Monday, November 13, 2023
"RV UPDATE" BY CLARE, 13 NOV
Clare
Article: "A government source reveals the outcomes of the meeting between the Central Bank and the American side" Quote: "It was agreed to enhance the advance balance of five Iraqi banks in their accounts in dollars with Jordanian banks and transfers via (JP Morgan), noting that the problems related to the rejected transfers were resolved..."
Article: "Intensive Iraqi-American meetings in the Emirates result in important decisions regarding external transfers of the dollar”
Quote: "The official Iraqi News Agency quoted a government source as saying that intensive meetings took place during the past few days in Abu Dhabi between a delegation from the Central Bank of Iraq and the American side responsible for foreign transfer operations to cover imports,
indicating that the negotiations culminated in a number of decisions and mechanisms that contribute to facilitating procedures. Regarding external transfers related to imports through the foreign currency sales window."
Iraq Eases Restrictions on Foreign Transfers: A Deep Dive into the Implications, 14 nov
Iraq Eases Restrictions on Foreign Transfers: A Deep Dive into the Implications
The recent agreements between the Central Bank of Iraq (CBI) and U.S. representatives mark a major milestone in easing restrictions on foreign transfers from Iraqi banks. The outcome of intensive meetings held in Abu Dhabi, these agreements are designed to streamline USD balances of Iraqi banks at Jordanian financial institutions, simplify transfers via JP Morgan, provide robust justifications for rejected transfers, and establish a UAE Dirham pilot at Iraqi banks. Final stage negotiations are also in progress to bolster balances of select Iraqi banks in euros at the UBAF bank, facilitating trade with the European Union.
Implications for Iraq’s Foreign Currency Exchange
However, the landscape in Iraq remains labyrinthine. The nation stands at a juncture, with the Coordination Framework necessitating hard choices. Political factions entangled in speculation and dollar smuggling operations face a stern blow as Iraqi authorities plan to prohibit external transactions in US currency starting January. This initiative, aimed at minimizing the circulation of physical dollars to forestall their use in dubious activities, follows concerns raised by the U.S. Federal Reserve over inconsistent efforts to stymie the use of physical US dollars and halt illicit flows to Iran.
Political and Economic Ramifications
The ban on external transactions in US currency could incite political forces to devise novel ways to circumvent these restrictions, potentially impacting the leadership of the Central Bank. Economically, the reduction in the circulation of physical dollars and the consequent ban will likely influence the Iraqi market, affecting trade and exchange rates.
Broader Geopolitical Context
In the backdrop of these developments, the wider geopolitical context in the region is worth noting. The ongoing tensions and conflicts, such as the situation in Gaza and the escalating tensions between Israel and Hezbollah, contribute to a complex and volatile environment. The recent flare-up in southern Lebanon, with Israel and Hezbollah exchanging fire, underscores the broader regional challenges that intersect with Iraq’s economic and political landscape.
The Role of the Central Bank of Iraq
The Central Bank of Iraq plays a pivotal role in these developments, managing the nation’s financial and monetary policies. The CBI’s efforts to ease restrictions on foreign transfers and navigate the challenges of foreign currency exchange are crucial for Iraq’s economic stability and its ability to engage in international trade. Simultaneously, the CBI also grapples with the impact of the ban on external transactions in US currency and potential attempts to evade these restrictions.
At the core of these developments lies the delicate balance between economic policies, geopolitical realities, and internal political dynamics. The decisions and agreements made by the CBI and U.S. representatives carry far-reaching implications for Iraq’s financial landscape. As Iraq stands at a crossroads, the path chosen will not only determine its economic future but also cast a long shadow over regional dynamics and geopolitical relationships.
New negotiations between Baghdad and the region to pass the oil and gas law, 13 nov
New negotiations between Baghdad and the region to pass the oil and gas law, 13 nov
On Sunday, Nermin Maarouf, the representative of the Patriotic Union of Kurdistan, announced that a new round of discussions between Baghdad and Erbil had begun to resolve their differences and establish long-term strategic agreements.
During an interview with [publication name], Marouf emphasized the importance of resolving salary disputes between Baghdad and the center and passing the oil and gas law.
According to her, the main reason for delaying the approval of the oil and gas law is the need for more consensus between the political blocs. She emphasized the need for the two parties to reach long-term strategic agreements to approve the oil and gas law.
She continued, “Despite progress made, the oil and gas issue and several other matters remain contentious between the involved parties. Nevertheless, we are optimistic and hope to reach final agreements soon.”
