Sovereign Funds: Sustainable Economic and Social Development

Faris Al Salman
today and after the triumph of the will of the people and to defeat terrorism, we find that the Iraqi economy is exhausted because of the funding of military operations, lower oil prices, and corruption, so it became a duty to rebuild the Iraqi economy according to the foundations of development properly achieve social justice and create jobs to accommodate young energies Society as well as revitalizing national industry and maintaining market stability.

There has been an international trend of sovereign and large sovereign funds to promote the idea of ​​public-private partnership with the aim of injecting direct strategic investments into public and mixed companies and private partnerships to support GDP, create jobs, transfer skills, techniques and secrets of knowledge.

Should not go towards the acquisition of huge shares in the assets of other countries, but focus on the internal market, and the development of the national economy.

Thus, the funds achieve a greater financial return than the investment in foreign markets, while taking into consideration that the foreign investment is aimed at diversifying the investment portfolio and not only when investing in the local economy.

There are successful international experiences in this field, namely Asian development funds that focused on developing markets Through the promotion of the manufacturing sector and then to the services sector.

As a vision, we see that the goal is to rescue and develop government and mixed companies and develop them, as well as to help the private sector to build sustainable companies.

There are 30 thousand industrial projects belonging to the private sector, which is suspended for many reasons including terrorism, corruption, lack of services, flooding markets with cheap imported goods And other reasons.

The revitalization of these projects will save about one million jobs, which in turn will stimulate the economy and ease demand for government jobs.

GCC sovereign funds have recently injected $ 60 billion in investment into local development projects.

The idea of ​​these funds is to facilitate the flow of private investments after building the citizen’s confidence in the system of state administration and the financial system and cash, so that these flows flow through a government investment system has a scientific mind and a high flexibility in line with the need of the market,

and there is a package of sovereign funds that we think it is due The establishment of the Iraqi economy, through the development or integration or joint projects called
(Joint Ventures).

1 – Fund for the future sovereign (surplus fund):
This fund is financed by surpluses of proceeds from the sale of oil, gas and other materials, proceeds from privatization and the sale of other fixed assets.

It is financed by deducting 5% of the revenues of oil and gas to invest in the development fund listed in (4) below, as it enters the revenues of the holy shrines and endowments,

revenues of rents of state properties and sale of properties belonging to the Ministry of Finance, and fees for the entry of archaeological sites other than museums, Rents and real estate, as it enters into fixed assets all the assets of endowments and thresholds and the Secretariat of Baghdad and state real estate guarantees this fund the rights of future generations with the wealth of the poor, as well as being a sovereign reserve supporting the government and
other sovereign funds .

2. Stability Fund:
It aims to bridge the budget deficit and achieve a fixed exchange rate for the national currency and to cope with economic shocks, emergencies and disasters, as it protects the economy as a whole, financed by the sovereign future fund (the so-called surplus fund).

3. The Social Security Fund: The Universal Declaration of Human Rights, issued by the General Assembly of the United Nations on 12 December 1948, states that social welfare is a human right. Article 22 states that sickness benefits, work accidents, lactation period, To support children and housing.

The purpose of this fund is to achieve social peace, political stability, the ability to live together, security immunity, cohesion of society, and a sense of belonging to society and the homeland.

This fund includes every citizen who does not have a guardian in the community.

(Ie, the pension fund will be included under this fund). It also includes the disabled, the large families in need, those who do not have the pension, the beneficiaries under the poverty line, the victims of disasters.

MDF Fund Who? :
The funds of the Fund for the Care of Minors in relation to minors / pension fund funds in respect of pensioners / funds of the Police Martyrs’ Fund for the families of police martyrs / and all other subsidy funds in the State.

Centralization of information and simplification of administrative structures) Deduction of a percentage of the total income of employees in the public and private sectors / Revenues of charitable activities from concerts and activities, imports of sporting and artistic activities, etc. / Investment revenues of the fund imports / Zakat / donations and unconditional .donations, for example (in Libya it is financed by a portion of customs revenues

The duties of this Fund also .. Follow – up to the provision of health, education, housing and other services, as well as providing assistance and subsidies made in the limits and in accordance with the laws, and the management of social welfare institutions, take care of the disabled, nursing homes, orphanages, the role of public and private nursery, care institutions
women .

