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Management of the money supply and stimulate development

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Management of the money supply and stimulate development Empty Management of the money supply and stimulate development

Post  Admin Tue Mar 15, 2016 4:58 am

3/14/2016 0:00

Mohammed Sharif Abu Mayssam

More than 77 percent of the Iraqi currency trading Exporting exist outside the banking system .. This is confirmed by the relevant authorities, meaning that about 31 trillion dinars of the total 40 trillion dinars issued by the Central Bank distributed among the Iraqi market, trading between Square and hideouts compactness.

It is trading indicators in the commercial centers and local markets generally, the currency bloc enormous does not seem clear in the course of the market movement, as seen markets a recession following a number of variables, which affected the incomes of the middle class by reducing the monthly salary rates and higher fees for services and fees in conjunction with the entry customs tariff law into practice, which contributed to a certain extent in the relatively low rates of spending on non-essential goods, as well as many stops construction and reconstruction projects due to massive deficits witnessed in the general budget as a result of lower oil prices, is it likely that hoarding a large proportion of the money supply under in the pillow drawers indoors due to the state of anxiety that prevails in the Iraqi street because of political and economic Alarbakat in the country.



Management Program

Thus, there is an urgent need to manage the money supply program, which is the responsibility of the relevant monetary and fiscal Balseesten to stimulate the flow of these chunky block into the local markets, as the trading of such enormous money supply in the local markets guarantor recovery of the markets and create exchanges contribute to overcome the recession and stimulate development
Economic.

It seems that the continued state of confusion in the political and security situation as well as the media hype that the concept of Bankruptcy market in the public treasury as a synonym for state deficits, as well as the weakness of the banking system which is dominated by the bureaucracy in the government sector and the desire to achieve a quick profit in the private sector who were dedicated to the case of a lack of confidence among the public and between banks and contributed to the lack of savings in financial institutions and the culture of what made the bulk of the money supply in the possession of the Almktensan
Houses.

Interest rate

If the fear of the central bank from raising interest rates caused by the fear of perpetuating the depressed state of the market, in what the government is back on the establishment of joint ventures or contribution in the sectors of housing and services for the creation of districts or new cities, or any other projects, as concerned with the transition government of the time totally about economy
market!

It is possible to stimulate Almktensan to bring out their tools and other ideas through activation of the central bank loan, for example, which still hang in the specialized banks for reasons not know the one, as it could be that these funds employ to lure money chunky by granting loans to those who want to establish a shareholding company engaged in the sectors of the company housing, agriculture and industry to be the company's capital value of the loan to encourage the founders and Basmahat up to ten years that public participation is through the launch of securities of those companies, including at least 20 times the value of the loan in exchange through the opening credits and to guarantee the value of the land and the list established by the importation of equipment facilities, and possible expansion in this matter and study to include limited companies to ensure the assets of these companies, banks and windows Islamic which operate according to the mechanisms of participation and Murabaha guarantee the assets of these banks, provided the use of advertising and publicity for their activities in the housing, agricultural, industrial and tourism and Alaqtaat sector as well as the importance of the private banks out of slumber and stop Taiha currency on the auction sale and activation of banking and propaganda tools to create credit activity commensurate with the size of its financial assets.



Government banking sector

On the other hand, the authorities based on the financial and monetary policies to find a solution to the case of lack of seriousness in the public banking sector in order to assume its responsibilities at the situation of recession and deflation in the country .. it is important to reconsider Bmoukova these banks, some of which log in debt box terminally collectible different grounds of national spearheaded the security problem, we propose here to change departments branches with the highest ratios in detention and raise the proportion of incentives to the staff of debt collection exclusively, and the emphasis on the collection of debts granted by government banks covered by the support from the state treasury in the budgets of the years 2012 - 2013 process --2,015 beside the importance of debt as part of the follow-up given to agricultural work initiative, which exceeded 3 trillion dinars .. in what is the idea of ​​issuing Treasury announced by the government to fund service projects and chunky money at interest rates exceeding 10 percent in limbo apparently bonds!


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