Thursday, November 16, 2023
"STATUS OF THE RV" BY MNT GOAT, 16 NOV
STATUS OF THE RV
Did you hear the recent news in Iraq? The speaker of the house Muhammad al-Halbousi, today, Tuesday was ousted from his speaker position and now they have to select another speaker. Does this parallel to the U.S. politics sound familiar? Does it sound weird? Can you see God’s Hand at work here? The prophets told us the corrupt will be unseated, everything that can be shaken will be shaken. Even the Iraqi people see this as kind of “strange”.
I quote from today’s article – “Speaker of the House of Representatives, Muhammad al-Halbousi, today, Tuesday, considered the Federal Supreme Court’s decision to terminate his membership in the Council “strange,””.
I have to say this is the most obvious since the US House of Congress also just ousted the house speaker Kevin McCarthy and replaced him with Mike Johnson.
Still don’t believe me that there are parallels going on between these two countries to clean up the corruption? Still don’t believe me that this corruption must be dealt with in order for us to see the RV we want? Think about all the corruption just since last January and the changes made in dealing with the dollar.
I quote from a couple very recent articles – “The National Security Agency announced on Wednesday the arrest of one of the “most dangerous” speculators and smugglers of tens of millions of dollars a day”. Then last week there was this article and I quote – “Economist Nabil Al-Marsoumi spoke today, Wednesday (November 15, 2023), about the routes and methods of smuggling oil and its derivatives from Kurdistan to Iran and Turkey.”
Wednesday intel call to my contact at the CBI:
Okay, so I had my normal Wednesday call to Iraq. I wanted to come to you today also to fill everyone in on what was said-
I was told there was a TV media output broadcast that told the citizens the official rate of the dinar would be over $1 in the coming days. Thy used the PM Al-Sudani in a speech like format to explain most of it. I was promised a video of the speech and so I wait for it. This was part of the committee team work to set all this up. This is part of the education process. So, it did begin. It is mid-November as they previously told us it would.
I don’t know exactly what “coming days” means and so I asked. I was told that the process of the revaluation is now in motion and they expect to begin issuing the newer lower denominations to the banks in exchange for the larger 3 zero notes they have collected in accounts very soon. Also, when they do distribute the lower denominations to the public for circulation, they will start at the airports first so anyone coming into Iraq can exchange whatever foreign currency they do have for Iraq dinars and vice versa, as they are only going to use dinars exclusively as of January 1st, 2024 in Iraq. This is also why they needed and allowed to let the banks now hold other foreign currencies besides dollars.
For example:
If you are visiting Iraq coming from Venezuela why would you need Bolivar in Iraq if merchants and hotels in Iraq only take Dinars? So, you would not. You would exchange your Bolivars for Dinars just like you would do in any other country either before your trip, at the airport when you arrive, or you find a bank when you arrive. Welcome Iraq to the real world….at last!!!! Lol..lol..lol..
For example:
I visit family in the U.S. and have made many trips back to America from Germany, as I only married a German man but I am American. We use the Euro in Germany, but when I take trip to America, I know I will need US dollars since dollars is what merchants take in America. Why would I take Euros to use in the U.S. since no one wants them or will take them. So, I either exchange my Euros for U.S. Dollars at Deutsche Bank in Germany prior to my trip to the US or at a U.S. airport when I arrive or also sometimes just take out cash dollars using an ATM once in the US by using my international VISA card.
So, knowing all this, Iraq is just moving now to standard protocol in money exchanging. This is such fantastic news. As of January 2024 there will be no more program rate. Get it? There will be no more dollars taken by any merchant in Iraq.
But what is the timing of the switchover, I asked?
First let me say it is not going to be a sudden switchover all at once, as many of us anticipated. I was told it would be more gradual and has already begun. So, there is no turning back. They would not give me a target but just said in the ‘coming days” again to me. They said it would be gradual and fan out from the airports. This made total sense to me, so I didn’t question it. But it was a little different then I imagined.