It also provides salaries and special bonuses or extra grants to citizens who have provided great services to the homeland, and salaries of this fund represents the basic salary for the decent living of the citizen

This fund includes the unit (Social Welfare for the Poor and Sensitive Groups), a Shura-based development experience funded by UN and international aid, five funds, Zakat, donations and unconditional donations.

The objective of this unit is to grant the loan to low- In case of death (God forbid),

the loan will be repaid from the loan insurance fund in this unit, as an insurance fund will be established from the pensions of the borrowers.

The unit will also provide a pension for the pensioner After a while passed T for a certain period of time, for example 10 years).

The loan is granted by credit and the solidarity of employees or borrowers together, and a convenient rescheduling of the insolvent borrower is possible.
* Chairman of the administrative body
of the Baghdad Economic Forum

Bankruptcy 540 companies in the Kurdistan region


The head of the registration of companies in the Kurdistan region of Dalzar Ismail on Saturday, the bankruptcy of 540 companies in the Kurdistan region because of the low liquidity in the markets, while noting the registration of hundreds of new companies of their names in the region.

"120 foreign companies and 420 local companies have declared bankruptcy, 35 percent of them are commercial companies, 25 percent are construction companies and companies are working in other fields," Ismail told Iraq News.

The director of registration companies in Kurdistan, said that "because of the financial crisis and low liquidity in the markets, many companies in the Kurdistan region declared bankruptcy," noting that "this is normal, because in return for that many companies registered their names this year, Territory ".

The Kurdistan region is suffering from a severe economic crisis that has forced the Kurdistan Regional Government to pay salaries to Kurdistan employees.

Parliamentary energy: the budget of 2018 heavily indebted and free of appointments and investment projects


A member of the Committee on oil and energy parliamentary Adnan al-Janabi, Saturday, that the draft federal budget for the year 2018 was burdened with debt and free of appointments and investment projects and a clear lack of provision for the rights of the poor.

Al-Janabi said in a press statement today (December 16, 2017) that "all the figures in the budget of 2018 came disjointed and inaccurate in the offer, and there is a lack of provision of the rights of displaced people and the poor from the budget," according to the agency Nina.

He added that "the budget allocated to the security and defense sector 23 trillion dinars, and 7 trillion dinars for the electricity sector, and 3 trillion dinars for ration card, and a trillion dinars for social welfare."

"The budget is almost austerity budget free of appointments and investment projects, and its backbone is based on external loans from the World Bank and the IMF, which makes them burdened with debt."

It is worth mentioning that the House of Representatives ended its consultative session, which was held during the legislative holidays earlier this month to discuss the federal budget 2018, while the Presidency decided to refer the draft budget to the parliamentary financial committee to prepare a final version and presented in another extraordinary session.…1#.WjU3Z1WnGUk

United Nations: recovery of the growth of the Iraqi economy after the defeat of Wahhabism


Foreign investors are beginning to be attracted to doing business in Iraq as the economic situation improves and a declaration of defeat defeats Wahhabism in the country, a Financial Times report quoted international officials as saying.

"Many countries have expressed their desire for economic cooperation with Baghdad after they have declared their full victory over terrorism in the country," the report quoted UN adviser to the Iraqi economy Falah Lami as saying on Saturday.

"In recent months, many delegations and government and private companies in Europe and the United States visited Iraq," he said, referring in particular to the "recent meeting between officials of the Central Bank of Iraq and representatives of Airbus and Total, as well as the visit of the British Prime Minister and a group of companies American. "

"All this indicates the recovery of Iraq. After announcing the final victory over terrorism, many have indicated that they want to invest in various areas of the Iraqi economy. Iraq has become a lucrative and attractive place for economic cooperation," he said.

"After falling oil prices, Baghdad desperately needs foreign capital and Chinese companies are already investing in the Iraqi economy," he said.

