"RV UPDATE" BY KAPERONI, 12 MAY

  Kaperoni  

To date Iraq still has the majority of their working force dependent on the state.   Diversifying their economy, creating a private sector, private businesses, engaging with the world, exporting products are all good things that would support the growth of their currency.

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 Going To Be Moon Exchange Rate Will Be Fixed Investors Alert...

Iraq requests end of UN assistance mission by end-2025, 12 MAY

   Iraq requests end of UN assistance mission by end-2025

BAGHDAD (Reuters) –

Iraq has requested that a United Nations assistance mission set up after the 2003 U.S.-led invasion of the country end its work by the end of 2025, saying it was no longer needed because Iraq had made significant progress towards stability.

The mission, headquartered in Baghdad's heavily fortified Green Zone, was set up with a wide mandate to help develop Iraqi institutions, support political dialogue and elections, and promote human rights.

Prime Minister Mohammed Shia al-Sudani said Iraq wanted to deepen cooperation with other U.N. organisations but there was no longer a need for the political work of the U.N. assistance mission, known as UNAMI.

The mission's head in Iraq often shuttles between top political, judicial and security officials in work that supporters see as important to preventing and resolving conflicts but critics have often described as interference.

"Iraq has managed to take important steps in many fields, especially those that fall under UNAMI's mandate," Sudani said in a letter to U.N. Secretary-General Antonio Guterres.

Iraq's government has since 2023 moved to end several international missions, including the U.S.-led coalition created in 2014 to fight Islamic State and the U.N.'s mission established to help promote accountability for the jihadist group's crimes.

Iraqi officials say the country has come a long way from the sectarian bloodletting after the U.S.-led invasion and Islamic State's attempt to establish a caliphate, and that it no longer needs so much international help.

Some critics worry about the stability of the young democracy, given recurring conflict and the presence of many heavily armed military-political groups that have often battled on the streets, the last time in 2022.

Some diplomats and U.N. officials also worry about human rights and accountability in a country that frequently ranks among the world's most corrupt and where activists say freedom of expression has been curtailed in recent years.

Iraq's government says it is working to fight corruption and denies there is less room for free expression.

Somalia's government also requested the termination of a U.N. political mission this week. In a letter to the Security Council, the country's foreign minister called for the departure of the Nations Assistance Mission in Somalia (UNSOM), which has advised the government on peace-building, security reforms and democracy for over a decade. He provided no reason. 

Metro Portal (newsroomlabs.com)

"RV UPDATE" BY MILITIAMAN, 12 MAY

 Militia Man 

  Article:  "Floating the dinar returns to the forefront will the Central Bank of Iraq resort to it and what the risks?"  The bottom line is Iraq is going to make an exchange rate change.  They've told you about it...A managed float is a mix of a fixed and a float...Are they going to change it to a free float?  Probably not because there's a lot of risks at that stage...Ultimately what is their goal?  Raising the value of the dinar against the dollar.  That's what they're going to be trying to do..

We all know the project to delete the zeros has been on the table now for many years but it was taken off the table,  back on the table...The delete the zeros is all about what?  Creating value.  

1310 to buy widgets is in the hundreds of trillions and their budget is in the hundreds of trillions.  They don't even have that much money printed.  They don't even have it on their M1 etc at this point in time.   They never have.  There's got to be an adjustment...

--

Article: "Iraqi Council of Ministers approves the 2024 budget schedules" 

 The next step would be to take those schedules and deliver them to the House of Representatives.  If we see that, that's going to be powerful because everybody's gonna be biting their nails because it could very well suggest something could happen prior to that happening.  It's a nail biter...

Article: "Specialist: Floating the dinar is economic suicide"  

Them bringing up exchange regimes obviously...they're going to do something because why talk about it if it's not going to change.  You don't.

 Non-oil revenues...Iraq has the largest sulfur deposit in the world.  They can tap into that.  It's going to be part of their non-oil revenues.  The amount of natural resources Iraq has is off the charts.  Anything that suggests they can't afford to do what they're going to do and go to a market economy I think is highly mistaken.

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

Iraqi Dinar | Latest Exchange Rate Released Finally | Iraqi Dinar News T...

A $700 million agreement is signed between Iraq and Italy to finance these projects, 11 MAY

  A $700 million agreement is signed between Iraq and Italy to finance these projects

Today, Saturday, the technical advisor to the Prime Minister, Muhammad Al-Daraji, announced the signing of an agreement between Iraq and Italy to finance industrial projects worth $700 million, while he confirmed the signing of memorandums of understanding to equip Iraq with (6) Italian factories for the private sector.

Al-Daraji said in an interview followed by Al-Eqtisad News, “Under the guidance of Prime Minister Muhammad Shiaa Al-Sudani, an agreement was signed between the Supreme Committee for Sovereign Guarantees and the Italian Shasa Credit Corporation on behalf of the Italian government to finance industrial projects in Iraq worth $700 million,” noting that "The agreement was signed between the Trade Bank of Iraq (TBI) and two Italian banks to finance these projects."

He added, "As part of the government's initiative to support the private sector, memorandums of understanding were also signed between Iraqi businessmen and businessmen from Italian suppliers of production lines and factories to supply 6 factories to Iraq," indicating that "these factories include glass products, medicines, slaughterhouses, poultry and egg rearing, and gas processing." The facility, an iron factory, and a pharmaceutical factory.”  link

Response to Guru Deepwoodz new 1000 fil note post below by BUCKEYETREE, 11 MAY

Buckeyetree 

  [Response to Guru Deepwoodz  new 1000 fil note post below]

  We do not know the exact rationale for the CBI to display a 1000 fils note or imply its future use if there is also to be a one dinar note...

We have both a paper one dollar bill and a silver one dollar coin...The 1000 fils note could be released as tender but may become a collector's item while still legal tender.  Such is the case of the $2 dollar bill, not widely used but still legal tender.  

The CBI is holding back...the photos of the primary lower denoms.  The 1000 fils note photo may be a way to give confidence to the contractors that big changes are on the way with an exchange rate that would support the use of such a 1000 fils note. 

Deepwoodz 

 [Response to Guru Frank26's new 1000 note post below] 

 Why would you need a 1000 fil note? 

 Wouldn’t that be 1 dinar? 

That’s what it is in Kuwait and other countries that use dinar. No way you print two notes to represent the same value. 

Can someone help this make sense? 

  Kuwait’s are 1, 5, 10, 20, 50, and 100 fils. 1000 to a dinar. No reason  Iraq would be any different. Doesn’t really matter, I don’t care if they print three versions of the 1 dinar note. As long as they print at least one, I’m golden.

Frank26 

 On the CBI website back in January of this year...the CBI started the monetary reform campaign to the Iraqi citizens...It was on January 1, 2024 that the Central Bank of Iraq displayed this green looking currency...You'll notice three zeros.  What this is a 1000 but it is not what you think it is.  What is the color of the 1000 note that's out there right now? 

 Yellow/gold...What's this 1000 note that's green?  ...It is a fil...They are not going to release a 1000 lower note...They're not only going to release coins made out of precious metals but they're also going to release fils in paper.