Saturday, November 4, 2023
Weekend News with MarkZ. 11/04/2023
"RV UPDATE" BY MNT GOAT, 4 NOV
Mnt Goat
...in the news is yet more de-dollarization efforts as they convert the remaining of the border crossing stations all to “all dinars” only for custom fees. The Parliamentary Finance Committee renewed on Tuesday, its support for the Central Bank’s measures to control the exchange rate and address any obstacles..
.we learned that the new government of Al-Sudani made promises in his administrations curriculum to bring back the dinar stronger than the dollar. Is this why he has openly in public stated the dinar is already stronger than the dollar? Well then…where is it? As investors we wait for it.
Articles:
"NEARLY TEN BILLION DOLLARS IN IRAQI OIL REVENUES LAST MONTH"; "IRAQ IS AMONG THE LARGEST ARAB COUNTRIES IN GOLD RESERVES... INTERNATIONAL STATISTICS DURING 2023"
Yes, and still the dinar is at 1/6 of a penny. How outrageous is this that they still continue to manipulate the dollar in Iraq. We will see what happens in January when the CBI has reported they plan to cut off all dollars for imports. The dollars will dry up. So get ready Iraq…
Al-Mandalawi: The Next Stage Will Witness A Process Of Modernizing The Foundations Of Life In Baghdad, 4 NOV
Al-Mandalawi: The Next Stage Will Witness A Process Of Modernizing The Foundations Of Life In Baghdad
Political Baghdad – IA The First Deputy Speaker of the House of Representatives, Mohsen Al-Mandalawi, confirmed today, Friday, that the next stage will witness a process of modernizing the foundations of life in Baghdad.
The media office of the First Deputy Speaker of the House of Representatives said in a statement received by the Iraqi News Agency (INA):
“Al-Mandalawi stressed that the areas south of Baghdad deserve greater attention in terms of services and infrastructure development, and utmost efforts must be made to achieve this.”
During his meeting with a number of sheikhs and notables from the regions of southern Baghdad - Mahmoudiyah district, according to the statement,
Al-Mandalawi stressed “the necessity of working hard to eliminate the service and urban disparities between cities and regions located on the outskirts,” stressing,
“his daily follow-up of the process of providing services to citizens and monitoring the implementation of development projects for the budget.” "With those concerned."
He added, "The basis is providing public services to citizens," pointing out that "the next project will witness a process of modernization of all the foundations of life in Baghdad and its various regions." https://www.ina.iq/196650--.html
It takes 5 minutes.. Sudanese advisor: Launching the (Visa Direct) service will contribute to reducing the exchange rate, 4 NOV
It takes 5 minutes.. Sudanese advisor: Launching the (Visa Direct) service will contribute to reducing the exchange rate
Today, Friday, Fadi Al-Shammari, Advisor to the Prime Minister, Fadi Al-Shammari, considered the launch of the (Visa Direct) service for transferring money abroad a successful step that will facilitate the work of small merchants, stressing that it will contribute to reducing the exchange rate in the parallel market and its procedures take only 5 minutes.
Al-Shammari added, "The launch of banking work during the era of the current government is taking place with a new vision and modern mechanisms, and First Bank of Iraq is the first bank to launch a direct financial transfer service digitally through the (Visa Direct) service."
Today, Friday, Fadi Al-Shammari, Advisor to the Prime Minister, Fadi Al-Shammari, considered the launch of the (Visa Direct) service for transferring money abroad a successful step that will facilitate the work of small merchants, stressing that it will contribute to reducing the exchange rate in the parallel market, and the procedures take only 5 minutes.
Al-Shammari told the official agency, followed by (Al-Oula News): “The launch of banking work during the era of the current government is taking place with a new vision and modern mechanisms, and First Bank of Iraq is the first bank to launch a direct financial transfer service digitally through the (Visa Direct) service.”
He added, “This development is a major achievement that is linked in one way or another with the strategic vision held by the government and launched by the Prime Minister in financial, banking and economic management, and is also consistent with the new directions of the Central Bank in the process of re-evaluating, restructuring, organizing and maturing banking work in Iraq, and we are now witnessing the start of “It will have a significant impact on the commercial and banking reality in Iraq.”
He continued, “We hope that citizens will interact with this banking service, which will contribute to cutting off speculators in the black market, and the Visa Direct service will include many small merchants and will help them access a clear, explicit, official, and legal platform to transfer money abroad easily and conveniently, from account to account, at the official exchange rate.”
He pointed out that “this service will contribute to a decrease in the exchange rate in the parallel market within the framework of ongoing government work to regulate banking work.”
Earlier, the Central Bank of Iraq announced the launch of the “Visa Direct” service to facilitate financial transfers, in coordination with the international company “Visa” and cooperation with the First Bank of Iraq.
The bank confirmed that the “Visa Direct” service is for direct financial transfer to the bank’s customers in Iraq, and it was launched digitally for the first time through a special application, and each customer in the First Iraq Bank (FIB) can transfer five million dinars daily, and 13 million dinars monthly, which will be calculated at a price. Official exchange.
