Sudanese announces the signing of an agreement with Japan to finance small and medium enterprises in Iraq, 10 MAY

 Sudanese announces the signing of an agreement with Japan to finance small and medium enterprises in Iraq

5/9/2024  Baghdad

Prime Minister Muhammad Shiaa Al-Sudani announced today, Thursday, the signing of a financing agreement with Japan to finance small and medium enterprises in Iraq.

This came in a speech conveyed by his media office on the sidelines of his visit to Babil Governorate and the inauguration of a number of projects there.

Al-Sudani pointed out, in his speech, that this development is a success story in the private sector, stressing the unlimited support from the government.

For the sake of more job opportunities, as it currently accommodates approximately 4,000 opportunities within the company’s activities, in addition to increasing production and providing its surplus in the future for export outside Iraq.

The Prime Minister called on businessmen and private sector companies to take advantage of the investment opportunities offered and the sovereign guarantees provided by the state through the three-year budget law.

Al-Sudani announced the signing of an agreement with Japan to finance small and medium enterprises, amounting to $300 million, which will contribute to revitalizing and establishing the national industry.  LINK

"RV UPDATE" BY FRANK26, 10 MAY

 Frank26

   Article:  "Iraq Discusses Financial and Technical Support with IMF, World Bank"  Do you realize who these two powerful entities are?  Do you realize what they want?  A new exchange rate and nothing else.  

Who's forcing this monetary reform to come out/this new exchange rate?  The citizens of Iraq?  Sudani the prime minister?  The US Treasury?  

They sure want a windfall don't they for the Federal reserves. The CBI?  You and I?  The answer is all of the above is forcing it. 

 That's what's wonderful about it.  We are all on the same page.  We are all in cahoots.  We all agree.  

  It's going to float.  It's just that there's no basket, that's all.

 I just don't see that it's going to be in a basket.  I think it'll be a fixed rate...What would it be?  

Well they want 1 to 1.  IMO maybe $1.50 to 1 or $1.30 to 1. 

 That's a fixed rate.  But that fixed rate is going to be put in the international markets - Forex.   Because of supply and demand, using, buying and trading with it, the value internationally is going to go up...The CBI seeks what's called a REER, Real Effective Exchange Rate.

https://dinarevaluation.blogspot.com/2024/05/rv-update-by-frank26-8-may.html

Iraqi Dinar Revaluation News Last 24 Hours | Iraqi Dinar News Today 2024...

Erbil receives the 27th branch of the International Development Bank , 10 MAY

  Erbil receives the 27th branch of the International Development Bank

5/9/2024

The International Development Bank announced on Tuesday the opening of its new branch in the city of Erbil in the Kurdistan Region, which is the twenty-seventh branch in the country. 

In his speech during the opening ceremony, the bank’s authorized director, Saad Faiq, said, “The opening of our new branch in Erbil reflects our commitment to providing innovative and advanced financial services that meet the needs of our customers,” noting that “this opening is part of our strategy to enhance the presence in vital areas and support development.” economic in Iraq.

Faeq praised what he called "the vital role played by the Central Bank of Iraq in supporting the bank's endeavors, which enables it to provide advanced financial solutions and enhance confidence between the bank and its customers."  

For his part, Director of the Marketing, Sales and Product Development Department, Wissam Al-Amri, said that this opening confirms the International Development Bank’s commitment to continuing innovation and development in the financial services sector, aiming to achieve excellence in performance and striving to fulfill the aspirations and needs of its customers everywhere.

The International Development Bank has the largest ATM network in Iraq, with 400 ATMs, 5,000 direct points of sale (POS) in all Iraqi governorates, and 7,000 POC outlets.

According to him, the bank has thus acquired a large market share in Iraq from the total commercial financing and comprehensive banking operations. 

He has significant and continuous contributions to supporting SMEs (medium, small and large companies), by financing a large number of huge projects in various economic sectors and granting loans and credit facilities. 

Its management says that the bank today has a wide network of correspondent banks around the world and in more than 20 countries, which supports commercial financing operations and foreign transfers for the bank’s customers.   LINK

"RV UPDATE" BY KAPERONI, 10 MAY

 Kaperoni  

 It...is preposterous to think that you're going to walk into a bank and exchange Iraqi dinar for US cash. It is a fact that most Emerging Market countries are very volatile, banks by nature are very conservative.  Not happening...Market makers, ECNs or established financial institutions would make more sense to manage incremental gains.

