The Rise of the Iraqi Dinar CBI and PM Al-Sudani's Success.

Advisor To The Association Of Private Banks: Serious Steps To Confront The Dollar Crisis, 28 DEC

 Advisor To The Association Of Private Banks: Serious Steps To Confront The Dollar Crisis

Advisor to the Iraqi Private Banks Association, Samir Al-Nusairi, confirmed that  the Iraqi government and the Central Bank are working in harmony to address the dollar crisis, and that  there are serious steps that have been taken or are being taken in this direction.

Al-Nusairi said in press statements, followed by Al-Mustaqila on Tuesday, that the Central Bank began digital transformation in the banking sector since 2016, by developing electronic payment systems and electronic banks.

It also took a new strategy for economic action that includes steps to enhance local production and reduce dependence on imports.

Al-Nusairi added that the Iraqi government worked hard to reconsider monetary policies and diagnose the defect, and that there is great optimism for the continued decline in the price of the dollar in Iraq, as  it is expected to reach 140 dinars in the first quarter of next year.

Al-Nusairi pointed out that  Iraq has begun to take the right steps to enter the global financial system, as an agreement was signed with the International Monetary Fund, the Baghdad Stock Exchange was established, and work is underway to establish a regulatory body for financial markets.

Al-Nusairi explained that there is “chaos” in foreign trade in Iraq, as unnecessary goods and services are being imported, which increases the pressure of the dollar on the Iraqi economy, and called for the necessity of organizing and controlling foreign trade.

Informed sources have confirmed that the US Ambassador in Baghdad, Alina Romanowski, with the support of a specialized team from the US Treasury Department, has exerted great and continuous pressure on the Central Bank of Iraq and the Ministry of Finance in order to adhere to international standards in the field of transferring and exchanging money with the world.

The statements of the advisor to the Iraqi Private Banks Association indicate that there are serious steps that have been taken or are being taken in Iraq to address the dollar crisis, as the Central Bank and the government are working in harmony in this direction.

These steps include digital transformation in the banking sector, enhancing local production, reducing dependence on imports, entering the global financial system, and regulating foreign trade.

If Iraq succeeds in implementing these steps, it is expected that the severity of the dollar crisis in the country will decline and return to acceptable levels.

But there are still some challenges that Iraq must overcome, such as controlling foreign trade and reducing corruption.   https://mustaqila.com/مستشار-رابطة-المصارف-الخاصة-خطوات-جاد/

"RV UPDATE" BY FRANK26, 27 DEC

  Frank26 

 The black market rate will no longer be...The black market rate is the American dollar.  The CBI wants the official rate 1310 to match the dollar rate.  That means the currency of Iraq is too low...  Slowly we're having a reciprocal effect where the dollar is going down and the dinar is going up...

 The IMF regulates all banks around the world.  If a bank wants to come out with a new currency they will talk to the IMF about it.. .

Whatever it might be concerning the financial structure of a country with its banks the IMF has to give the okay...Why?  Because you're dealing with every country internationally.  Well, Iraq isn't.  They're about to!  And that's the point...They're about to do what big boys do, what big banks do.  The IMF has worked with them...This is the conclusion of those meetings.

Right now it's an illusion to many banks because they don't know.  But the banks that do know, are the ones that are being primed.

Iraqi Dinar Latest Exhange Rate Today-Iraqi Dinar News Today 2023-IQD US...

The "Parallel Dollar"... 5 Factors To Control The Rhythm And A Parliamentarian Identifies The "Major Weak Point" In The Iraqi Economy , 28 DEC

The "Parallel Dollar"... 5 Factors To Control The Rhythm And A Parliamentarian Identifies The "Major Weak Point" In The Iraqi Economy

Economy/Politics | Baghdad  Today, Tuesday (December 26, 2023), Member of Parliament Hussein Habib identified five factors to control the rhythm of the parallel dollar in Iraqi markets, while noting that a significant number of Iraqis are forced to travel for treatment and spend huge sums of money in dollars.