It seemed my contact in the CBI was bragging about the final steps and paperwork for the full membership of Iraq to the World Trade Organization (WTO) and to look for the official announcement this week or sometime next week. But it is completed. I asked if Iraq needs an international rate of the dinar in order for full membership. I was told and I quote from my source – “Iraq needed a tradable international currency”. I asked if this means liberated back on FOREX trading and was told YES! So, We are VERY close! 😊 These two events are converging (WTO and Reinstatement).
Based on this latest conversation with my CBI contact, it could be said that they might be planning to RV prior to January, but personally I do not see it until January but who knows after this conversation. But don’t be fooled by all the final steps they are now taking lining up to the final target of January 2024. They might surprise us before, but I am skeptical. I will tell you I have never received such good information before and I don’t believe my contact would ever lie to me.
So, based on this information the climax in the US politics must also happen this month or very shortly, as the prophets have been talking about now almost daily. Something must break with all the corruption happening there too.
THE OIL AND GAS LAW RETURNS TO THE FOREFRONT… PARLIAMENT SPECULATES ON THE DATE OF ITS LEGISLATION AND DETERMINES THE REASONS FOR ITS DELAY, 16 NOV
THE OIL AND GAS LAW RETURNS TO THE FOREFRONT… PARLIAMENT SPECULATES ON THE DATE OF ITS LEGISLATION AND DETERMINES THE REASONS FOR ITS DELAY
(and it will continue until this commitment to get it done is completed. )
Today, Sunday (November 12, 2023), the Parliamentary Legal Committee commented on the latest developments in the legislation of the oil and gas law, by the House of Representatives, according to the political agreement between the blocs and parties.
Committee member Arif Al-Hamami told “Baghdad Today” that “legislating the oil and gas law requires the existence of a political agreement on the terms and paragraphs of the law, and this agreement does not currently exist,” pointing out that dialogues are continuing regarding it between the technical and legal committees between the central and regional governments.
Al-Hamami stressed that “there is seriousness on the part of the Iraqi government to legislate the oil and gas law due to its importance in regulating financial and oil relations with the region, but legislating the law requires careful study, and we believe that legislating the law will be the beginning of the new legislative chapter, that is, after the provincial council elections.”
The American Consulate in the Kurdistan Region confirmed on Tuesday (November 7, 2023) that it is following up on the issue of resuming the export of the region’s oil abroad, considering that resolving the disputes resulting from the lack of financial revenues in the region and ratifying the oil and gas law is a priority for it.
The Ministry of Natural Resources in the Kurdistan Regional Government said, “its Minister, Kamal Muhammad, received the new American Consul General in the Kurdistan Region, Mark Straw,” noting that the latter “expressed his country’s readiness to invest in the electricity, energy, and oil sectors.”
Straw said, according to the ministry’s statement, “We are closely following the issue of resuming the export of Kurdistan region’s oil abroad, and we know that stopping exports has had a significant impact on public financial revenues in the region,” noting that “solving the problem of lack of revenues in the region and ratifying the oil and gas law represents a priority.” Regarding Washington’s policies and agenda.”
In turn, the Minister of Natural Resources in the Kurdistan Regional Government, Kamal Muhammad, praised the American role in contributing to solving the problem of the cessation of oil exports in the region abroad and the problems related to the oil and gas law.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/THE CENTRAL BANK ACHIEVES ONE OF THE MAIN OBJECTIVES OF MONETARY POLICY IN 2023, 16 NOV
THE CENTRAL BANK ACHIEVES ONE OF THE MAIN OBJECTIVES OF MONETARY POLICY IN 2023
Economy News-Baghdad
The objectives of the monetary policy of the Central Bank are to achieve economic growth and stability, and one of its main objectives is to reduce inflation rates and stabilize the prices of goods and services in very complex economic, security and political conditions in 2023 that the world is going through, especially the countries of the geographical region, in which our country is negatively and positively affected.
