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Solve the bottlenecks of the private sector and a perfect vehicle for the return of expatriate capital

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Source: Al-Sabah - 09/01/2010

Solve the bottlenecks of the private sector and a perfect vehicle for the return of expatriate capital


Tawfiq, an economist Mana: that the reality of the Iraqi economy, the economy came to a unilateral acute risk by relying entirely on oil exports and arrived dependence on the oil sector in generating income to 94% in 2007 and 2008 and may have increased the ratio this year and this means that the productivity of all other sectors industrial, commercial, agricultural and even the oil industry Kalmsafi and petrochemical plants and chemical industries dependent, paralyzed and inflation increased steadily due to the adoption of import in the same way that adopted for the purchase of the memorandum of understanding and non-adoption of commercial contracts, international Alanco Turmz in the contract and transfer funds to the points of processed or exported to Iraq.


He stressed that the absence of the national carrier of sea and land led to the adoption agencies to import contract with exporters and the foreign carrier on the basis of the originally discharge ports or to the final destination of the site for any importer or warehouses and adopt some of the actors to be contracted out to the land and any store everything paid to the source until wage Bmkhoznh unloading, storage, and repacked goods inside the store and this style was adopted and adoption by companies of the Ministry of Oil.

The mean oil exports and sales depend Decades before or on the basis of FOB stores before the oil tanker in foreign ports of loading and the Basra port of Ceyhan.


The promise of this fact be detrimental to the Iraqi economy, in addition to the continuation of insurance and protection, the owners of clubs and charterers of vessels which call at ports of Iraq, the imposition of fees and taxes on goods which are transported to ports such as securing Iraq's war-risk factor and charges of currency fluctuations and exchange fees alteration up these fees and taxes between 35% to 40% increase for freight, which paid the import and all possible reduced and the negotiation of canceled if there is an interested sector of the Iraqi economy right because all that is added increases paid by the citizens because they increase the wages of the transfer of materials suggest that refer to a companion report, which contains a full description of the Iraqi economy . And the challenges faced by the Iraqi private sector, between the inhibitor, that the Iraqi private sector Avani several bottlenecks, including the absence of legal protection of economic activity exercised by the private sector.


He said that Iraq is a country open and uncontrolled results were hurt mixed industrial firms and private citizens as a producer and consumer, I found unequal competition as the prices of imported goods from different origins, most of sorts and some of its powers and finished with falling prices, lack of support from the material and moral support to the private sector and non - provision of raw materials and delivery at affordable prices, whether local or imported led to the inability of plants to compete with the imported goods is the fact that the production of good quality and conforming to the specifications.


Laboratories designed to be high compared to the cost of the product imported and the reluctance of state to help the plants on the grounds that the State Etzhm only to projects of this major strategic decision that has led to disruption of the construction of new projects and the reluctance of most investors wishing to invest in Iraq, especially the state's involvement with a rate in the investment process because it is this involvement will secure the protection and encourage banks and funding agencies to provide loans and help ensure the marketing of the product and maintain its quality and all these things help to attract investors and encourage him, and vice versa led to the reluctance of many investors, when they attend their destination only to Iraq Allasttala and inspection, which contributed to the investment projects that postponed.


And mechanisms of government interaction with the Iraqi private sector said that if the inhibitor by the State under the auspices of the private economic sector in the light of the information that we and the proposals which we have, the sector can meet less compared to 45% of the needs of economic life in Iraq and to dignify the State and the national economy and improve the situation pension of the citizen which is almost to be almost non-existent, needed to take the government to call the public sector practitioners and industrial projects and study what they are exposed to suffering and work to develop appropriate solutions to help them to overcome the economic downturn.


With regard to the response of companies to work with Iraqi private sector in reconstruction projects, he suggested that there is reluctance by the international companies and investors - regrettably - to come to Iraq and if it is provided should not generate a real intention of the investment, but only attend to the poll, because - regrettably - the minister who investment contracts signed by a certain minister, who is responsible, followed by avoidance of the contract and banned under the pretexts of this illegal act is one of the doors of administrative corruption requires state intervention, with its weight and strength to prevent such irresponsible acts, which it represents negative repercussions on investment operations in Iraq, which requires the protection of of law to those companies operating in Iraq.


He stressed that there is the wishes of the inhibitor to the private sector expatriates to return to work again in Iraq, and any Msttmmermgterp specialized in the economic sphere that it has a firm desire to invest Iraq as long as the environment safe and clean and the existence of the necessary requirements for investment that provides a lucrative profit for re-invested capital.


According to the information available to us through our relationship with citizens, the private sector and investors from Iraqi expatriates have serious and strong desire to restore the practice of economic activity in the State to take their role to provide the real background conditions that would provide them with opportunities available and the factors and requirements upon their return to the exercise of economic activity and that such action is absorbed numbers Low unemployment is rampant in Iraq, and certainly, if successful, it will be an important reason for re-emigrants with the competence and expertise will benefit the Iraqi economy to their experience not to mention the back part of Moktnzachm and money to Iraq.

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