..So, what is the standard they are trying to control?
There is only a 2% allowed variance (+ or -) from the official CBI rate the parallel market and they now are way beyond that. So, they have to get it under control and then be able to hold it for 6 months. I quote from today’s article titled “A FIXED OR FIXED EXCHANGE SYSTEM FOR THE IRAQI DINAR” here is the quote – “This stage witnessed a gap of up to (1320 – 1550), meaning a margin of 230 points and an exchange gap of (approximately 17%).” We can clearly see in this article that the gap is not 2% (+ or -) but 17%. There is work to be done but don’t get discouraged as they will find a solution and it will allow the process to move ahead again. Meanwhile we see the train is stalled at a station waiting to be given the go ahead once again.
Oh gosh… another 6 months to hold the 2% (+ or -) once they finally do get it under control ☹? Yeh folks I don’t make up the rules I only report in my blog what they are telling us. Based on today’s situation and everything else going on in Iraq the IMF might want to waive this 3 month rule. We just have to wait and see. I am only telling you from the past the IMF did enforce it and I believe they might or more than likely will NOT enforce it again. I hope not.
Meanwhile Prime Minister Al-Sudani expressed Iraq’s aspiration to cooperate with major international companies in the field of technology and information technology to move to the digital economy and improve the direction of investments. He also expressed the Iraqi government’s desire to cooperate with technology companies and benefit from them in developing the agricultural sector.
In Iraq, indicating that agriculture is a priority in the government program. But I have to tell you that this is all excellent new but not what is holding up the reinstatement process. The Obama error policies for Iraq are slowing fading. There is a shift in thinking. Somehow there is a middle range of where they are going that incorporates both the Bush and Obama policies. So, please, please don’t tell me that the US and even global politics is not important. You are a naive thinker in these terms. I have demonstrated to you so much evidence already that Iraq DOES NOT have sole control over their own destiny. This is no longer a point of contention and a question you should be asking.
We must now buckle down and pray and pray like never before for the results of the success of Al-Sudani and his trip to Washington. Pray for the U.S. in that there are strong enough representatives in Congress and the Senate who will stand up and continue to fight to uphold the US Constitution and keep fighting this Washington corruption. Pray that that God’s Hand will intervene and save our great country.
..I have told you this many times already in the recent past. I quote from the article – “The expert in economic affairs, Safwan Qusay, confirmed that there is a joint committee between the US Federal Reserve and the Iraqi Central Bank in order to lift sanctions on some banks.” There are two good articles on this subject matter in the articles section today and I encourage you to go read them. They are titled “PRIME MINISTER’S ADVISOR: WE WILL SEE THE DOLLAR FALL ON THE BLACK MARKET SOON” and“ECONOMIST: THERE IS SERIOUS WORK TO LIFT US SANCTIONS ON IRAQI BANKS”
Sometime very soon Iraq will take the Iraqi dinar and assign a nominal, honest and true rate to it reflecting its “rentier” value as is today and not wait for years or decades more. How do I know all this?
Iraq can’t afford to keep following this game of waiting years and yet more years down the road to rebuild Iraq economy first (Obama’s policy). If you have been in this investment prior to the Obama era as president you can clearly see a change in direction from the U.S. Bush policy as to how they will work with Iraq in dealing with the dinar. They have given the Obama plan time to work and it simply is not working for Iraq in this timely manner as planned. What do you do? You change plans….. Why did Obama change the direction from bush so much? Was it really to help Iraq or just the pretense of helping themselves, as they told the public it was for the people. Really? Meanwhile they filled their pockets with Iraq’s riches. Yes, twenty years of it already. When will it end? It is ending now! 😊
We all know the answer as we witnessed it play out over these last two decades with the early Obama era illegal exchanges and now the kickbacks and commissions from the variance in the exchange rates (official vs parallel). This is why they finally sanctioned the banks. This is a good sign for us investors as it shows the paradigm shift is moving away from the corrupt Obama era RV requirements and it is now picking up momentum.
