GOLDILOCKS: ABOUT THE AGREEMENT BETWEEN CBI AND THE EMIRATES ISLAMIC BANK, 4 MARCH

GOLDILOCKS

Goldilocks - QFS Conversations ™ (Official Page), [02/27/2025, 8:45:44 a. m.]:

...si=8JmtJ6qvbMk7JZJo

"The Central Bank of Iraq announced the signing of a banking agreement with Emirates Islamic Bank. ...a mechanism that will allow individual customers of Iraqi banks in the near future to invest (partially) in Islamic bonds issued by Emirates Islamic Bank or other issuers with a similar credit rating in the United Arab Emirates. "

For retail investors to invest in bonds of another country, understanding and managing currency exchange rates is crucial, as the value of the investment in your home currency will fluctuate based on those rates. 

Here's a more detailed explanation:

Currency Risk:

When you invest in bonds denominated in a foreign currency, you are exposed to currency risk, meaning your return on investment can be affected by changes in the exchange rate between the foreign currency and your local currency. 

Exchange Rate Fluctuations:

Exchange rates constantly fluctuate, and a weaker exchange rate for the foreign currency could mean a lower return when you convert your investment back to your local currency. 

Impact on Returns:

The returns on your foreign bond investment, including both principal and interest, will be converted back to your local currency using the prevailing exchange rate at the time of conversion. 

Hedging Strategies:

To mitigate currency risk, you can consider hedging strategies, such as using forward contracts or other derivative instruments, to lock in an exchange rate at the time of investment. 

Financial Institution Role:

Financial institutions, like Raymond James, will confirm foreign currency trades in the U.S. dollar equivalent and highlight the risks associated with this type of investment. 

As a retail investor, it's important to understand the potential impact of exchange rate fluctuations on your investment returns and to consider your risk tolerance when investing in foreign bonds. 

Yes, a market exchange rate is absolutely necessary for retail investors in one country to buy bonds in another country, as it determines the conversion rate between the two currencies involved in the transaction. 

© Goldilocks

https://cbi.iq/news/view/2808

https://www.twentyfouram.com/education/fixed-income-101-comparing-yields-in-different-currencies#:~:text=Hedging%20the%20currency%20risk%20of%20a%20bond,done%20simply%20by%20using%20an%20FX%20forward.&text=Changes%20in%20monetary%20policy%20and%20exchange%20rates,when%20comparing%20relative%20value%20across%20different%20markets.

https://home.treasury.gov/data/treasury-international-capital-tic-system-home-page/help-files/frequently-asked-questions-treasury-international-capital-form-s-purchases-and-sales-of-long-term-securities-by-foreigners

MARKZ : They are positioned!, @DINARREVALUATION #iraqidinarinvestor #iraqidinar

 

Iraqi dinar hits nine-month high against US dollar, 4 MARCH

 Iraqi dinar hits nine-month high against US dollar

KurdistanIraqi dinarsUS dollarsCentral Bank of Iraq

ERBIL (Kurdistan24) – The Iraqi Dinar exchange rate has reached its highest level in the past nine months, with the currency strengthening against the US Dollar in both the Iraqi and Kurdistan Region markets.

On Sunday, the US Dollar was trading at 147,750 dinars, but it has since appreciated to 145,950 dinars, signaling a positive shift in the national currency’s value.

This significant improvement is largely attributed to the effective measures implemented by the Central Bank of Iraq. The bank’s consistent efforts in maintaining a steady supply of dollars, coupled with a decrease in demand for the US currency, have played a key role in strengthening the dinar. 

Despite rumors surrounding potential sanctions on Iraqi banks, the exchange rate has remained stable, providing further confidence in the resilience of the Iraqi economy.

Kurdistan24.net

EXCERPTS FROM MARKZ, 4 MARCH

 EXCERPTS FROM MARKZ

Member: Have you heard any good RV news over the weekend Mark?

MZ: There is a huge amount of hype going on for tomorrow. If I am hearing this- I am sure you all are hearing it too. Big expectations going on right now on the RV side. 

Member: So if it’s plastered all over the place….guaranteed no notifications will happen. 

