Iraq to coordinate with USA to reform the economic system

The Iraqi government seeks to revive the production in the country through reforming the economic and trading system to turn the Iraqi economy from a socialist to a liberal one that follows the global market," according to the spokesman of the Iraqi government Ali al-Dabbagh.

"The economic system in the country is feeble and needs many reforms, particularly with regard to economic law, which regulates the circulation of funds between companies, banks, and citizens," he said.

The former parliament failed to find a clear mechanism to organize the Iraqi economy and make money trading in a flexible manner in the markets, in his opinion.

"Iraq needs the financial expertise of the United States to reform its economic system that suffers a lot of insecurity, and one of the main reasons for the delayed evolution of the economic system is the legislation and the old laws which do not fit with the evolution of the financial situation in the country."

The General Secretariat of the Cabinet presidency Ali Al-Allaq underlined on Sunday the necessity of restructuring the Iraqi economy in accordance to the requirements of the transition from a general central economy to the private market to ensure the expansion of the productive base of the Iraqi economy, by adopting the free market mechanism and organize the price system, foreign and interior trade.

The country's reserves of foreign currency reached at the end of 2009 US$ 42 billion, compared to 27 billion dollars in 2008, after the worldwide rise of oil prices.