***** Hassan currency and increase imports of oil cut inflation

2/16/2014 0:00

Planning: food and beverage of the most influential in the annual rate of change
BAGHDAD - Farah pumice


Although the latest indicators and the Ministry of Planning on inflation confirmed the rise , but the outlook confirms that the next term will see a significant decrease due to the improved situation of the Iraqi currency and the increase in oil revenues . Economic Advisory Ali Mahmoud said in an interview for the "morning" , that " the rate of inflation in the years 2004 to 2006 was estimated at 15 percent , either in the nineties was an estimated 20 to 30 percent due to high prices and the depreciation of the currency . "


Now, talk to Mahmoud , he witnessed a decline due to the improvement and development of the Iraqi dinar currency and oil revenues, which supported the dinar , these reasons have led to an improvement in the value of cash , and then price inflation rate fell from 15 percent to approximately 4 percent . "


He said the advisory that " Iraq has a significant cash to the corresponding foreign exchange , as it is possible to buy goods and provide the market with cash and support what curb inflation."


And inflation is " a measure of the overall average consumer price (Consumer Price Index) and consists of rates of prices for a range of expenses of the consumer such as housing and Alttabb , food, electric power , education and all capacities purchasing extracted from the overall rate is measured from year to year ."


He pointed to the presence of Mahmoud two types of inflation , the first resulting from the cost , and the second resulting from the increased demand and the presence of cash, and no amount of goods facing criticism in a lot of money chasing few goods . "


And between Mahmoud said that " ratios of close to 10 or 11 percent is inflation, then the " devastating " , and can not commercial any measures to curb it , because it reduces the value of cash and living standards and destroy the savings ," but if at reasonable rates close to 2 percent , but it should be take notice of economic and fiscal policy that commercial rates the level of wages and the level of intakes , and that the hunting of inflation, but there will be a decline in the standard of living . "


It is said that the Ministry of Planning and Development Cooperation revealed late last week , about the height of the inflation index for the month of January last year by 1.4 percent .


The ministry said in a statement received " morning," a copy of which was : "The inflation index for the month of January last rose by 1.4 percent compared with the month of December the previous year ," indicating that "the annual rate of inflation for the period from the month of January 2013 until January 2014 the other is a rose by 4 percent . "


The statement added that "the reason for the high inflation back to the department that the prices of housing and non-alcoholic beverages rose by nine percent ."


The Ministry of Planning announced on 27 December 2013 , the inflation index for the months of October and the second arrived to 6.1 , usually it "a slight increase " in control of it , and there is no fear of inflation relative situations .


He explained diagram of the inflation rate published by the Ministry of Planning and got it , " morning" , said the contributions of sections in the annual rate of change indicates that the Department of Food and non-alcoholic beverages is the largest impact on the annual rate of change of the index for Asaaralamsthlk .


The diagram shows the high prices at a rate of 10.8 percent in the month of January 2014 compared with the same month in 2013 in addition to the record for the Department of Housing had been affected by the high annual rate of change of the index of consumer prices , prices have risen at a rate of 1/1 percent in December the second in 2014 compared with the same month of last year .




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