At the end of 2016, the World Bank approved a $ 1.485 billion new aid package for Iraq aimed at boosting the country’s economy, stimulating private sector growth and supporting job creation, while the country’s 2018 budget said strict costing would help the Iraqi authorities pay part Of its debt to the International Monetary Fund.…1#.WjU2PlWnGUl

Presidency of the Parliament of Kurdistan calls for a general strike to overthrow the Barzani government!

The Speaker of the Parliament of Kurdistan, Yousef Mohammed, called on citizens and political parties to prepare for the start of popular demonstrations and general strikes aimed at dissolving the current government of the Kurdistan region.
"The Kurdistan Regional Government (KRG) is corrupt and incapable of improving the living conditions of citizens, so the current situation requires the willingness of citizens to launch mass demonstrations with the participation of the political parties in order to dissolve the current government," Mohammed said during a televised interview with Sky Press. "The citizens are living in worsening conditions Because of corruption and lack of transparency in government institutions. "
The Speaker of the Parliament of Kurdistan also stressed the need for the security forces to protect the safety of citizens and protect them during the demonstrations.
"The movement of change has submitted a project to form a transitional government to manage the current phase, but the parties of the Authority are trying to keep the current government intact," said Mohammad, who has been exercising his legislative duties in Sulaymaniyah since he was prevented from entering Erbil in 2015.

Abadi: The world owes Iraq its sacrifices and suffering and its fight against terrorism

He called for creating a good environment for the citizen
Baghdad / Follow-up morning

Prime Minister Haidar al-Abadi said Iraq’s move towards reconstruction and concern for the environment, which was neglected because of the wars, pointing out that the main reasons for the entry of terrorism into Iraq is corruption, while stressing that the Peshmerga is part of our armed forces, pointed out that the great Iraqi successes call for the international community To stand with Iraq, calling for work on sustainable development and human and create a good environment for the citizen.

"Iraq has cleared its territory of terrorists and moved towards reconstruction and concern for the environment that has been neglected for decades by wars," Abadi said on the sidelines of
the Paris Climate Conference, just before his visit to the capital and his return to Baghdad.

"The world owes Iraq its sacrifices. Suffering and the fight against terrorism. "
Abadi added that «great Iraqi successes call on the international community to stand with Iraq», pointing out that «there is an international trend to support Iraq,

and we benefit from the atmosphere of international meetings to create an environment conducive to investment and to support the economy and reconstruction of Iraq, and initiatives to support Iraq has now begun».

"The fight against corruption is part of the reconstruction and stability. If there is corruption, there can be no reconstruction and stability in the country," he said. "One of the reasons for the entry of terrorism into Iraq is corruption and fighting it is an essential and vital part."

"The Peshmerga is part of our forces, and we have lived like all the fighters. We fought alongside the Iraqi army and the rest of our forces in the liberation of Mosul.

There are those who wanted to differentiate between the Peshmerga and the Iraqi army through the referendum and the army. Iraq should cooperate with it ».

"What was put forward at the Paris climate conference is that Iraq can be a shining picture of the countries that have been exposed to terrorism and how they have risen again, and terrorism is looking for other places, but it will not work as long as we are cooperating," Abadi said.

"We do not want the world to give up on us after we have accomplished our task of eradicating terrorism and liberating our territories and keeping Iraq united," he said, noting that "he is calling for a very serious terrorist organization and we should be careful about how to root out its roots not only militarily but intellectually. Its goals and its ability to recruit young people ».

"Iraq is a success story in eradicating terrorism, and we must preserve this achievement and preserve the unity of Iraq," he said. "Iraqis are equal in rights and duties regardless of religion or nationality. This message is important and we have established it in Iraq."

"Today, Iraq has changed, and the world is coming to him. We have identified the assistance of the international community to us when we fought and supported a group of nations. We did not expand it and did not fight on Iraqi soil other than the Iraqis," he said.

"We do not want the world to donate billions of dollars to us. We are realists and we need basic things," he said. "Iraq must remain a center of attention for its successful experiment. We must preserve this status. Iraqis are capable of renaissance."

