NEWS
Economic Commission expects the weakness of purchasing power in Iraq in 2012
Economic Commission expects the weakness of purchasing power in Iraq in 2012
Shafaq News/ The Parliamentary commission of economy and investment expected on Saturday, the weakness of purchasing power in the country in 2012, giving the reasons not to increase the salaries of employees, retirees and increase the operating budget more than the investment budget of 2012.
The Ministry of Finance has announced that, beginning this month, the budget for 2012 will not see any increase on the salaries of employees or retirees to intercept the International Monetary Fund on this matter.A member of the Committee of Economy and Investment A’ Amir Fayez in an interview with "Shafaq News" that "increase of the operating budget caused the prevention of increased salaries of employees and retirees, and also lower investment budget will stop providing jobs for the unemployed, which will lead to the weak purchasing power in 2012," explaining that " if the investing companies and investors do not enter to the country, the unemployment rate will increase within the community. "
The International Monetary Fund warned the Iraqi government if it increases the operating budget and threatened to eliminate its support for the budget if it does not reduce the operating budget next year, in case that it will have no commitment to the Fund’s comments and instructions.
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