Thursday, February 1, 2024
"ANALYSIS OF IRAQ NEWS: A DARK FUTURE AND A SECURITY AND ECONOMIC COLLAPSE… THE AMERICAN WITHDRAWAL THREATENS THE IRAQI REGIME" BY MNT GOAT, 2. FEB
A DARK FUTURE AND A SECURITY AND ECONOMIC COLLAPSE… THE AMERICAN WITHDRAWAL THREATENS THE IRAQI REGIME
In the wake of technical and security meetings between Washington and Baghdad, to schedule the American withdrawal that has been leading the international coalition in Iraq since 2014, analysts find that the “possible withdrawal” may leave the country under a security risk, and that it is not yet ready to deal with the deep challenges, starting with From the “strong” factions supported by Iran, to the ISIS terrorist cells that are still present, all the way to the factions’ control over Iraq’s money and capabilities.
A report by the American newspaper “The National”, translated by Shafaq News Agency, quoted former American Special Forces officer David Whitty, who worked with the Iraqi commando forces, as saying: “They are disturbed by our strikes, but they are the ones who attacked the coalition forces first,” referring to this. 150 of the attacks targeting Americans in Iraq and Syria since last October.
The report, citing analysts, warned that history may repeat itself if American forces withdraw again, noting that when American forces withdrew in 2011, Iraqi forces lost their efficiency due to widespread corruption, as military leaders sold fuel, ammunition, and even food to achieve gains. Personal, in addition to falsifying the pension statements allocated to the military.”
The American report indicated that recent coalition reports issued by the US Inspector General still warn that many of these problems still exist, especially in the logistical aspect, which raises fears that ISIS or similar organizations may reappear if the United States withdraws. United.
The report quoted Whitty, who is also a security consultant and worked closely with the Iraqi Counter-Terrorism Service that led the fight against ISIS, as saying that “the current training provided by the coalition to Iraqi forces may be too limited to protect the country,” adding: “There is no communication.” “With the Iraqi security forces only through the Ministry of Defense, this is very frustrating.”
The report continued that Whitty advised the United States to continue training Iraqi forces based on the Counter-Terrorism Service model, which included small American and Iraqi units that worked together to carry out joint missions.
According to the report, Whitty is concerned that without continuous training, old problems could resurface, which could jeopardize Baghdad’s ability to confront ISIS, or Popular Mobilization Forces groups such as: Kata’ib Hezbollah and Harakat al-Nujaba, which warned It may overthrow the Iraqi government if Iran requests it.
While the report pointed out that Whitty’s concerns relate to the danger of the Iraqi military culture returning to its previous state, he was quoted as saying, “We saw this happen after 2011, when standards declined and things deteriorated, and it concerns me in particular with regard to the Counter-Terrorism Service and perhaps what is happening now with… Regular army.
The report stated that regardless of the threat posed by ISIS, experts warn that the conflict between the United States and Iran in Iraq is unlikely to fade if American forces withdraw.
The report quoted Michael Knights, a researcher at the American Washington Institute, as saying: “When the United States left for the last time in 2011, ISIS was growing stronger in Syria and was beginning to regain its strength in Iraq,” explaining that “this is not the situation now, ISIS.” “It is not the real threat now. The main threat to Iraq’s security is the control of the state by Iranian-backed militias and stripping it of its assets.”
According to Knights, the Popular Mobilization Forces’ takeover of the Iraqi state not only led to a lack of funding for the Counter-Terrorism Service, but also caused renewed conflict between the United States and the Popular Mobilization Forces, noting that the Popular Mobilization Forces “have penetrated the Iraqi central government, and they are integrated into all ministries now.” Not only actual ministers, but assistant ministers and deputy ministers, all men from various militias, chosen by the coordination framework.”
While the American report noted that, under the current government’s budget, funding for the Counter-Terrorism Service decreased by 14%, and the budget of the Popular Mobilization Forces doubled, Knights was quoted as saying: “We needed a presence in federal Iraq in order to fight ISIS because we had an Iraqi partner.” But now there is no partner inside Iraq to fight the main threat, because the militias have taken control of the security sector.”
