not impose on the requirements and standards imposed on other countries, and now we're not in dire need of IMF, but a ministry with us, financial and central bank and the Oil Ministry as members of the ministerial delegation negotiating with the IMF, we believe it important to keep our relationship with the Fund and sustain in order to benefit from the expertise and techniques useful in particular that Iraq had been cut off from the world for more than 40 years.
Let me give you an example of the importance of the relationship, when the House of Representatives to change some aspects of the budget, we need more than two weeks to make adjustments in the figures used primitive way, but the International Monetary Fund is now providing us with an elaborate system of budget preparation, staff training budget on this system where the system the necessary adjustments electronically, the time is very short.
Also, the accounting system in place is very old and not commensurate with the global developments, and works Alsndq currently developing this system .. These and other services makes us hold on to this relationship, but the only condition that almost caused us problems is to bring Iraq to work standards system price of petroleum products has convinced us not to fund the implementation of this requirement, which forced it on other countries.
Q: What is the meaning of a system of norms price of petroleum products and what risk
Standard price of petroleum products to Iraq means the division of the world oil price and extraction rate of oil derivatives, according to the dollar .. Any raise or lower prices of oil derivatives, according to the vagaries of the dollar, and this change is causing us many problems putting pressure on us to negotiate and sign the agreement not to chock the Fund, assuming this condition, and convinced them of the futility of this condition Fastjaboa us.
Other than that, all the conditions and requirements that want the Fund are beneficial for Iraq and to promote economic reform, and conditions of using modern technology in the preparation of the budget and rehabilitation of banks and other All of these systems, we really need nothing more than international requirements.
World Trade Organization
* Do you think, Mr. Minister, that Iraq is eligible to join the World Trade Organization?
- Although the subject of the jurisdiction of the Ministry of Commerce, but we are members of the committee charged with this issue say .. Iraq needs time to organize the (WTO) and we are working in the world of the isthmus is not no socialist system is not a free market system "market economy" we are working Balatnin We need time to exit to the market economy.
Insurance
* According to international companies wishing to invest that Iraq lacks a strong insurance sector .. How do you do you evaluate the performance of insurance companies?
- Admitted to you that the Ministry of Finance has made great efforts to develop the government insurance, but we have not achieved only 50% of success, Tlkona in completing this task because of the legacy of the heavy and restrictive laws for insurance, it is the laws of socialism and we are supposed to work the laws of market economy and here lies the flaw .. .
He adds: We need to change the laws .. And change the laws at this stage take years to accomplish as a long transition, where he drafts to the Cabinet and then the General Secretariat of the Council and the Council of State and then to the House of Representatives .. These stages take time, but we're going to find the required legislation.
However, the minister pointed to the success of private insurance companies as they try to strongly enter the Iraqi market, adding: Yesterday, I received a request from one of the leading investors to set up a private insurance company and would agree to his request and always call for partnership with global companies because we believe that the private sector must take its due role in supporting the investment programs, construction, reconstruction and development.
He added saying: We have proposed to the state-owned enterprises affiliated to the ministry a partnership with international companies and has taken some steps but departments have failed so far to reconcile and to hold such deals.
Smart Card
* It is said that the smart card has put their hands on a lot of cases of corruption, how do you view this issue?
- At the outset I would like to make one thing clear is that the smart card has been chosen by and dealt with the company's global smart card system in order to participate with the Rafidain and good after conviction usefulness in the fight against corruption and fraud.
Has faced significant challenges this mechanism, disrupt and combat by the "thieves" in the words of the minister, any of those affected by advanced technology.
Let me give you one example in order to perceive the importance of the card, I discovered this card for fake people (7) the identities of any of seven receives a monthly salary, and an old woman received five salaries And so on, why not fight.
And summarize the minister said .. What we have achieved for 50% of retirees in this regard, namely that the million retirees now receive their salaries for the way you can imagine the time required for the completion of all identities, We have introduced the salaries of social protection network after strenuous efforts by some who fought for this card, now things are going as delineated by them. In the application of faith in the distribution of salaries of government departments according to need and desire after the department discovered the importance of this card and the multiple advantages.
Epilogue
This openness and transparency, Finance Minister ended his speech by an interview with the economic the morning but did not hide his threshold on the media in dealing with economic affairs and highlight the shortcomings of the positive decisions and successes achieved during the period, calling on the observance of professional standards in the facts, view, and the country's need to strengthen the bonds of trust between citizens and government through the responsibility of "Her Majesty".