We can also now see, in retrospect, why Iraq didn’t just let Dr Shabibi follow through and reinstate the dinar in 2013, as was planned. It was a well- orchestrated conspiracy using their puppet Nori al-Maliki to stop the reinstatement process. You have to be an idiot not to see it. Was it because they wanted to continue the corruption, thus when economists talk about how the U.S. sucking Iraq dry this is what they mean. Do you get it now? Yes, it’s that golden egg goose I keep talking about…. ☹
Having said all this, let me also say that the current prime minister collectively with the CBI is now working towards busting through this Obama era policy as to how to handle Iraq and to change the dinar now even while in the rentier economy. Isn’t 20 years of corruption enough? The old Obama era paradigm is shifting fast and Al-Sudani is the one the Coordination Framework picked to do it.
Al-Sudani came right out and openly stated his new policy and told us the dinar is now worth more than the dollar, even in the “rentier” economy. Get it? Can you see it folks? The article just told us they are still in the rentier economy so how can Al-Sudani say such a thing openly? (the shift has begun) This is the paradigm shift and it has begun. In fact, it is more advanced than most believe, thus this de-dollarization and the latest trip to Washington DC, thus also these articles today.
Folks there is no secret now as to why the reinstatement is being held up. They are telling us straight out and not hiding anything. The only issue now as investors is ARE YOU LISTENING to what they are telling you?
All you have to do is listen and stop all the hype and nonsensical thinking. The RV is not going to happen everyday or any day now. It is NOT just going to “pop” on FOREX unexpectedly. Instead, we will all have a pretty good idea what will get it moving ahead successfully once again. What will move it ahead? I just told you…. 😊.
So, we are told once again in today’s article what the problem is and so can they fix this parallel market situation and get the dollar under control, meaning be able to effectively set an “official” rate and hold it. Hey… by the way…. this 2 % standard by the IMF (not Obama) is nothing new. Didn’t we all read about this a decade ago under Dr Shabibi?..BE CONTINUED
Let’s take a look at the recent news. It may sound gloomy up to this point in my Newsletter but from this point on my RV Status only gets better and better 😊 😊 😊. Yes, lots of “WOW!” news. I mean solid “WOW!” news not some stupid, hyped up, garbage intel.
In today’s news many articles stand out more than the others. These articles once again talk about the Iraqi dinar and how to manage it in the future. What other articles of the past told us was to outline the problem rather than solid solutions to the problem. But in today’s news they tell us the solution….. hurry, hurry, hurry 😊 😊 😊. Why so happy, since we knew the solution all along that I am about to describe to you today? My point is now they know it and are openly telling the Iraqi people and the world. That’s my point….get it?
We know this problems of sanctioning the banks is holding back the final push of the reinstatement. Part of the solution, as they tell in an article entitled “A FIXED OR FIXED EXCHANGE SYSTEM FOR THE IRAQI DINAR” helps us understand the solution better. Please, please go read this article as it explains in very good detail why the reinstatement of the dinar is stalled, what the problem is and what is the part of the solution (which I believe they are about to implement). Again, it gives us the issue and also the suggested solution. But I believe at this point it is much more than a suggestion. WOW, WOW, WOW.
Now at least you can understand the issue as to the hold up by the US Treasury and the problem in implementing a solution. Again, I will tell you that the reinstatement plan of 2011 tells us they intend to repeg the dinar and get off the de facto peg to the sole dollar and move to a new peg of a basket currencies. Sounds to me like they are getting ready to do it and are in the last phases of discussion. So, what comes out in an article this period?
An article is telling us exactly what I have been telling you all along. Folks they are educating the public about the old de facto peg they are now on to the new peg they intend to use in this article. Go read the article! Enough said…. Didn’t they just tell us last week in an article that to execute the Project to Delete the Zeros needed an educational process first?
