Article quote: "The dangers of the exchange rate fluctuations in the event that demands for floating the dinar are met..." This is a topic that's been out there...fixed exchange rates...They're talking about a new exchange rate...fixed exchange rate or floating exchange rate. They're talking about it for one reason, because a new exchange rate is coming...A. Are they going to float the currency? B. Are they going to peg it to a currency or a basket of currency and fix it?...
Everything is falling in line for Iraq to go international. You haven't see the salaries paid yet...you haven't seen the oil start pumping yet into Turkey...Why?
Because they haven't shown us or exposed an international real effective exchange rate. That's my view on it.
When you talk about drop the three zeros...Al-Sudani's goal is to bring purchasing power to the his citizens. When he said $0.76, that's purchasing power. It's not a lop. It's purchasing power. If you have a lop you don't have purchasing power, you just have a change in denomination...They're going to bring purchasing power to the citizens. All of that is happening before our eyes.
Quote on X [Formally Twitter] There's some information out there today that says the Central Bank of Iraq's governor has advised citizens to get ready for a currency exchange...Whether it's true or not we're going to find out...The reason why I bring it up is because that kind of to be expected, they're having financial inclusion...they're talking about that.
Investing in local gas instead of burning it in oil fields is a government demand!
Iraq spends approximately five billion dollars annually on gas imports, which could be reinvested in the state budget if local gas were invested in energy production. This step’s success may be contingent on a number of factors, the most significant of which is the availability of project-specific technical skills.
There are many difficulties that substitute the method of nearby gas venture, the most noticeable of which is the presence of ideological groups that advantage from gas imports, notwithstanding their endeavors to deter most financial activities, as indicated by subject matter experts.
Article: "The most difficult option.. Warnings of the danger of floating the Iraqi dinar without achieving an important condition” As I have mentioned numerous times, a float is coming for the Iraqi dinar. The question is.. when will they have sufficient diversification of the economy to support such an event?
A country's currency is not some random act. An exchange rate is based on many factors including: reserves, GDP, economic growth etc. Iraq has a long ways to go and must pass laws to encourage investment. Only with the success of Iraq's economy can the dinar rise in value.
[aka Kaperoni]
Article: "Advisor to the Association of Banks: The Central Bank is following a consistent approach to achieving banking reform"
Quote: "the management of the Central Bank of Iraq plans to gradually cancel the window for selling foreign currency during the year 2024, until it leaves it completely." ...this is huge news... Iraq cannot end the auctions unless they have an alternative to the auctions... which means they plan to float the dinar by the end of the year...floating the dinar will give them a new mechanism to maintain the dinar, the CBI will buy and sell blocks of dinar like other central banks do to maintain their currency...
They will also have to use dinar to pay for goods and services which will make the dinar internationally traded...they want the banks and Iraq to establish relationships around the world with International standards and full compliance which means that means IMF Article XIV...This seems pretty clear and excellent news. We very well see that Iraqi dinar float on the global market at the end of this year or early next year...I think it's very promising...it definitely is very good news.
ERBIL (Kurdistan24) – The Association of the Petroleum Industry of Kurdistan (APIKUR) on Friday in a statement welcomed the formation of the Baghdad-Erbil committees.
“Recently announced by the Iraqi Minister of Oil with the stated goal to restore oil exports through the IraqTürkiye pipeline. We are awaiting official notification of international oil companies’ role in these critical negotiations,” the statement read.
Hayyan Abdul Ghani, Iraq’s Oil Minister, told Kurdistan24 earlier that the production and export of oil from Kurdistan Region fields would be resumed.
Meanwhile, Kurdistan24 was informed by the Director General of SOMO that their recent meetings with the Kurdistan Regional Government and the Ministry of Natural Resources in Erbil were positive on the issue of Kurdistan Region oil export to Turkish Ceyhan Port. The Turkish side is making preparationsfor export.
They have been clearing up a lot of their corruption over there and they are on a huge sweep. It's IMO that they reason why it is where it is as far as value is concerned is because of these corrupt politicians. If you get rid of them, there's a good chance whoever is in office will allow the Vietnam dong to go up in value.
Question: "What do you think would be the ideal exchange rate for the dinar?
"
You need something that's right in the middle...1 to 1 exchange rate would be right in that sweet spot. Enough to where they get more purchasing power on their imports but also still be competitive on the market with their exports. I would say 1 to 1 exchange rate would be the perfect location.
Some of the bigger points we see inside the Iraqi dinar community such as, 'Let them reinstate the exchange rate to $3.22 the old rate.' That's not the old rate. That's been a myth for a long time...The $3.22 rate was there but that was not the one they left when it became a devalued currency. It was something like $1.52. The other one [myth] is the hydrocarbon law that once it passes then the Iraq citizens are going to get payments. They're not going to get payments. Read the law, nowhere does it say they're going to get payments.