And that these conditions have been suffered by our economy for decades
, and the reason is the rentier economy and the dependence of 93%
as a rate of the general budget on oil, which constitutes about 60% of GDP, while the active economic sectors, namely agriculture, constitute 4.7% and industry does not exceed 2%,which are indicators that led to the lack of local production that covers the consumer need of citizens in food and other basic materials, so the dependence was almost entirely on imports for the commercial private sector and from different origins, and successive governments could not control of internal trade and regulation of foreign trade and weak control over illegal trade and informal border crossings, which led to the impact of the monetary and commercial market and the prices of food and necessary materials for citizens at high rates during the years 2021 and 2022, so this indicator was the most prominent challenge that faced monetary policy and directly affected the stability of the exchange rate, which led the Central Bank to take many measures in cooperation with the government in 2023 to regulate foreign trade and control over foreign remittances.
And regularity in the global financial and banking system by developing the electronic platform and working on preparing and launching a new strategy for reform and banking classification in all its basic episodes at the level of internal and external banking transactions, the most prominent of which is securing the US dollar for large and registered traders and for each trader, regardless of his classification at the official price through the platform exclusively, which helped to reduce prices.
This was achieved through the analysis of the annual inflation rate indicators for 2023, which was published by the Central Bank compared to the annual inflation rates for 2022 achieved in Iraq and in regional countries, where it is clear from official data that the annual inflation rate reached 3.7% in 2023 and 4.4% in 2022, and that most other countries with unstable economies reached Inflation rates have very high rates, reaching 80.2% in Turkey, 117.4% in Sudan, 40.0% in Iran, 9.3%, 9.0% and 5.0% respectively in Egypt, and ranged in the Gulf countries with stable economies and rich in oil between (2.4-4.8%).
Maintaining the general level of prices of goods and services is currently working to achieve other goals, which are the stability of the exchange rate and the maintenance of foreign reserves covering the local currency in circulation and imports, which exceeded 100 billion dollars.
Therefore, the economic results and outputs confirm that the policies and measures carried out by the Central Bank this year have achieved an important goal of achieving stability in the monetary system, which is an important step in achieving the other objectives of monetary policy.
"RV UPDATE" BY PIMPY, 16 NOV
Pimpy
There are a lot of things happening in Iraq that are contributing to the growth of their economy and the strengthening of their currency. If Iraq could just get out of their own way.
I haven't been this excited about Iraq in a long time. I remember in 2019 they were really striving, making great steps and then everything kind of fell apart and then we had the whole "Rona" thing took place and it just seemed like they could not get their head above water. But this past year, everything is looking pretty good.US Dollar Strengthens Against Iraqi Dinar in Baghdad and Erbil Markets, 16 nov
US Dollar Strengthens Against Iraqi Dinar in Baghdad and Erbil Markets, 16 nov
In a noteworthy economic development, the US dollar has seen a significant rise in value against the Iraqi dinar in the markets of Baghdad and Erbil. The exchange rate in Baghdad’s Al-Kifah and Al-Harithiya stock exchanges hit 157,850 dinars for 100 US dollars, escalating from the earlier rate of 156,500 dinars. Responding to this change, local exchange shops in Baghdad revised their rates, with the selling price surging to 158,750 dinars and the buying price set at 156,750 dinars for every 100 US dollars.
Impact on Erbil’s Market
In Erbil, the market too demonstrated similar behavior, with the selling price recorded at 158,500 dinars and the purchasing price at 158,400 dinars for every 100 US dollars. These fluctuations in currency exchange rates offer a mirror to the economic dynamics within Iraq and hint at potential implications for various sectors, including business and trade.
Factors Influencing Currency Fluctuations
Economic expert, Nabil Al-Marsoumi, forecasts a future spike in the dollar’s price, attributing it to unresolved issues related to trade with Iran and Syria. Contributing factors such as the dual tax and customs tariff systems in Iraq, unauthorized ports, inadequate control over official border ports, and the distribution of goods beyond the electronic platform, also play a significant role in these currency rate fluctuations.
Relevance and Implications
The surge in US dollar prices in both Baghdad and Erbil markets holds high relevance, underscoring the intricate dance of global economics. These fluctuations not only affect the Iraqi economy but also hold implications for international trade and finance, making it a topic of global relevance. As the situation continues to evolve, market watchers and stakeholders alike will be keeping a close eye on this economic saga.