The report continued: “If Iraq turns into a center for regional wars carried out by the Popular Mobilization Forces, the conflict between the United States and the militias may continue and it may become easier for Washington to carry out strikes against the Mobilization Forces from outside Iraq in the event that the Americans withdraw.”
He explained that “the United States may become more capable of striking, punishing and harming those militias if they are outside Iraq,” adding that “Iraq may be exposed to fewer air strikes if the coalition collapses, because the President of the United States may be less conservative if the forces are forced to… And perhaps the embassy will have to leave,” noting that “this president may be a Republican.”
Knights concluded his speech by saying, “Economic stability will deteriorate in Iraq if the United States does not have the motivation to show restraint with regard to protecting Iraqi funds from international lawsuits, and if the United States rations Iraq’s supply of dollars because terrorist players may be viewed as they took over the country and the Ministry of Finance.”
"RV UPDATE" BY MARKZ, 2 FEB
MarkZ
[via PDK] My Iraqi contacts have said that the CBI has sent the new rates to the government. So the rumor is the CBI has released the rates to the Iraqi government...I have heard similar things from US bankers - that all rates are now set and fixed. So imo it’s “any moment” A number of contacts are still remaining silent because they have signed an NDA.
“ The US Treasury requests Iraqi cooperation to limit funding for armed factions” This is all part of what’s going on as Iraq cleans up. And yesterday - again in Iraq - they started openly talking about the exchange rate and the value of the dinar.
Comment: I hear more and more groups are under NDA’s. MarkZ: We are hearing of more and more… My banking contacts still feel If we have to sign one - it will be about the amount we get...we are definitely close.
"ANALYSIS OF IRAQ NEWS: MILITARY(IRAQI) EXPERT: AMERICA WILL NOT LEAVE IRAQ WITHOUT A LONG-TERM SECURITY AGREEMENT " BY MNT GOAT, 2 FEB
MILITARY(IRAQI) EXPERT: AMERICA WILL NOT LEAVE IRAQ WITHOUT A LONG-TERM SECURITY AGREEMENT
Military expert Sarmad Al-Bayati confirmed the impossibility of the withdrawal of American forces without concluding a strategic security agreement with Iraq, noting that the Iraqi airspace is exposed and America can never leave it without sovereignty.
The Iraqi military expert, Sarmad Al-Bayati, said in a statement followed by Mawazine News: “There is a big difference in the statements between Iraq and the United States, and some may be confused about what is happening, despite what was announced about the formation of an American-Iraqi military committee to sit with the international coalition.” “.
Al-Bayati added: “But those sitting on the Iraqi side in this committee are figures who have nothing to do with the issue of the withdrawal of coalition forces, including the Federal Police, whose work is linked to NATO, so they focused in the meeting on assessing the threat of ISIS and operational training, in addition to the most important One point, which is to strengthen Iraqi armed capabilities.”
The military expert stressed that “it is impossible for any withdrawal of international coalition forces to take place if the strengthening of armed capabilities and control of Iraqi airspace is not completed. Therefore, cooperation continues with the coalition, and even if a withdrawal occurs, the American forces will take a long time on this matter.”
Al-Bayati stressed, “The American forces will not leave Iraqi airspace uncontrollably, so there will certainly be a strong security agreement between Baghdad, Washington, and the international coalition, and it is not easy to leave Iraq an easy prey for ISIS.”
The Iraqi expert explained, “The Americans actually work in Iraqi military bases as advisors, but there are other forces to protect them, and thus their secrets and policies in the region remain with them. It is not easy to know their true number in Iraq, because they do not give their combat position to any party.”
Al-Bayati ruled out that there would be any forced exit of the international coalition forces from Iraq, because the matter would have a negative impact on the entire country. Therefore, no forced evacuation of them would occur, but rather after assessing the situation regarding the extent of the threat and danger of ISIS.
American forces returned to Iraq in 2014 as part of the international coalition forces, at the request of the Iraqi government to support them in confronting ISIS, which invaded a large part of the lands in the north and west after the collapse of the Iraqi army units.
"RV UPDATE" BY MILITIAMAN, 2 FEB
Militia Man
You're not going to LOP your currency. You're just not going to do that to your currency...Elementary school math will not allow Iraq's budget at 1310 to do any of this [Investments, reforms, reconstruction projects etc.]
