"RV UPDATE" BY KAPERONI, 23 DEC

 Kaperoni 

 ...We all know things don't happen fast in Iraq. Iraq has a lot of work to do in order to succeed. The first of which is pass over 100 stalled laws through Parliament to encourage investment in Iraq.  And at the same time the Central Bank of Iraq has to continue reforms to the banking system, digitalization, and apply monetary tools to meet compliance.

 A country's exchange rate is the result of the success and growth of their own economy. When you have a weak economy, you have a weak exchange rate. Until Iraq passes laws, diversifies their economy and increases their GDP, nothing will happen with the dinar.  When Iraq passed their tripartite  3 year budget a few months back, it created the conditions for them to diversify and privatize their economy over the next three years.  Now Iraq is on the clock to accomplish such.

There's a new article out that many people are translating and confusing. They are not talking about an RV in Iraq, they are talking about the spread being in compliance early next year. 

 Just a reminder the spread is the difference between the official rate and the market rate or street rate and has been way out of whack recently in Iraq. This article simply means they expect the spread to come down closer to the official rate early next year. There is no RV.

    A very important statement was made back in 2020 by the prime minister's economic advisor Mohamed Salah who used to be Deputy Governor of the CBI under Shabibi. He stated that Iraq's entire wealth including all minerals in the ground amounts to only $16 trillion dollars. Knowing that information one can then determine that there is no way a significant RV could ever occur with over 90 trillion dinar in circulation.  It doesn't make sense...

 They...have to have the dinar stabilized within the country and within the 2% rule mandated by the IMF in order to then accept IMF article VIII and begin to float the dinar which would raise its value based on supply and demand.  All of these processes and or steps required time.

https://dinarevaluation.blogspot.com/2023/12/rv-update-by-kaperoni-10-dec_0650267841.html

https://dinarevaluation.blogspot.com/2023/12/rv-update-by-kaperoni-18-dec.html

🔥Iraqi Dinar🔥Next 10 Days🔥News Guru Intel Update IQD Value to USD🤑💵🤑🎉

"RV UPDATE" BY CLARE, 23 DEC

 Clare: Sudanese Advisor: Discussions with 5 countries to import factories in exchange for sovereign guarantees

12/21/2023

Today, Thursday, the Prime Minister’s Advisor for Technical Affairs, Muhammad Sahib Al-Daraji, revealed discussions between Iraq, Germany, Italy, Spain, Japan, and China to import factories in exchange for sovereign guarantees.

Al-Daraji said in a statement, “There is a committee formed under the direction of Prime Minister Muhammad Shiaa Al-Sudani to implement a paragraph in the budget that stipulates granting the government sovereign guarantees in favor of importing production lines and agricultural equipment for the Iraqi private sector.”

He added, "The government is in the process of agreeing with Germany, Italy, Japan, China, and Spain, in addition to the Islamic Development Bank, to supply factories to Iraq in exchange for sovereign guarantees and to manage them by the private sector."

The Prime Minister's Advisor for Technical Affairs described it as "excellent for strengthening the Iraqi economy and changing its performance philosophy."   LINK

Clare » December 20th, 2023

The Iraqi Trade Bank decides to stop working on money transfers, starting next Sunday

12/20/2023

The Iraqi Trade Bank decided to stop working on financial transfers, starting next Sunday

In a statement, a copy of which {Al-Furat News} received, the bank explained the reason for stopping work on financial transfers: “For purposes related to the annual inventory, it was decided to stop work on money transfers starting from Sunday, 12/24/2023,” noting that “the last date for receiving financial transfer requests will be on Thursday, 12/21/2023.

He added, “This service will resume work on Wednesday, 01/03/2024.”  LINK

https://dinarevaluation.blogspot.com/2023/12/analysis-of-iraq-news-by-clare-21-dec.html 

Against major currencies. US dollar at 5-month low, 23 DEC

 Against major currencies. US dollar at 5-month low

Baghdad Today - Follow-up

The US dollar fell against a group of major currencies around the world, on Friday (December 22, 2023), recording its lowest level in nearly five months, affected by data from the slowdown in annual inflation in the United States in November, which reinforced Market expectations about a US interest rate cut in March.

