Central Bank advised not to borrow to bridge the budget deficit because it would cause a deficit for years

04/15/2014 17:17

Tomorrow's Press / Baghdad showed Iraqi Central Bank Governor agency Abdel Basset Turki, on Tuesday, did not support the theme of the feet Iraq to borrow from the World Bank to bridge the shortfall to balance the current year, indicating that the borrowing would reduce the deficit for the current year only, while resulting in a deficit biggest in years the next.

He said Turkish for "tomorrow's Press", "The program proposed by the Ministry of Finance to fill the budget deficit for the current year through access to external financing is not feasible," noting that "the financing of the deficit in ways that external would reduce the deficit for this year only, while resulting in a deficit bigger in the years to come." .

He added that "the central bank proposes to compress costs and reduce the gap in the deficit before considering obtaining external funding."

The Minister of Finance and serenity net debt agency announced, last Sunday, that Iraq presented a program of the World Bank intends it to get a loan to bridge the shortfall in the budget for the current year, while noting that there are talks with the bank to provide financial liquidity for projects if they are not provided by the government .

The Finance Minister Ali Shukri announced in October 2013, ending the draft federal budget for Iraq for the next year 2014, which will amount to 174 billion U.S. dollars.

It is noteworthy that the state budget for the current year did not acknowledge until now been sent to the government for nearly three months to the House of Representatives and is awaiting inclusion on the agenda, while stalling the Presidency for inclusion due to the lack of agreement of the political blocs on them.

http://alghadpress.com/ar/news/12539/البنك-المركزي-ينصح-بعدم-الاقتراض-لس