In euros and yuan.. The Sudanese advisor explains the mechanism of working in the “equal deal” for trade exchange
On Wednesday, Mazhar Muhammad Saleh, economic advisor to Prime Minister Muhammad Shia al-Sudani, explained how the “equal deal” for trade exchange works.
Saleh explained that the equal deal involves financing trade exchange between countries using a mechanism of settlement and payment in their respective local currencies.
In simpler terms, trade exchange involves facilitating the trade of commodities between two countries. During this process, the settlement and payment are carried out using the currencies of both countries. As a result, each country retains the currency of the other country.
He explained that the trade process between any two countries in the world is conducted based on free competitive principles. The goods exchanged are priced in the local currency with a fixed exchange rate between the two local currencies. This simple commercial application is currently being used by some Gulf countries with countries like China or India.
According to a government source, Iraq is currently pursuing an “equal deal” initiative whereby trade and imports will be exchanged with certain countries like China and India, using their respective currencies instead of Iraq’s main trading partners like India, China, and some neighboring countries.
Iraq Central Bank Strikes Key Deals To Bolster Currency Reserves
ICB faces criticism over unconstitutional currency import methods
Iraq’s Central Bank has initiated agreements with foreign countries to enhance the reserves of Iraqi private banks in various currencies, amidst growing domestic challenges. These developments come amid calls for a no-confidence vote against the bank’s governor due to economic pressures and the declining value of the Iraqi dinar against the US dollar.
According to the Iraqi News Agency, the bank and US officials have reached an agreement to bolster the reserves of 10 Iraqi banks with US dollars. The agreement, made in Abu Dhabi, allows five banks to work with Citibank and another five with JP Morgan. Furthermore, the bank is increasing the number of banks permitted to hold reserves in the Chinese Yuan through the Singapore Development Bank to 13, with two banks already strengthening their reserves in Indian Rupees.
These measures are aimed at supporting nearly 95% of Iraq’s foreign trade needs, which rely on foreign currencies. Additionally, the bank is exploring ways to boost Iraqi banks’ balances in Emirati Dirhams, Euros, Chinese Yuan, and Indian Rupees, particularly for financing imports in the pharmaceutical and food sectors.
The bank’s decision to allow private banks to import foreign currencies via commercial flights has sparked controversy, with critics labeling it unconstitutional. This has contributed to a parliamentary motion to remove the bank’s governor, who is also facing criticism for failing to stabilize the dinar’s value against the dollar, despite a government-approved currency revaluation earlier this year.
I still continue to hear from Iraqi sources that come hell or high water they are going by the first of Dec. I continue to hear fantastic things about the progress and how Iraq has positioned itself to force this across the finish line. I’m excited as to where we are... Question: Many said RV is going to happen this weekend, what do you think? MarkZ: The chatter is phenominal…so its possible.
Article: “Baghdad reveals new economic package to further de-dollarize trade” Of course the goal is to strengthen the dinar. This one is from the Express Tribune “Unshackling the Iraq Dinar” Talking about how Iraq has a plan to unshackle themselves from US dealings…and is aligning themselves with BRICS and new emerging global commodities. Part of that process is strengthening the dinar…removing the 3 zeros…(not a lop). These are great… They are coming from main stream
worldwide news sources and are talking about exactly what we are expecting. The Strengthening of the dinar…de-dollarization...and return of commodities backing their money.
I have had more banking confirmations ...saying that all we are waiting for is a “GO” and any final instructions for anything that may have changed last minute. I talked to some banking sources…and it is overwhelming the banks saying we are at “any moment” and a number of them are saying it’s this week. The sheer number of bank sources from different banks (3 regional banks and 4 major banks) that were told to get ready for any moment this week...Whether it is this week or not - the chatter is sure great.
A source for “Al-Iqtisad News”: Private banks and exchange companies express their preparations to reduce the exchange rate
11/16/2023 Baghdad
Today, Thursday, a source revealed moves being made by the private banking sector and exchange companies aimed at raising the value of the dinar against the dollar.
The source, who preferred to remain anonymous, said in an interview with Al-Eqtisad News, “ Private banks and exchange companies are showing great preparations, collectively and in coordination, to reduce the price of the dollar ,” noting that “this will be through expanding engagement with the official market and its high capabilities.”