In the week of financial inclusion. Al-Rafidain encourages the use of electronic payment in citizens’ transactions, 3 MAY
Al-Rafidain Bank participated in the activities of the financial inclusion week in the presence of financial and banking institutions.
During the participation of its own booth in commercial centers, gatherings and other places, the bank reviewed its services and products such as opening bank accounts, adopting electronic payment and collection, encouraging the use of electronic cards to reduce cash dealing and introducing the importance of citizens saving their money in the bank instead of hoarding it at home.
In addition to the presence of the specialized team to answer inquiries for citizens with other services. Participation comes with the aim of educating the public about the importance of financial inclusion and the spread of banking culture to the farthest point in the country to include all segments of society.
“According to Anatoly Aksakov, Chairman of the Russian State Duma Financial Market Committee, talks on how the new currency will work have started and an agreement may be reached by the end of this year.”
The plan is for this currency to be supported by gold, various precious metals, and other assets.
The purpose is for the BRICS Nations to be able to trade with one another and no longer have to deal with US sanctions on their currencies.
Mawazine News – Baghdad Deputy Chairman of the Parliamentary Planning Committee, Mohammed Karim, confirmed today, Thursday, that this year’s budget will proceed after completing the changes in its schedules for the allocations of provincial and ministries projects only. “The exchange rate of the dollar, the barrel of oil and the quantity exported will remain the same as confirmed by last year’s budget,” Karim told Mawazine News.
He pointed out that “the tripartite budget approved by the Sudanese government and approved by the House of Representatives allowed the government to make changes and amendments imposed by the impact after the parliament vote.” He pointed out that “changes to the schedules will include the projects of ministries and governorates in accordance with the requirements of the government program.”
🇺🇸💥❤️🇺🇸. Iraq is allowing the dinar to float to close the gap between the official exchange rate and the parallel market rate.💥💥💥Nader today. Good news! 🇺🇸💥❤️🇺🇸
FRANK26: "MONETARY REFORM STEPS ACCOMPLISHED BY THE CBI & CITIZENS".........F26
The Central Bank of Iraq organizes a celebration on the occasion of Financial Inclusion Week
May 02, 2024
The Financial Inclusion Department at the Central Bank of Iraq organized a celebration on the occasion of Financial Inclusion Week in Iraq.
The celebration reviewed the efforts of the Central Bank of Iraq in promoting and achieving the ideal environment for the success of financial inclusion in Iraq, encouraging savings and spreading banking culture.
His Excellency the Governor of the Central Bank, Mr. Ali Mohsen Al-Alaq, confirmed on the sidelines of the celebration that the steps achieved in financial inclusion that were accomplished today are accelerating and can close the gap that occurred during the past years as a result of the circumstances that Iraq went through.
His Excellency stated that the bank has ongoing meetings with the Iraqi government to expand the customer base in electronic payment methods and enhance financial inclusion, as we see a great response from various state institutions in the context of expanding the financial and banking culture in Iraq.
His Excellency believed that the factors that lead to the success and expansion of the role of financial inclusion are the citizen’s confidence in the institutions and tools available to him, as well as his vision of his interest in using them. He continued, that the Central Bank has become at the forefront of global central banks using various financial technologies that provide speed and accuracy, revealing at the same time that the bank has received large preparations to establish digital banks and the relevant departments are working on the possibility of granting them a license to carry out their work in accordance with the controls and instructions issued by the bank. His Excellency noted the “Riyada” Bank project, which will be an important project as we are in the advanced stages of establishing the bank and will constitute a qualitative leap in supporting and financing small and medium enterprises and providing job opportunities for wide segments of society. It will also have branches throughout Iraq. It is noteworthy that the Financial Inclusion Department organized many different events in the capital, Baghdad, and other governorates within the Financial Inclusion Week in Iraq, which began on April 27 and continued until May 2 of the current year.
Central Bank of Iraq Information Office 2 - May - 2024
Advisor to the Prime Minister, Amer Al-Adad, confirmed that Al-Sudani succeeded in digital transfer in banks.
Al-Adad said, in a televised interview followed by Mawazine News, that “the Sudanese government is currently working on developing our proposal to form private “digital banks” that will do the work of government banks, in addition to many proposals to advance the Iraqi banking reality.”
He added, “The “knowledge economy” project developed by the government of Muhammad Shiaa Al-Sudani depends on information technology and cybersecurity, pointing out that government banks have problems in systems, governance, and human resources.”
He pointed out that “the current government is working to train employees on the ASYCUDA system at the ports in order to increase the employees’ expertise and ease of work, stressing that Sudanese has many reforms, including digital transformation in banks.
“His advisor: Al-Sudani succeeded in digital transfer in banks”
This is really good news for our investment. The Iraqi banks are now capable of digital transfers. When Iraq regulates their digital economy after MICA is finished (5-28-24) and Stablecoins become law on June 30th, 2024, we will begin looking toward credit valuation adjustments across the globe.
