INA - BAGHDAD
The Cabinet chaired on Tuesday, the 4th regular session of the Cabinet chaired by the Prime Minister Muhammed S. Al-Sudani chaired, discussing on general conditions, service and economic files.
During the session, they monitored the implementation of the government program across various areas as agenda topics were deliberated, and necessary decisions were made, according to a statement by the PM Media Office, received by the Iraqi News Agency - INA.
Within the framework of evaluating the performance of ministries in the field of combating and preventing corruption, the Prime Minister directed the following:
1- Ministries are instructed to promptly provide the necessary information for the fourth semester of the previous year. This is essential to finalize the comprehensive report for the year 2023, submit it to the Federal Board of Supreme Audit, conclude the annual evaluation results, address observations, process proposals, and adhere to all procedures in accordance with the law.
2- Ministries are directed to enhance their performance, address investigative cases, expedite the resolution of criminal cases linked to corruption, recover public funds, and prosecute individuals involved in corruption or under investigation. Recognizing the critical importance of anti-corruption initiatives across all sectors, it is essential to enforce accountability, impose legal penalties on wrongdoers, and foster a culture of integrity and transparency to elevate job performance. This is crucial for safeguarding government institutions and public funds.
For the oversight of health sector projects, the Cabinet has granted approval for exemption regarding the contract of the program for managing and operating modern hospitals. These hospitals, with a combined capacity of (492) beds, are located in the governorates of Babil, Najaf, Karbala, Basra, Dhi Qar, and Maysan according to the following:
1. Exemption from Cabinet Resolution (23684 of 2023) and opening an irrevocable letter of credit of (95%) of the contract value in dollars in favor of the service provider, after signing the contract and paying the remaining (5%) of the management fees in dinars in a bank account chosen by the provider.
2. Waving the work permit fees stipulated in the Law of Practicing the Profession for the Maintenance of Devices, Machines, and Equipment No. (18) of 1987
3. Imposing late fines specified in the offer presented by the nominated company for referral. These fines will be based on a percentage for each service, departing from the text outlined in the Government Contracts Implementation Instructions (2 of 2014).
4. Exemption from opening a branch of the company inside Iraq upon signing the contract, provided that the registration of the branch is completed in accordance with the system of branches of foreign companies (2 of 2017) and the last date for opening the branch is 1-March-2024, which is the date the company commenced work, otherwise the contract will be cancelled.
5. Granting an advance (10%) of the contract value in exchange for a letter of guarantee from a bank accredited to the Central Bank of Iraq, to be recovered from the two installments of the last two months of the contract, as an exception to the controls (instructions to bidders in the tender documents) and the controls for the mechanism for dealing with issued operational advances. From the Ministry of Planning stipulated in the instructions for implementing government contracts (2 of 2014).
6. Obligating the Ministry of Finance to provide financial allocations for the aforementioned program, provided that the contract period is two years starting from the date of signing the contract, renewable for one year, provided that the financial allocation is available.
In terms of following up on service projects, the Council of Ministers approved the following:
1. Increasing the reserve funding for the contract "Construction of the North Nasiriyah Bridge and its approaches/Phase Two," a component of the larger project "Construction of the North Nasiriyah Bridge and its approaches" in the investment budget tables of the Ministry of Construction, Housing, Municipalities, and Public Works/ Department of Roads and Bridges, will be increased to (23.1%) instead of the previous (10%). This adjustment is made to accommodate two additional charge orders: No. (5) concerning the difference in the USD exchange rate for uncompleted work, verified by the Federal Board of Supreme Audit, and No. (6) for additional work.
2. Increase the total cost of the project referred to in Paragraph (1) mentioned above to become (60,670,041,985) dinars, instead of (56,826,000,000) dinars, with an increase rate of (6.76%) over the modified cost.
3. Increasing the reserve funding for the project (construction of the Alaskan overpass intersection/Dhi Qar), which is included in the investment budget of the Ministry of Construction and Housing and Municipalities and Public Works/Directorate of General Municipalities, to become (19.878%) instead of (10%).
4. Increase the total cost of the project to become (65,581,803,419) dinars instead of (60,309,000,000) dinars, with an increase of (8.742%) over the revised cost.
5. The Ministry of Construction, Housing, Municipalities and Public Works bears responsibility for the accuracy of the statements and pricing items included in Change Order No. (4) for the project.
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