Wednesday, November 29, 2023
Chinese Embassy Counselor highlights Iraq as key investment destination, 29 NOV
Chinese Embassy Counselor highlights Iraq as key investment destination
Shafaq News / The Chinese Embassy's Counselor in Baghdad, Xu Haifeng, stated on Wednesday that Iraq represents the largest investment destination for China.
During a press conference held at the Chinese Embassy in Baghdad, Xu Haifeng mentioned that Iraq, being rich in energy resources such as oil and gas, naturally attracts significant Chinese investments, particularly in the energy sector, which aligns with Iraq's industrial diversification.
He further highlighted that Iraq's current status enables it to attract increasing Chinese investments in various new sectors within the country.
BRUCE'S INTEL, (ENGLISH & SPANISH), 29 NOV
BRUCE BIG CALL UNIVERSE
ONLY INTELLIGENCE
???WHERE ARE WE NOW???
A lot has happened since last week: firstly, in Iraq we have good contacts and they tell us that the ATMs are full with lower denominations such as 10, 20, 50 and 100 available at the ATMs and have been running since TG at the airport and border. and in use - I don't think it's nationwide yet, but that's about to change - and another post today says feeling a Jingle in your pocket - so it looks like they'll get coins - and years ago one was 25 and the other a 100, so there are a lot of new coins, so who knows if they will have coins and they will talk about Iraq, when the new international exchange rate will be published in the Gazette and we will find out tomorrow.
Other things, our currency dealers, one in particular, received information that they would change their website tomorrow after midnight, so those who raise the exchange rate will be removed, but some currencies will simply change, so tomorrow at midnight . What has been happening with the banks: We got information from a top source at WF bank, way up there and he told us yesterday that we would be trading on Wednesday or Thursday, so that looks very promising to us and we will clarify that from another source. which said that we would be exchanging on Thursday the last day of November.
He also said on Wednesday when Chinese sovereigns and elders will be paid, that is, overnight today and tomorrow, so 24 hours until tomorrow night and depending on how much time passes, it will depend on the emails in our inbox. They told me Midnight. very early on Thursday morning, so waking up with them on Thursday and scheduling our appointments for Thursday and that T4B, but if you are in the Admiral's group, I think your QFS or your other accounts should now be hydrated and you would go to a WF RC and get the quantum card and WF account set up and liquidity. That's different for us: the admiral groups are already finished, they just need liquidity, so probably even before they notify us and we early Thursday morning, so 16 hours start.
This whole thing is a little hard to define who goes first, but that could be the Admiral because of the Treaty with Dr. Shabibi: Admiral Bob is a True Sovereign.
Now what else is going on? Friday, December 1, one, R&R subsidies begin the first week of December. And that's important for those under 62, so 50 – 61 and 30 – 50 will be handled differently, so now those 62 and older receive Social Security, whatever this R&R that includes their certificate of birth, death, marriage and divorce, and all those that have been traded on the open stock market and taxes and interest on banks, cars and mortgages, the total total, and it is significant that it enters the accounts where you receive your SS, so it will be large, and you will get that in that account without you doing anything – and it is much larger and this should be the first week of December – so this is NESARA and Gesara - NESARA in TG night - so a toggle switch 11.23. 2023 is when it was implemented.
What else is coming in December and a significant increase in Social Security benefits? It's going to be a good portion. All I know is maybe between 3,000 and 4,000 and those who get that number even higher, between 5,000 and 5,200, so seeing all this in December, it is different from the R&R - for seniors a lump sum payment - so now We believe all this for the first week of December. And the younger ones will be paid over a period of time, maybe over 12 months, or the younger ones will be paid monthly over a period of time.
And if you are under 62, they ask you to continue working a couple of hours a week; We know we will have our projects, so look at the fine print when you receive it.
Sue said something earlier about President Trump, who said, "I'm tired of seeing the American people suffer," so with the election changing we think he'll be back in the first week of December and he'll be very welcome.
