MarkZ Disclaimer: Please consider everything on this call as my opinion. People who take notes do not catch everything and its best to watch the video so that you get everything in context. Be sure to consult a professional for any financial decisions
MZ: This podcast is pre-recorded so I can pack for my trip tomorrow.
MZ: I have had some whales reach out to tell me they have a potential for weekend travels. A number of sources believe it’s this weekend and others think between the 5th and 12th of Oct.
MZ: Just stay calm and know things are quickly moving
MZ: Iraq usually enjoys its independence day on Oct 3rd. ….and this would be a great day for announcements. They are looking for announcements of their independence from the US.
MZ: From Iraq “ Economist : Joining BRICS is one of the solutions to diversify sources of hard currency” They literally quote one of the reasons they need to is to have more liquid foreign currency to buy goods from neighboring countries. And they discuss how they were hurt by US sanctions ….and how important it is to get away from the US and have options.
MZ: I really loved seeing this.
Mark talks about a few more economic articles at the end…….
MZ: I know this is a short one….but, you guys have a great evening….I plan on doing a podcast at some point tomorrow ….I will send out messages on X, and telegram and truth …my guess is it will be between 3-5 est.
“THE INFORMATION IN THIS PODCAST IS FOR GENERAL & EDUCATIONAL PURPOSES ONLY. NOT INTENDED TO PROVIDE ANY PROFESSIONAL & LEGAL ADVICE.” PLEASE CONSIDER EVERYTHING DISCUSSED IS IN MARKZ’S OPINION ONLY
SATURDAYS GO TO: Odysee at: https://odysee.com/@theoriginalmarkz:e OR THE RUMBLE CHANNEL: https://rumble.com/user/theoriginalmarkz
Note from PDK: Please listen to the replay for all the details and entire stream….I do not transcribe political opinions, divisive social commentary,medical opinions or many guests on this stream……just RV/currency related topics.
GUYS YOU CAN FIND ALOT OF INFO AT MARK'S WEBSITE: GO TO: https://theoriginalmarkz.com/home
Al-Sudani Chairs A Special Meeting To Finance Ministries’ Projects
Political | 09/28/2023 Mawazine News – Baghdad Prime Minister Muhammad Shiaa Al-Sudani confirmed today, Thursday, that the stability of the country depends on completing projects, providing services, and combating corruption.
The Prime Minister’s Media Office said in a statement received by Mawazine News, “Today, Prime Minister Muhammad Shiaa Al-Sudani chaired a special meeting to follow up on the implementation of government program priority projects and their financing in various sectors.”
The statement added, “The Prime Minister discussed, in the meeting attended by the Minister of Finance, a number of deputy ministries, the head of the Board of Advisors, and a number of advisors, a group of topics, the most important of which is increasing coverage for the beneficiaries of the Social Protection Authority and the full-time employee, and health sector projects in supporting specialized centers for heart disease.”
And cancer diseases, increasing the coverage rate for purchasing medicines in the governorates, infrastructure projects in the Ministry of Housing and Reconstruction, and maintenance and transportation projects in the electricity sector, in preparation for next summer, in addition to supporting modern irrigation techniques in the agricultural sector.”
The Prime Minister stressed, “The need to spend financial allocations for these projects, and other investment projects, with a new mechanism that accelerates the completion of the projects, and directed the Ministry of Health to focus on rehabilitating hospitals in Nineveh Governorate, in order to raise the level of health services provided to the people of the governorate.”
Al-Sudani stated, “The priorities of the government program must be reflected in the disbursement of budget allocations, warning that the stability of the country depends on the completion of projects, the provision of services, and the fight against corruption.” https://www.mawazin.net/Details.aspx?jimare=235650
Allawi's remarks on Saddam Hussein spark controversy
Shafaq News / Former Iraqi Prime Minister Ayad Allawi's recent remarks concerning the late Iraqi dictator Saddam Hussein have ignited a flurry of discussions among social media enthusiasts and political observers alike. In an exclusive interview with "Al-Sharq Al-Awsat" newspaper, Allawi provided unprecedented insights into the enigmatic persona of Saddam Hussein.
In a candid expression of his perspective, Allawi stated, "Saddam had no materialistic pursuits; wealth was never his ambition. Instead, he relentlessly pursued power, influence, and dominance. That was Saddam."