Central Bank Governor Ali Al-Alaq said during his speech at the service launch conference: “The Visa Direct tool came at the right time to facilitate transfer operations, especially simple transfers at the citizen level.”
He stated, “This tool facilitates the demand for foreign currencies and we are trying to expand access to these currencies in easy ways,” stressing that “the issue of foreign transfers, selling the dollar, and the exchange rate are fundamentally linked to employing as many electronic tools as possible.” link
Iraq’s 100 Trillion IQD Problem: “Hoarded” Notes Need to be in Banking System BY AWAKE-IN-3D, 4 NOV
Iraq’s 100 Trillion IQD Problem: “Hoarded” Notes Need to be in Banking System
On November 3, 2023
By Awake-In-3D
I found this article interesting. I do not know the position of the author, but it appeared in the Arabic-language news website Al-Sabah. What made it noteworthy for me was that it’s the first time I have seen a statement quantifying Iraq’s 100 Trillion IQD outside of Iraqi banks.
This means there is A LOT of IQD notes stuffed away, or “hoarded”, in Mr. Al-Mutwalli’s own words.
I have got to believe that many within Iraq’s economic and political echelons are fully aware that we all hold substantial amounts of IQD.
Or, do they actually believe that most of Iraq’s 100 Trillion IQD is under the mattresses of everyday Iraqi citizens?
Anyway, I seriously doubt that any of our notes will not end up in Iraqi banks until they revalue their currency. Food for thought.
“Official estimates indicate that 85% of the issued cash mass, which amounts to more than 100 trillion dinars, is outside the banking system…” Yasser Al-Mutawalli
Now onto the article…
The article discusses the issue of hoarded money, which is cash that is kept outside the banking system in Iraq.
This large amount of money is not being used for development because people do not trust the banks.
The central bank is trying to encourage people to deposit their money in banks by offering incentives. However, the lack of trust in banks is a major challenge. To restore trust, the article suggests the need for a deposit insurance company to guarantee deposits and provide clear and transparent information about its activities.
The fluctuation of the exchange rate also affects trust. Overall, the article highlights the importance of restoring trust in banks to encourage people to deposit their money and stimulate economic development.
Here is the original article…
Hoarded Money and Depositor Incentives
by Yasser Al-Mutawalli
November 1st, 2023
[Translated from original Arabic]
Official estimates indicate that 85% of the issued cash mass, which amounts to more than 100 trillion dinars, is outside the banking system, referred to as hoarded money outside banks. This means that this enormous amount of cash is disabled from performing its role in development. Since banks, through their credit policies, are the driving force behind economic development, their inability to perform this role is hindering our economy from progressing due to the decline in the performance of development banks.
Meanwhile, monetary policy is heading towards stimulating depositors to engage with banks. The recent circular from the central bank urged banks to facilitate procedures and create incentivizing interest rates to attract depositors.
What challenge does this approach face?
The trust factor is the most difficult and fundamental indicator for the success of attracting and mobilizing hoarded funds from the public to deposit them in banks.
Banks worldwide, in all advanced countries, are the primary engine of the economy through their lending policies that contribute to generating benefits for depositors and bank owners by investing funds and achieving profits. They also contribute to implementing projects, thus facilitating the circulation of funds.
However, the Iraqi banks have, honestly and transparently, lost the trust of the public. This is a deep-rooted problem inherited from the actions of some banks due to weak management and the alienation of depositors.
How can we restore trust in light of the new approach?
The public seeks guarantees (insurance policy) to be encouraged to deposit their savings, which requires facilitating deposit and withdrawal operations in an uncomplicated manner. However, the weak banking behavior of some employees and the complexity of instructions in a bureaucratic manner contribute to the public’s reluctance.
The term “insurance policy” refers to the officially designated entity responsible for deposit insurance in the event of the collapse of a specific bank. This is where the role of the deposit insurance company, recently established for this purpose, comes into play.
Here, I have a critical evaluation of the deposit insurance company, with transparency and clarity, stating that its performance is weak, sluggish, and poorly known. It requires the establishment of a regular and influential media unit to continuously market its activities. The company should provide guarantees to depositors by guaranteeing their funds with an official, signed document distributed among all depositors in any bank, holding legal responsibility for deposit insurance. Otherwise, why was it established?
Thus, it can provide partial security that encourages the public to deposit in banks and gradually restore trust.
We cannot ignore the impact of the fluctuation of the exchange rate of the dollar in creating chaos and undermining trust.
However, we are talking about the national currency, which is still strong and there is no problem in depositing and withdrawing it, with the guarantee of the company.
Source: https://alsabaah.iq/86507-.html
© Awake-In-3D | GCR Real-Time News
Ai3D Website: Ai3D.blog
Ai3D on Telegram: GCR_RealTimeNews
Ai3D on Twitter: @Real_AwakeIn3D