Summary Only
TRANSLATION IN SPANISH:
BRUCE 28 Noviembre 2023
BRUCE BIG LLAMADA UNIVERSO
SÓLO INTELIGENCIA
Han pasado muchas cosas desde la semana pasada: en primer lugar, en Irak tenemos buenos contactos y nos dicen que los cajeros automáticos están llenos con denominaciones más bajas como 10, 20, 50 y 100 disponibles en los cajeros automáticos y han estado funcionando desde los TG en el aeropuerto y la frontera. y en uso - No creo que sea en todo el país todavía, pero eso está a punto de cambiar - y otra publicación de hoy dice sentir un Jingle en el bolsillo - así que parece que recibirán monedas - y hace años uno era de 25 y el otro un 100, por lo que hay muchas monedas nuevas, así que quién sabe si tendrán monedas y hablarán sobre Irak, cuándo se publicará en la Gaceta el nuevo tipo de cambio internacional y nos enteraremos mañana.
Otras cosas, nuestros distribuidores de divisas, uno en particular, recibió información de que cambiarían su sitio web mañana después de la medianoche, por lo que aquellos que suban el tipo de cambio se eliminarán, pero algunas monedas simplemente cambiarán, así que mañana a medianoche. Lo que ha estado sucediendo con los bancos: obtuvimos información de una fuente importante del banco WF, muy arriba y nos dijo ayer que estaríamos intercambiando el miércoles o el jueves, así que eso parece muy prometedor para nosotros y lo aclararemos de otra fuente. que decía que estaríamos intercambiando el jueves el último día de noviembre.
También dijo el miércoles cuándo se les pagará a los soberanos y a los ancianos chinos, es decir, durante la noche de hoy y durante mañana, así que 24 horas hasta mañana por la noche y dependiendo de cuánto tiempo pase, dependerá de los correos electrónicos en nuestra bandeja de entrada. Me dijeron a Medianoche. muy temprano el jueves por la mañana, así que despertarnos con ellos el jueves y programar nuestras citas para el jueves y ese T4B, pero si estás en el grupo del Almirante, creo que tu QFS o tus otras cuentas ahora deberían estar hidratadas e irías a un WF RC y obtenga la tarjeta cuántica y la cuenta WF configurada y la liquidez. Eso es diferente para nosotros: los grupos de almirantes ya terminaron, solo necesitan liquidez, por lo que probablemente incluso antes de que nos notifiquen y nosotros el jueves por la mañana temprano, por lo que comienzan las 16 horas.
Todo esto es un poco difícil de definir quién va primero, pero ese podría ser el Almirante debido al Tratado con el Dr. Shabibi: el Almirante Bob es un Verdadero Soberano.
Ahora, ¿qué más está pasando? El viernes 1 de diciembre, uno, los subsidios de R&R comienzan en la primera semana de diciembre. Y eso es importante para los menores de 62 años, por lo que 50 – 61 y 30 – 50 se manejarán de manera diferente, por lo que ahora los de 62 años o más reciben el Seguro Social, sea cual sea este R&R que incluye su certificado de nacimiento, defunción, matrimonio y divorcio, y todos aquellos que tengan se ha negociado en el mercado de valores abierto y los impuestos y los intereses sobre los bancos, los automóviles y las hipotecas, el total total, y es significativo que ingrese a las cuentas donde recibe su SS, por lo que será grande, y obtendrá eso en esa cuenta sin que usted haga nada – y es mucho más grande y esto debería ser la primera semana de diciembre – así que esto es Nesara y Gesara - Nesara en la noche de TG - así que un interruptor de palanca 11.23. 2023 es cuando se implementó.
¿Qué más viene en diciembre y un aumento significativo en los beneficios del Seguro Social? Va a ser una buena porción. Todo lo que sé es que quizás entre 3.000 y 4.000 y aquellos que obtengan esa cifra aún más alta, entre 5.000 y 5.200, así que ver todo esto en diciembre, es diferente de el R&R - para personas mayores un pago global - así que ahora creemos todo esto para la primera semana de diciembre. Y a los más jóvenes se les pagará durante un período de tiempo, puede que durante 12 meses, o a los más jóvenes mensualmente durante un período de tiempo
Y si tienes menos de 62 años, te piden que sigas trabajando un par de horas a la semana; sabemos que tendremos nuestros proyectos, así que mira la letra pequeña cuando la recibas.