 It is critical to understand that if the Central Bank of Iraq plans to end the auctions by the end of the year there must be a new mechanism in place or there would be no method to maintain stability of the dinar.  So for the central bank to announce that they plan to end the auctions they are in essence announcing, that they plan to float the dinar. Floating the dinar provides the new tools for the central bank to maintain stability.  Therefore, this announcement to end the auctions confirms (despite what some may say), Iraq will float their currency.

Article:  "Al-Rayes: The path of development is the first gateway to sustainable economic advancement"  If and when the Iraqi dinar begins to float supply and demand based on Iraq's economic success will take over.  Only with the success and growth of Iraq's own economy can the dinar go up in value. How fast and the pace are determined by those factors.

Article:  "The most difficult option.. Warnings of the danger of floating the Iraqi dinar without achieving an important condition” As I have mentioned numerous times, a float is coming for the Iraqi dinar. The question is.. when will they have sufficient diversification of the economy to support such an event?

 A country's currency is not some random act. An exchange rate is based on many factors including: reserves, GDP, economic growth etc. Iraq has a long ways to go and must pass laws to encourage investment. Only with the success of Iraq's economy can the dinar rise in value.

[aka Kaperoni]  

Article:  "Advisor to the Association of Banks: The Central Bank is following a consistent approach to achieving banking reform" 

 Quote:  "the management of the Central Bank of Iraq plans to gradually cancel the window for selling foreign currency during the year 2024, until it leaves it completely."  ...this is huge news... Iraq cannot end the auctions unless they have an alternative to the auctions... which means they plan to float the dinar by the end of the year...floating the dinar will give them a new mechanism to maintain the dinar, the CBI will buy and sell blocks of dinar like other central banks do to maintain their currency... 

 They will also have to use dinar to pay for goods and services which will make the dinar internationally traded...they want the banks and Iraq to establish relationships around the world with International standards and full compliance which means that means IMF Article XIV...This seems pretty clear and excellent news. We very well see that Iraqi dinar float on the global market at the end of this year or early next year...I think it's very promising...it definitely is very good news. 

https://dinarevaluation.blogspot.com/2024/04/analysis-of-iraq-news-by-kaperoni-11.htm

https://dinarevaluation.blogspot.com/2024/05/rv-update-by-kaperoni-7-may.html

Iraqi Dinar | WTO Big Announcement About IQD New Rate And Rv | Dinar New...

The Governor Of The Central Bank And The French Ambassador Discuss Developments In The Banking Sector, 10 MAY

 The Governor Of The Central Bank And The French Ambassador Discuss Developments In The Banking Sector

 May 09, 2024  The Governor of the Central Bank and the French Ambassador discuss developments in the banking sector  His Excellency the Governor of the Central Bank of Iraq, Mr. Ali Mohsen Al-Alaq, received His Excellency the French Ambassador in Baghdad, Mr. Patrick Durel.

  The meeting discussed ways to strengthen banking relations between the two countries, and

 His Excellency the Governor gave a comprehensive explanation of the relations and economic conditions, as well as the government’s directions in consolidating the foundations of the national economy and diversifying it in light of the state of security stability achieved in Iraq,

explaining the plan to restructure government banks that enjoys regular support and follow-up from Before the Prime Minister, indicating that this plan will change the map of the banking sector and its reality in Iraq.

 His Excellency also pointed to the rapid developments in organizing, monitoring and analyzing foreign transfer operations and covering foreign trade in accordance with best international practices and standards, which are receiving great praise and attention from international and regional organizations.

For his part, His Excellency the Ambassador expressed satisfaction with the developmental and economic developments he observed in Iraq, especially during his tour of the provinces,

 expressing his country's readiness to strengthen and develop banking relations with Iraq,

explaining that economic relations between the two countries are growing at the level of entry of French companies and the use of their expertise in investment projects.

 His Excellency the French Ambassador invited His Excellency the Governor of the Central Bank of Iraq, after making the necessary arrangements, to visit the financial and banking institutions in France, especially the Central Bank of France.    

It is noteworthy that the  Central Bank of Iraq owns deposits and accounts with the Central Bank of France, and  they have had distinguished cooperation relations over many years.

 Central Bank of Iraq  information Office May 9, 2024  https://cbi.iq/news/view/2574