In another article titled “RENTIERISM” HITS IRAQ’S ECONOMY DESPITE TRILLIONS OF REVENUES” we read that and I quote from the article –
“Iraq cannot get out of the cycle of rentier economy due to the lack of infrastructure for the industrial and agricultural economic sectors and the absence of a real investor,” adding that “the surplus funds in the general budget are not directed towards… Investment, but rather towards expenditure”.What they are telling is not new. We already know this as they have told us this a million times already. They are telling us again that the Iraqi economy is NOT sustainable. What the hell does this mean?
It means that each month they collect revenues from the “rentier” sales of oil. Then they spend the revenue on salaries, retirement, reconstruction projects, military and other social benefits. Not much remains at the end. Easy in and easy out. Like renting an apartment. You work, earn money them pay rent and utilities. When you move out you have nothing to show for it. You are just back to where you started.
But if you save enough you can buy your own home and it allows you to get out of the renting business and into your own home…. right? This is what Iraq is doing. Remember all the assets (reserves, gold, customs and tariffs, phophate, etc)? But what is your status when you buy a home? Yes, you are currently renting (rentier economy). How does this change occur? There is first a bank loan approval (US Treasury and IMF signoff for the RV), then the closing (the Project to delete the zeros), they the move into your new home (the reinstatement to FOREX). Does these steps now make sense to you? Do you get it now?
So you see that in the Obama plan of recovery for Iraq it calls for Iraq to be already living in the home to RV and this simply did not make any sense. How can you live in the home when you are still trying to purchase it? Besides the time consumed so far we witnessed in this RV saga was the time to be taken to save the money to buy the new home but it was instead being sucked up by intentional corruption led by the Obama administration policies for Iraq. Then came Covid and ISIS besides.
Since the overall global plan is to revitalize Iraq and make Iraq a central hub/clearing house for the middle east, then they need to progress out of the rentier economy and buy their new home (liberate their currency). In other words, ditch the socialistic economy left over from under Saddam. Why are they so afraid to call it what it is as “socialism” and instead call it a “rentier” economy? This is the globalist influence as their goal is socialism but only where they plan it to occur and to drag down a nation. Iraq right now is not in that plan while we can clearly see the U.S. and Europe is (subject for another time).
So, what is the solution?
In another article today they are telling us more of the solution. They tell us they need to fix the issue with the banks and how they abuse the dollar for making money off the spread between the official rate the parallel driven rate, their commission. This is billions of dollars and it’s hard to give up. These are the sanctioned banks and this issue must be resolved somehow and these sanctions lifted for us to move ahead with the process of the dinar RV. Get it? I can not sit here writing this Newsletter today telling you I have the solution either. The RV is NOT the solution I can tell you this much. They would have done it already if it was. Instead, the RV is a byproduct of fixing this issue as it will allow the RV process to continue. Get it?......BE CONTINUED
The Finance Committee reveals the total transfers today in Iraq
Representative Mudar Al-Karawi, a member of the Parliamentary Finance Committee, confirmed on Wednesday that Iraq receives 250 million dollars in daily transfers.
Al-Karawi said in a meeting with , “The National Bank should follow the strategies of private banks and lay out a system for disseminating cash as per the endorsed techniques, away from the issues that are seen every once in a while, including the voyager’s document.”
He went on to say, “The management of the Central Bank reduced the pressure on the parallel market at a good rate and contributed to lowering exchange rates in the past weeks, which reduced market speculation in a way that gave rise to the obsession with stability.”
He called attention to that “at whatever point trade rates settle, it considers decidedly the business sectors by and large, however equal market costs stay a lot higher than national bank costs, which requires more prominent endeavors to diminish the dollar.”
The dollar trade market saw a continuous decrease in the previous weeks, coming to 144,000 for each 100 bucks without precedent for around two years.