Sue dijo algo antes sobre el presidente Trump, quien dijo: "Estoy cansado de ver sufrir al pueblo estadounidense", así que con el cambio de elecciones creemos que regresará en la primera semana de diciembre y será muy bienvenido.
Solo Resumen
The black market dollar will collapse in a very short period - a government statement, 29 NOV
The black market dollar will collapse in a very short period - a government statement
Fadi Al-Shammari, political advisor to Prime Minister Muhammad Shiaa Al-Sudani, said that the exchange rate on the black market will collapse within a short period, stressing that the steps of the government and the central bank will raise the value of the dinar.
Al-Shammari in an interview with the journalist Ahmed Mulla Talal:
Trade with Iran requires $15-20 million per day, despite the sanctions imposed on it, and this is one of the pressures on the government.
There is a government approach and semi-agreement with the Iranian side to establish a platform regarding trade dealing between the two countries in other currencies.
There are also other “pressures”, represented by 20-25 million dollars related to the orders of small merchants.
The dinar is fluctuating now, but it will inevitably be stronger according to the paths and decisions taken now at the Central Bank.
We are going towards the strength of the dinar, and there will be a collapse of the exchange rate on the black market, and within a short period. link
CENTRAL BANK GOVERNOR: WE AGREED WITH AMERICA TO LEAVE THE ELECTRONIC PLATFORM AT THE END OF THE YEAR, 29 NOV
CENTRAL BANK GOVERNOR: WE AGREED WITH AMERICA TO LEAVE THE ELECTRONIC PLATFORM AT THE END OF THE YEAR, 29 NOV
Coordination with the Treasury and the Federal Reserve
Today, Friday, the Governor of the Central Bank of Iraq, Ali Al-Alaq, announced the start of importing dollars into the country through the accounts of Iraqi banks abroad, and while he indicated the end of the procedures for opening accounts in the UAE dirham and the understanding with Turkey to make transfers in the euro or the Turkish currency, he revealed a broad plan to reform and develop private and government banks.
Meeting with the US Treasury and the Federal Reserve
Al-Alaq said in an interview with the official agency, followed by the 964 network , that “the Central Bank of Iraq is in constant communication with the US Treasury Department and with the US Federal Bank,” indicating that “this communication continues permanently, and there are quarterly meetings held to review all related matters within the framework of this relationship.”
He added, “There is a meeting that will be held at the beginning of next month as part of the periodic quarterly meetings held between the Central Bank, the Federal Bank, and the Ministry of Treasury, where in these meetings we review all matters with emphasis and focus on the issue of regulating external transfer in a way that ensures the safety of the financial system, especially after the implementation of the new transfer system.” external, which requires a lot of coordination.”
He stated that “these developments that have occurred are radical and not formal developments within the framework of reorganizing trade on sound foundations and organizing external transfer on sound foundations,” explaining that “the details related to this issue require coordination and joint cooperation between the Central Bank and those parties.”
He stressed that “the next meeting will be in the Emirati city of Dubai,” pointing out that “there are quarterly meetings in addition to emergency organizational meetings or communications via phone or video.”
Agreement to strengthen banks with dollars
He stated that “the Federal Bank agrees with the Central Bank on the need for them to be removed from the process of conducting the executive aspects of the external transfer, and their role is limited to supervision and control, and this is normal in central banks that do not exercise these executive roles or detailed operations with regard to external transfer, and therefore the plan was the agreement between us is for the Central Bank of Iraq and the Federal Bank to exit these procedural processes,” stressing, “a plan has been developed to shift the external transfer process from the electronic platform that will be completed at the beginning of next year.”
(This is where the article gets good. They plan to halt shipments of dollars to Iraq by the US Treasury from the ongoing shipments they currently service of dollars from the currency auctions which is now what they call the “platform”. Do you know how good this news is? )
He pointed out, “Creating a new relationship between Iraqi banks and internationally accredited correspondent banks abroad, where the process is confined between them, and the role of the Central Bank of Iraq and the US Federal Reserve is the process of monitoring and supervision, and we began some time ago trying to find a relationship between correspondent banks and our Iraqi banks.”