Everyone's excited because we're seeing exactly what this country is doing. They're doing what they said they're going to do. They're working towards going international...we should all have significant confidence that Iraq is going international...
The AFC Fund is up 110.4% in Iraq. HUGE! Think about that for a minute, What do you get at your savings account? What do you get in your IRA's? What are you getting percentage wise over an annual growth? They have 110.4%. This country is going to explode. Everybody and their brother that's invested in the dinar should be thinking clearly by now as far as I'm concerned...This is fun! ...How does Iraq have one of the best funds in the world without having reasons behind it.
"ANALYSIS OF IRAQ NEWS: BAGHDAD AGREES WITH THE AMERICANS: “THE LESSON OF 2014 MUST NOT RETURN.”"BY MNT GOAT, 2 FEB
BAGHDAD AGREES WITH THE AMERICANS: “THE LESSON OF 2014 MUST NOT RETURN.”
Advisor to the Iraqi Prime Minister for Security Affairs, Khaled Al-Yaqoubi, confirmed today, Sunday (January 28, 2024), that Baghdad is trying to reach a formula with the American side to confront the threats, in reference to the recent attacks that targeted American bases in Iraq.
Al-Yaqoubi added, “The basis of the dialogue is to find a common formula with America and the international coalition.”
He explained, “Baghdad agrees with the Americans that the lesson of 2014 should not be repeated, in reference to the attacks launched by ISIS in Iraq,” stressing that “the lessons of the past are present to the Iraqis and Americans.”
FINISH THE ALLIANCE MISSION
Yesterday, Saturday (January 27, 2024), the first round of bilateral dialogue between Iraq and the United States began to end the mission of the international coalition against ISIS, which is led by Washington.
Baghdad hopes that this will lead to a gradual reduction of coalition forces on its territory. The media office of Prime Minister Muhammad Shia al-Sudani published a picture of the first meeting in which senior commanders of the Iraqi army, security services, and leaders of the international coalition, which includes dozens of foreign countries, participated.
TARGETING AMERICAN FORCES
This initiative came in a very tense regional context. Since mid-October, more than 150 drone and missile strikes have targeted American and coalition forces in Iraq and Syria, in a direct reflection of the war in Gaza between Israel, Washington’s ally, and the Palestinian Hamas movement.
On Saturday evening, a drone attack targeted the Ain al-Asad air base in western Iraq, where coalition forces are deployed, according to what a US military official told Agence France-Presse, without being able to estimate the occurrence of damage or casualties.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/Sudanese and Guterres discuss developments in the region
Sudanese and Guterres discuss developments in the region
Shafaq News / Iraqi Prime Minister Mohammed Shia Al-Sudani received, on Wednesday evening, a phone call from the Secretary-General of the United Nations Antonio Guterres.
According to a statement issued by his media office, it was reported to Shafaq News Agency, during the call, coordination with the international organization on various issues and the future relationship between Iraq and the United Nations was discussed. The developments in the situation in the region were also discussed, especially with the continuation of the war in Gaza, which caused serious humanitarian and security repercussions that require the speedy of urgent humanitarian assistance to the people in the Gaza Strip.
The Prime Minister appreciated, according to the statement, Guterres’ positions calling for a stop to the war in Gaza, which coincide with Iraq’s positions, which confirm preventing escalation and spare the region from sliding events towards dangerous turns.
For his part, Guterres stressed the need to stop the war on Gaza, and to spare the region more repercussions and tensions, praising Iraq’s role and continuous pursuit of communication to achieve calm and prevent the expansion of the conflict.
https://www.shafaq.com/ar/سیاسة/السوداني-وغوتيريش-يبحثان-تطورات-ال-وضاع-في-المنطقة
"IRAQI BANK FRIEND AKI UPDATE" BY WALKINGSTICK, 1 FEB
Walkingstick
[Iraqi Bank Friend Aki update]
This is the monetary reform roadmap for the next couple of weeks...January 29th a banking campaign was started to release deeper education about the monetary reform to the Iraqi citizens...