He promised a lot of good and the good achievements in the budget coming from the year 2011 up any governing Iraq after the Scheduling and cancel the remaining debt
http://www.alsabaah.com/paper.php?so...page&sid=97309
Iraq is heading towards the write-off the remaining debts and Denmark the first countries to begin to
Interview conducted by: Yasser incumbent
Dialogue, openness and transparency in the title chosen by the Economic Department in the morning newspaper to be the work of the economic program of the morning in the new year 2010. The first choice and the impact on the Ministry of Finance, the Ministry of why, exactly?. The answer is, you'll see at the end of the dialogue or Tschwouna between the lines, but will not be the end of the dialogue but we will follow up as promised by the Finance Minister in this dialogue through the dialogue to come.
That our knowledge of the background information to the Minister, where he worked as chief editor of a newspaper Mazadna rush to get out of the time that we have identified by the Director of the minister's office half an hour, where the minister had cut an extra hour of his time graciously accepted.
While the minister was busy in the receptivity Bmdolp official with one of two activists, where managers instructed His Excellency the Director General Implementation of the proposals to expand the branches of the bank where he works outside and travel to Iraq to complete the negotiations on the qualification of the bank.
By the Director-General is Hussein Azri, which achieved great success in developing the performance of Trade Bank of Iraq, according to the minister and the development indicators were put on the table of the Minister and his briefing Baprzha.
This scene made the minister recalled how the banking sector and where things stand it, was the first axis in the dialogue is the banking sector
We asked the Minister:
Q: How do you evaluate the performance of the banking sector?
- If you want to set up your performance of the banking sector, I must give you some idea as to what it was when we receive the banks of the ministry, where, and arrived at that Stgmon yourselves to sector performance.
As we receive the Ministry of Finance there was a study requires the closure of the Rafidain and rational and real estate, agricultural, industrial, because of many problems there is no room to go into right now I do not there is the possibility of promoting these banks.
Already and I have my team to re-activate the Rafidain and Rashid to provide traditional banking services.
We have visited the Land Bank too and found it to hang in full .. It was a dust-caked files, we decided to bank lending to real estate (200) million dinars from the Rafidain and Rasheed banks, however, as students of the benefits of commercial banks Vdfna the benefits of financial and bank appeared to have been active real estate professional and is now one of the best banks operating at the level Alt_khasisi.
The Agricultural Bank has done well until he was able in 2008 to continue lending to 80 thousand of the draft and we expect to grow the number of loans in 2009, the past and we are now awaiting the reports of the Agricultural Bank which we expect that it will mark an increase in the proportion of loans. In the intervention whether those loans within the agricultural minister said the initiative: it is not outside the initiative of agricultural loans.
Universal banking system.
As for the Rafidain and Rashid, the minister added, follows: After having completed the use of the universal banking at the Bank of Iraq, we would expect to see Rasheed Bank this year, and soon the application of the universal banking system .. Thus, we will enable citizen access to banking services with ease as he can from the account at the Bank of governance in Iraq or Baghdad. Withdrawals and deposits in all branches of banks in all parts of Iraq as well as abroad cross-Satellite system, this development will contribute to significant growth in the banks, and as reflected on the development of financial resources as well as the friendly service to the citizen.
He explained that this system has brought him to Iraq, and cost (10) million dollars and is a dedicated team of trained staff equipped with the company's banks to work in this advanced technology.
- What about the private banking sector?
We addressed the need to support private banks to give each bank has a market capitalization of $ (100) billion dinars, or over which credits of (4) gives millions of dollars in banks whose capital under this provision limits the number (2) million dollars,
We believe that this support would make is trying to develop their capital in order to rise to the level of private and foreign banks compete in the future.
Iraq's debt
* Iraq's debt and haunted by the suffering of the citizen Where did your efforts on them?
The truth is that talk about the debt with Concerns After that we were able to write off 80% of the debt we are now trying to extinguish the remaining 20% owed by Iraq.
Zubaidi, recalling the efforts made in this field and culminated in the dim (120) billion dollars out of (140) billion dollars that are owed by Iraq, according to Paris Club rules, which ruled to turn off the 80% remained 20% waiting for solutions.