Further emphasizing his point, Allawi asserted, "Saddam never sought wealth or ill-gotten gains. He was remarkably austere. From the moment I knew him until I left Iraq, our relationship remained strong." Allawi also underlined that Saddam "led a resistance team against the American occupation."
Allawi went on to attest that Saddam Hussein passed away in a state of financial destitution, reiterating, "He detested wealth." He revealed that the authorities conducted exhaustive investigations after the fall of Saddam's regime, meticulously scouring for any assets or properties in his name. The conclusion was unequivocal: there were no assets, no funds, and no properties registered under Saddam Hussein's name. Everything was duly documented under the Iraqi government, the Ministry of Foreign Affairs, and the Revolutionary Command Council.
The interviewer, seemingly incredulous, pressed Allawi, asking, "Did you not uncover any funds at all?" To which Allawi responded firmly, "Absolutely not. Even his private jet, which he used for his travels, was registered under a company owned by Iraqi intelligence." He further emphasized, "Even the real estate holdings yielded no trace of ownership in his name."
Allawi's revelations have triggered a resurgence of interest across various social media platforms.
I believe on the 28th Iraq is going be in a position to do financial international transfers without any restrictions. Oh, boy! Wouldn't that be great? I believe it's a 10 day period...28th to 8th of next month...I believe in these 10 days we're also going to see the HCL. And I believe without a doubt, the reason why we haven't added the HCL and everything else is because we don't have a new international exchange rate...It is fantastic. These 10 days have great potential for may things to be paid.
Sudani's mission at the UN is completed. Is his mission to the US Treasury completed? Yes. Who's next? The citizens on October 1st.
Article: "Al-Sudani directs the suspension of official working hours on October 3" IMPORTANT DATES BETWEEN THE 28TH AND THE 8TH... INDEPENDENCE DAY HAS NO SANCTIONS IN IT!
The WTO is going to have a meeting that will announce to the world the introduction of Iraq into the WTO. Does the WTO require an international exchange rate?No. So we're not going to look for that here...They are going to do this on the 4th of next month...
An Oil and Gas Revolution: Iraq’s New Legislation and its Implications, 27 SEPT
After over a decade of lengthy discussions and multiple delays, Iraq is on the brink of executing an oil and gas law that could grant international corporations a piece of the country’s oil production. This significant move is expected to materialize after the municipal elections in December, marking a potential turning point for Iraq’s oil and gas sector.
Underlying Issues and Controversies
However, the road towards this monumental change is not without its bumps. Unresolved issues persist between the federal government in Baghdad and the Kurdistan Regional Government (KRG) in Erbil. A crucial point of disagreement is the proposed leadership for the planned federal oil and gas council. The proposal suggests the Oil Minister of Iraq should chair this council, but the Kurdistan region insists that its own Oil Minister should be part of the council’s leadership.
The new law proposes an equitable distribution of profits from oil exports among Iraq’s governorates, based on their gross domestic product (GDP). This approach is designed to ensure a fair and equal distribution of the country’s oil wealth across its various regions. Moreover, this law would empower each governorate to independently grant oil concessions and sign contracts for exploration and production.
National Benefits and International Implications
With this legislation, Iraq hopes to optimize its oil resources to attract foreign investments and stimulate its oil and gas sector. The move signifies a major policy shift, potentially opening up the country’s vast oil reserves to international companies after years of state control.
Despite the promising prospects, the law is expected to face resistance from various quarters. Opposition to the law may come from those who perceive it as a threat to national sovereignty or fear that it could exacerbate regional disparities. Nonetheless, the potential benefits of this law – both for Iraq and for international corporations – make it a development to watch in the coming months.
Historic Railway Link: A New Chapter in Iraq-Iran Trade and Connectivity
A New Era of Detente
As the Middle East continues to evolve and change, a significant development in the transportation and trade sector is underway. Iraq and Iran, two neighboring nations with shared geographical borders and cultural, religious, and historical ties, are preparing to establish a historic railway link. This project is seen as a testament to the strengthening bilateral relations between the two nations and heralds a new era of detente. It is a strategic move designed to promote regional connectivity, stimulate economic growth, and foster mutual cooperation in various sectors.
