Page 2 of 2 FirstFirst 12
Results 11 to 14 of 14
  1. #11
    Supporter and Investor!
    Join Date
    Jan 2008
    Posts
    1,997
    4. For the monitoring purposes, central government is defined to include the central
    administration, the Kurdish regional government, as well as agencies included under Section 6
    (the local boards, Iraqi media network, Iraqi national Olympic committee, Bait-Al-Hikma, Ammant Baghdad, Municipality institutions, as well as the General directorates of sewage and water).
    5. Gross international reserves (GIR) of the CBI are claims of the CBI on nonresidents that
    are controlled by the CBI, denominated in foreign convertible currencies, and are immediately
    and unconditionally available to the CBI for meeting balance of payments needs or for
    intervention in foreign exchange markets, and are not earmarked by the CBI for meeting specific
    IRAQ
    INTERNATIONAL MONETARY FUND 19
    payments. They include CBI holdings of monetary gold, SDR holdings, Iraq’s reserve position in
    the IMF, foreign currency cash, holdings of non-resident equity and debt securities, and deposits
    in foreign currency abroad, including foreign exchange account of the government (300/600).
    Excluded from reserve assets are any assets that are pledged, collateralized, or otherwise
    encumbered; claims on residents; precious metals other than monetary gold; assets in
    nonconvertible currencies; illiquid assets; and claims on foreign exchange arising from derivatives in foreign currencies vis--vis domestic currency (such as futures, forwards, swaps, and options).

    For program monitoring purposes, the stock of foreign assets of the CBI shall be valued at
    program exchange rates (3).
    6. Net domestic assets (NDA) of the CBI include: (i) net claims on the general government,
    comprising of gross claims on the general government minus general government domestic and foreign currency deposits at the CBI; (ii) gross claims on other depository corporations;
    (iii) monetary policy instruments, including dinar and foreign currency denominated term
    deposits and CBI bills held by other depository corporations; (iv) net claims on public
    nonfinancial corporations; and (v) claims on private sector.
    For the purpose of this SMP, net
    domestic assets of the CBI exclude other items net (OIN). OIN is the net value of nonfinancial
    assets, capital and reserve accounts, IMF account adjustments (differences between national
    record and IMF record), and provisions.
    7. The central government non-oil primary balance is defined as the difference between
    non-oil revenue and non-oil primary expenditure. Non-oil revenue is defined as total revenue
    and grants excluding oil-related receipts (exports of crude oil and refined products, and transfers
    from oil-related state-owned enterprises). Non-oil primary expenditure is defined as total
    expenditure, including off-budget spending approved by government decree, excluding
    (i) interest payments on domestic and external debt; and (ii) oil-related spending (including war
    reparations).
    8. Social spending will be defined as the sum of expenditure on the social safety net, the
    public distribution system, wheat and rice subsidies, assistance subsidies to Iraqi refugees and the internally displaced, farmer subsidies, and wage expenditure of the health, environment and the higher and lower education ministries. The annual targets will be set at 90 percent of the
    expenditure in the budget. Expenditure will be measured at the time the Ministry of Finance
    transfers the money to the spending units.
    9. A continuous ceiling applies to the non-accumulation of new external payments arrears
    on rescheduled debt and new external debt contracted or guaranteed by the central government and/or by the CBI. External payment arrears consist of external debt service obligations (principal and interest) falling due after November 10, 2015 and that have not been paid within the grace period specified in the contractual agreements. The SMP monitoring ceilings of the external payments arrears are reported in Table 1.
    10. As set out in Executive Board Decision 15688-(14/107), paragraph 8, adopted December
    5, 2014) the term “debt” will be understood to mean a current, i.e., not contingent, liability,
    IRAQ
    20 INTERNATIONAL MONETARY FUND
    created under a contractual arrangement through the provision of value in the form of assets
    (including currency) or services, and which requires the obligor to make one or more payments in the form of assets (including currency) or services, at some future point(s) in time; these payments will discharge the principal and/or interest liabilities incurred under the contract. Debts can take a number of forms, the primary ones being as follows:


