The parallel market rate is an illegal, “black market” rate. This is the rate they have been trying to get rid of andwe all know how they can easily get rid of it, and that’s by adding value to their national currency. A value that is much higher than the dollars they have used for 20 years. I believe the way they are doing this is kind of like building all the financial infrastructure FIRST, that when all else is done, will be able to support the worlds most valuable currency rate. They are doing it right.
Not just flipping a switch. That very last part of the cake, is the icing. The best for last.
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We used to get articles all the time about the need to pay salaries. I haven’t seen these much lately, if at all. Something else missing has been the START of new contracts and their costs...With the added 400 billion in new agreements Sudani spoke of. That’s billion dollars too by the way. Convert that to dinar if you like and see if you think Iraq has ever had that many dinar printed.
Then we have the HCL rights which are defined in the constitution as well, but still nothing on paper. Obviously Sudani’s government is keeping a secret. I wonder what that could be? Wouldn’t these three items be dependent on a NEW value to their currency? I have no doubt.
Frank26:"AS WE SUGGESTED THE MONETARY REFORM EDUCATION WOULD BECOME LOUDER TO THE CITIZENS AND RIGHT NOW FLOATING IS THE TOPIC... WITH NO MENTION OF A BASKET... EXACTLY AS WE TOLD YOU."...........F26
"THE MOMENT THEY RELEASE THE NEW EXCHANGE RATE AND NEW LOWER NOTES... THE FLOAT AUTOMATICALLY STARTS ON FOREX!!!"............F26
Floating the dinar... Will it achieve monetary stability in Iraq?
May 17, 2024
The stability of the Iraqi dinar in recent years has always faced major challenges, as it witnesses price fluctuations, not to mention a gap between what the central bank determines and what is sold in the parallel market.
In order to avoid the “volatility” syndrome and the “gap” in the price of the Iraqi dinar against foreign currencies, some experts believe that the solution lies in a kind of “surgical” operation for the country’s monetary system that may be painful, but it achieves long-term monetary stability for the national currency through... "float".
VND Update: U.S. Trade Upgrade Promises Stronger Exchange Rate
New Market Economy Status Could Transform Economic and Trade Relations
In This Article:
Overview of the U.S. Department of Commerce Review
Advocates’ Arguments for Vietnam’s Market Economy Status
Concerns from U.S. Industries
Broader Economic and Geopolitical Implications
The United States is considering a significant economic move for upgrading Vietnam from a non-market economy (NME) to a market economy.
This change seeks to end high anti-dumping and countervailing duties on Vietnamese imports, while boosting Vietnam’s economy and its struggling VND currency exchange rate with the US Dollar.
Overview of the U.S. Department of Commerce Review
The U.S. Department of Commerce is set to complete its review of Vietnam’s economic status by late July 2024.
Currently, Vietnam is among 12 countries designated as NMEs, subjecting its goods to higher duties. Proponents argue that Vietnam has made substantial progress in currency convertibility
, labor rights, and openness to foreign investment, qualifying it for an upgrade.
Advocates’ Arguments for Vietnam’s Market Economy Status
Vietnam’s Ministry of Industry and Trade (MOIT) and other proponents highlight several key improvements.
They point to enhanced currency convertibility, improved labor rights, and increased openness to foreign investments.
Major investors such as Samsung, Intel, and Nike have significantly contributed to Vietnam’s economic landscape, demonstrating confidence in its market reforms.
Concerns from U.S. Industries
Opponents, including U.S. steelmakers and agricultural groups like the Southern Shrimp Alliance, express concerns about potential negative impacts on American industries.
They argue that ongoing state intervention and unfair trade practices in Vietnam could harm U.S. businesses.
The decision also faces scrutiny from U.S. domestic politics, particularly in swing states like Pennsylvania, where the impact on local industries is a critical consideration.
Broader Economic and Geopolitical Implications
Changing Vietnam’s status holds broader implications beyond trade.
Economically, it would strengthen the VND and enhance Vietnam’s position in the global market. Geopolitically, it could counterbalance China’s influence in the region, fostering closer U.S.-Vietnam economic relations.
The potential upgrade also reflects Vietnam’s infrastructural and business reforms, offering growth prospects for U.S. firms and increasing foreign direct investment, which rose to $3.5 billion in 2022.
The Bottom Line
The potential upgrade of Vietnam’s economic status by the U.S. Department of Commerce could significantly impact trade relations and strengthen the Vietnamese dong.
The decision, expected by late July 2024, will play a crucial role in shaping the future of U.S.-Vietnam economic and geopolitical dynamics.