According to an Iraqi transport advisor, the railway link will be operational within a period of 18 months. This announcement signifies an important milestone in the ongoing dialogue and cooperation between Iraq and Iran. The railway link is expected to open new avenues for trade, tourism, and cultural exchanges, transforming the economic landscapes of both countries. Moreover, the project is expected to cost around US$150 million, making it a significant investment in the region’s future.
Geopolitical Implications and Economic Dynamics
The railway link could also have significant geopolitical implications, potentially reshaping the economic dynamics in the Middle East. It may serve as a strategic trade route, providing both countries with an efficient and cost-effective means of transporting goods and services across their borders. This would not only facilitate trade but could also attract foreign investments, thereby contributing to economic development and stability in the region.
Linking Iraq to China’s Belt and Road Initiative
Beyond just enhancing Iraq-Iran relations, the railway link will also connect Iraq to China’s Belt and Road Initiative. This connection will vastly improve communications in the wider region and bring Iran closer to Syria, thereby establishing a channel between these countries. The link will also enable the transit of various commodities such as consumer goods, construction materials, and minerals from Tehran to Shalamcheh, then to Basra, and finally to Qaem Abu Kamal on the border with Syria.
Despite the many potential benefits, the project has raised some sensitivities. Concerns have been voiced about the potential for the railway to enhance Iranian influence in Iraq and Syria. Additionally, there are worries about the possible marginalization of the port of Faw in Iraq. However, the volume of trade anticipated makes it unlikely that the port of Faw will be marginalized.
Conclusion: A Promising Development
In conclusion, the upcoming railway link between Iraq and Iran is a significant development that holds much promise for the future of trade and economic cooperation in the Middle East. The project, which is expected to be completed within 18 months, is seen as a strategic move that could potentially transform the economic landscapes of both countries and reshape the economic dynamics in the region. It’s a promising development that could redefine the region’s future and establish Iraq and Iran as key players in the international trade and transportation sector.
Article quote: "All state contracts inside Iraq shall be in Iraq dinars." I don't know what else to say.
Alaq the central bank governor he's posting some things on the CBI website that's pretty powerful.. .24 pages of instructions talking about international banking...He also put a piece out specifically talking about a new system of external transfers...This particular piece is phenomenal because he's working with the Central Bank of Iraq and the United States Federal Bank...They're talking about different currencies...UAE dirham, Turkish lira, European euro, Indian rupee...He's been knocking it out of the park.
Article: "Alaq pointed out the new system of external transfer and the sale of dollars provides protection from risk to all parties to operations and enjoys international acceptance." There you go. I think that's kind of almost a drop the mic situation...
Early Elections and Reform Plans: An Insight into Iraq’s Future, 27 SEPT
According to a recent press interaction with Iraqi Prime Minister Mohammed S. Al-Sudani, the prospects of early elections in Iraq hinge on the Council of Representatives’ decision to dissolve itself. The Prime Minister further assured that the government is ready for such elections. During the interaction, Al-Sudani discussed a myriad of issues ranging from political and economic reforms to social welfare initiatives.
He pointed out that the country has observed a shift in political forces emphasizing more on service delivery and economic development rather than sectarianism and identity politics. This change is evident in the over 300 registered parties contesting in the Provincial Council Elections, demonstrating a rise in political stability.
Social Protection and Economic Reforms
Al-Sudani shed light on the new Social Protection Law geared towards addressing multidimensional poverty. The law aims to assign $4 billion in 2023, with particular measures such as cash subsidies for students and children from low-income families, and an increase in ration card packages for those within the social protection network. The Prime Minister believes that these strategies, combined with a three-year budget plan for poverty, could drastically reduce poverty rates in Iraq within five years.
Furthermore, the Prime Minister affirmed the government’s pledge to support the private sector and battle corruption through systematic policies. These policies include reclaiming stolen public money, pursuing corruption suspects, and implementing tax, customs, and electronic payment reforms.
The Prime Minister also discussed the country’s currency and banking sector, highlighting the connection between the US dollar price and the crucial banking and financial sector reforms being carried out by the government. He indicated that exchange rate fluctuations represent a struggle between legitimate transactions and groups reliant on US dollar trading.
Regional Dialogue and Human Rights
In the regional context, Al-Sudani emphasized Iraq’s leading role in promoting regional dialogue and its active involvement in the Development Road Project. He expressed concern about the stability of Syria, suggesting that any instability in Syria could risk a resurgence of ISIS and pose a threat to regional security.