  2. #12
    Supporter and Investor!
    Join Date
    Jan 2008
    Posts
    1,997
    Loans, i.e., advances of money to the obligor by the lender made on the basis of an
    undertaking that the obligor will repay the funds in the future (including deposits, bonds,
    debentures, commercial loans and buyers’ credits) and temporary exchanges of assets that
    are equivalent to fully collateralized loans under which the obligor is required to repay the
    funds, and usually pay interest, by repurchasing the collateral from the buyer in the future
    (such as repurchase agreements and official swap arrangements).
     Suppliers’ credits, i.e., contracts where the supplier permits the obligor to defer payments
    until sometime after the date on which the goods are delivered or services are provided.
     Leases, i.e., arrangements under which property is provided which the lessee has the right to use for one or more specified period(s) of time that are usually shorter than the total
    expected service life of the property, while the lessor retains the title to the property. For the
    purpose of the guideline, the debt is the present value (at the inception of the lease) of all
    lease payments expected to be made during the period of the agreement excluding those
    payments that cover the operation, repair or maintenance of the property.
     Arrears, penalties, and judicially awarded damages arising from the failure to make payment under a contractual obligation within the contractual grace period are debt. Failure to make payment on an obligation that is not considered debt under this definition (e.g., payment on delivery) will not give rise to debt.
    11. For program purposes, external debt is defined based on the residency of the creditor.
    C. ADJUSTORS
    12. The floor on the central government non-oil primary balance in December 2015 will be
    adjusted downwards/upwards in case domestic arrears incurred in 2015 exceed/are less than
    ID 5 trillion of domestic arrears identified at the end of April 2015. The size of the adjuster will be
    equal to the difference between the value of domestic arrears and ID 5 trillion.
    13. The ceiling on the stock of net domestic assets (NDA) of the CBI will be adjusted upwards
    in case foreign financing is lower than programmed to a limit of ID 1.4 trillion in December 2015, zero in March and June 2016, ID 1.1 trillion September 2016, and 3.9 trillion in December 16. The size of the adjuster will be equal to the difference between the observed and programmed value of foreign financing and capped at the values enumerated in the previous sentence.
    IRAQ
    INTERNATIONAL MONETARY FUND 21
    14. The ceiling on the stock of net domestic assets (NDA) of the CBI will be adjusted
    downward in case foreign financing is higher than programmed. The size of the adjustment will
    be equal to the difference between the observed and programmed value of foreign financing.
    15. The floor on the stock of gross international reserves of the CBI will be adjusted
    downwards in case foreign financing is lower than programmed to a limit of $1.2 billion in
    December 2015 zero in March and June 2016, $0.9 billion in September 2016, and $3.3 billion in
    December 16.
    16. The floor on the stock of gross international reserves of the CBI will be adjusted upward
    in case foreign financing is higher than programmed. The size of the adjustment will be equal to the difference between the observed and programmed value of foreign financing.
    D. Provision of Information to the Fund Staff
    Data
    17. To monitor developments under the SMP, the authorities agree to provide the Fund, the
    information specified below after the approval of the SMP. The economic adjustment program of
    the Iraqi authorities is designed with quarterly quantitative targets and the actual outcome
    should be provided within six weeks following the end of the quarter. However, in order to
    facilitate regular monitoring, many indicators should be provided with higher frequencies, as
    indicated below.
    Key Financial Indicators
     Weekly preliminary monetary and financial aggregates as in “Key Financial Indicators”
    including exchange rate data (daily), currency in circulation, transferable and other deposits
    held at commercial banks, balances on government accounts at the CBI, interest rates on
    loans and on deposits at commercial banks, holdings of government securities, and credit
    outstanding to the public and private sectors. The data, excluding exchange rates, should be
    reported no longer than three weeks after the end of the reference period.

