Changing the oil price in the budget to anticipate freeze production and will increase the deficit

11-09-2016 05:00 PM

Parliamentary Finance Committee suggested, currently the Ministry of Finance to change the price of a barrel of oil in the general financial state budget for 2017 in agreement with the International Monetary Fund, to anticipate a possible deal for the
members of the Organization of Petroleum Exporting Countries [OPEC] at the end of September of this.

The Ministry of Finance has announced, on Saturday , Iraq 's agreement and the international Monetary Fund at the expense of the price of a barrel of oil at $ 43 instead of the price of 35 proposed in the draft 2017 budget

, said committee rapporteur Ahmed al - Haj, said that 'change the price of a barrel of oil in the budget of 2017, came aproactive step by the government to the efforts of the Organization of UPC ] to freeze production, but we see that the price removed is the best current circumstance and if we get a surplus Baward State is possible that there will be a supplementary budget and we want to do so.

and between, the 'raise the price of a barrel of oil to $ 43 would increase the budget deficit, being optimistic, but the previous price of 35 dollars is more conservative, and as long as oil is the main supplier to balance Iraq, giving the price of my optimism does not serve the general budget.

' he pointed Haj to, that' the Finance Committee discussed this issue and we raised the reserve price as long as the oil price is stable and the majority of producing countries is currently put the price [ Conservative] 'probable' that it is likely high oil prices if he got an agreement of the members of OPEC, but otherwise, prices will fall , so it is not guaranteed.

' noted' we must not forget that the price of oil is not , however , producing countries, but , however , states his conversion to other conflicts' expected 'approve the 2017 budget before the end of this year.

" the regular consultations between Iraq and the international Monetary Fund , which took place in Amman , Jordan, concluded on Saturday and the special evening to review the implementation of the Stand -by program, and noted the Ministry of Finance to the talks reviewed the draft federal budget for 2017 Act It was agreed at the cost price of a barrel of oil at $ 43 instead of the price of the proposed 35 in the draft budget and vCard export crude oil , 3.6 million barrels per day.

It is scheduled to hold an informal meeting in Algeria on the sidelines of the international energy Forum , which will be held between 26 and 28 September and which is expected to seek to revive the global agreement to stabilize production levels.