On human rights, the Prime Minister reassured that no individual is detained without a judicial order, and that stringent legal procedures are observed. He also stressed the provision of retrials for all criminals, including those sentenced to death, under Iraq’s amnesty laws.
Finally, the Prime Minister revealed that the Baghdad Conference is poised to expand due to requests from the United Kingdom, Germany, Spain, and Italy to attend and participate. He also mentioned the government’s commitment to maintaining a strong bilateral relationship with the United States for security cooperation.
Note From PDK: This podcast has about 5 minutes of RV related news….That is all I transcribed today…..The rest of the call is not specifically RV related.
MarkZ Update- Some highlights by PDK-Not verbatim
MarkZ Disclaimer: Please consider everything on this call as my opinion. People who take notes do not catch everything and its best to watch the video so that you get everything in context. Be sure to consult a professional for any financial decisions
Member: Good morning, everyone….. lots of excitement in the air
MZ: There is a lot of expectation for announcements sometime today
MZ: Fairly quiet overnight. We have had some whales –in states without Wells Fargo banks –get contacted by out of state WF ‘s saying that they are prepared for them. They are going to be mad at me for using the WF name…but it’s happening..
MZ: So we are having a lot of scrambling at the banker level now who are chasing whales to make sure they get their business.
MZ: IMO things are ramping up …everything feels good and smells good and I think “Soon” actually means “Soon” for a change .
Member: When they announce the new rate in Iraq- will we get the same rate when we exchange?
MZ: I am told when we go to exchange and use one of the “qualifying banking centers” in other words has the staff with special training and the special verifying equipment….I am told our rate is “pre-determined” and we don’t have to pay fees and get better service…all of those things.
MZ: My bankers still believe there is a bonus to be gained in the rate offered to us because of the “Oil For Dinar” program….and they will be offering us a higher rate.
MZ: Redemption folks are ready. They are on call and they are in and out of the office. They are waiting for the “GO”.
THANKS FOR JOINING. HAVE A BLESSED DAY! SEE YOU ALL THIS EVENING FOR NEWS @ 7:00 PM EST ~ UNLESS BREAKING NEWS HAPPENS!
Note from PDK: Please listen to the replay for all the details and entire stream….I do not transcribe political opinions, divisive social commentary, medical opinions or many guests on this stream……just RV/currency related topics.
Thursday I'm guaranteeing you the auctions change. That's the CBI announcement. That's the 28th...that's their banking Friday. That means they automatically go into offline... I wouldn't go crazy looking for something on Thursday but let me tell you, official implementation date is Thursday per the CBI. Whether we see it Friday, Saturday I cannot promise you that...I'll also tell you this, this is very damn close...
What does Sudani come out today and say? He says, 'Hey everybody I am announcing to you we are going to have a special holiday. We are going to have our very own Independence Day and that will be October 3rd'...Iraq has never ever had an Independence Day. Citizens of Iraq, I'm hearing from boots on the ground, are beyond themselves.
They're doing away with the auctions January 1, 2024. But as of this Thursday...the implementation of how you do the auctions are completely changing...it's dinars from here on out only...
There are only two things left to do on this laundry list of things for us to get to the bank. What are they? Change the exchange rate and release the lower denominations...at that point, shortly thereafter if not simultaneously. I have the opinion it'll be on Forex internationally. They'll have an internationally exchangeable currency. That is when we go to the bank...I would not be surprised if something special happened very quickly.
Dollar’s Rising Value: A New Economic Dynamic in Iraq, 28 SEPT
The US dollar has experienced a significant upswing in the Al-Kifah and Al-Harithiya stock exchanges, with the exchange rate reaching a peak of 156,200 Iraqi dinars for every 100 dollars. This is a stark contrast to the previous day’s rate, which was 154,600 dinars for every 100 dollars. The value surge was also mirrored in local markets across the capital, Baghdad, where exchange shops raised their selling prices. The current selling rate is 157,250 Iraqi dinars for every 100 dollars, while the purchasing price is 155,250 dinars.
Value Surge: Not Just in Baghdad
Beyond Baghdad, Erbil, the capital of the Kurdistan Region, also saw a rise in the value of the dollar. The selling price in Erbil shops was recorded at 155,300 dinars per dollar, while the purchase price was 155,200 dinars for every 100 dollars. This suggests that the shift in the dollar’s value is a nationwide trend within Iraq.