Opened more than 40 bank accounts
He stated: “We have greatly succeeded in this context, and we were able to open more than 40 accounts for Iraqi banks with correspondent banks or abroad.”
Diversify Currencies
He stated, “To increase flexibility and facilitation in the external transfer process, we have diversified the currencies in which transfers are made abroad, and we now have transfers in addition to the dollar, euro and UAE dirham.”
Understandings for making transfers through Turkish banks
He stressed that “the procedures have been completed for opening accounts in the dirham, the Chinese yuan, and the Indian rupee,” pointing out that “there are preliminary understandings with the Turkish side to make transfers through Turkish banks in the euro or the Turkish currency.”
He stated that “this issue is important and is being conducted in coordination with the Federal Bank and the US Treasury, and they are helping us in this,” noting that “this is the opposite of what some understand as an escape from the pressures of the Federal Bank regarding the dollar, as these currencies are covered by the dollar and we buy them from the dollars in the bank.” The Federal Bank, which is not far from the Federal Bank, but rather with the coordination and support of the Federal Bank, as it wants to reach with us the desired goal, which is to have a relationship between Iraqi banks and correspondent banks.”
He stated, “This is happening for the first time by opening this number of accounts for our banks, and it is a very important step to strengthen the banking system in Iraq, because accepting these banks means that they now have systems capable of being accepted internationally,” explaining that “any correspondent bank currently accepts By opening an account with an Iraqi bank after ensuring that this bank has the necessary systems, standards, conditions and rules under which it operates.”
Completion of work on the electronic platform
Al-Alaq confirmed that “this will lead to the end of work on the electronic platform in 2024,” explaining: “We have reached an advanced level, and with the completion of the other episodes, we will leave this method.”
He stated, “In this case, operations will be faster, easier, and more disciplined, because these internationally accredited correspondent banks have complete systems for conducting audit and monitoring operations before implementing this operation.”
Processing rejected transfers gradually
Al-Alaq pointed out that “this will gradually reduce the percentage of rejected transfers,” pointing out that “rejection of transfers has reasons, but the banks and transferring persons will learn the conditions and points that must be taken into account when submitting a transfer request, as there are formal issues, for example, coding and numbering, and there are documents.” What is required and reviewed by the final beneficiary is that there be well-known companies, reasonable prices, etc., and over time the importer or the person requesting the request gets used to adapting or providing the requirements for the transfer.”
The fact that the American side reduced the amount of dollars
He stated, “The Federal Reserve and the US Treasury respond to all requests related to the process of providing and strengthening the dollar Iraq needs by following sound rules and standards for the movement of funds,” explaining that “this serves the interest of the two countries and rids the financial system of any suspicious operations such as money laundering and terrorist financing operations, so money What is available abroad is Iraqi money that has no restrictions, but there are requirements and standards, whether it is in the dollar currency or even if it is in European currencies or other currencies, and these have become among the required rules in all cases.”
He continued, “Some believe that if this money were in another country, it would be without restrictions, but these have become international standards followed, even if it was in euros, yuan, or pounds sterling, and there will be the same business rules.”
Expanding the diversification of foreign transactions for all Iraqi banks
He stated, “Our goal is that all banks must have correspondent banks, and we emphasized this issue years ago, as a bank that does not have correspondent banks cannot carry out its real work and is cut off from the world,” explaining that “some banks are late to this.” There were easy methods available, so some did not bother to work seriously on this issue, but now all banks have realized that there is a necessity, so they began to intervene successively.”
He continued: “All that provides the bank is the correspondent bank’s belief that it has the system required to control the movement of funds, provide conditions, and follow international standards, and the presence of a monitoring system on the issue of money laundering and terrorist financing will enter this field,” noting that “some banks have begun seeking the assistance of specialized international companies.” To organize these aspects until they become qualified.”
Import of various currencies comes into effect
He pointed out that “import operations in various currencies have entered into force. For example, they were initiated some time ago with the Chinese side and the euro, and the UAE dirham will begin next week.”