As of November, inflation in America, according to the PCE price index, stood at 2.6 percent, down from 2.9 percent in October.

Excluding volatile food and energy components, the core PCE price index rose 3.2 percent year-on-year in November, the smallest rise since April 2021

The dollar index fell 0.13 percent in the latest trade to 101.65, its lowest level since late July.

The index has fallen more than two percent over the past two weeks and is heading to end the year down just under two percent.

Sterling rose 0.28 percent to $1.2728 as traders digested data showing British retail sales in November jumped more than expected, but third-quarter GDP was revised downwards.

The dollar rose 0.18 percent against the yen in the latest trade to 142.37 yen, after data from core inflation in Japan slowed sharply in November.

The risk-sensitive Australian and New Zealand dollars traded higher during the day. The Australian dollar rose 0.12 percent to $0.6811 after earlier touching $0.6825, the highest level since July.

The New Zealand dollar traded 0.24 percent higher at $0.6309, also a five-month high.

"RV UPDATE" BY NADER FROM MID EAST, 23 DEC

 Nader From The Mid East 

 That's what's slowing down all this process.  It's people still using the dollar in Iraq.  Even me, I use the dollar in Iraq.  When I was there last week I use a dollar in Iraq.  Why?  Because it's a lot easier.  It's smaller.  You don't carry a lot.  You carry $500, $600, $700 with you, $1000 max...If I didn't have the dollar and If the dinar for me to carry...it would be a lot in my pockets..

 The facts are the facts.  If they delete the dollar, if they take off the dollar from the markets in Iraq, they're going to have to come out with a small category of dinar.  That's it.  Why?  Because it's too much dinars to carry...I'm not going to cary 150,000 dinars in my pockets.   I'm not going to do that. I prefer to have $100 than 150,000.

 Everybody's asking me what's going on.  What's the news.  The news, you will see it on the 1st of January - what exactly is going on.  They already gave you a date.  I told you the 1st of January we'll be out of the dollar.  We will not work with the dollar anymore in Iraq.

 Everybody's asking me what's going on.  What's the news.  The news, you will see it on the 1st of January - what exactly is going on.  They already gave you a date.  I told you the 1st of January we'll be out of the dollar.  We will not work with the dollar anymore in Iraq.

https://dinarevaluation.blogspot.com/2023/12/rv-update-by-nader-from-mid-east_0350340910.html

Iraqi Dinar🔥Rejoice IMF Announcement For IQD RV Holders Today 2023🔥iraqi...

"RV UPDATE" BY PIMPY, 23 DEC

 Pimpy 

 Remember the goal is to become a cashless society...Just because they're doing away with the US dollar has nothing to do with them changing the Iraqi exchange rate.  I did say IMO towards the end of the first quarter, the beginning of the second quarter you might see a bump in the Iraqi dinar exchange rate only because of supply and demand.  If they do away with using the US dollar and they start using Iraqi dinar more in country, that's going to strengthen the Iraqi dinar.  Plus there's going be a much larger demand for the Iraqi dinar because the dollar won't be around anymore for them to use...

 With them taking away the US dollar there's some logic to...an increase in Iraqi dinar.  Will they?  You're not going to see them go 1 for 1...   

Nothing would make me happier than to be wrong about this.  I would love to go, 'Oh, my gosh, everybody was right and I was wrong. Darn.'  As I take my dinar down to the bank...It's not that simple.  There are a lot of hurdles and...precautions countries have to take before you do anything that outrageous with your exchange rate.  The best you can hope for is it goes up in increments...You're not going to see any huge significant change in the Iraqi exchange rate despite the fact they're taking away the US dollar.