He pointed out that Iraq's first oil country, I got this 80% to allow any other countries because the poor do not get only a percentage to allow about 50 - 60% of the total debt.
And we have made strenuous efforts, "said the Minister, by seeking to extinguish the remaining debt amounts to 20% have responded to our first country, namely Denmark.
The move was made after the signing of the Danish ambassador in front of us but make us the responsibility to give priority in investment, construction and reconstruction, all States that follow the example of Denmark.
He noted that the amount owed by Iraq for Denmark is (250) million initiated Denmark kindly write off the debt, what makes us the responsibility to be rewarded by giving them priority in all the fields available in Iraq.
Budget
* All eyes are directed towards what it means to delay the budget approval?
- In this regard, says Finance Minister Baqir Jabr Al-Zubaidi: For me as Minister of Finance does not mean anything because I have a financial management law, which allows me the money shot that since 1 / 1 / 2010
And actually fired salaries, pensions, and launched social protection network and fired the ration card, and we have stayed ongoing projects, launching projects and aspects through the "morning," My plea to the Governors and the Ministers to submit requests for the delivery of 20% of the investment allocations. However, the minister said: The only remaining which I can not spend it until after the ratification of the budget is the new project in 2010.
I would like to delay approving the budget does not occur for the first time, in the past year were approved by the end of the fourth month and the year before that were approved in the third month.
- But Mr. Minister, people are concerned about the lack Agheraralmoisnp because the election period close?
Yes, this is true, but the Minister of Finance as I said has the potential to use the validity under the law of the previous budget and the law can be repealed only by law.
On that basis, things are moving in the right direction in accordance with the law.
* Where point of disagreement between Parliament and the Council of Ministers, which has delayed approving the budget?
- Summed up the difference that the parliament wants to reallocate 20% of the investment allocations for ministries to the provinces. But the minister wants to keep the ministries take their role and believe that the ministries more efficient to provide services, either the House of Representatives wants to get rid of the central direction of decentralization.
This means that the House wants to increase the allocations from the provincial share of ministries and the Council of Ministers wants to keep the assignments as they are. But the decision in the end, the House of Representatives in accordance with the Constitution according to Article 62 thereof.
- You agreed with an opinion?
I represent the opinion of the government now, but have my own opinion I can not speak it.
- When you returned the budget amendment was it?
Yes, we discussed the proposed amendment and the general framework but did not get approval of the Council of Ministers and this is the essence of the dispute.
Chapter VII
* Where did the government's efforts on chapter VII?
- An important question and I think that the government is working on several tracks: the first file ending debt and second to end the file of complaints and lawsuits filed against Iraq by the citizens of the United States because of the practices of the former regime, the file number specifically assigned to Iraq as scary up compensation to a trillion dollars.
The minister said that there is a committee formed under the chairmanship of Adviser to the Prime Minister of Legal Affairs Dr Fadhil Mohammed Jawad was in negotiations with the State Department were on the way to settle things Libyan, ie to pay a specified amount to the U.S. government and you are to settle compensation with the citizens, and the amount in this case does not exceed ( 400) million dollars in the case of giving him solve the problem file complaints.
The other topic is that Iraq is to find an alternate account of the Development Fund to be protected by the United Nations and the U.S. president.
The other important thing that Iraq will guarantee the payment of compensation to Kuwait because the United Nations deduct 5% of Iraq's revenues that is required to settle the matter with Kuwait because it has debts and reparations owed by Iraq.
There is a problem the total remaining debt owed by Iraq from the private sector estimated in the range (7) billions of dollars and Landry to their health or not, as some companies refused to disclose the debts and some of them is lying and we will respond to them by international law where the lawyer's response was a lot of lawsuits.
These funds if Iraq could have settled and to ensure the payment of compensation to Kuwait, when that goal will be achieved out of Iraq's Chapter VII.
Iraq and the International Monetary Fund
Q: What about Iraq's relationship with the IMF?
- That our relationship with the International Monetary Fund, a distinctive and characterized by fruitful cooperation and constructive .. We have managed to convince them that Iraq does not impose on the requirements and standards imposed on other countries, and now we're not in dire need of IMF, but a ministry with us, financial and central bank and the Oil Ministry as members of the ministerial delegation negotiating with the IMF, we believe it important to keep our relationship with the Fund and sustain in order to benefit from the expertise and techniques useful in particular that Iraq had been cut off from the world for more than 40 years.