Paying off external debt is a step to promote stability and recovery
Experts in the field of economics expressed their confidence in the economic and financial reform steps undertaken by the current government under the direct supervision and guidance of Prime Minister Muhammad Shiaa Al-Sudani, and while they pointed out that Iraq’s payment of its foreign debts is a supportive step for financial and economic stability and moving towards recovery, they called for Accelerating the steps to move away from the framework of the “mono-rentier economy” towards a multi-resource economy.
The head of the “Osoul” Foundation for Economic and Sustainable Development, Khaled Al-Jabri, said in an interview with “Al-Sabah”: “Iraq’s payment of all its debts to the International Monetary Fund is a positive step towards enhancing economic stability and improving the country’s financial situation,” indicating that “this achievement has implications.” “There are multiple impacts on the Iraqi economy, in terms of improving the credit rating, as repaying debt enhances Iraq’s credit rating, which may reduce borrowing costs in the future, and it also reflects the country’s ability to fulfill its financial obligations, which increases the confidence of international lenders and investors.”
He added, “Enhancing international confidence confirms Iraq’s commitment to financial and economic reforms and can attract more foreign investments, as investors see that the financial environment has become more stable, and that the financial resources (money) that were used to repay debts can now be allocated to development projects.” And infrastructure, and can contribute to improving public services and increasing spending on health and education.”
Today, Thursday, the Advisor to the Prime Minister for Financial Affairs, Mazhar Muhammad Salih, announced that Iraq has fully repaid all loans provided by the International Monetary Fund since 2003, noting that their total did not exceed 8 billion dollars. The head of the Al-Sharq Center for Strategic Studies and Information, Ali Mahdi Al-Araji, explained in an interview with “Al-Sabah” that “Iraq’s total debt amounts to about 70 billion dollars, divided into an internal debt worth 50 billion dollars scheduled between the Iraqi banking system and the three government banks (Al-Rasheed, Al-Rafidain, and Al-Basra). Iraqi Trade), and the other part is an external debt amounting to 20 billion dollars, meaning that in total it constitutes only 35 percent of the country’s gross domestic product. He explained, “Iraq - as it is known - is a rentier country that depends on oil, and this is offset by a significant real exhaustion of the state budget estimated at $42 billion that goes annually between job salaries, retirement, and social care. Perhaps we will face in the future what is called (the Dutch disease), where reliance on... Natural resources and the collapse or decline of the industrial side. Al-Araji expressed his confidence in “the great efforts of Prime Minister Muhammad Shiaa Al-Sudani to resolve the financial crises in Iraq,” stressing that “we find them to be good steps. There must be a wise administration that controls the country’s cash reserves and seeks to achieve harmony and balance between operational and investment expenses and... Its imports, and repairing the deficit in the trade balance, budget, and payments, to avoid any financial crisis that may afflict the country.” link
...BANKS EXPECTING TO SEE RATES LIVE AFTER FOREX OPENS AT 5:00 P.M. EASTERN...
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PAST POSTS OF RAYREN98
"ACROSS THE POND" FOLKS ARE CLAIMING WTO ASCENSION & AN INTERNATIONAL CURRENCY. SOME 3-LTRS ARE STARTING TO CONFIRM AND ACKNOWLEDGE. TIME WILL TELL
SO, SOME AGREEMENTS WERE MET LAST NIGHT....LET'S SEE WHERE THAT TAKES US FOR LATER TODAY?
[via Babysmom] "EAST COAST BANK CONTACTS ARE "VERY EXCITED" AND ANTICIPATE INITIATING EXCHANGES EITHER LATE TONIGHT OR EARLY IN THE MORNING. TIME WILL TELL...
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EVEN THOUGH I DON'T SEE IT YET...THEY ARE TELLING US "IT'S DONE"...THIS HERE "RIDE" IS FINALLY COMING TO AN END...HOPEFULLY TODAY.
[via Vinterv] 3 LTR'S [3 LETTER AGENCIES] ARE ON A 24-HOUR WATCH...
♪♫•*¨*•.¸¸❤¸¸.•*¨•*♫♪ I'm so excited, and I just can't hide it. I know, I know, I know I see a RATE CHANGE! A SHO-NUFF "RATE CHANGE" ! ♪♫•*¨*•.¸¸❤¸¸.•*¨•*♫♪ Sooner THAN later ♫♪♫♪♫ I GOT A FEELIN ...TONIGHT'S GONNA BE A GOOD NIGHT ♫♪♫♪♫ times 3...
GOOD SOURCES INFORM THAT THEY ARE ATTEMPTING TO PUSH IT OUT "BEFORE" THE END OF THE MONTH...