The difference this time around is that Iraq will be included. We still have to see what that means when we get to Q3. There will be many assets being refactored into the new economy after these dates.
2024-04-29 01:37 Shafaq News/ The Federal Ministry of Finance revealed, on Monday, that the volume of Iraqi revenues in the budget exceeded 20 trillion dinars within two months, while confirming that the
oil contribution to the budget had risen to 91%. Shafaq News Agency followed the
data and tables issued by the Ministry of Finance in April for the January and February accounts of the current fiscal year,
which showed that oil is still the main resource for Iraq’s general budget, reaching 91%, which indicates that the rentier economy is the basis of the country’s general budget..
The financial tables showed that the total revenues in January and February amounted to 20 trillion, 465 billion, 480 million, 278 thousand and 344 dinars.
They also indicated that the total expenditures with advances amounted to two trillion, 752 billion, 731 million and 419 thousand dinars.
According to the financial tables, oil revenues amounted to 18 trillion, 678 billion, 903 million, and 892 thousand dinars, which constitute 91% of the general budget, while non-oil revenues amounted to 1 trillion, 786 billion, 576 million, and 385 thousand dinars.
In this regard, economic expert Muhammad Al-Hassani told Shafaq News Agency,
“Iraq cannot get out of the cycle of rentier economy due to the lack of infrastructure for the industrial and agricultural economic sectors and the absence of a real investor,” adding that
“the surplus funds in the general budget are not directed towards... Investment, but rather towards expenditure.
The Prime Minister’s Advisor for Financial Affairs, Mazhar Muhammad Salih, confirmed in March 2021, in an interview with Shafaq News Agency, that the
reasons for the economy remaining rentier are due to wars and the imposition of the economic blockade on Iraq during the past era and the political conflicts we are witnessing today, which led to the dispersion of... for economic resources.
The Iraqi state’s continued reliance on oil as the sole source of the general budget puts Iraq at risk from the global crises that occur from time to time because oil is affected by them,
If Iraq decides to come out with a fixed exchange rate of 3.00 (assuming you mean 3.00 Iraqi Dinars per 1 US Dollar), it would mean that the central bank commits to maintaining this exchange rate by actively buying or selling its currency in the forex market.
This can provide stability and predictability for international trade and investment, but it also requires the central bank to have sufficient foreign currency reserves to defend the fixed rate.
This is exciting. Because if they come out with a fixed rate we do not have to wait for them to gradually increase the value where we would initially have to go to the bank and exchange a little of our Dinar just to pay bills while we sit on the rest of it waiting for it to get to 3 dollars. So if they stick to this plan you all will wake up with a strong rate where you can exchange all of your IQD at the fixed price.
Away From Oil.” The Iraqi Prime Minister Calls For A Diversified Economic Transformation
Economy Iraq breaking Oil Muhammad Shiaa Al-Sudani 2024-05-01 04:24 Shafaq News/ Iraqi Prime Minister Muhammad Shiaa Al-Sudani stressed, on Wednesday, the necessity of shifting from dependence on oil to a diversified economy.
This came during the opening of the continuous casting factory/first phase, at the General Company for Steel Industries, in the Taji area, north of the capital, Baghdad, after it was rehabilitated, modernized and operated, with a production capacity of up to 600 thousand tons annually.
According to a statement issued by the Prime Minister’s Office and received by Shafaq News Agency,
the casting factory specializes in “melting and casting piles of scrap and converting them into iron billets (bilt) as a primary product ready for rolling, by investing in iron scrap, as it contains smelting furnaces and giant casting machines from the latest origins.” Global, and
this project will work to meet the country’s need for various iron products, provide job opportunities, and provide financial inputs to the General Company for Steel Industries, as a free share of revenues.
The ceremony included the signing of a partnership contract to establish a complex fertilizer production project in Baiji, Salah al-Din Governorate, with the Emirati company (ARJ Holding LLC), with a production capacity of (249) thousand tons annually of types of complex phosphate fertilizers, which will contribute to supporting the agricultural sector and meeting the local need for fertilizers. Fertilizers, in addition to employing labor.
During the opening ceremony, the Prime Minister saluted the working class in Iraq on the occasion of International Labor Day, and affirmed the commitment of the state and the government to caring for workers’ economic and social rights, stressing that the working class was part of the construction process at various stages, and at all levels in the sectors. Private, government and mixed.
He stated that the continuous casting factory came in partnership with the private sector, appreciating the role of the Ministry of Industry and the Minister and the capabilities of its workers, stressing the importance of moving strongly towards partnership with the private sector. To break out of previous traditional contexts.