    Real Sector
     Oil GDP and indicators of oil activity on crude oil and gas production and use, production
    and sales (export and domestic) of refined petroleum products, including heavy residuals,
    and associated prices (monthly). These data should be reported no longer than six weeks
    after the end of the reference quarter.
     Non-oil GDP and indicators of non-oil real economic activity (quarterly), including production of cement, fertilizers, and electricity, reported no longer than six weeks after the end of the reference quarter.
     Total GDP, reported no longer than six weeks after the end of the reference quarter.
    IRAQ
    22 INTERNATIONAL MONETARY FUND
     Consumer price index (CPI), including indices for main cities (monthly). These should be
    reported no longer than a month after the end of the relevant month.
    Monetary and Financial Sector
     CBI gross foreign exchange reserves (weekly) and balances of the foreign exchange account
    of the government (300/600). This should be reported no longer than 2 weeks after the end
    of the reference week.
     The monthly balance sheet of the CBI, with a month lag.
     The monthly consolidated balance sheet of the other depository corporations (commercial
    banks), with an eight-week lag.
     The assets and liabilities of the central government (ministry of finance and line ministries) in
    the banking sector with an eight-week lag.
     The depository corporations (monetary) survey of all commercial banks and the CBI
    (quarterly), with an eight-week lag.
     The latest balance sheet of the Trade Bank of Iraq as well as data on issued, implemented
    and outstanding Letters of Credit, with no more than a six-week lag.
     The latest balance sheet of the Rasheed and Rafidain Banks.
     Quarterly financial stability indicators of the banking system, distinguishing the state-owned
    banks and the private banks, with an eight-week lag.
    Fiscal Sector
     Detailed revenues, operating and capital expenditure, and financing items of consolidated
    fiscal and oil operations, and overall fiscal balance. These data should include:
    a) the execution of the Iraqi budget, comprising the incremental revenue from the impact
    of revenue (tax) measures stipulated in the 2015 Budget Law (sales taxes on mobile
    phone cards, internet usage, car sales, and on tobacco and alcohol, in addition to
    incremental receipts from the entry into force of the amended Customs Law for 2010),
    and savings realized via (a) any cuts in investment projects or financing for investments
    through public-private partnership schemes; (b) cuts in operating (current) expenditure,
    such as the enactment of compulsory or voluntary national savings schemes (including
    as a result of changes in legislation governing the wage ladder for public sector or civil
    service employees), and removal/streamlining of subsidies on electricity and gasoline or
    other products;
    b) transfers to and from the Kurdistan Regional Government;
    IRAQ
    INTERNATIONAL MONETARY FUND 23
    c) social spending as defined in 8 and total transfers (including in support of the social
    safety net—public distribution system—the internally displaced, and on refugees;
    d) operations and deposits of the oil-related state-owned enterprises;
    e) payments and/or arrears in payments to international oil companies;
    f) disbursements of external assistance and loans including issuance of Eurobonds and
    loans from the Trade Bank of Iraq (TBI);
    g) execution of letters of credit financed through the TBI or by other means;
    h) all operations of account 300/600 and its sub-accounts;
    i) amounts drawn from Iraq’s 2009 SDR allocation;
    j) other forms of multilateral and bilateral assistance and exceptional financing resources
    (such as issuance of domestic bonds, loans securitized by futures oil revenue, etc);
    k) balances of all government accounts held at the CBI and the commercial banks
    (including government and/or line ministry deposits);
    l) amounts related to all off-budget and on-budget advances; and
    m) outstanding stock of government securities (including treasury bills) held at/by
    commercial banks, the CBI, and pension funds. These data should be reported on a
    monthly basis and no later than six weeks after the end of the reference month.
    Balance of Payments
     Foreign trade statistics (imports, exports, re-exports) (quarterly). This should be reported no
    later than six weeks after the end of the reference quarter.
     Amount of total imports of petroleum products financed from the budget on a quarterly
    basis starting with the first quarter of 2015. These data should be reported no later than six
    weeks after the end of the reference quarter.

     Detailed data on disbursement of external assistance (both project and budget financing)
    from the U.S. and other donors, including by recipient sector; foreign debt amortization and
    interest payments made; and total outstanding domestic and external debt. These data
    should be reported on a monthly basis no more than six weeks after the end of the reference
    month.

     The amount and terms of concessional loans contracted and their grant element, on a
    quarterly basis, with no more than six weeks lag.


  3. #13
    Supporter and Investor!
    Join Date
    Jan 2008
    Posts
    1,997
    IRAQ
    24 INTERNATIONAL MONETARY FUND
     The balance sheet of the Trade Bank of Iraq (TBI) as well as data on issued, implemented and
    outstanding Letters of Credit, with no more than a six weeks lag.

    External Debt
     List of short, medium, and long-term government or government-guaranteed external loans contracted during each quarter, identifying for each loan: the creditor, the borrower (ultimate obligor), the amount and currency, the maturity and grace period, repayment terms, and
    interest rate (monthly).
     Details on new debt rescheduling and debt relief agreements with bilateral, multilateral, and
    commercial creditors, including new outstanding amount and currency, schedule of
    payments (principal and interest), terms of agreement, repayment terms, and interest rate
    arrangements (quarterly).

    Structural Reforms
    18. Structural benchmarks comprise a critical component of the SMP. In accordance with
    agreed benchmarks (Table 2 of the MEFP), the authorities will prepare and send to the IMF staff
    reports, with appropriate documentation, documenting completion.

    Other Information
    19. Other details on major economic and social measures taken by the government that are
    expected to have an impact on program sequencing (such as changes in legislation, regulations, or any other pertinent document) will be sent in a timely manner to IMF staff, for consultation or
    information.

  4. #14
    Supporter and Investor!
    Join Date
    Jan 2008
    Posts
    1,997
    IMF agrees to Iraqi economic program

    Archival image - the International Monetary Fund



    January 13, 2016 10:44
    Direct: agreed Christine Lagarde, Managing Director of the International Monetary Fund on a program for the management of informal agreements between the members and experts to follow up the Iraqi Fund economic program set by the government.
    IMF said in an official statement, that those agreements do not involve financial assistance or followed by approval of the IMF Executive Board.
    It was for this program reached last November, the International Monetary Fund, who pointed out that it allows the Iraqi authorities to establish a positive record of achievement, positioned to the possibility of obtaining financing arrangement from the Fund.
    Iraq and is facing several economic challenges of the most important organization Daash the sharp fall in oil prices, and aims to reduce the non-oil primary deficit $ 20 billion and 12% of the total gross domestic product of Iraq from 2013 to 2016.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •  
Powered byvBSocial.com and Block Facebook