We aim to reduce the demand for the dollar
He stated, “These measures aim to reduce the pressure on the demand for the cash dollar, as we want all importers to carry out import operations through fundamental external transfer, but some trade in Iraq does not follow this path, but rather goes to put pressure on the dollar cash present in the market.” Therefore, the imbalance occurs in the price, that is, it results from the presence of groups that put pressure on the cash exchange, while there are correct and fundamental procedures for transfer available,” declaring, “We are working with the government to eliminate the episodes that put pressure on the cash exchange rate, and we found a group of categories, for example, some deal with the cash dollar inside Iraq, the government issued a decision not to deal in the dollar locally. As for the second class, they are the merchants who import some materials and do not enter the platform or transfer in the proper manner, as we began to analyze these categories, such as the cigarette trade, which takes the dollar from the market by 100 percent, as well as We began to analyze the materials that enter Iraq, such as some mobile phones and other materials. A decision was issued stating that these materials must have proof that they entered Iraq based on a formal external transfer. If these goods do not carry an official formal transfer, this means that they are goods that entered illegally. “.
Follow the market
He stated, “There will be follow-up operations in the market, and even in the warehouses, to ensure that these materials enter based on an official transfer so that we keep them away from pressure on the dollar cash market. We will expand this to other categories, and any category that we find is carrying out non-fundamental transfers or by paying… Cash, we will besiege it.”
Iraqi remittances in dollars
He pointed out that “the general principle is what was approved by the Council of Ministers that trading or payment inside Iraq is in dinars, but there are cases that are being studied at the present time, and there was a meeting in the Ministry of Planning regarding contracts in their various forms and how to make payment options, whether in dinars or dollars.” A group of proposals were put forward and we are now studying them,” noting that “some types of contracts or obligations with foreign companies previously will continue to be dealt with in dollars, and we are studying other cases to develop the best or most appropriate method for them.”
He pointed out that “in the past, inward transfers did not matter to the beneficiary if they were given in dinars, but now, because of the price difference, it is a temporary solution and we are working to solve the problem radically.”
The mechanism for private banks importing dollars
Al-Alaq announced the start of importing dollars into the country from the accounts of Iraqi banks abroad, explaining that “the supply of dollars from abroad comes from what is in the accounts of Iraqi banks abroad. For example, we have an account in a bank, so we can withdraw it in cash or a check, and it is transferred in cash, and it has interest on it.” That the amounts come internally instead of externally.”
He explained that the Central Bank’s instructions will not allow the bank to keep a large amount of foreign currency abroad, as there are certain percentages, in addition to preventing misuse of this currency coming into the country, and we have set rules for its use.”
He warned that “the Central Bank is studying the request of the bank that supplies the dollar and its needs before giving approval and verifying the source of the amount and even the transporting company, in addition to verifying the uses of this amount.”
He pointed out that “because of the price difference, there was pressure on banks to withdraw their balances or transfers received from the dollar, which led to some banks becoming scarce in the currency,” explaining that “foreign currency can be available in more than one way, not only through the central bank, We seek to deepen this practice.”
He stated: “As long as our Iraqi banks have balances abroad in foreign currencies, it is better for us to enter it, and this supports the reserves in the central bank, that is, instead of the bank using its foreign currency reserves, the currency will be available from the banks’ accounts, and this is an important point.”
A study to restructure banks in Iraq
Al-Alaq stressed that “there is a broad reform plan for private banks with mergers and correction operations in some of their situations, and there is a broad plan for government banks, some of its details will be announced, and we are working with Prime Minister Muhammad Shiaa Al-Sudani on this matter,” pointing out that “government banks represent the largest weight in the sector.” Banking, and we must put it in the best possible way.”
CONCERNS ABOUT THE DINAR.. WHAT IS THE BENEFIT OF IMPORTING THE DOLLAR FROM OUTSIDE IRAQ?, 29 NOV
CONCERNS ABOUT THE DINAR.. WHAT IS THE BENEFIT OF IMPORTING THE DOLLAR FROM OUTSIDE IRAQ?
Continuing controversy in economic circles after the decision of the Central Bank of Iraq to import the dollar from outside Iraq according to certain controls, and the purpose of this decision and the possible benefits, in light of the continuing dollar crisis with measures to restrict its circulation outside government platforms.