The Prime Minister, before the end of his visit to the French capital presiding over Iraq’s delegation to the climate summit, the Secretary-General of the United Nations, Antonio Guterres, who stressed the stand of the international organization with Iraq in the reconstruction and stability.

"Guterres congratulated Abadi on the great victory the Iraqis have achieved on a preacher," he said, adding that he "looks forward to Iraq being a successful example among nations."

"The two sides discussed during the meeting cooperation in the trial of terrorists and those who supported them, and fight their deviant ideas," the statement added.

Upon his return to Baghdad, the Prime Minister chaired the third session of the Supreme Council for Population in the presence of a number of ministers concerned.

"We are in a new phase after the completion of a military call, and we have to give hope to the citizen by advancing the work and making the priorities that he needs, and not only by numerical statistics, but by working on sustainable and human development and creating a good environment," Abadi said.

Of the citizen ».
The statement also referred to the government’s priorities in returning the displaced and informing them that their return to their homes and towns is better than staying in the camps.
"Abadi also listened to the ministers’ remarks and briefed on the national document on population policies prepared by the supervisory committee to draw up a promising population policy in Iraq over the coming years."

Iraq is going to attract big investors


As the government, after winning the final victory on "Dahesh", sought to attract major investors in the region and the world, a financial expert urged quick amendments to the investment laws and regulations and made them more flexible with a plan to launch a real partnership between the public and private sectors.

Thamer Al-Azzawi told Al-Sabah: "The discussions currently being held between the decision-makers in the country, traders, investors and representatives of the private sector, including working to promote the Iraqi economy through the launch of a package of reforms during the next year."

An element attracting and added that "these positive steps, and can have the Iraqi market move, but the most important element is to build trust, and it must begin implementation on the ground, in order to be attractive to investors element."

"It will open new horizons for development in the country, because investment is one of the structures of the superpowers, and governments can no longer do everything," he said. But he called for "quick adjustments" On the laws and legislation to urge investors to withdraw their money and shuffle in Iraq. "

Development goals
should be noted that the Minister of Planning , Dr. Salman al – Jumaili had said during an earlier meeting with the Iraqi private sector representatives, he said that " the government wants the private sector to be an active and influential, because it is aware of the possibility of this sector and its ability to achieve development goals, especially in the field of investment."

Senior investors

"Iraq is on the verge of a new stage of building, reconstruction, opening up to investment and seeking to attract large investors to the country," he said. "We must give our Iraqi private sector the opportunity to be a strong competitor.

He pointed out that "Iraq’s economic and investment relations have seen a significant development during the recent period, including relations with the sister Kingdom of Saudi Arabia, has been the formation of the high-level coordination between the two countries," calling at the same time, "the private sector to provide an appropriate vision on investment operations in the country "He said.

US State Department renews call for dialogue between Erbil and Baghdad


The US State Department renewed its call for the start of dialogue between Erbil and Baghdad to resolve differences and outstanding issues between them according to the Iraqi constitution.

"We have held dialogues with the Iraqi government and with the KRG and we have good and ongoing contacts with them," said ministry spokeswoman Heather Neuert in a briefing.

She added that last week, an Iraqi official visited the US State Department and met with the minister’s adviser in order to continue the dialogues between Erbil and Baghdad.…%D8%A1-%D8%A7/

Abadi puts new conditions to receive the Kurdish delegation

Iraqi Prime Minister Haidar al-Abadi put conditions on the Kurdish delegation, which plans to visit Baghdad soon so that he can meet him.

The MP for the Movement for Change Tafka Mohammed on Thursday the latest conditions of Prime Minister Haider Abadi to receive the Kurdish delegation, noting that Abadi will not agree to receive any delegation without achieving all its conditions.

"Abadi told the Kurdish parties that the conditions of receiving any Kurdish delegation will be accompanied by the cancellation of the referendum in a final manner and announce this in advance, as well as not to receive any delegation that is not united by all the Kurdish parties," she said.

She added: "Abbadi stressed that Baghdad does not bear any financial debts of the Kurdistan region to foreign oil companies or other debts as well as not to retreat from the delivery of all airports and border crossings and mixed areas."