Either Thursday or Friday the Minister of Planning, Minister of Finance, the Governor of the Central Bank of Iraq and the Prime Minister Sudani are all going to be receiving the flow down of information regarding the new currency that is to be released and the new exchange rate for that new currency...Also...the Erbil Stock Exchange (ESX) and The Iraqi Stock Exchange (ISX) have completed their linkup...of international platforms. They are done and going live at any moment.
Movements before they release the lower denoms and new exchange rate we expected to see this... December was to have everything ready in place to go. January all these systems are being implemented through the monetary reform education. From private banks like the one Aki [Iraqi bank friend] represents to international markets as of today January 15, 2024 they're all international now. It's what we expected...there's not more to say...because everything now is in print...
The rate doesn't matter. You're going to trip over you own feet when it finally does float because you're going to be looking for a rate. Watch the growth of the dinar's value.
The only thing missing is the lower denoms and the new exchange rate. Everything else is in position.
[Aki - Iraq Bank In US update]
AKI: There are many Iraqi citizens in the United States of American holding 3-zero notes. It is my job to collect them for the CBI, where they will destroy them. Our [job] is to turn in the 3-zero notes.
WALKINGSTICK: This is huge!
AKI: Agree. Direct deposit from now on. No limitations. Article VIII not only for the citizens but for investors.
[Aki - Iraq Bank owner in US update]
Question: " The new orders you got on January 1st, are they for you to dispense the lower denoms and collect 3 zero notes?"
Here in the Untied States we are preparing to do everything with electronic platforms...We are prepared to collect the 3 zero notes from those that wish to exchange them for American dollars...We follow International banking laws, the same laws American banks follow. Here in the United States the bank that I am in charge of will be all electronic.
When you ask about the LDs they are only found in Iraq. We do not possess them. Iraq will give to the Iraqi citizens, when the time comes, physical lower notes and coins and collect three zero notes...The difference is that here in the US I have to do everything electronic where my friends in Iraq, their banks can do it electronic or physically if they want the lower denoms and coins in their hands .
https://dinarevaluation.blogspot.com/2024/01/rv-update-by-walkingstick-13-jan.html
[Aki - Iraq Bank In US update]
There are many Iraqi citizens in the United States of American holding 3-zero notes. It is my job to collect them for the CBI, where they will destroy them. Our [job] is to turn in the 3-zero notes. WALKINGSTICK: This is huge! AKI: Agree. Direct deposit from now on. No limitations. Article VIII not only for the citizens but for investors
[Aki - Iraq Bank owner in US update]
Question: "The new orders you got on January 1st, are they for you to dispense the lower denoms and collect 3 zero notes?" Here in the Untied States we are preparing to do everything with electronic platforms...We are prepared to collect the 3 zero notes from those that wish to exchange them for American dollars...We follow International banking laws, the same laws American banks follow. Here in the United States the bank that I am in charge of will be all electronic.
When you ask about the LDs they are only found in Iraq. We do not possess them. Iraq will give to the Iraqi citizens, when the time comes, physical lower notes and coins and collect three zero notes...The difference is that here in the US I have to do everything electronic where my friends in Iraq, their banks can do it electronic or physically if they want the lower denoms and coins in their hands.
https://dinarevaluation.blogspot.com/2024/01/rv-update-by-walkingstick-11-jan.html
"ANALYSIS OF IRAQ NEWS: WASHINGTON’S MESSAGE TO BAGHDAD: ECONOMIC SUPPORT WILL FADE AFTER WITHDRAWAL, NO NEGOTIATIONS BEFORE ATTACKS STOP" BY MNT GOAT, 1 FEB
WASHINGTON’S MESSAGE TO BAGHDAD: ECONOMIC SUPPORT WILL FADE AFTER WITHDRAWAL, NO NEGOTIATIONS BEFORE ATTACKS STOP
Mawazine News – Baghdad
Reliable sources revealed the content of a letter handed over by US authorities to the Iraqi government regarding the arrangements for the withdrawal of the international coalition forces.
The letter included “the method of withdrawal and its timetable,” along with “the obligations on the Iraqi side,” stressing that this withdrawal, if it happens, will not be without a price and “will not stop the deterrent attacks of armed groups loyal to Iran.” The Iraqi Foreign Ministry said on Wednesday night that an “important letter” had been received from Washington, and that Prime Minister Mohammed Shia’a Al-Sudani would study it carefully.