(Yes, Change is hard to take! )
On November 8, the Central Bank allowed Iraqi banks to “import foreign currency” for the purpose of “meeting the requests of companies, organizations, bodies and individuals working for foreign companies or institutions,” by importing it from “exclusively through air ports,” in an attempt to control … Dollar crisis in Iraq .
Immediately after that announcement, leaks continued, transmitted by the government news agency, citing sources that did not indicate her job or the entity for which she worked, starting with “intensive meetings between a delegation from the Central Bank of Iraq and the American side responsible for foreign transfer operations to cover imports” in the Emirati city of Abu Dhabi. It concluded with several decisions, including “an agreement to enhance the advance balance of five Iraqi banks in their dollar accounts with Jordanian banks and transfers via (JP Morgan).” Then I talked about an agreement on five more through Citibank.”
Is there a benefit from importing the dollar?
The Central Bank’s decision to import the dollar from outside Iraq came in the context of the rise in the exchange rate of the dollar against the dinar in local markets, until it reached 167 thousand dinars per 100 dollars a few days ago, compared to the official price that was set at 132 thousand dinars per 100 dollars, before it fell to Around 160k at the moment.
Ahmed Saddam, professor of economics at the University of Basra, explains, “The Central Bank’s decision to allow the import of the dollar aims to raise the level of the supply of the dollar from sources outside the framework of the Central Bank in a new attempt to reduce the dollar exchange rate in the parallel market . ”
(In other words the dollar does not come out of the CBI reserves. Get it? It is not stealing from the CBI anymore if they steal the dollars. It will be stealing from the local banks directly. So do you think the banks are going to be more carful with use of these dollars? Just asking…… 
)
)As for the consequences of importing the dollar at the practical level, Saddam rules out that the decision will achieve a “tangible benefit,” and the main reason, in his opinion, is that “most countries in the world impose restrictions on the exit of the dollar from their markets, just as Iraq is trying to do.”
Economic experts spoke about the benefits of the recent decision of the Central Bank of Iraq regarding importing the dollar currency from abroad, or not the economic expert, in an interview with “Ultra Iraq”, raises a second issue in this regard, through questions such as: “In what currency will this dollar be purchased? Will it be in the Iraqi currency?” He goes on to say: “The Iraqi currency is not accepted in most countries except Iran, which does not It absolutely allows the dollar to be sold due to its urgent need for it, as is known.”
Saddam continues his questions: “Do Iraqi banks own the currencies of other countries so that they can be exchanged for dollars?” And he answers: “If we assume that Iraqi banks own the currencies of other countries , then this measure will be temporary due to the exhaustion of existing foreign currencies for the purpose of purchasing the dollar within the short term.”
Indeed, among the news reported by the official agency, the “sources” spoke of meetings between “ one of the Emirati banks, the Central Bank of Iraq, and the American side, to implement a mechanism for enhancing balances in the UAE dirham for Iraqi banks (UAE Dirham pilot),” as well as “negotiations to enhance the balances of some Iraqi banks in euros at UBAF Bank to finance trade with the European Union,” as well as “increasing the number of banks whose balances in Chinese yuan are enhanced through the Singapore Development Bank,” and “beginning to open bank accounts in Indian rupees for a number of Iraqi banks in the same correspondent Bank.” Singaporean Development.
Economics professor Ahmed Saddam concludes by saying that “the Central Bank’s decision is difficult to achieve on the ground, and perhaps it can be implemented for a limited period by banks that own other foreign currencies,” but all of these measures “will not contribute to reducing the dollar exchange rate due to the state of heavy reliance on the dollar in foreign trade transactions, with the US Federal Reserve’s restrictions, speculation, and smuggling operations that cannot be solved by importing the dollar.”
The central bank is not an intermediary!
Despite this, “government sources” continued to speak to the official agency about proceeding with procedures for importing the dollar from outside Iraq , and the latter on November 15, 2023 quoted a “government source” talking about issuing official approvals from the Central Bank “for three Iraqi private banks.” To import the US dollar to meet their customers’ need for this currency in amounts amounting to $100 million.