Let me give you an example of the importance of the relationship, when the House of Representatives to change some aspects of the budget, we need more than two weeks to make adjustments in the figures used primitive way, but the International Monetary Fund is now providing us with an elaborate system of budget preparation, staff training budget on this system where the system the necessary adjustments electronically, the time is very short.
Also, the accounting system in place is very old and not commensurate with the global developments, and works Alsndq currently developing this system .. These and other services makes us hold on to this relationship, but the only condition that almost caused us problems is to bring Iraq to work standards system price of petroleum products has convinced us not to fund the implementation of this requirement, which forced it on other countries.
Q: What is the meaning of a system of norms price of petroleum products and what risk
Standard price of petroleum products to Iraq means the division of the world oil price and extraction rate of oil derivatives, according to the dollar .. Any raise or lower prices of oil derivatives, according to the vagaries of the dollar, and this change is causing us many problems putting pressure on us to negotiate and sign the agreement not to chock the Fund, assuming this condition, and convinced them of the futility of this condition Fastjaboa us.
Other than that, all the conditions and requirements that want the Fund are beneficial for Iraq and to promote economic reform, and conditions of using modern technology in the preparation of the budget and rehabilitation of banks and other All of these systems, we really need nothing more than international requirements.
World Trade Organization
* Do you think, Mr. Minister, that Iraq is eligible to join the World Trade Organization?
- Although the subject of the jurisdiction of the Ministry of Commerce, but we are members of the committee charged with this issue say .. Iraq needs time to organize the (WTO) and we are working in the world of the isthmus is not no socialist system is not a free market system "market economy" we are working Balatnin We need time to exit to the market economy.
Insurance
* According to international companies wishing to invest that Iraq lacks a strong insurance sector .. How do you do you evaluate the performance of insurance companies?
- Admitted to you that the Ministry of Finance has made great efforts to develop the government insurance, but we have not achieved only 50% of success, Tlkona in completing this task because of the legacy of the heavy and restrictive laws for insurance, it is the laws of socialism and we are supposed to work the laws of market economy and here lies the flaw .. .
He adds: We need to change the laws .. And change the laws at this stage take years to accomplish as a long transition, where he drafts to the Cabinet and then the General Secretariat of the Council and the Council of State and then to the House of Representatives .. These stages take time, but we're going to find the required legislation.
However, the minister pointed to the success of private insurance companies as they try to strongly enter the Iraqi market, adding: Yesterday, I received a request from one of the leading investors to set up a private insurance company and would agree to his request and always call for partnership with global companies because we believe that the private sector must take its due role in supporting the investment programs, construction, reconstruction and development.
He added saying: We have proposed to the state-owned enterprises affiliated to the ministry a partnership with international companies and has taken some steps but departments have failed so far to reconcile and to hold such deals.
Smart Card
* It is said that the smart card has put their hands on a lot of cases of corruption, how do you view this issue?
- At the outset I would like to make one thing clear is that the smart card has been chosen by and dealt with the company's global smart card system in order to participate with the Rafidain and good after conviction usefulness in the fight against corruption and fraud.
Has faced significant challenges this mechanism, disrupt and combat by the "thieves" in the words of the minister, any of those affected by advanced technology.
Let me give you one example in order to perceive the importance of the card, I discovered this card for fake people (7) the identities of any of seven receives a monthly salary, and an old woman received five salaries And so on, why not fight.
And summarize the minister said .. What we have achieved for 50% of retirees in this regard, namely that the million retirees now receive their salaries for the way you can imagine the time required for the completion of all identities, We have introduced the salaries of social protection network after strenuous efforts by some who fought for this card, now things are going as delineated by them. In the application of faith in the distribution of salaries of government departments according to need and desire after the department discovered the importance of this card and the multiple advantages.
Epilogue
This openness and transparency, Finance Minister ended his speech by an interview with the economic the morning but did not hide his threshold on the media in dealing with economic affairs and highlight the shortcomings of the positive decisions and successes achieved during the period, calling on the observance of professional standards in the facts, view, and the country's need to strengthen the bonds of trust between citizens and government through the responsibility of "Her Majesty".
He promised a lot of good and the good achievements in the budget coming from the year 2011 up any governing Iraq after the Scheduling and cancel the remaining debt
http://www.alsabaah.com/paper.php?so...page&sid=97309