Thursday, 17.05.2012
Calls for the adoption of investment plans similar to the experience of the Kurdistan Region
Baghdad, Deputy Governor of the Central Bank of the appearance of Mohammed Saleh, said that investment in Iraq is weak compared with what has been achieved in the Kurdistan region in the field of reconstruction, services and diverse projects and added benefit of (Rn) that the banking business is still facing difficulties, particularly with respect to the investment environment in Iraq, despite the fact that banks
Fully prepared to the issue of lending and credit to the owners of investment projects as well as the bank is unable to contribute significantly to the investment process through the assets of its securities.
He pointed out that investment in Iraq is still its infancy compared to investing in the Kurdistan region, and continued in favor: that the federal government does not know how the investment process because of the lack of investment culture and that the opposite of what is happening in Kurdistan because the foreign investment law in the province in which incentives for investors and management in the region.
He called on Baghdad to be more flexible in dealing with the investment portfolio through the administrative procedures and tax over the investor, and seeking various ways to provide better facilities to the foreign investor from the harsh reducing red tape through the rest of the facilities.
Regulated investment in the Kurdistan region under the Investment Law No. (4) for the year 2006 which formalized the investment in the Kurdistan region, which has taken important steps to attract investors and owners of capital and offered a range of investment opportunities available in the province and there are projects already implemented in the region, including residential and hotel as well as the number of of private universities such as American University, and electric power plants and a host of other industrial projects.
He ruled in favor dinar return to normal, due to increased demand on the dollar, noting that the average central bank sales of foreign currency amounted to (200) million and the volume of demand to buy an estimated half a billion dollars.
Saleh said that the demand for dollar buying from an auction the central bank is increasing every day without knowing why, the volume of demand for dollar estimated half a billion dollars and the average sales of the central (200) million, which will make the dinar is unable to restore normal, except in the case of control Government on the size of the hard money that comes out of the country.
And that the government is introducing hard currency into the country through oil sales only, while the market is the one who directed those currencies abroad, which led to the lack of economic balance in the country, in addition to the Iraqi environment is attractive for investment and entry of foreign currency due to political instability and problems continuing internal.
And see the dollar soared against its price as a result of the Iraqi dinar internal and external factors, where the U.S. dollar exchange rate (1288) dinars after it had been stable on the price of (1166) dinars.
He noted the benefit to the absence of clear economic philosophy in the country in addition to the lack of economic policy that makes a variety of financial revenues of the Iraqi economy, not only from a single supplier.
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