The sudden increase in the value of the dollar in relation to the Iraqi dinar, as reflected in stock exchange rates and local markets throughout the country, is a noteworthy economic event. This shift affects the cost of transactions and could potentially impact the overall economy. The rise in the dollar’s value observed in Baghdad and Erbil points to a widespread increase, which is significant considering the economic challenges that Iraq has faced in recent years.
Central Bank’s Plan to Strengthen Iraqi Dinar
It’s important to note that the Central Bank of Iraq has a new plan to bolster the value of the Iraqi dinar against the US dollar. The measures include reducing the US dollar to Iraqi dinar exchange rate for travel or internet purchases from 1,470 dinars to 1,465 and helping private banks strengthen their foreign currency reserves that are not the US dollar. The Central Bank specifically named the Chinese yuan, the euro, the Emirati dirham, and the Jordanian dinar. There’s also a provision for selling foreign currencies in government banks for the purpose of travel, for the Hajj pilgrimage, medical treatment, and study.
Devaluing a currency has significant downsides as it can lead to a liquidity crisis, as seen in Argentina. But for Iraqis who are paid in dollars, the devaluation potentially gives them more purchasing power. However, people paid in dinars may lose purchasing power since imports and exports are paid for in dollars. A devaluation also means imported goods become more expensive in the local currency. Given the economic hardships Iraq has experienced, these are critical factors to consider.
As the value of the dollar continues to rise against the Iraqi dinar, the impact on the economy and the lives of ordinary Iraqis will become more apparent. While there are potential benefits for those paid in dollars, the overall implications of this shift are complex and far-reaching. As Iraq navigates these economic changes, the Central Bank’s strategies to strengthen the dinar and mitigate the impacts of currency devaluation will be critical.
Advisor to the Prime Minister: Speeding up the approval of the oil and gas law will establish two important things
The financial adviser to the Prime Minister, Mazhar Mohammed Saleh, stressed the importance of speeding up the approval of the draft oil and gas law.
Saleh said in a press statement that "accelerating the approval of the federal oil and gas project law in the House of Representatives as soon as possible will establish a stable national roadmap for investment and production of the country's main sovereign resource, which is oil and gas."
He explained that "this natural resource contributes to Iraq's GDP by a direct rate of nearly 50 percent, and leaves an indirect impact on the total economic activity of our country by at least 85 percent."
"The adoption of a unified national oil policy, and the achievement of investment and optimal production on Iraq's oil area, starting from the southern fields up to the fields of the north and the region, is an important and strategic matter in the matter of benefiting from the opportunity costs in the optimal and homogeneous operation of the Iraqi oil policy currently," Saleh said.
Not to mention "achieving the best financial returns for the country, which we all look forward to to finance the building of the Iraqi economy and the basics of sustainable development," according to Saleh.
Iraq's draft oil and gas law, which is available to parliament, stipulates that responsibility for managing the country's oil fields should be vested in a national oil company and supervised by a specialized federal council.
For its part, the Kurdistan Petroleum Law states that the Iraqi government "has the right to participate in the management of the fields discovered before 2005, but the fields discovered after it belong to the regional government."
The committee, which was formed between Baghdad and Kurdistan to draft an oil and gas law, includes "the minister of oil, the minister of natural resources in the region, the director general of SOMO and the advanced staff in the Ministry of Oil, as well as oil-producing provinces such as Basra, Dhi Qar, Maysan and Kirkuk."
Prime Minister Mohammed Shia al-Sudani said in early August that "the draft oil and gas law is one of the basic and important laws, representing a factor of strength and unity for Iraq, and it has been stuck for years, at a time when the country today is in dire need of its legislation and benefit from this natural wealth, in all fields and sectors, as well as the contribution of the legislation of the law in solving many outstanding problems."
"There are provinces that have not invested their wealth until today, which is a negative matter for development efforts in all its tracks," he said.
The oil dispute has been a major source of tension between Baghdad and Erbil for years, reaching the judiciary last year, as Erbil believed that the central government was seeking to seize the region's wealth.
In February 2022, the Federal Court in Baghdad ordered the region to deliver oil produced on its territory to Baghdad, and canceled contracts signed by the region with foreign companies. It went so far as to invalidate the judiciary in Baghdad for contracts with numerous foreign companies, particularly American and Canadian.
