Sarbast Ali-Erbil
The Ministry of Finance and Economy of the Region has decided to repay the debts to the capital, the citizens, the owners of the companies and the companies within three months, which have been paid before the financial crisis.
Prior to the region’s financial crisis, the government paid 740 billion dinars as loans to a group of investors, companies and citizens, but it has not yet been able to return the money.
The Ministry of Finance and Economy of the Kurdistan Region, in its letter No. (1326) issued by the agreement (February 17, 2019) and signed by the Minister of Finance and Economy, Rebaz Hamlan, the former Minister of Finance and Economy of the Kurdistan Region,(Shkoi Kurdistan) It has been six months since the repayment of the loans, but the decision has not been implemented and no arrangements have been made to repay the debts.This year, the Ministry of Finance and Economy has officially set a date for the repayment of its debts.
According to the decision, the borrowers will have to return the money to the government within three months, and the General Directorate of Commercial Banks has set up a “set of strict measures” with the Ministry of Finance.Terms of Use of the General Directorate of Commercial Banks:
-The repayment of the loans must be by bank weapons or in cash, provided that the purchase and sale of the bank weapons has not been made and the bank weapons of the regional government.
-The bank guns should be in the name of the debtors and the bank guns should be in the same province and not the weapons of the private banks.
-The repayment period of the loans is three months and the period will start on 10/2/2020 and 10/5/2020.
-After the expiration of the (three) month period, legal action will be taken against the persons and companies who have not repaid their debts by seizing the property they have pledged as collateral to the government to take out their debts.According to the decision of the Ministry of Finance and Economy, the owners and owners of companies and citizens who have borrowed from the government will have to repay their debts within three months, otherwise the government will return the debts to the debtor as the property is confiscated.
Regarding the repayment of loans, Shawan Zarrari, a member of the Kurdistan Parliament, stated: “Over the past few years, the KRG has been borrowing a number of loans from investors and investors in order to develop and develop the investment sector in the Kurdistan Region.” Therefore, the government has decided to repay all the debts owed by the capitalists and the owners of the companies, amounting to 4 billion dinars.
“In the near future, the government will set a date and give them a chance to settle their debts and return the money within the stipulated time.
Dr. Ahmad Mustafa, an economist and lecturer at the University of Kurdistan (Shkoi Kurdistan), stated:
Unfortunately, the regional government has been reluctant to repay the loan to companies and citizens, because in addition to repaying the loan, it will have to take advantage of the loan.
“The return on these loans will be very beneficial to the finance ministry,” he said.For example, you can pay a monthly stipend to the staff, or pay the teachers’ tuition fees to our members, and to the Chinese and researchers, whose monthly salaries will not be distributed on time. In addition to this, some projects can be implemented with this money. “
According to information from (Shkoi Kurdistan), on the recommendation of the Presidency of the Council of Ministers and the Ministry of Finance and Economy for this year, it wants “strict measures” to restore the status quo.
A source close to the region’s Ministry of Finance and Economy said: “On the recommendation of the Council of Ministers,The Ministry of Finance has tightened its grip on those who owe the government, so this year all the arrangements will be implemented and no one and no party will be reluctant to return the loan.
A source close to the ministry of finance, who did not want to be named, said: “The regional government wants to deal with its debts in a different way.”
However, in addition to the repayment of debts, the benefits must also be deducted from the debts due to the delays in the debts.