According to Sharif Suleiman, the representative of the Kurdistan Democratic Party, the oil and gas law is currently being reviewed by the government committee. He confirmed to “Al-Ma’louma” that a law proposal was submitted by the Kurdistan Region to the committee for consideration.
"RV UPDATE" BY MILITIAMAN, 13 NOV
Militia Man
Salaries, oil and gas, what do they need? Salaries need an exchange rate. Oil and gas need an exchange rate. 2023, 24, 25 budget need an exchange rate. All the contracts for housing need an adjustment to the exchange rate to be able to finish those things...It's fairly cut and dry...what are they looking for? They're looking for the exchange rate...It hasn't all happened yet. Why? Because it's obvious now. We're waiting them four in on that pinpoint. What is it? There's only one item I think is left to do...
Article quote: "The CBI, the federal Reserve signed deals to ease Forex transfers from Iraq after intensive meetings in the UAE..." ...Key in on this one key word - Ease...They say the process is poised to kick off in the coming days. They're in process of working to doing trade in globally acceptable international currencies ... Phenomenal stuff.
Iraq's assistance for ascension is a key indicator especially when they're talking about post ascension. That is powerful because if they're talking about post ascension it gives you the heads up that the game's on - They're ready to finish it...
At the moment we're at 1310. If you drop 3 zeros you have a number...The dinar at 1000...drop the 3 zeros, what are you at? You're at 1 to 1. That's the project to delete the zeros off the exchange rate. Not the currency. The exchange rate.
The second workshop the UNCTAD will put on through 11-14 November 2023. It is for Iraq's on going preparation for WTO accession... They are in it to the end now. They are in a place where they can have accession at anytime that the check boxes are checked...They are not waiting on any distant time frame. It is all a part of the process that they have to go through and the completion stage they are in...Just note, post assistance for Iraq and for after accession is a key indicator that they are in the completion phase..
Article quote: "It's not possible to import the dollar and secure in the local market without registering the dinar in the basket of Arab and international currencies." Bing! Wow, what did they just say? ...That's like going back to where they were in the past, that 'previous era'...
A New Step May Fluctuate The Dollar Exchange Rates.. What Do Economists Think?, 13 NOV
A New Step May Fluctuate The Dollar Exchange Rates.. What Do Economists Think?
Posted 12 seconds ago News source /newsroom News source/ newsroom Today, Sunday, the economic expert, Abdul Rahman Al-Mashhadani, explained the impact of the approval to enhance the dollar balance of 10 banks on exchange rates in local Iraqi markets, while explaining the repercussions of the decision.
Al-Mashhadani said, in an interview with the Maalouma Agency, that “visiting the balance of ten banks in dollars will be one of the factors that will reduce the pressure on the dinar.”
Because a portion of the financial transfers that pass through the electronic platform are rejected for some reason or without,” indicating that
“the past few days have witnessed the rejection of 80% of external transfers.”
He added, “The pressure will be eased on the dinar as well; Because the transfer transactions, or the transferees, instead of being audited by the US Federal Bank, will be audited by JP Morgan,” pointing out that “the latter’s scrutiny is more severe than the Federal Reserve Bank.”
The economic expert explained, “These banks have relationships, as partners, with international banks such as Al-Qantar National, Capital Bank, and the Kuwait Finance Bank, in addition to the Kuwait National,” noting that
“it is true that these banks are Iraqi, but the entry of the founding partners of these international banks, organized “To them.” Al-Mashhadani stated,
“The transfer mechanism will pass without the Central Bank of Iraq, especially after transfers were delayed by 8-20 days.
However, using this method, it is possible to pass financial transfers within a day or two.”
Earlier today, a government source revealed an Iraqi-American agreement to enhance the balance of 10 banks in dollars in light of the recent meetings of the Central Bank with the American side, five of which were through Citibank, and the other five through JP Morgan.
During the current period, the exchange rates of the dollar in the local markets are witnessing a significant increase, as the exchange rate of 100 dollars reached more than 164 thousand dinars, in light of large sales to the Central Bank of Iraq, on a daily basis. https://iraqakhbar.com/4105470
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Frank26 [Bank story] This time we didn't go down, we just called [the bank]... We said we want to see if we can exchange some cu...
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Bank appointment for Currency EXCHANGE Instructions/Checklist Bank Name_________________________________________ Bank 800#____________...
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Walkingstick All these meetings that the CBI had with all these agencies that were helping them with their monetary reform are done. Al...