After years of exporting oil individually through Turkey, the Kurdistan region, as of late March 2023, had an international arbitration tribunal decision that gave Baghdad the right to fully manage Kurdistan's oil.
Exports from the Territory subsequently ceased.
\An interim agreement signed between Baghdad and Erbil in early April stipulates that Kurdistan oil sales will be made through the Iraqi Oil Marketing Company "SOMO", while revenues from the region's fields will be deposited in a bank account with the Central Bank of Iraq or one of the banks approved by the Central Bank of Iraq.
State contracts in dinars and the National Day holiday…the most prominent decisions of the Iraqi government
September 27, 2023 01:03 PM
Iraqi dinarThe Prime Minister, Muhammad Shiaa Al-Sudani, chaired the thirty-ninth regular session of the Council of Ministers, during which developments in the situation in the country were discussed, the implementation of files related to various issues at the national level was followed up, and the progress of implementing the priorities of the government program, in addition to discussing the topics on the agenda. And issuing decisions and recommendations related to it.
In celebration of the National Day of the Republic of Iraq, the Prime Minister directed the suspension of official working hours on Tuesday, October 3, 2023, in all ministries and state institutions, on this occasion, according to a statement by the Prime Minister’s Media Office.
In the field of continuing financial and administrative reform steps, the Council of Ministers decided to commit to all state contracts implemented inside Iraq being in Iraqi dinars, except for those opened by an external documentary credit, which will be according to the agreement between the two parties and for the value of the documentary credit only.
The Council directed that the Ministry of Planning inventory all previous state contracts that were contracted in the currency of the US dollar, with the exception of those for which an external documentary credit was opened, and prepare a table of them to be sent to the Ministry of Finance and the Central Bank with the amounts of these contracts due, provided that the Ministry of Planning determines the limit. The highest monthly amount that the Central Bank must cover in US dollars, according to the receivables received from the contracting parties. The Central Bank covers these receivables at an exchange rate of (1320 dinars) per US dollar, deposited in the account of the Ministry of Finance, for the purpose of covering the monthly payments to pay these contracts, and according to Work arms and exchange release orders that meet release controls.
Regarding Iraqi borrowers from government banks (including the Iraqi Trade Bank) in US dollars, the Council of Ministers directed that these banks commit to repaying their loans at an exchange rate of (1,320 dinars) for every US dollar from the borrower, provided that the Central Bank covers these loans in US dollars. It is paid to the lending bank, and this procedure applies exclusively to loans that were made before the issuance of this decision.
The Council of Ministers also approved the recommendation of the Ministerial Council for the Economy (230204 Q), which included postponing the Ministry of Transport’s claim on its debts related to flooring fees and fines incurred by the General Iron and Steel Company and rescheduling them; Payment will be made when the aforementioned company’s factories are operational, and the Ministry of Transport/General Company for Ports of Iraq has taken all necessary procedures with the beneficiary parties and established a working mechanism that ensures the speedy removal of goods from the ports. To avoid fines or floor fees due to delays in issuing them.
As part of the Council’s follow-up of the energy sector and progress in implementing paths of reform, development and exploitation of gas wealth, the Council of Ministers approved the recommendation of the Ministerial Council for Energy (23083 of 2023) regarding the gas gathering and compression project in the Nasiriyah oil field.
The decision included: Approval of the recommendation of the Central Committee for Review and Approval of the Referral in the Ministry of Oil at its session held on August 6, 2023 regarding the request of Dhi Qar Oil Company, one of the companies of the Ministry of Oil, to approve the referral of the gas gathering and compression project in the Nasiriyah oil field under the custody of the coalition (Oil Projects Company / Ministry of Oil and Oil Company) Italian PEG ), at $272 million, which is higher than the estimated cost by (7.3%) according to the Dhi Qar Oil Company’s letter dated July 26, 2023.
With regard to the electricity sector, the Council of Ministers approved what was stated in the letter of the Ministry of Electricity dated September 4, 2023, regarding amending the sales contract by amending and renewing the contract related to the Iraqi-Jordanian electrical interconnection project, which was signed in 2019, to suit the period.
