" THE GOVERNMENT IS WITHDRAWING ITS HAND FROM THE DOLLAR BATTLE." BY MNT GOAT, 29 OCT

 THE GOVERNMENT IS WITHDRAWING ITS HAND FROM THE DOLLAR BATTLE.. THE SOLUTIONS ARE OVER AND THE MARKET IS “FREE” AT THE EXCHANGE RATE

Over the past weeks, silence has clearly overwhelmed the relevant authorities and authorities in Iraq at the governmental and banking levels in the face of the continued rise in exchange rates. In contrast to the past months, when the government and the central bank issued a package of quick decisions and measures immediately after the rise in exchange rates, except this time, with a break in… The exchange rate reached record numbers exceeding 160 thousand dinars per 100 dollars. It seems that the relevant authorities have “surrendered” in the battle for the dollar.

This matter can be reached not only from the absence of government and central bank measures that have come to prevent the smuggling of the dollar without taking measures to prevent its rise in the market, as the Central Bank previously issued various packages for this, but even in the statements of the Central Bank Governor, Ali Al-Alaq, and Prime Minister Muhammad Shiaa Al-Sudani, It clearly shows a “tone of surrender” and leaving the exchange rate without intervention, relying only on traders who buy dollars from the central bank and betting that commodity prices will not rise depending on these traders.

For example, the Governor of the Central Bank, Ali Al-Alaq, said last week during a session of the Ministerial Council for the Economy, that “the exchange rate depends mainly on imports and not on local production, and that the exchange rate in Iraq has peculiarities because it is linked to the price of oil as it is the largest source of providing hard currency,” noting. He pointed out that “many factors affect the exchange rate, the most important of which is the leakage of the dollar to neighboring countries and internal dealing in local markets in a currency other than the national currency, as well as the lack of complete control over ports and smuggling.”

Which means that the exchange rate will continue to rise as long as there is import, uncontrolled outlets, and oil pricing in dollars, as all of these conditions are sustainable and cannot be changed.

For his part, Al-Sudani said in a press conference yesterday, Tuesday: “We support some banks that we trust are good and have achieved success, in order to be part of the solution to the dollar crisis,” adding, “One of the problems we face is that Iraqi law does not contain strong penalties.” And strict measures against those who are arrested as speculators in the dollar exchange rate.” 

It is another indication that it is not possible to do anything, whether for speculators or for the rising dollar prices, in clear statements that are consistent with the Iraqi authorities’ tendency to leave the market dollar price file without interference, that is, more like a flotation. 

This is confirmed by economic affairs researcher Haider Al-Sheikh, today, Wednesday (October 25, 2023), stressing the difficulty of ending the crisis of the rise of the dollar in Iraq.

The sheikh told “Baghdad Today”, “The crisis of the rise in the dollar exchange rate does not end, and the central bank has become unable to control the market, and some banks, exchange companies, and merchants have manipulated the price of the dollar. ” He added, “This is because the Central Bank imposed any sanctions on banks, exchange companies, and merchants on the price of the dollar, which manipulate the exchange rate. Therefore, the dollar exchange rate will stabilize at 165 during the next two days, and will continue to rise further during the coming days. “

He pointed out that “there are problems in banking reform and major challenges facing the government, and the current dollar exchange rate in the markets is the price of currency speculators .”He added, “There are entities, private banks, merchants, and owners of banking companies who are seeking to keep the dollar exchange rate at the current price .”

https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/

Iraq’s Power Play: Controlling Kurdistan’s Finances, 29 OCT

Iraq’s Power Play: Controlling Kurdistan’s Finances

In the heart of Iraq, where history whispers of empires and civilizations, the modern day battle unfolds not with guns and swords, but with banks and employees’ salaries. This is a tale of power, economic control, and a struggle for autonomy, set against the backdrop of the ongoing conflict between the central government in Baghdad and the Kurdistan Regional Government (KRG).

Salaries as a Leverage

The finance committee of the Iraqi parliament has proposed a significant shift in the economic dynamics of the region. Over 600,000 employee salaries of the KRG are to be funneled through reliable banks in Iraq. This move isn’t merely a bureaucratic shuffle of funds, but rather an attempt to exert greater control over the finances of the KRG and to attenuate its autonomy.

The proposal comes amidst heightened tensions between the central government and the KRG, with the latter exporting oil independently of the central government. This act of economic defiance has strained the Iraqi economy, prompting Baghdad to cut the KRG’s share of the federal budget, leading to a financial crisis in the region.

Resistance and Repercussions

But this new proposal isn’t being received quietly. The KRG has resisted, viewing this move as a violation of its autonomy. They accuse Baghdad of attempting to control its finances and undermine its authority. Concerns have also been raised about the reliability of the banks and the potential for corruption and mismanagement.

The recent conflicts in the region that led to injuries and detentions have further strained the relationship between the two governments. These incidents underscore the volatile nature of the situation and hint at the potential for further escalation.

The Path Forward

To resolve these disputes, both sides need to sit across the table and engage in dialogue, to find a mutually acceptable solution. The distribution of salaries through reliable banks in Iraq could be a step towards achieving this goal. It could ensure that the salaries of KRG employees are paid on time and reduce the KRG’s reliance on oil revenues.

Yet, it is equally important for the central government to address the concerns of the KRG and ensure that the banks are reliable and free from corruption. Building trust between the two parties is key to creating a stable and prosperous future for Iraq.