MZ: I don’t know. By now, whenever everybody is saying its time. We all, at this point assume it’s not happening. We are numb. Boy who cried wolf , wolf, wolf…..noone believed him…no one was listening anymore……but finally the wolf was really there. So maybe this is positive

Member: Many think Trumps State of the union address to the nation will be big tomorrow night. 

MZ: And Kurdistan oil is supposed to start tomorrow as well. The pipeline is ready. So along with the State of the union speech…it should be a big day tomorrow. We may even see a softball pitch about Nesara. 

AJ: The Rv , It’s a deliberate decision made by the CBI!! @DINARREVALUATION #iraqidinarinvestor

 

Masa'iya" will return next Sunday.. The Iraqi parliament suspends its sessions this week, 4 MARCH

 Masa'iya" will return next Sunday.. The Iraqi parliament suspends its sessions this week

A source in the Iraqi parliament reported on Sunday that the parliament presidency has suspended sessions this week, and that they will resume next week.

The source told Shafaq News Agency, " The Iraqi Parliament Presidency informed the representatives that there will be no parliament session this week."

He added that " the council will resume its regular sessions on Saturday or Sunday of next week," indicating that "the sessions will be held in the evening after breakfast."   

Last week, the member of the Parliamentary Legal Committee, Mohammed Anouz, revealed to Shafak News Agency that the Parliament sessions during the month of Ramadan will be in the evening, i.e. after breakfast, to ensure the continuation of legislative work before the end of the current session .

It is noteworthy that the current session of the Iraqi Council of Representatives began on January 9, 2022, and is scheduled to continue for four years, which means that it will end on January 8, 2026 .

According to the amended Electoral Law No. 12 of 2018, legislative elections must be held 45 days before the end of the parliamentary term  .

Accordingly, the next elections are expected to be held in late November 2025 .  link

TIDBIT FROM PIMPY, 4 MARCH

 Pimpy 

Article: "Iraqi dinar hits nine-month high against the US dollar"

  This is good.  This means the Iraqi dinar has grown in value...It's not much of a jump but if you put things in perspective it seems like a pretty big jump signaling a positive shift in the national currency value.  

 We want this number right here [145,950 to 100 USD] to go down...

 -

 People going...Pimpy, he's a negative guy.  No.  I'm not a negative guy.  I don't understand how people get telling you the truth as something negative.

MAJEED: The relationship between the Iranian Toman and the Iraqi Dinar is inverse!! #iraqidinar

 

Mazhar Saleh: Geopolitical controls push towards shifting to official channels for currency trading, 3 MARCH

 Mazhar Saleh: Geopolitical controls push towards shifting to official channels for currency trading

Mazhar Muhammad Salih, the financial advisor to the Prime Minister, confirmed that the geopolitical controls imposed on informal trade contribute to expanding dealings with official outlets for foreign currency, which contributes to financing foreign trade through the sound international financial system.

He pointed out in his statement to {Euphrates News} that "this shift aims to move away from informal financing from the parallel dollar market intensively, especially with the change in the behavior of small traders in avoiding the parallel market linked to the countries' regional and geopolitical problems." 

Saleh added that "this shift comes in the context of the importance of increasing Iraq's foreign reserves and confronting money smuggling operations, in addition to facilitating external transfer operations through Iraqi banks that deal with international banking correspondents, at an official exchange rate of 1,320 dinars per dollar."

He also stressed that the end of the compliance platform phase adopted by the Central Bank of Iraq in the past two years and the country's entry into a new phase has contributed to providing great flexibility in financial transfers through official channels.   link

CRYPTO TRADER : Washington directly supervises the financial system in Iraq, 3 MARCH

 CRYPTO TRADER

#IQD MP: Washington directly supervises the financial system in Iraq. CBI just follows the UST.

They are waiting for the UST go ahead for any revaluation.

As long as US has Iraqs oil sale proceeds,CBI can do nothing on their own . The political posturing in Iraq ove US influence is just for show.

They have signed the strategic framework treaty. nothing they can do about it. If it's in CBI hands they would have done it. US wants any revaluation to reach the grass roots and not end up in the hands of vested interests who serve their Irani handlers.