Habib told “Baghdad Today” that  “many positives accompany the decline in the exchange rate of the dollar in the parallel market,  the most prominent of which is its direct impact on millions of Iraqis in terms of reducing the prices of materials in the markets,

but the dollar does not decline through wishes and statements, but rather through actual plans that take their reach in interacting with the reasons for the rise.” dollar directly. He added,

"There are five factors that control the rhythm of the parallel dollar , the  most prominent of which is reducing demand for it and  striving for an actual renaissance in the industry file, because a large portion of the dollar export abroad comes through the balance of imports, which includes the highest percentage of market needs," pointing out that

     there is a real desire among the Sudanese to Strengthening the value of the Iraqi dinar against the dollar,    but the matter requires other measures that contribute to preserving the hard currency, and      perhaps opening investments and reviving factories is an important step.”

Habib pointed out,  “A significant number of Iraqi patients are forced to travel for treatment and they spend huge sums of money in dollars, and this is one of the pieces of evidence that shows part of the reasons for the dollar’s departure abroad,” explaining that

without industry, production, and solving the problems of services, this will remain a weak point in the national economy and remain A pressure factor on the parallel market in the country.”

For about two weeks, the dollar exchange rate has been witnessing a continuous decline, as it fell from 1600 to 1480 gradually, at a time when economic specialists expressed the lack of clarity of vision or the existence of a direct reason for the decline in exchange rates.

Rather, they are many indicators and reasons accumulated and combined with each other that led to a lack of demand. On the dollar in the parallel market.

https://baghdadtoday.news/238632-الدولار-الموازي.-5-عوامل-لضبط-الإيقاع-وبرلماني-يحدد-نقطة-الضعف-الكبرى-بالاقتصاد-العراقيّ.html

"RV UPDATE" BY PIMPY, 28 DEC

  Pimpy 

   We know they are going to do away with using the US dollar the beginning for 2024.  Let's see how this effects the Iraqi exchange rate. Like I anticipated this should strengthen the Iraqi dinar in a major way and hopefully soon after that it affect the exchange rate...

Article: "Advisor to the Sudanese:  We aspire to end of the parallel market for the dollar in the coming days"  We know they've been talking about that now for quite some time.  Supposedly the beginning of this next year they're going to do away using the US dollar and just start using Iraqi dinar for their transactions.  Their goal is to get rid of the parallel market all together...

Iraq has experienced multiple devaluations and revaluations of the currency...From 1988 to currently where we are these are the major events that affected currency.  1988 the IQD as introduced.  This was replacing the IQP (Iraqi pound).  This was done at a fixed rate of 1 to 1.  

You could exchange your IQP straight across 1 for 1 for the Iraqi dinar (IQD).  1990 when Bush went to war with Iraq of course the gulf war caused significant devaluation of the IQD.  The currency lost about 80% of its value against the US dollar.  You could exchange 1 Iraqi dinar for $0.31 cents US.

  The funny thing is I would take that right about now because I have about four or five million Iraqi dinars. If it jumped up to $0.31, woo, I'd be happy with that because I'd get over a million dollars back.  1995 the IQD was officially pegged to the US dollar at a fixed rate of 1 IQD for $2.85 USD.  2003 we know the US led an invasion of Iraq...

This led to economic instability and currency fluctuations.  The Iraqi dinar was devalued to around 1 IQD for $1.30 USD...Got rid of the ones with the faces of Saddam Hussein... 1 new IQD was equivalent to 1,000 old IQDs.  In 2012 the central bank...allowed the IQD to float freely.  This led to a significant devaluation of the currency with the IQD losing 20% of its value...

2014 IQD experienced another devaluation.  This time it was due to the decline in oil prices and conflict with ISIS.  The currency lost about 15% of its value against the USD.  [Later] the CBI implemented a new exchange regime allowing the IQD to float freely against the basket of currencies.  This led to further devaluation of the currency with the IQD losing another 10% of its value against the US dollar and then not even a year later to turn around and...increase the value of the Iraqi dinar exchange rate...So yeah at one time the Iraqi dinar was more valuable than the US dollar.  Do I think it can get there again?  Of course  I believe that absolutely but there are hurdles that Iraq has to get over.

https://dinarevaluation.blogspot.com/2023/12/rv-update-by-pimpy-27-dec.html

Goal Now is RI?💣Real Effective Exchange Rate!?🤔Iraq Dinar RV Updates | 1...