In the grand scheme of things, the proposal to distribute the KRG employees’ salaries through reliable banks is just one piece of the puzzle. It’s a significant development, but only one of many steps needed to resolve the ongoing conflicts. As with any story that unfolds in the cradle of civilization, the outcome will have profound implications, not just for Iraq but for the whole region and beyond.

https://bnn.network/politics/iraqs-power-play-controlling-kurdistans-finances/

"RV UPDATE" BY SANDY INGRAM & RAYREN98, 29 OCT

 Sandy Ingram

  The other day a [Community Member] said...Coinbase was exchanging the Iraqi dinar on the platform. 

 Sure enough [we] found that Coinbase is allowing clients to trade cryptocurrency for the Iraqi dinar.  Further research shows clients can buy the Iraqi dinar using bitcoin...

RayRen98

   Question:  "...WHAT KIND OF PEEPS ARE EXCITED?"  

 RayRen RESPONSE:   "THREE LETTER PEEPS AND IRAQIS FOR SURE. BANK PEEPS ARE ON NOTICE FOR BEING CALLED IN OVER THE WEEKEND".

 "...FOREX TRADERS ARE BEING TOLD TO LOOK FOR RATE CHANGES ON FRIDAY OR SATURDAY...TIME WILL TELL"

Dinar RV News Today🔥Iraq Investing in Green Economy Worth $100 Billion💣M...

More than 100 billion dinars in fines from the Iraqi Central Bank on banks and exchange companies, 29 OCT

 More than 100 billion dinars in fines from the Iraqi Central Bank on banks and exchange companies

The Central Bank of Iraq announced on Sunday that the fines imposed on banks and non-banking institutions (exchange companies) amounted to more than 104 billion Iraqi dinars during the past nine months.

A table of the bank, seen by Shafaq News Agency, showed that the fines imposed on banks and financial companies during the past nine months, starting from January and until September, amounted to 104 billion, 769 million, 332 thousand and 606 dinars, indicating that “the fines also included 348 administrative penalties.” For these banks and non-banking institutions, there was a range of warnings, warnings, and grace periods.”

The table showed that “the month of April witnessed the highest fines for banks and non-financial institutions, as these fines amounted to 17 billion, 440 million, 383 thousand and 447 dinars, with administrative penalties amounting to 17 penalties, while the month of June witnessed the lowest fines, as they amounted to 8 billion, 353 million, 387 thousand and 476 dinars.” dinars with administrative penalties amounting to 50 penalties.

The table did not show the names of the banks on which fines and administrative penalties were imposed.

The Association of Investors in the Iraqi Stock Exchange had criticized, in early June, the Central Bank of Iraq's increase in fines on banks, noting that it would affect the profitability of investors in the shares of these banks.  link

Iraq is working to join the World Trade Organization (WTO), 29 OCT

  Iraq is working to join the World Trade Organization (WTO)

10/29/2023

 The Director-General of the Department of Foreign Economic Relations in the Ministry of Commerce, Riyad Fakher Al-Hashimi, discussed with the Deputy Director-General of the World Trade Organization (Sianchun Zhang) at the headquarters of the World Trade Organization in Geneva, Iraq’s accession to the organization.

The ministry stated in a statement, “In the meeting, Al-Hashemi reviewed Iraq’s current efforts and its plan for the next stage in completing the technical files required to be submitted to the organization’s secretariat and preparing them in accordance with the organization’s conditions and fruitful cooperation with international organizations supporting Iraq’s accession to the organization and its quest to obtain full membership in the organization.”

He noted that “The Minister of Commerce stressed his support for Iraq’s accession to the organization, and set timetables for completing all files in accordance with the visions of the current government and in implementation of the provisions of the government curriculum and the high cooperation and cooperation with international organizations.”

 For his part, Zhang expressed the organization’s support for Iraq and his readiness to provide the necessary support for the success of Iraq's mission towards achieving accession, directing the Organization's Accession Department to organize special events for Iraq to help it succeed in its mission and complete all the files required of it to hold the upcoming negotiating rounds. In the same context, Al-Hashemi referred to his meeting with the Director of the
Accession Department at the World Trade Organization in Geneva (Mika Oshikawa).

To review the steps taken by Iraq and the Ministry of Trade to complete the technical files that must be submitted to the organization during the coming period, which will be sent by the organization’s secretariat and the accession department to member states in preparation for holding the next negotiating rounds. LINK

"RV UPDATE" BY FRANK26, 29 OCT

 Frank26 

 The new exchange rate is the hope of the Iraqi citizens that they can't see yet.  It's unseen to them but yet the evidence is there...  

 Question "What is the next thing we are looking for?"  The exchange rate or the exchange rate and the new small category notes together simultaneously.

Why does the world want to pour into Iraq now when it's still a sanctioned programed rate?  The answer is because Sudani is showing them the Monetary reform mechanism and it includes a new exchange rate for a new national currency IMO...

You should know an "800#" doesn't exist.  That's stupid - One phone number for every bank in American? 

 In an ironic twist there is one 800# ...it's the U.S. Treasury.  When the blessing comes, pick up the phone and call the US Treasury...'Which one of your banks in the United States of America is exchanging the Iraqi dinar?' ...You'll have a big list of all the banks in the United States of American that are exchanging the Iraqi dinar...