12:07 PM · Mar 3, 2025

AJ: The One Dinar Mystery @DINARREVALUATION #iraqidinarinvestor #iraqidinar

 

Al-Sudani receives a delegation from the Chinese company (Power China) to review the projects it is implementing in Iraq, 3 MARCH

 Al-Sudani receives a delegation from the Chinese company (Power China) to review the projects it is implementing in Iraq

Prime Minister Mohammed Shia Al-Sudani received today, Sunday, the CEO of the Chinese company (Power China) Chen Guan Fu, and his accompanying delegation.

A statement from the Prime Minister's Office stated that during the meeting, the projects implemented by the company in Iraq were reviewed, including solar energy projects, combined cycle projects and gas stations, within the framework of government orientations seeking to diversify energy sources.

Al-Sudani was briefed on the plans and procedures followed to implement these projects, and the mechanisms for expanding the work of the Chinese company based on the plans set by the government, in addition to discussing joint projects with the Iraq Development Fund, especially in the field of investing and implementing clean and renewable energy projects in Iraq.  link

TIDBIT FROM FRANK26, 3 MARCH

 Frank26 

  IMO at this point in the monetary reform they are so close to giving the citizens the new exchange rate which means we are so close to giving the new exchange rate to the enemy,

 to parliament and that's why Sudani wants all of the systems up and running and that's why the Secretary of State came and made sure that's being done so we can detect every stealing that would occur ...

All of these moves from Sudani are because he's being guided by the United States Treasury and Donald Trump to make sure this time we hit the mark.

PIMPY: This means the Iraqi dinar has grown in value!! @DINARREVALUATION #iraqidinarinvestor

 

Al-Sudani receives a delegation from the Chinese company (Power China) to review the projects it is implementing in Iraq, 3 MARCH

 Al-Sudani receives a delegation from the Chinese company (Power China) to review the projects it is implementing in Iraq

Prime Minister Mohammed Shia Al-Sudani received today, Sunday, the CEO of the Chinese company (Power China) Chen Guan Fu, and his accompanying delegation.

A statement from the Prime Minister's Office stated that during the meeting, the projects implemented by the company in Iraq were reviewed, including solar energy projects, combined cycle projects and gas stations, within the framework of government orientations seeking to diversify energy sources .

Al-Sudani was briefed on the plans and procedures followed to implement these projects, and the mechanisms for expanding the work of the Chinese company based on the plans set by the government, in addition to discussing joint projects with the Iraq Development Fund, especially in the field of investing and implementing clean and renewable energy projects in Iraq.  link

AJ UPDATE, 3 MARCH

 AJ 

Iraq becomes the first Arab country to adopt digital currency as a replacement for cash. (CBDC) In an attempt to modernize the financial system and improve transparency, the Central Bank of Iraq is getting ready to launch a digital currency.  By using developments in financial technology, the project seeks to progressively replace physical currency. The introduction of a central bank digital currency (CBDC) would represent a significant shift in Iraq's payment system, enhancing financial efficiency and supervision, according to Mazhar Muhammad Saleh, the prime minister's finance adviser. Saleh claims that the shift to digital currency would prevent uncontrolled cash transactions, cut down on cash leakage, and lessen the cost of making and distributing paper money.  By giving authorities the ability to trace financial flows, keep an eye on spending, and strengthen monitoring of capital transfers, the action is also anticipated to increase financial transparency.  It will also assist control international transactions and bolster Iraq's anti-money laundering policies. By giving underprivileged groups access to banking and promoting wider economic integration, the adoption of digital money is also seen as a step toward greater financial inclusion.  To safeguard financial activities, Saleh underlined that the transition calls for a strong technology foundation, including safe internet networks and cutting-edge cybersecurity tools. Additionally, he emphasized the need of public acceptability and urged government agencies to spearhead the adoption by incorporating digital payments into official transactions and tax collection. The digital currency would enable online and mobile transactions while preserving conventional monetary functions like a unit of account, medium of exchange, and store of value, helping to create a more effective and stable financial system in Iraq.

