Mutlaq warns of jeopardizing the independence of the central

[Stillw8n]

Mutlaq warns of jeopardizing the independence of the central bank and government linked

Deputy Prime Minister for Services Affairs Saleh al-Mutlaq of jeopardizing the independence of the central bank and link it to the government, in order to avoid the collapse of the Iraqi dinar and funds put at risk.

He said in a press statement: ‘that link the government and central bank intervention and powers of its affairs and fiscal policy, will lead to the collapse of the currency and weaken the Iraqi economy, in addition to exposing the central bank money at risk ‘.

He added: ‘The Iraqi government has issued two positions contradictory on the subject, the first in which it denied the Bank’s intention to link the second position while he was its decision to postpone the lifting of the zeroes, which is unlawful interference in the work of the independent Bank in its policy. ‘

He said that: ‘The government should leave the issue of lifting the zeros of the Iraqi currency to the Central Bank, consultation and coordination with him being the competent authority Her experience and constitutionally responsible for the Iraqi currency’, noting that this decision reflects the government’s control over central bank policy and its association with Undeclared them.

And al-Mutlaq: ‘that connect the central bank to hold the Iraqi government will have serious negative effects on monetary policy independent and will affect the strength of the Iraqi currency collapse and thus weaken the economic situation of the country ‘.

He noted that ‘Article / one hundred and three / of the Iraqi Constitution, specifically the second paragraph, states that’ the central bank held accountable by the House of Representatives for his work and his policy, he is responsible to manage approximately / 100 / billion dollars of imports, the government, banks and foreign exchange reserves of the country ‘.

He stressed: ‘Respect for the independence of the independent bodies in the country and especially the Central Bank, is part of a democratic new Chit. And that the central bank attempts to link the Iraqi government would send a negative message to international banks, particularly the International Monetary Fund and World Bank, which confirms the independence of the Iraqi Central Bank’s policy ‘.

The controversy was raised about the causes of decline in value of the dinar and the high value of the dollar in the last period, and carried some of the parties, the central bank responsible for fall of the Iraqi currency due to the fact that the central bank is preparing the Iraqi market, local, including needs of the dollar, which means that the issue of height of the dinar and the decline will depend on what posed of the dollar.

While the Iraqi Central Bank attributed the low exchange rate of the Iraqi dinar against the dollar Us in local markets, to the high demand for it greatly, saying in a statement that the bubble will rise gradually disappear.

However, economic analysts stressed that the main reason for the high demand for the dollar is the operations smuggled to Syria and Iran, which were subjected to international economic sanctions.

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