"The Prime Minister has categorically refused to talk about any negotiations with Erbil without fulfilling all the conditions by Erbil, that all the commitments be documented in an agreement,"

adding that "some conditions are negotiable, such as handing over airport management and ports to joint destinations between Erbil And Baghdad as well as the realization of political understandings. "

Iraq is a safe passage for the world


Back point link between Asia, Europe and Africa
Baghdad / Hussein Tgb
Farah pumice ,
following the economic victories , which represents the product of the victory of Iraq "Daesh" terrorist and carrying Bmahsaltha great benefit of the national economy for its contribution to the multiplicity of fiscal revenue, which represents the opening Iraqi airspace in front of the global air traffic new economic success , The Sons of Iraq line by their victory in the war against the forces of darkness.

The passage of planes Associate Director of Iraqi Airways Sadeq Faleh Ghadhban said: "Iraq is moving towards the stability of the security aspect in full, which in turn leads to bring benefit to the national economy in all sectors, especially the Iraqi airspace, which has become safe before the international air traffic,"

pointing out that " The return of Iraqi airspace to life and the passage of the aircraft of major international companies through our airspace is making significant financial gains contribute to the country’s many revenues already. "

He said in an interview for "morning" that "Iraq will receive the amount of $ 325 for each aircraft passing Iraqi airspace, and the activation of the movement of aviation raises the amounts obtained from this process," adding that "the geographical location of Iraq on the map of the world makes it the most suitable for air traffic between poles The eastern and western world,

where it shortens the time and reduces the cost of fuel in the case of adopting alternative routes to Iraqi airspace, which makes many international companies mean the Iraqi atmosphere.

Achieving revenue and expected angry that "aircraft passing through Iraqi airspace through the atmosphere over the next periods movement rises, this means that Iraq is on the verge of achieving significant financial revenue with the rise in the graph of the number of aircraft that mean Iraqi airspace."

The US Aviation Administration and its associated companies have revealed the return of the Iraqi airspace after the announcement of the victory on the "duel", as the US Aviation Administration and its associated companies re-fly in Iraqi airspace after the announcement of victory.

Aviation Department has confirmed the expert in civil aviation and air transport Abdul Karim Leftah the importance of announcing the US Aviation Administration and its associated companies to resume flights in Iraqi airspace after the announcement of victory. The expert said in a statement to "morning" that "this step will enter the funds to the state treasury, such as transit and flying over the Iraqi airspace.

" The expert noted that "this step will push other companies to take similar steps," and expected that "Iraq in the coming years will be an important transit point in the region compete with other countries, in addition to attracting investors."

Civil aircraft
Transport Minister Kazem Vanjam Al-Hamami announced last Sunday that "the American Aviation Administration and its associated companies will resume the flight of US civil aircraft over Iraqi airspace after the final victory over criminal gangs is announced."

"The US Federal Aviation Administration (FAA) reduced the warning to 26,000 feet after the announcement of victory and the end of military operations in Iraq," al-Hamami said, adding that "the reduction of the warning will allow US aircraft, US-registered aircraft and other airlines associated with it to fly back Iraqi airspace again,

"noting that" the announcement by the US Aviation Administration to resume flights over the Iraqi airspace will be an incentive for countries of the world and the region to follow suit, especially that the Iraqi airspace open to international airlines. "

"Airports are paying more attention to infrastructure, especially as Iraq is coming back to the forefront as a point of contact between Asia, Europe and Africa," he said.

The number of flights and continued gesture that "re-flight will contribute to the introduction of good amounts to the treasury of the state, especially since the recent period has seen an increase in the number of flights flying over the Iraqi airspace, reaching more than 150 aircraft."

It is noteworthy that parliamentary committees have confirmed that "the increase in the number of flights that cross over Iraq is a sign of Iraq’s openness to the world again."

"This also shows that security concerns have been relieved by the sacrifices of the Iraqi forces," she said in a press statement, praising "the efforts to re-run civil aircraft routes and ensure their smooth and safe movement."

"This development will encourage more commercial air carriers to choose Iraq as a safe passage for civil aviation, especially as it enjoys a geographical location characteristic of the transition between countries of the East and West," they said.