12:13 PM · Mar 3, 2025

ARIEL : The revaluation of the Iraqi Dinar is for the 'New Republic'! @DINARREVALUATION #iraqidinar

 

Frank26: "ONCE AGAIN CBI REACHED TO THE INTERNATIONAL THEATER, NOT AT 1310!!!", 3 MARCH

 KTFA

Frank26:  "ONCE AGAIN CBI REACHED TO THE INTERNATIONAL THEATER, NOT AT 1310!!!".....F26

CBI Governor announces integration of Iraq's e-payment system with global networks

 2/26/2025  BAGHDAD

The Governor of the Central Bank of Iraq, Ali Al-Alaq, announced on Wednesday the details of electronic payment in all of Iraq, he pointed out that the financial inclusion rate has increased to more than 40 percent, he emphasized that the bank has achieved international integration by linking the Iraqi electronic payment system to global networks

Al-Alaq said in a speech during the ninth annual exhibition and conference for finance and banking services in Iraq, which was attended by a reporter of the Iraqi News Agency (INA): “There is a complete roadmap for the digitization of banking services through electronic payment as a key tool for digital transformation, as the number of devices reached 63 thousand devices in the governorates of Iraq.”

“The number of ATMs has reached more than 4,000 devices and the number of bank cards is about 17 million,” he added.

“The Central Bank supported the licensing and operation of mobile e-wallets that allow charging, transferring and paying bills, which raised the rate of financial inclusion to more than 40% compared to 20% three years ago,” he said.

“ The number of permanent wallets has reached one million and 200 thousand wallets, and we have achieved international integration by linking the Iraqi electronic payment system to global payment networks, allowing the transformation of the acceptance of foreign cards locally and expanding the acceptance of Iraqi cards internationally,” he said.

“The achievements in the field of information technology and electronic payments at the Central Bank are a fundamental shift in the financial system,” he said.  LINK

TIDBIT FROM MARKZ, 3 MARCH

  MarkZ   

[via PDK]  

Question: Mark did Iraq ever revalue their currency before or will this be the first time? 

 MarkZ:  Iraq has revalued its currency 4 times in the last 120 years. There is a lot of historic precedence for this.  I believe it was in the 1970’s that we last saw Iraq RV a major move “up”.

 Bond people possibly starting  getting paid has nothing to do with the rate we will get on currency. 

They are two separate gigs. But if they are starting to receive dollars - it  very much tells us it is soon. Do we know when? No we do not. Not yet... Some of the bond facilitators have gotten spendable dollars

AJ: The One Dinar Mystery ‪@DINARREVALUATION‬ #iraqidinarinvestor #iraqidinar

 

Iraq and IMF announce new steps to strengthen national economy, 3 MARCH

 Iraq and IMF announce new steps to strengthen national economy

Wawazine News – Economy

The Iraqi Ministry of Finance announced on Sunday the results of the meetings that took place with the International Monetary Fund in the Jordanian capital Amman, where it was agreed to intensify efforts to expand cooperation with foreign correspondent banks, in a move aimed at enhancing financial stability and supporting the national economy.


A statement issued by the ministry, received by Mawazne News

The Iraqi delegation, headed by Finance Minister Taif Sami Mohammed and the Governor of the Central Bank of Iraq, concluded its meetings with the International Monetary Fund from 24 to 26 February 2025, where Iraq’s economic performance and prospects for sustainable growth were discussed, indicating that the progress achieved in various economic sectors was assessed.


The statement pointed out that the discussions focused on macroeconomic indicators, as a significant growth in non-oil GDP of 5% was recorded for 2024, supported by the expansion of the agricultural sector and increased public spending, indicating that growth was expected to continue by 3.5% in 2025, reflecting an improvement in economic diversification and reducing dependence on oil, which enhances the stability of the national economy.


The modernization of the public debt strategy was also discussed, stressing the importance of developing the banking sector to support investments and attract foreign capital, contributing to improving financial stability.

The International Monetary Fund stressed its support for Iraq in developing fiscal policies by providing consultants and experts to help the ministry manage public debt and improve the tax system.


Within the framework of promoting financial stability, it was agreed to intensify cooperation with foreign correspondent banks, which contributes to facilitating foreign trade financing and promoting the use of the Iraqi dinar in major transactions.


In conclusion, the statement stressed that the meetings confirmed the continued progress in financial and economic reforms, reflecting the commitment of the Iraqi government to achieve financial sustainability that supports development and drives investment, in light of an ongoing strategic partnership with the International Monetary Fund.