The sources explained to Asharq Al-Awsat that “Washington does not mind the transition to a new stage of bilateral relations, but the withdrawal of forces (by any way) will not stop the deterrent attacks of the activity of armed groups loyal to Iran, as long as they contribute to destabilizing the security and stability of the region.”
The Sudanese shared “important aspects” in the American message with leaders in the “Coordination Framework” coalition, including “confirmation that US strikes will not stop against the factions,” according to the sources. “The upcoming technical negotiations to arrange the withdrawal will not be easy and quick, and will take the time necessary to ensure that all files associated with this presence are settled,” the letter hinted.
According to the sources, “Washington encouraged Baghdad during the letter to understand and understand the consequences of the withdrawal, including the financial and economic obligations that bind the two countries.”
Iraq has been depositing its oil revenues in a bank account controlled by the US Treasury Department since 2003, pursuant to UN Security Council Resolution 1483, which was intended to “help Iraq manage its resources in a transparent manner.”
Since the American message arrived at the government offices in Baghdad, political forces have been active in intensive dialogues, trying to understand the appropriate way to deal with “this sudden step.” Three informed sources told Al-Sharq Al-Awsat that “an influential Shiite party within the (coordination framework) is now trying to convince the factions involved in the field escalation against the Americans to retreat a little.”
The Islamic Resistance in Iraq confirmed yesterday, Friday, that the request of the United States of America to the Iraqi government to hold talks to arrange the status of its forces, is “except an attempt to mix the cards, turn the table on the resistance, and gain time, to carry out more crimes and demonic schemes to harm our people and nation.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/"RV UPDATE" BY MARKZ, 1 FEB
MarkZ
[via PDK]
“The US Treasury requests Iraqi cooperation to limit funding for armed factions” This is all part of what’s going on as Iraq cleans up. And yesterday - again in Iraq - they started openly talking about the exchange rate and the value of the dinar.
Comment: I hear more and more groups are under NDA’s. MarkZ: We are hearing of more and more… My banking contacts still feel If we have to sign one - it will be about the amount we get...we are definitely close.
“Burhan Nassir Mohammed Al Namral sworn in as Iraq’s new Parliament speaker” This one is important. It has been rumored in some circles for a few months that he was a stickler for moving forward with the white papers and rate change. I’m taking this as a good sign.
Finance Committee responds to US sanctions: Let’s sell oil in currencies other than dollar, 1 FEB
Finance Committee responds to US sanctions: Let’s sell oil in currencies other than dollar
Baghdad – 964
The Parliamentary Finance Committee on Wednesday called for the sale of Iraqi oil in currencies other than the US dollar to face sanctions imposed by the US Treasury Department against Iraqi banks.
A statement to the Parliamentary Finance Committee, the network received a 964 copy of which:
The US Treasury Department is still invoking money laundering to impose its sanctions against Iraqi banks, which requires a national position that puts an end to these arbitrary decisions.
Imposing sanctions on Iraqi banks would undermine and hinder the steps taken by the central bank to adapt the stability of the dollar exchange rate and reduce the selling gap between the official and parallel price.
While we reject these practices, because of their repercussions and consequences for the sustenance of our citizens, we renew our call to the government and the Central Bank of Iraq to take quick measures, to get rid of the dominance of the dollar, by diversifying our foreign currency reserve.
We also propose to oblige the Ministry of Oil to sell Iraqi oil in other foreign currencies.
"ANALYSIS OF IRAQ NEWS: AN INTERNATIONAL WARNING ABOUT THE ESCALATION OF THE MIDDLE EAST CONFLICT: IT WILL SIGNIFICANTLY AFFECT GAS FLOWS " BY MNT GOAT, 1 FEB
AN INTERNATIONAL WARNING ABOUT THE ESCALATION OF THE MIDDLE EAST CONFLICT: IT WILL SIGNIFICANTLY AFFECT GAS FLOWS
(There is more than enough energy in all forms to supply the world 1000 times over. This glut for shortages and price gorging is manipulative and very deceptive. It just that who controls the energy and how do they manipulate the prices keeping it from us. I can hardly believe how stupid the EU was in managing our energy supply. There was no reason for the shortages if only we had common sense people running our governments. Who are you going to VOTE for?)