Return of life to the steel industries
Al-Sudani explained that the continuous casting factory is the backbone for moving towards securing the needs of the rest of the industries and what the local market needs, stressing the return of life to the General Company for Steel Industries, through this factory, and we are waiting for the rolling mill project to be completed and to provide the types of iron that the local market needs..
Al-Sudani said, "We welcome our brothers and friends from the private sector in Iraq, and I applaud their step to invest with the companies of the Ministry of Industry and Minerals." He added,
“We have made important strides in guaranteeing the rights of workers at the level of legislation, the most important of which is the Labor Law, and the Retirement and Social Security Law for Workers, which was voted on in 2023,” explaining that
“The Social Security Law represents a qualitative leap in the level of guaranteeing rights in accordance with the standards of the International Labor Organization.” And the Arab Labor Organization. Al-Sudani also said,
“His government has set industry as a goal in economic reform, based on several facts. Iraq is an industrial country just as it is an oil and agricultural country,” adding,
“All the industrial components are available in Iraq, from raw materials and infrastructure to the industrial base to which the state has contributed significantly.” big".
He continued, "We have a market that needs all products, goods and services," stressing that
"the government is continuing to support the industrial sector, and the important investment opportunities announced by the Ministry of Industry are reaping their fruits today." He pointed out,
"We previously opened the rolling mill at the General Iron and Steel Company after stopping since 2003, and we are preparing to open the steel factory after completing its rehabilitation in the company itself." He added,
Self-sufficiency
"We opened the Dab fertilizer line factory, which secures the needs of the agricultural process in Iraq, as well as the urea fertilizer line," declaring
"reaching the stage of self-sufficiency in securing the fertilizers needed by the official agricultural plan." The Prime Minister continued,
“Within the current contracts, we are heading to the production of complex fertilizer, which will provide the fertilizer needs of farmers,” noting that
“several measures have been taken that contributed to the start of the localization of the pharmaceutical industry, after conducting a review with producers in the private sector.” Al-Sudani said,
“We described this year as a year of achievements, and we implemented it in word and deed by opening many projects,” noting that
“a large number of projects returned to work, after they had been idle for years, due to mismanagement, neglect, or failure to make decisions in projects.” a task". He stressed,
"We have no choice but to support industry, agriculture, trade, and tourism to achieve the transition from a country dependent on oil revenues to a diversified economy." He pointed out that
"the readings of international financial institutions on the high growth indicators in Iraq are evidence of the correctness of the government's path in following this policy," adding,
The Zim 2008-2009 printed Trillions [and Billion] Series aren’t FIAT money, they’re “Promissory Notes”.
Each and every note says “Promise to pay the bearer on demand” [as seen above]. Therefore it is illegal in every country per UCC Law [Uniform Commercial Code] not to honor.”
This means once Zimbabwe reinstate their new currency on the Forex Market, you will be able to redeem them at the new value.
Same for Iraqi Dinar.
Same for Vietnamese Dong.
You cannot do anything with either currency until they are officially on the Forex.
What country just announced they are ready to intervene into the Forex? Vietnam.
What country also announced they are preparing to reintegration back on the Forex Market? Zimbabwe.
This is where the rubber meets the road for all of us. So please understand this basic point of this entire process. Any demonitized paper currency in their country is to pave the way for new redesigned currency with better security features and a new modern application for new value added for the citizens in that particular country.
Participating in the global forex market would allow for increased liquidity of the Zimbabwean dollar, making it easier for individuals and businesses to buy and sell the currency.
A gold-backed currency could help stabilize the value of the Zimbabwean dollar, especially if the country maintains sufficient gold reserves and manages its monetary policy effectively. This stability could be further enhanced by participation in the forex market.
A more stable and globally traded currency could make Zimbabwe a more attractive destination for foreign investment, which could help stimulate economic growth and development.
Rejoining the forex market would make it easier for Zimbabwean businesses to engage in international trade, as they would have access to a more widely accepted currency for transactions.
Participating in the global forex market would require Zimbabwe to adhere to international standards and best practices, which could help improve transparency and accountability in the country’s financial system.
By having a presence in the forex market, Zimbabwe could potentially gain better access to global financial markets, making it easier to borrow funds and access other financial resources.
In Financial Inclusion Week, Al-Rafidain encourages the use of electronic payment in citizens’ transactions
Rafidain Bank participated in the activities of the Financial Inclusion Week in the presence of a wide range of financial and banking institutions.
During the participation of its special pavilion in commercial centers, gatherings and other places, the bank reviewed its services and products, including opening bank accounts, adopting electronic payment and collection, encouraging the use of electronic cards to reduce cash transactions, and introducing the importance of citizens saving their money in the bank instead of hoarding it at home.
In addition to the presence of a specialized team to answer citizens’ inquiries about other services.
Participation aims to educate the public about the importance of financial inclusion and the spread of banking culture to the furthest reaches of the country to include all segments of society. link
