STUDY AND ANALYZE THE REALITY OF THE DEFICIT IN THE PUBLIC BUDGET OF IRAQ; THE SOLUTIONS & MEASURES FOR FINANCING

Abstract

The concept of deficit in the public budget has become a chronic economic phenomenon that most countries of the world suffer, whether developed or developing, and which suffer from exceeding public expenditures to be more than public revenues. As this economic problem has direct effects on the national economy, and for this reason and others, increased interest in reducing the role of government spending, in addition to other apparent and complex reasons, part of which relates to public expenditures and another part to public revenues. It is evident that the public budget deficit in the oil countries in general, including Iraq, is related to the quantity of oil production and its international prices in addition to its relationship to spending and its structure, and the inability of successive governments until today to form financial buffers of crises from surpluses achieved in periods of oil price boom. Therefore, the necessity of working to gradually eliminate the rentier feature that remained prevalent in the Iraqi economy and the public budget after 2003 and the worsening deficit in it. Many visions and policies have emerged to address these imbalances in the public budget deficit and provide sources to finance this deficit, including rationalization of public spending and resource development through the formulation of a conscious policy to ensure diversification of national income sources that contribute to reducing dependence on oil revenues, in addition to adopting modern budgets to accurately establish the necessary estimates for government sector units for approval