The International Energy Agency expects global demand for natural gas to grow this year (2024), but warned of price fluctuations due to geopolitical tensions in the Middle East.
According to a recent report, high inventory levels, along with improved supply expectations, provide some reassurance to gas markets during 2024, but geopolitical uncertainty represents a major risk.
The report pointed out that the continued Russian invasion of Ukraine, escalating tensions in the Middle East, increasing restrictions on shipping, delays in liquefied natural gas projects, and adverse weather conditions as factors that could cause fluctuations in the markets during 2024.
Despite the increasing geopolitical uncertainty, global gas demand is trending to grow by about 2.5%, or the equivalent of 100 billion cubic metres.
Demand for Natural Gas
Lower gas prices in 2023 and expectations of colder winter weather in 2024 will lead global demand to grow to a total of 4.19 trillion cubic meters this year, compared to 4.089 trillion cubic meters in 2023, according to the quarterly gas market report issued by the International Energy Agency on Friday, January 26. / January 2023.
In 2023, global gas demand rose by just 0.5%, with growth in China, North America, Africa and the Middle East offset by declines elsewhere.
Demand for natural gas in China rebounded during 2023 by 7%, with the return of economic activity, after recovering from the restrictions of the Corona pandemic, so that Beijing regained its position as the largest importer of liquefied natural gas in the world.
In contrast, natural gas consumption in Europe fell by 7%, reaching the lowest level since 1995, with the rapid expansion of renewable energy, increased availability of nuclear power, and rationalization regulations.
The International Energy Agency expects demand in Europe to grow by 3% during 2024, but it will remain about 20% below pre-energy crisis levels in 2021.
Global natural gas production rose to 4.116 trillion cubic meters in 2023, compared to 4.105 trillion cubic meters the previous year, according to the International Energy Agency.
On the supply side, gas availability remained relatively limited during 2023, as the increase in global production of liquefied natural gas was less than expected, and production growth was not sufficient to compensate for the continued decline in pipelined Russian gas supplies to Europe.
Moreover, supply growth has been highly geographically concentrated, with the United States becoming the largest exporter of LNG globally, accounting for 80% of additional LNG supply in 2023.
US exports of liquefied natural gas.
The International Energy Agency expects liquefied gas supplies to grow by 3.5% this year, much lower than the growth rate of 8% between 2016 and 2020, noting that the delay in new liquefaction stations and problems surrounding the availability of feed gas – delivered gas For liquefaction plants – in existing projects, this may lead to postponement of supply growth until 2025.
For this reason, it is possible that the growth in demand for gas and the tight supply could contribute significantly to price fluctuations throughout the year, according to the report.
The International Energy Agency warned that the escalation of the conflict in the Middle East could significantly affect liquefied natural gas flows, especially since Qatar represents a fifth of global liquefied gas supplies.
Qatar had announced that its tankers would temporarily stop transiting through the Suez Canal, noting that the crisis in the Red Sea amid the Houthi attacks may affect the scheduling of some shipments, but it stressed its commitment to its customers.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/"ANALYSIS OF IRAQ NEWS: THE CENTRAL BANK OF IRAQ DECIDES TO RESTORE THE MECHANISM FOR FINANCING IRAQ’S FOREIGN TRADE, STARTING NEXT MARCH" BY MNT GOAT, 1 FEB
THE CENTRAL BANK OF IRAQ DECIDES TO RESTORE THE MECHANISM FOR FINANCING IRAQ’S FOREIGN TRADE, STARTING NEXT MARCH
The Central Bank of Iraq decided to restore the mechanism for financing Iraq’s foreign trade, starting next March.
The Central Bank said in a letter addressed to the banks, which Al-Iqtisad News reviewed, that for the purpose of organizing financing operations for requests to enhance external balances, it was decided to implement the new requirements and mechanisms starting from March 1, 2024.
He added that banks wishing to enhance their balance with correspondent banks in all currencies should appoint an external auditor for the purposes of reviewing transfers in advance of the process of sending transfers. Banks wishing to enhance the balance must provide us with information about the names of the companies they wish to contract with within a maximum period of February 29, 2024.
