STATUS OF THE RV, PART. 2
So, what’s new in the Iraqi news?
First I want to quote from the financial advisor to the Prime Minister, Mazhar Muhammad Saleh from one of the articles – “The fixed exchange rate system in Iraq is based on the highest international reserves in the history of Iraq and its monetary policy, as foreign currency covers more than 100% of the total currency currently issued.” So, this is telling us that the foreign reserves can back the dinar now in circulation by 100%. Did we read the correctly? This is amazing. What wealth. But the dinar is still at 1/6 of a penny?
Next Saleh added, “In light of the strength of the official central exchange market, the exchange rate of the dollar to the dinar in the parallel market today in our country does not constitute any relative importance in influencing the stability of the general price level,.”
So why is this last statement by Saleh so important? I bring up this statement because he is telling us, once again, the parallel market versus the official rate are under control and no longer an issue for stability. It also tells me they have their inflation problem under control. This is amazing because my CBI contact told me this one of a few other issues was the reason why the Project to Delete the Zeros was not kicking off. Another we know is that Joe Biden the US president refuses to allow the Treasury to properly do its work and help Iraq reinstate the dinar. The dinar is still at 1/6 of a penny?
But this last part that I want to bring to your attention today is in another article as former MP Ayoub Al-Rubaie confirmed on Tuesday that Washington failed in 5 files in Iraq. One of these files caught my attention. Is it just the translation from Arabic to English or is he really telling us that the U.S. failed to reinstate the dinar as this is the only way that we know Iraq can place the dinar in a basket with other currencies. In other words, the U.S. failed to get the dinar out of the solely “de facto” peg to the US dollar and repegged to a basket of 5-6 other currencies. A basket that I know that the IMF has designed to repeg the dinar, once it is reinstated back on FOREX. I quote from the article– “4.in addition to the decline in the influence of the dollar with the change of the economic compass to the basket of various currencies.“ So what do you think this all means? I think we are witnessing a failure to the RV now being exposed. Yes, this should have already been accomplished in June and is late. It is failure on the part of the US because the US is still stalling it.
I just want to conclude today by saying that everything is set to move ahead with the process of currency reform. We are just waiting. We know that the next step must be taken to move ahead and that is to revalue in-country only first just slightly over a dollar, then conduct the Project to Delete the Zeros as the currency swap out takes place. The CBI told us then they plan to monitor for a short time for inflation and then move to reinstate the dinar back to FOREX and when doing so the IMF plans to place the dinar in a new peg as in a basket of currencies and float it. Today we witnessed a confession by former MP Ayoub Al-Rubaie who confirmed on Tuesday that Washington failed in Iraq by stalling this work.
Yes, we still also wait for the Oil and Gas law. In my last Newsletter dated 6/27 I presented an article explaining, once again, the issues preventing this law from moving ahead as quickly as they desire. So, knowing this could this actually be the reason why Biden is stalling. Is this then Biden’s fault or Iraq? Remember Iraq did agree to “fully” implement their constitution and the US told them they will not reinstate their currency until it is implemented. But remember this was not the only issue and so let’s not now go off half-cocked once again with this foolish mindset that one event will trigger the RV. Just also remember once again all the intel guru lies about the budget and how they tried to convince everyone the new RV rate was in the budget. It was not and never will be. This was out of ignorance. Let’s not go down that road again…..please! 😊
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