The decision to import the dollar from abroad was issued at the request of merchants to feed the local market
The Central Bank’s approach is not considered a new measure, as the advisor to the Iraqi Banks Association, Abdul Rahman Al-Sheikhli, says, as “it was previously implemented in 2010 under the direction of the Central Bank,” but what is new now, according to Al-Sheikhli, is that “the decision was issued based on the desire of traders from… In order to meet the needs of the local market.
The banking expert believes in an interview with “Ultra Iraq” that “the central bank will not be an intermediary in the process of importing the dollar, but rather the banks will play this role in their relations with banks outside Iraq, relying on their reserves of the dollar.”
The Central Bank’s exit from the mediation process comes despite its official statements rejecting the existence of the “parallel market” under the pretext that it – that is, the bank – is the only source of dollars in the country.
Refund, not import… and fears for the dinar.
A few days ago, news from the “Sources” news series reported an announcement about the arrival of a shipment from one of the three private banks to Iraq as part of the operations of “importing the US dollar,” but the advisor to the Iraqi Banks Association, Abdul Rahman Al-Sheikhli, says that “the entry of the dollar from abroad will generate competition in transactions.” The street, in addition to the current fears that precede this step about its negative impact on the limited monetary supply of the dinar in Iraq.”
“The process of importing the dollar from abroad in this announced manner,” according to the expert, “is dominated by a state of ambiguity in the application,” as Al-Sheikhli raises the same question raised by economics professor Ahmed Saddam, about the way to buy the dollar from abroad and pay its value in dollars.
Economists describe the process as recovery, not importing the dollar from abroad. He points out that “the clear process for this issue will be called the recovery of dollar funds belonging to companies or banks abroad, and not the import of dollars, and therefore the funds will enter through an accounting process through bank accounts and not a cash process.”
He adds: There is also a government proposal, which is that the funds of foreign parties, including companies and others operating in Iraq, will be paid the amounts due to them in their accounts outside the country and not inside, and therefore these companies may want to bring their funds into Iraq, and they will go towards recovering those funds and not importing them as announced.
The parallel market, the federal market, and the central “palaces”.
The parallel market is still working according to local stock market indicators, and the Central Bank has not yet limited its measures to stopping it, at a time when Prime Minister Mohamed Al-Sudani says that what is happening in the currency market “is not a crisis, but rather a battle between the state that insists on implementing procedures for building a banking system.” Sober, and speculators.”
In any case, the dollar exists in the parallel market so far, and it is of two types, according to the advisor to the Iraqi Banks Association, Abdul Rahman Al-Sheikhli, “The first is legitimate, and the second is through acquisition.”
In the details of this, he says, “The cash dollar is now officially available to travelers, students, and those who wish to receive treatment outside Iraq, while the reality requires more than that, by opening other internal sources to give it to citizens,” adding, “But the Central Bank has gone towards opening imports through the ports.” Air exclusively.
The current crisis – according to the banking expert – is borne by the Ministry of Finance , “through its intervention in raising the exchange rate,” which “created a major problem.” Therefore, Al-Sheikhli recommends that the Central Bank “take full independence and exercise its powers to control and stop the dollar crisis,” as the expert believes that the bank “The Central Bank continues to fail in developing radical solutions to some of the ongoing problems.”
Economists hold the Ministry of Finance responsible for the problem and diagnose shortcomings in the performance of the central bank
Speaking about the role of the United States, the advisor to the Association of Banks stresses the need to “take into account the lack of guardianship by the US Federal Reserve over the Iraqi Central Bank , as much as it issues recommendations to clarify the violations occurring in the work of banks.”
According to specialists in Parliament, “US sanctions prevent the issuance of remittances to some merchants wishing to import from Iran, Lebanon, and Syria because the SWIFT system has been stopped there, which leads some merchants to resort to illegal methods to transfer their money and complete their imports.”
The banking expert believes that “the US Federal Reserve is now not delaying dollar transfers, as much as it is auditing them in accordance with international controls and standards for combating money laundering and supporting terrorism, because some banks practice unprofessional actions that have led citizens to hoard hard currency and even the dinar due to the loss of confidence in the banks,” according to Al-Sheikhly.
BY DINAR IRAQ & DONG VIETNAM
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