He stressed that requests to strengthen the dollar are for banks that hold correspondent accounts with an American bank exclusively, at a price of 1310.
He stated that strengthening other currencies other than the dollar will accept applications at the banks of the currency country, provided that the classification of these banks is either the same as the country’s classification or only one rank lower than it, in a way that is consistent with Iraq’s import requirements from those countries.
(There is more to this policy and you can go to the link and read it but essentially this is the new policy come March.)
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/"ANALYSIS OF IRAQ NEWS:OPERATING THE FIRST PHASE OF THE INTEGRATED ARAB TRADE LINE BETWEEN EGYPT, JORDAN AND IRAQ" BY MNT GOAT, 1 FEB
OPERATING THE FIRST PHASE OF THE INTEGRATED ARAB TRADE LINE BETWEEN EGYPT, JORDAN AND IRAQ
(It has begun, Iraq is now taking the lead in becoming a clearing-house for logistics between middle eastern countries. So far only two but more are added as time is passing and ease of trade is realized. Don’t forget there is also a rail project underway which will be online soon too.)
The Egyptian Ministry of Transport has operated the first phase of the Arab Integrated Multimodal Logistics Trade Line between Egypt, Jordan and Iraq, to serve the transport of goods in the Gulf countries to the ports of European and American countries.
The goods pass through the link between the ports of Aqaba and Nuweiba on the Gulf of Aqaba, and from there by land – currently – through Sinai through the Nuweiba Tunnel Road, and from there to the ports of Al-Arish, East Port Said, Damietta and Alexandria Al-Kabeer, which is the route that represents the land part of the Taba Al-Arish logistical corridor, in order to be exploited for services. Direct sea ports between Egyptian, European and American ports, through the Egyptian Ministry of Transport in cooperation with the Iraqi and Jordanian Ministries of Transport.
The goods are transported via trucks from Iraq and Jordan to the port of Aqaba in Jordan, then the trucks cross by sea inside ships to the port of Nuweiba, then by land through the Nuweiba tunnel road passing through Sinai to reach the ports of East Port Said, Damietta, and Alexandria, then they are shipped on ships to European and American ports.
The Taba-Arish-Bir al-Abd-Al-Fardan railway line, with a length of 500 km, is being constructed to increase the volume of goods intended to be transported from the Gulf, Iraq and Jordan to Europe and America within the second phase of the integrated Arab trade line. Trucks in the ports of Nuweiba and Taba will be replaced by railway trains. This increases the volume of goods via railway lines, which connect with all Egyptian ports .
It was put into operation at the beginning of January 2024, as Egypt amended all the necessary customs legislation to facilitate and increase direct international transit movement through the Egyptian state through the infrastructure of ports, road and railway networks, and the Egyptian Ministry of Transport also joined the “TIR” and “VINA 1968” agreements. Which facilitates the entry of foreign trucks to cross within Egyptian territory in the shortest possible time.
The line is considered the fastest in arrival time, the least expensive, and the easiest in procedures and opportunities. It also contributed to linking Jordan, Iraq, and the Gulf states, through the Nuweiba sea port to the Egyptian ports overlooking the Mediterranean Sea and from there to the European market.
For his part, the Egyptian Minister of Transport, Lieutenant General Kamel Al-Wazir, confirmed, according to the Egyptian Youm Al-Sabea, that the operation of this line came based on coordination between the Egyptian Ministry of Transport and the Jordanian and Iraqi Ministries of Transport through the strategic partnership with the Arab Bridge Navigation Company, and its operation also comes in light of the directives of President Abdel Fattah El-Sisi. The President of the Republic transformed Egypt into a center for global trade and logistics, and the Ministry of Transport implemented an integrated plan to develop international multimodal transport hubs (land – rail – river – sea) and within the framework of the Taba – Al-Arish logistical corridor, which is currently being implemented within a number of 7 integrated international development logistical corridors.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/"RV UPDATE" BY PAULETTE, 1 FEB
Paulette
The issue I still see is in order to peg to a basket of currencies, they would "officially" have to depeg from the USD. While I have yet to see the US relinquish their receivership status over Iraq and the fact that the US is desperate to try to keep the USD propped up, I am unsure the actual mechanism of how they will be allowed to depeg and then repeg. It seems like receivership would need lifted first for that kind of move.