Spring turns the corner into May this week. What will May bring us investors? I have to tell you that April’s news was amazing and I don’t know how the news can top last month except maybe give us what we are looking for. Am I saying its going to RV in May? Of course, not and if I did, I would be lying to you as no one knows the date of this event. NO! The RV his not all done…lol… lol… lol….
Does it seem that we are very close? Yes, it seems this is just around the bend and the finish line is in our sights. But in today’s news once again we are getting a confirmation of what we already know, but wait there is a huge glimmer of hope we could see the RV very soon. I will explain in today’s Newsletter. Today’s news is a strong confirmation what I have been telling you all along.
Iraq has kicked the proverbial can down the road long enough and it is time. Yes, time to go global. They know it and if you have been following this RV saga as long as I have you also should know it. Iraq will not survive unless they do something BIG with their currency soon and I mean very soon! In what they have already accomplished just in the last 16 months, it would be silly to turn back now. Amazing progress in such a short period of time compared to 30 years. They have come further than ever before. I say this not for hype or for the sake of being overzealous. Instead, I stick to the FACTS of what the news has been telling us recently and what my CBI contact has been telling us. All the articles were presented in my Articles Section in the past Newsletters. Did you care to read them and educate yourself?
I have tried to use the analogy of the fast-moving train chugging down the tracks… choo choo!. It has many stops along the way but eventually, as all trains do, it will arrive at its final destination of this long journey. I know these stops along the way are annoying and we all wish the train would just plow through quickly to the end. However, it simply does not work that way and we can’t dictate the train schedule. But as we know the train is now halted but this stop can’t go on forever. There is a train schedule to meet as many other things rely on it meeting its destination on time.
So, tomorrow, Wednesday I will ask my call to my CBI contact and ask what happened to April, as they did mention in prior conversations that the team was told to gear up for an April beginning of the Project to Delete the Zeros. It did not happen. I guess “‘The Best-Laid Schemes of Mice and Men’ strikes again… lol… lol… lol… 😊
The meaning of this phrase can be summarized, or paraphrased, as follows: however carefully you plan a particular undertaking, something nevertheless often goes wrong with it along the way.
I guess you can also add Murphy’s law to the list too.
Anything that can go wrong will go wrong.” In some formulations, it is extended to “Anything that can go wrong will go wrong, and at the worst possible time.”
But we all should know by now in the news from Iraq they tend to rush events. No Speedy Gonzales in Iraq…. lol… lol… lol… Even the news articles sometimes get lost in the translations from Arabic to English. But we later adjust when we find out the correction and move on. No sour pusses, or negative attitudes. We adjust our thinking and continue.
Am I disappointed? Trust me I share a great disappointment along with all of you. I am only human. I have been in this investment since 2006 and so go figure how I feel. I will report on the answer to this question of April and a couple other questions I have in my Thursday edition 05/02.
Do you have any questions you would like me to ask my contact? Please submit them now so I can ask tomorrow. Please no date and rate questions.
ANALYST: AL-SUDANI IS THE FIRST PRIME MINISTER TO WORK AROUND THE CLOCK
Political analyst Alaa Al-Azzawi confirmed today, Thursday, that Prime Minister Muhammad Shiaa Al-Sudani is considered the first prime minister to work around the clock, and his closeness to citizens increased his popularity, and Iraq has never seen a prime minister this close.
Al-Azzawi told the Iraq Observer Agency that the Prime Minister was on an official visit last week in the United States of America, and the world saw how he wandered here and there and the meetings and agreements that were concluded, as well as the meetings with senior officials in the United States of America, and when he returned to Iraq at the beginning of this week, he received on Monday, Turkish President Recep Tayyip Erdogan, in addition to holding intensive dialogues, and not least, Al-Sudani’s visit to Anbar Governorate yesterday, Wednesday, and his meeting with department directors.
He pointed out that this feeling and belonging in closeness to the citizen raised the level of trust that the citizen lost during two decades, in addition to the presence of general satisfaction with the general policy of the ministerial cabinet, which is considered the first government close to the people.
