Iraq discusses development funds, water and climate projects, banking reforms with World Bank, IMF

Shafaq News/ The Iraqi Ministry of Finance on Saturday announced that it held discussions with the World Bank and the International Monetary Fund (IMF) on the establishment of development funds, water and climate projects, and banking sector reforms in the country.

According to an official readout by the ministry, Finance Minister Taif Sami led a series of talks on the sidelines of the IMF and World Bank Spring Meetings, taking place in Washington from April 10 to 16, with several international financial and monetary institutions.

Minister Sami convened a meeting with Mansour al-Shimali, the executive director of the World Bank, during which they deliberated on the economic and financial visions that the Iraqi government is striving to achieve in line with sustainable development priorities, water and climate projects, environmental, transportation, and social protection initiatives, in addition to bolstering the banking sector's capabilities, implementing automation, supporting small projects, and enhancing the private sector through the establishment of development funds.

Sami highlighted the government's continued efforts to implement national and economic reforms, adopting a roadmap to achieve the objectives of sustainable development and the gradual approach to financing development by maximizing budget revenues.

"The World Bank expressed its readiness to contribute to supporting the government's program," the readout said.

The Finance Minister also expressed Iraq's desire to enhance cooperation with the World Bank within the framework of strategic partnerships it has with various reputable international financial organizations and institutions.

In a separate meeting with Jihad Azour, the director of the IMF's Middle East Department, Sami shed light on Iraq's relation with the IMF and its vision for supporting the new government's financial policies that contribute to the stability of the Iraqi economy.

The ministry stated that the meeting addressed the most prominent economic challenges and government measures taken to confront them, ensuring the protection of impoverished and vulnerable segments of society and providing support to them, as well as creating conditions for a partnership program between Iraq and the IMF that contributes to promoting comprehensive development and economic reform requirements in Iraq.

The IMF representatives demonstrated their willingness to provide all forms of support to accomplish the government's program tasks, such as capacity building, workforce training, and technical contributions that suit the establishment of productive sectors that contribute to raising GDP rates and achieving balance in the Iraqi economy.

The Finance Minister affirmed during her meeting with the IMF that "Iraq is on the verge of legislating the federal budget, in which, for the first time, funds will be allocated for development and poverty alleviation."

She also highlighted Iraq's pursuit to benefit from the financial institution's expertise in supporting these funds, as well as incorporating sovereign guarantees in the budget to stimulate the private sector toward industrial and agricultural projects specifically.