On Sunday, the financial adviser to the Iraqi Prime Minister, Muhammad Saleh issued a statement that the IMF has discovered 3 elements to empower the Iraqi federal budget 2018, and most of Iraqi debts are internal. The IMF (International Monetary Fund) is looking the financial fortification of these 3 elements in the Iraqi budget 2018. Saleh said in a press interview that the upcoming budget has a significant amount of reduction in the unnecessary expenses and maximize non-oil revenues in order to decrease the accumulation of debt. Saleh added that these 3 elements are more difficult to achieve and therefore must be the budget installed levels of revenue and expenditure on these 3 principles. He pointed out that sometimes take the budget adjustment to improve oil prices in light of the work of Shi mitigation is not true; it is due to there is a deficit in the structural budget.
The dominance of oil resources and debt on entire expenses is expected if additional revenue in the budget goes to repay debts as a load and it gives space for future borrowing for issues for betterment. Saleh pointed out that borrowing has become a circumstance of corruption and its purpose in defeating a supporter. He added that we need borrowing for development purposes and therefore should provide space in the financial space. It is being borrowed according to the international financial ratios. He also confirmed that it will not exceed from 60% of gross domestic product. The debt should be stamped out as much as possible and at the same time an efficient & reliable borrowing is essential for specific important projects. These important projects promote employment and compensation of value added and raise rates of growth rates in GDP. He confirmed that most of the debts of Iraq are internal.