He added, "There are ongoing meetings to discuss several options that the market will undertake by itself to impose stability in the exchange rate LINK
Kurdistan's Council of Ministers discusses oil export resumption negotiations, 17 nov
Shafaq News/Kurdistan's Council of Ministers convened its regular weekly meeting today, chaired by Prime Minister Masrour Barzani and attended by Vice President Qubad Talabani.
The session addressed a range of topics on its agenda, focusing on the outcomes of joint talks between the Iraqi Ministry of Oil and the Kurdish delegation on the 12th and 13th of November regarding the potential resumption of Kurdistan Region oil exports.
A statement by the government said that the Prime Minister and relevant ministers presented an overview of the discussions held between the Kurdistan Regional Government (KRG) and the federal government delegation.
The federal delegation, led by the Deputy Prime Minister for Energy Affairs and the Federal Minister of Oil, engaged in several days of talks in Erbil.
Prime Minister Barzani reiterated the readiness of the Kurdistan Region to promptly resume oil exports, aligning with constitutional principles and respecting the constitutional powers and rights vested in the Kurdistan Region. He expressed hope for swift progress on the federal government's part to expedite preparations for the resumption of oil exports.
The Council of Ministers welcomed the positive trajectory of negotiations surrounding exporting the Region's oil, emphasizing its mutual benefit.
The cessation of oil exports had led to significant financial losses in the public treasury, amounting to billions of dollars. The Council stressed the importance of safeguarding the rights and entitlements of the Kurdistan Region in adherence to the Constitution.
Furthermore, the Council directed the Kurdish government delegation to persist in their efforts and discussions to ensure a favorable resolution in the ongoing negotiations. The resumption of oil exports holds significant economic implications for the Kurdistan Region and the broader federal government, emphasizing the shared interest in a cooperative and constructive outcome.
Welcome, everybody to the big call tonight. It is Thursday, November 16th and you're listening to the big call. Thanks for tuning in all over the globe. We were in 174 countries on Tuesday night with
17.9 million Listeners or something 17.9 million - fewer countries but more listeners per country - Thank you for listening everybody in big call universe. Glad to hear you that are out there and we're reaching you -
All right, let's get into some intel. I do believe there's a very good chance that this will be our last call tonight.
Any further communication would be something like pre recorded and put on a podcast with a link that you would get in an email that you would click on and listen to at your convenience in your own time -
This is an interesting time because some of this intel came in just an hour and half before the call started - some of its very fresh –
We talked last Tuesday about the ISO 200 2022 and that regulation - and compliance with the regulation.
We got a clue that it might be activated as early as midnight last night on the 15th of November. And it was - it was activated and it is to be fully implemented – alright - here's the process - at 10 minutes before midnight, Saturday night - It gets implemented - And then by midnight, Sunday night it is fully activated, fully implemented, complete.
And it should actually complete before then because all the countries currencies being traded on the Forex starting at five o'clock Eastern on Sunday 5 o'clock Eastern Standard Time Sunday evening. So it's pretty much in play by then - but to be completely implemented by midnight, Sunday night.
All right. There's a window of activation for the ISO 200 2022 coming into play. We could probably expect the Iraqi dinars international rates to be out in that time window - I would think it would be ready by and we're hearing supposed to be printed in the Gazette for Friday, Saturday.
Saturday is their normal print day. I wouldn't doubt that it comes out Friday or Saturday. Finally, I know we're tired we're talking about the Gazette – HCL law is also supposed to be mentioned they brought up printed in the Gazette to - for some reason they want that out too – I don’t think it matters to the rest of the world but it's certainly matters to Iraq and probably the Middle East . So that should be in there as well.
But when we get back to us, here's the really interesting thing that we got later on - what we got to do.
The admiral - we don't get into a lot usually talking about the admiral or the admiral’s group / groups
on this call there are a number of admirals groups that are private groups which are set up by Admiral Bob - years and years and years ago. - He got to know doctor Shabibi - of the central bank of Iraq - the CBI.
Shabibi ran the CBI for quite a while and he met with and had a relationship /of friendship / with beyond friendship due to the relationship that they had – such that Admiral Bob - become a sovereign, individual sovereign not of contracts. Not an agreement, but a treaty with Iraq through Shabibi – a treaty on the Iraqi dinar - which we all knew and years and years ago, I heard this from some of my friends.in the admirals group - I believe that the admiral would be the first to bring in exchanges on the Iraqi dinar in this country In the US.