New equipment and amending the terms and conditions, while maintaining the price equation contained in the energy sale contract, which includes the sale of electrical energy from the National Electricity Company in the Hashemite Kingdom of Jordan to the General Electric Power Transmission Company – Central Region / Ministry of Electricity, to purchase energy for a period of 36 months after completing the connection. Between the two Al-Risha transformer stations in Jordan and the Al-Qaim transformer station in Iraq, at a voltage of 400 kV.
Within the affairs of the oil sector, completing the export infrastructure and developing Iraq’s capabilities in this field, the Council of Ministers decided to place the Ministry of Finance as a deposit with the Iraqi Trade Bank in the value of the total cost of the two submarine pipelines project (4 and 5) and the new marine platform amounting to 1.265 trillion dinars, which is included in the Ministry’s investment plan. Oil/Basra Oil Company for the year 2023.
It was also decided that the Ministries of Planning and Oil shall be committed to the total cost of the aforementioned project and the annual allocations within the investment budget of the Ministry of Oil for the years (2023, 2024, 2025 and 2026), and that the Ministries of Oil and Planning shall notify the Ministry of Finance/Accounting Department of the financing due to the contracting company according to the amount of achievement and the approved contexts, and to finance the Ministry of Oil. The financial account of the company from the deposit mentioned in Paragraph (1) above, and the cancellation of Cabinet Resolutions (29 of 2020), (6 of 2021), and (83 of 2022).
In addition to following up on the provision of fortifications, requirements for security work, and extending stability, the Council of Ministers decided to approve an exception to the contract for implementing the Misk Wadi Al-Tharthar project (purchasing cameras, concrete towers, and establishing fortified points). From the direct contracting methods stipulated in the Instructions for Implementing Government Contracts (2 of 2014), and from the armament controls issued by the National Security Advisory regarding arming the security services, due to the tactical and strategic importance of the project.
The Council also decided to approve the issuance of the Air Defense Institute system, based on the provisions of the Defense University Law for Military Studies No. (4) of 2016, and the provisions of the Constitution, taking into account the observations of the Legal Department in the General Secretariat of the Council of Ministers.
Winter agricultural plan
The Council continued to follow up on the implementation of agricultural plans, the implementation of methods to combat water scarcity and drought, and the adoption of modern methods of irrigation, as the Council of Ministers approved the recommendations of the minutes of the meeting of the joint permanent committee between the Ministries of Agriculture and Water Resources regarding the winter agricultural plan approved for the season (2023-2024).
The Council directed that the Ministry of Water Resources adhere to the winter agricultural plan based on the forecasts of international meteorological centers, and that the winter planting and seed distribution season begin on October 1, 2023, and that the Ministry of Water Resources begin increasing water releases on November 15, 2023, and re-review the indicators. Winter agricultural plan for the period from November 15, 2023 to November 30, 2023.
It was decided to determine the areas covered by irrigation in the winter season, so that the areas covered by irrigation through rivers and streams would be one and a half million dunums, and the areas for which the water share would be secured through underground wells at an amount of four million dunums, on the condition that modern irrigation systems be used, and those who were negligent would be held accountable and not included in the next agricultural plan when using Irrigation is Saiha.
The decision also included focusing agriculture on rivers and streams, preventing agriculture within the borders of marshes and floodplains in the governorates of Wasit, Maysan, Basra, Diyala, and Dhi Qar, granting interest-free loans to purchase modern irrigation systems (pivot, fixed, and drip systems) and solar energy systems, and subsidizing the price of fuel to the Ministry. Water resources and the release of fuel shares to address conditions of water scarcity, and continuing the campaign to eliminate violations, especially the campaign to remove unauthorized fish lakes.
According to the decision, the council directed the formation of joint committees from the water resources directorates, agricultural directorates, agricultural committees, agricultural associations, and police directorates in all governorates, and local governments, to follow up on the commitment of farmers and peasants to the irrigation areas approved in the plan above, and to hold transgressors legally responsible for their transgression, and the two ministries are not committed and are not responsible. In considering or promoting any requests regarding compensation in the event that this happens, with setting bi-monthly meetings whose dates are agreed upon, in coordination between the directorates of the Ministry of Agriculture and the water resources directorates in all governorates.
The Council approved the issuance of the Second Amendment System to the System of the Baghdad School of Expressive Musical Arts (16 of 1985), which was audited by the State Council, based on the provisions of the Constitution and the provisions of the Ministry of Culture Law (17 of 2001).
