IMF: Iraq will be a prime contributor to the processing of the international oil market and we expect the growth rate of up to 9%

Posted: July 25, 2013 in Iraqi Dinar/Politics
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International Monetary Fund (IMF) expects Iraq to be a prime contributor to global oil-friendly

Editor: BK, BS 24/07/2013, 17:44

Said the International Monetary Fund, said on Wednesday that Iraq has become one of the leading countries oil production, as ranked second largest oil producer in OPEC and the third largest global exporter and fifth at the level of reserves estimated at 143 billion barrels, while expected to continue to expand oil production Iraqi the medium term to be key contributors to the oil-processing of the international market, despite the suffering of the challenges, the country is facing major financial challenges after three decades of siege and war, as you need to convert its oil wealth into assets based upon the processes of reconstruction and development continuously.

The report in the field of development achieved the oil sector, that “Iraq has become over the past decade and one of the leading countries oil production in the world,” noting that Iraq “boasts the equivalent of 143 billion barrels of oil, the reserves of the installer is the fifth largest reserves in the the world after Saudi Arabia and Venezuela, Canada and Iran. ”

According to the report, that with “the arrival of Iraq’s production per day to 2.95 million barrels in 2012 the past, it contributes to coverage of more than three percent of the processing of international oil,” noting that “Iraq is second largest oil producer in the Organization of Petroleum Exporting Countries OPEC OPEC, and the third-largest oil exporter in the world. ”

The IMF said in its report, said that “Iraq’s oil resources have been strengthened since the 2011 arrival of the price of a barrel to $ 100,” adding, “But Iraq is facing at the same time Geo political situation is stable and down the spare processing power.”

The International Monetary Fund forecast, “continued expansion of production of Iraqi oil in the medium term, which would make the country’s main contributors processing of the international market in oil,” returned to “the Asian region is the key to oil exports in Iraq, where the proportion of exports to the continent of bile from the 24 percent in 2005 to 53 percent in the past year 2011. ”

The Fund, that “the infrastructure for export of Iraqi oil suffer from foot and that oil production in Iraq is facing challenges such as the need for facilities to pump water during the production process and the lack of equipment electrical considered key factors in the process of oil production,” and felt that “the Iraqi government is now focusing on building projects and infrastructure development for export facilities in the south and the north and west, and the establishment of storage tanks and pumping stations floating in Zubayr and Faw, which will hopefully be completed in the year 2016 and increase export capacity to five million barrels per day. ”

The report also states that “instability in Syria hampered by Iraq’s plans to extend a new tube to Syria card 2.25 million barrels per day,” he continued, “but part of the pipeline will be created through the modern card and one million barrels per day will be extended through Jordan to the port of Aqaba” .

Confirmed the fund in his report, that “bureaucratic dull that deal by the government with the oil companies is one of the other challenges that affect the process of the development of the oil sector, and delay the implementation of the projects,” he continued as the “lack of political stability and security in the country over these problems reflected its impact on Export and production rates. ”

In the axis of his report, addressing the IMF report, tools of fiscal policy for Iraq, stressing that “Iraq is facing the challenges of fiscal policy great after 30 years of sanctions and wars caused by the presence of the needs of a very large country on the social and infrastructure development.”

He believed the Fund, that “Iraq needs to convert its oil wealth into assets based on the processes of reconstruction and development continuously,” pointing out that “the Iraqi government is now working to pour oil resources in the economy of procedure, as it receives 100 percent of the resources of oil exports, and in turn decide how much spared abroad or transformation into the domestic economy through government expenditure which constitutes a significant impact on the operations of the major development in the non-oil sectors, stability and equality. ”

The Fund, that “Iraq will depend on fiscal policy on a hypothetical scenario of income on the grounds that oil production will increase gradually rate of 400 to 500 thousand barrels per year to up oil production to 5.7 million barrels per day by 2018,” likely to “grow non-oil sector increased by six percent to a rate of 51 percent of GDP in 2018, where the overall growth rate will remain conservative at the level of eight percent over the medium term. ”
Point the International Monetary Fund in its report, that “the economic growth of Iraq has witnessed an acceleration from 5.9 percent in 2010 to more than 8.4 percent in the year 2012 the past, when the average oil production of
three million barrels per day, the highest level has been achieved during the last thirty years” .

He cited the fund in his report, that “the experts expect to increase growth in Iraq in the year 2013 the current nine percent with increasing oil production to about 3.3 million barrels per day, and the recovery of activity in the non-oil sectors (government services, trade, real estate, construction and transportation.) The report also noted decline in the inflation rate of six percent at the end of 2011 to 3.6 Balima past the end of 2012, but is expected to increase slightly in the current year 2013. ”

The Deputy Prime Minister for Energy Affairs Hussain al-Shahristani, announced (12 June 2013), the launch of the National Strategic Plan Integrated Energy (2013-2030), indicating that it will provide to Iraq six trillion dollars and ten million jobs, and they include construction of ports of export to raise capacity export to the country next year 2014 to six million barrels per day.

It is noteworthy that the IMF is a specialized agency of the system of Bretton Woods of the United Nations, was established by an international treaty in 1945 to work on enhancing the safety of the global economy, and is the Fund’s headquarters in Washington DC, and managed by its members who include all the countries of the world about their number of 186 countries .


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