If they are truly heading to a simple 3 decimal space move on their exchange rate and...they are heading to 1.31USD to 1 IQD, they would have to make another move first to 763.4 from 1310...As of now, a simple decimal move of 3 places would mean 1310 IQD to 1 USD would become 1.310 IQD to 1 USD or 76 cents per IQD..
The basket of currencies is what they intend to peg to instead of just pegging to one currency - the USD...This is what the CBI and the GOI has stated...If they are pegged to just one currency, if the value (purchasing power) of that currency drops significantly, so does the value (purchasing power) of the IQD. If they are pegged to a basket a currencies, if one drops the others keep the IQD "propped up". This is extremely important to Iraq as they are predominantly an import country. This is precisely what they stated years ago...Bottom line, the pegging to a basket is to maintain the purchasing power and stability of the currency and not a singular event to increase the IQD purchasing power.
Clare: With the closure...the dollar price decreased
1/20/2024
The main stock exchange in the capital, Baghdad, closed today, Saturday, due to the decline in the exchange rate of the dollar against the Iraqi dinar.
Selling prices in money exchange shops in local markets in Baghdad reached 153,250 Iraqi dinars for 100 dollars, while purchasing prices reached 151,250 dinars for 100 dollars. LINK
Sir_Shawn: IMO- CBI official rate 1310
1 USD ~ 1310 IQD = 0.000763
Drop the three zeros
1USD ~ IQD 0.763 = 1.310
Anyone for a mic drop…
Question is when….
Paulette: IMO......I don't believe .76 USD for one IQD (1.31 IQD/1USD) would be adequate for the Iraqis to want to abandon the more valuable USD......The MOP/MOI study all the way back in 2009 stated 1.14-1.18USD to 1 IQD to start for 3 years prior to reinstating the true value of 3.22USD per 1 IQD
Sir_Shawn: Well in my opinion, you are right, so this brings up the basket of currencies and the float. The Dinar will correct itself probably instantaneous. The question is the second set of books where I believe they were using the 1.31 per Dinar. We know that all those buildings and cities were not built on 1310 Dinars. But still we wait… IMO
Paulette: IMO......the basket of currencies is what they intend to peg to instead of just pegging to one currency - the USD. At least this is what the CBI and the GOI has stated in the past. If they are pegged to just one currency, if the value (purchasing power) of that currency drops significantly, so does the value (purchasing power) of the IQD.
If they are pegged to a basket a currencies, if one drops the others keep the IQD "propped up". This is extremely important to Iraq as they are predominantly an import country. This is precisely what they stated years ago and those articles are probably somewhere within the pages of the Final Article thread. Bottom line, the pegging to a basket is to maintain the purchasing power and stability of the currency and not a singular event to increase the IQD purchasing power.
The issue I still see is in order to peg to a basket of currencies, they would "officially" have to depeg from the USD. While I have yet to see the US relinquish their receivership status over Iraq and the fact that the US is desperate to try to keep the USD propped up, I am unsure the actual mechanism of how they will be allowed to depeg and then repeg. It seems like receivership would need lifted first for that kind of move.
The buildings and cities were built on the USD value predominantly from oil sales. The number of IQD to the USD value seems irrelevant. Look at Vietnam and all they have accomplished with a currency value of less than a tenth that of the IQD. The big difference is Vietnam expanded their currency supply and Iraq has not. Iraq clearly has full intent to RI their currency and change their currency structure to rid itself of the 3 zeros. These articles are definitely contained in the FA thread.
If they are truly heading to a simple 3 decimal space move on their exchange rate and as you said they are heading to 1.31USD to 1 IQD, they would have to make another move first to 763.4 from 1310. Frank has said they had planned on one more move. As of now, a simple decimal move of 3 places would mean 1310 IQD to 1 USD would become 1.310 IQD to 1 USD or 76 cents per IQD
https://dinarevaluation.blogspot.com/2024/01/discussion-about-news-of-dollar-price.html