Within the framework of cultural relations, the Council of Ministers approved the reopening of the Iraqi Cultural Center in the German capital, Berlin.
The Council also considered a number of files and issues presented on the agenda, and took the necessary decisions regarding them, which included granting the Ministry of Justice the authority to exclude from the mechanism used in selection, contracting with law firms, with fees commensurate with the value of the case, and the committee composed of the General Secretariat of the Council of Ministers to September 12, 2023, following up on the arbitration decision in the Horus Company case, to unify legal, political and technical efforts.
The Council approved the recommendation of the Ministry of Foreign Affairs regarding the establishment of non-resident diplomatic representation with the Republic of Moldova, through our embassy in Bucharest, based on the provisions of Articles (25) and (26) of Foreign Service Law No. (45) of 2008, and the Vienna Convention on Consular Relations for the year/ 1963, and the approval of the recommendation of the Ministerial Council for Human Development (23028 B for the year 2023), which includes the approval of the National Strategy for Suicide Prevention in Iraq (2023-2030).
Unraveling The Dynamics of US Dollar and Iraqi Dinar Exchange Rates, 28 sept
The US dollar exchange rates against the Iraqi dinar observed contrasting trends on a recent Tuesday. In Baghdad, the dollar’s exchange rate saw a slight surge at the opening of the Al-Kifah and Al-Harithiya stock exchanges. The rate climbed to 154,600 dinars for every 100 dollars, experiencing a minor increment from the previous day’s rate of 154,400 dinars. On the contrary, in Baghdad’s local markets, the exchange rates remained relatively constant, with a selling price of 155,500 dinars and a purchasing price of 153,500 dinars for every 100 dollars.
A Different Story in Erbil
Meanwhile, in Erbil, the capital city of the Kurdistan Region, the value of the dollar witnessed a decrease. The selling price was 154,100 dinars, with the purchase price set at 154,000 dinars for every 100 dollars in banking shops. These figures clearly depict a divergence in the dollar exchange rates against the Iraqi dinar in various regions of Iraq, underlining the complexity and fluidity of the currency exchange market.
The contrasting trends of the dollar’s value in Baghdad and Erbil underscore the significance of regional economic factors and market conditions in influencing exchange rates. The stability of the exchange rate in local markets in Baghdad may suggest a degree of market confidence. Simultaneously, the decrease in Erbil could indicate local market conditions and economic factors.
A Glimpse into the Dynamics of Currency Markets
Overall, these trends offer insights into the dynamic and regionally influenced nature of currency markets. The US dollar saw an increase in its exchange rate against the Iraqi dinar in Baghdad, while it experienced a decrease in Erbil. The currency market’s nature, influenced by several regional and global factors, ensures that exchange rates remain in a state of flux.
Investing in the Iraqi dinar is similar to investing in any other foreign currency. An investor purchases a certain amount of Iraqi dinar by paying the equivalent amount of U.S. dollars. As with any investment, the main aim is to buy at a price that will eventually rise. The central question, however, is not just whether you can invest in this particular currency, but whether you should. While Iraqi dinars could be useful for those living in or near Iraq, many reasons suggest caution for investors considering this currency.
Following the 1991 Persian Gulf War, Iraq’s economy suffered due to United Nations sanctions and official corruption. As the government of Saddam Hussein struggled to contain inflation and speculation, the Iraqi dinar fell from its prewar value of 3 to less than a penny in 1993. However, with the support of several global powers, hopes were raised that the Iraqi economy would soon recover, especially after the country’s economic isolation throughout the 1990s.
Challenges Faced by the Iraqi Dinar
Despite the optimism, Iraq’s currency faces numerous challenges and much uncertainty in both the short and long runs. Major banks and brokers do not offer trading of the IQD/USD pair, and transactions are placed through money exchanges, which often charge hefty fees. Moreover, the value of the Iraqi dinar is set by the Iraqi government, which means that the government decrees the price for the sale and purchase of the currency.
With Iraq housing 11.7% of the world’s oil reserve, it has the potential to recover and establish itself as a stable economy. However, this would require a peaceful, promising business atmosphere to instill investor confidence and revive its economy. Therefore, while the future of the Iraqi dinar may seem promising, investors should approach with caution, understanding the unique challenges and uncertainties that this currency faces.