Bachir Messaitfa: “Strategic Partnership between Private and Public Sectors to face Oil Prices Collapse”
الشروق أونلاين
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Bachir Messaitfa, Former State Secretary to the Prime Minister, in charge of Prospective and Statistics. Photo: archive
Former State Secretary to the Prime Minister, in charge of Prospective and Statistics, and Economic Expert, Bachir Messaitfa, presented proposals to confront the collapse of oil prices.
“Time has come to return to smart solutions that are based on strategic planning, prospective and knowledge, including the mechanism of partnership between the public and private sectors, in a manner that allowed South Korea to realize major railway projects, between Seoul and Busan in the south, and allowed the creation of a transport company that contributed to its prosperity”, Messaitfa said.
In his proposals, Messaitfa added that, the first consequences of oil prices’ decline, will be on the supplementary budget 2014 and the regular budget 2015, and in the first half of the next five-year plan, because of the new financial constraints on each of revenue collection and oil taxation.
“Financial charges on wages represent 37% of the government spending, as supporting prices and wages represents $40 billion”.
“Solidarity and social policy does not allow the government, by a large margin, to use reserve exchange and private funds like the fund of adjusting income, for the purpose of financing the next five-year plan (2015 2019 ).”
“Partnership mechanism between the public and private sectors if it will succeed, will help the government avoid a real crisis in the financing of development plan, and provide necessary capitals to raise growth from 2.9% to 7% in the end of the five-year plan 2019.”
“Solutions are represented in controlling the market to ease the tax burdens on the trade sector, to integrate the parallel market in the formal economy, and modernize the trade sector through monitoring and controlling prices, training and liberalization of investment from the bureaucratic obstacle, and encouraging local production instead of import. In addition to launching a vigilance system strategy in the trade sector, and providing them with three important technical devices which are: Data base for the evolution of prices, Data analysis and central and local vigilance cells, which function is proposing the appropriate intervention tools by government, to ensure market balance and avoid volatility in markets.