And we got confirmation again. That is to be the case that the Admirals group to go first, To kick off the exchanges that we're looking forward to happening for the dinar and the other currencies, as well as the redemption of Zim notes - which are bearer bonds – says it right on a note payable to the bearer.
So here’s where we stand on that - Okay, what we have heard today from high up in Wells Fargo - is that the admirals group will start either overnight tonight or tomorrow. And that means hydrating the individual accounts of participants in the groups from individual paymasters to the participant accounts – and that should occur overnight tonight or tomorrow.
And we should follow that, if they are to go first - We're getting close to going at the same time, and we could get notified by tomorrow, I think. that's in play - We can get notified tomorrow and begin our exchanges – we are not saying we are starting tomorrow - but we know the admirals group from a very strong Wells Fargo source is saying they are to start overnight tonight or tomorrow.
Something very interesting I think for us we heard earlier we got a communication in South America indicating that Brazil and the Unites States were poised to start and that Colombia South America was also ready to go and was planning to send out notifications in South America. Not here in the main mainland United States, but in South America to tier 4B participants in South America afternoon today.
So I thought when I read that I thought well, if tier 4B in South America, the Internet Group is getting notified after this afternoon. On a Thursday afternoon. How far apart can we be? Right?
We have thee vast majority of the tier 4 members in the United States - I mean, we have members all over the internet don't get me wrong, but we have over 7400 maybe 8000 redemption centers – in the United States ready to go. I ‘ve been ready for months - really ready to go now – They have just been waiting like we have. So I thought that was really interesting that communication came through.
It indicated what it did. But I felt really good when I found that the admirals group was poised to start over tonight or tomorrow that we should be following them. but I don't think it's going to be by too far.
I mean, it could be a weekend thing tomorrow, maybe a weekend. I believe it needs to be by Monday at the very latest.
Another piece that we got today - Essentially the last day that we should get started - and our exchanges and redemption of zim for us in tier 4B will go through the end of the month whi9ch is the 30th which is a Wednesday but it would beThursday the 30 rather, but it would also probably go through the first of December which will be Friday.
In other words, I take redemption centers will stay open, and they'll get all the exchanges done through the first of the month, December - which is a Friday.
Now, I also believe from what I'm hearing is the public that don’t manage to use the toll free number – they don’t find out about it - for some reason. They don't want a free number, or they're listening to someone who doesn't believe in it and thinks the only way to get this done is through banks, which is nonsense.
Otherwise why would we have 8000 Wells Fargo run redemption centers in the United States and at least 1200 in Canada ready to go.
Redemption centers not banks, redemption centers, some other connected today. Some of them are affiliated with banks. Some of them are separate buildings altogether. Okay, so get a clue somebody out there.
The other thing is with us going through and let's call it the first of December I believe that's been tried to go through - now some redemption centers may close if their demographics don’t support staying open that long –
Some redemption centers in Orlando, Miami, Dallas, Houston, will be open 24/7 doing exchanges and redemptions of zim around the clock because they're highly populated areas with a lot of Zim holders and other currency holders – Florida has the most zim holders the largest amount of them in the country – Texas has the largest amount of zim in the country
And it goes from there. I don't want to get the full run down - but I have some of that. I think it's really important to understand – this thing is good to go – and ready to go and should go – There is a desire to get this done -
I don't have confirmation on the restitution and reclamational allowance being paid out this month - We thought it would be - we were told it would be I don't have reconfirmation of that -
There's time to do it. But my feeling is that it needs to go after the RV has started.
And why is it that we need to get started with bond holders in tier three gaining access to their funds anytime between tomorrow and Monday - because they need to gain access to their liquidity so they can initiate the projects that they're going to do -the stuff they want to do needs liquidity - And we're moving on under their heels – we are going right with or behind them depending when our notifications come out -
So next Thursday – which is a week from tomorrow - Thursday is Thanksgiving And we don't know for sure if redemption centers are going to be open on that day -
it's possible that it's five or six days of exchanging and resume the day after - that’s possible - be prepared for eith one – I think a lot of us call in the toll free number - will get in – and get our exchanges done – before Thanksgiving – which is a week from tomorrow –
We believe we will not be doing a call next Tuesday – this coming Tuesday – we just think its going to roll before then – So let’s just see what happens - we have to see what happens – so lets follow this out –
