September 19, 2011
Economic reports: The Governor of Central Bank:
This year's budget focused on increasing the volume of investment in Iraq
Iraqi Media Network
Said Dr. Shabibi Central Bank Governor that the budget for this year's investment budget because it focused on the size of the investment Ziada.
Shabibi said that the Central Bank's role is to address the imbalance that would result from the development process that will come from changes in economic structure are basic.
He pointed out that the Central Bank is to achieve development in a stable monetary environment through attention to all means and policies to achieve economic stability and moderation in the environment and the normal rate of inflation moderate.
He continued that our budget relating to the conservation of its resources, and is done by fighting inflation.
He stressed that the bank had a number of measures including raising the dinar exchange rate.
Indicating that the effect of this action on the budget through the influence on the purchasing power of the government, will increase by addressing inflation.
Shabibi said: that this policy will increase the confidence in dinars, which will pull some of the money to the banking sector and the rationalization of government spending because of its impact on inflation.
He indicated that this procedure leads to a reduction in import prices of goods such as private sector imports and imports the government's development that comes from the transfer of the Iraqi dinar to the dollar.
He added that the policy at a time weakens the ability of the government to buy the dinar, it strengthens Aldenarabraghi which is owned by the government.
He pointed out that the bank wants and means to affect the economic and monetary policy by making the dinar valuable and powerful.