The Central Bank of Iraq revealed, on Thursday, the new mechanism for passengers to receive foreign currency (dollars), which will be exclusively through corporate outlets and banks at international airports.
“The goal of the new mechanism, which will enter into force on July 14, is to reach the real traveler and pass proper transactions, as well as facilitate the arrival of travelers to the dollar faster,” the bank said in a statement.
The Central Bank reviewed “the new mechanism for travelers to receive their share of foreign currency (dollars) by the traveling citizen going to the authorized exchange companies, spread in all cities to deliver the amount in dinar equivalent to the citizen’s share of the dollar according to the official exchange rate of the Central Bank of Iraq.”
He pointed out that “the company will work to enter the data of the traveling citizen and remove his name in the electronic platform of the Central Bank of Iraq and deliver him a receipt that supports the process of depositing the dinar, to receive the cash dollar exclusively inside the airport,” noting that “when completing the departure procedures, the amount will be delivered in dollars through the ports available at the airport, 24 hours a day, 7 days a week.”
The statement noted that “the Central Bank decided to allow exchange companies to receive more than one quota during the week in order to achieve full response to traveler requests.”
The Oil and Gas [Law] and the presidency of the House of Representatives, I think those are going to be coming, tie to tie, hand in hand because...if they need to value...assets, they're going to need a real effective exchange rate...
Militia Man
Iraq has a meeting with the WTO according to the calendar...on or around the 18th of this month. What is it about? It's talking about their accession process, whether that's going to happen or not that day I don't know but assuming that it's moving forward it sounds like their accession is going to be imminent.
You're not going to get Iraq to jump into the world market, the global stage, without being able to be competitive and communicate electronically - Platforms needed to be designed...We know they have e-government...e-education, they have all that and done it over a short period of time. The electronic systems at the borders, the ISA system are global. They are worldly...The WTO is at the core of this. It's real.
Iraq...hasn't had a real effective exchange rate for over 20 years...Man we're really really close.
The Real Effective Exchange Rate changes the whole dynamics. They wouldn't have gotten this far in the stage if they were going to go do all the things they're talking about at 1310. They would have already done it by now...
They're effectively stating to everybody that they're going international. They're giving a laundry list of all the things they've done, are doing and in support of where they're headed.
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That's what we are waiting for as we speak [seeing what's in the budget]. We haven't seen them expose that rate or that information to us just yet but they're going to. They don't have much choice because June 12th it [The budget] became law...The court already said... just because they have an appeal doesn't mean they have any weight to them.
The budget is only at $70 [per barrel], they've been trying to see if they can modify it and kick it up to $80 so they can spend more money...Oil prices are at $80+ and they think it's going to keep moving forward for the next year or year and a half.
Article quote "...the global energy market sources indicate the current rise in oil prices will continue until the end of the year 2025."
Everybody should be pumped and ready to go...
Article quote: "Sovereign guarantees to the private sector will contribute to the industrial renaissance"
This article right here will blow your socks off...
Prime Minister Mohammed Shiaa Al-Sudani confirmed on Thursday that Iraq is witnessing the highest growth rate in the region.
The Prime Minister’s Media Office said in a statement received by “Economy News” that the Sudanese “on-Sudanded the annual celebration of the National Job Day, which was held at the government palace in the capital Baghdad, where 50 distinguished employees in various fields were honored, selected by specialized committees for their excellence in job performance.”
Al-Sudani praised “the distinguished employees who strive and deserved excellence, and this choice for female employees and employees proves the strength of the Iraqi and its principle, confidence and positive energy,” stressing that “the martyr who sacrificed himself for Iraq and the Iraqis remains the first distinguished.”
He added that “we commend the initiative to honor the distinguished employees, and appreciate the efforts of the concerned committee, and everyone who contributed to this initiative, which confirms the ability of employees in the public sector, and denies the negative image of them, as it highlights the loyal, competent, productive and honest employee,” noting that “the presence of other numbers of distinguished employees perform their tasks with dedication and high efficiency.”
He pointed out that “the stories of distinguished employees that deserve to stand at them and enhance confidence in the government employee, especially since some of them managed to transform the difficult circumstances and their challenges they live into success, excellence and dedication in the public service that it provides to citizens,” indicating that “one of the people of determination has achieved superiority over his colleagues in programming, as well as the insightful student in the sland that exceed and exceeded its health conditions, which is a state of creativity that we are entitled to be proud of.”
During the ceremony, the Sudanese touched on “the pivotal and fundamental role of the public sector in building the country, and its assumption of the implementation of the government’s program and priorities, as well as its importance in upgrading the reality of the country in all fields, as Iraq is witnessing the highest growth rate in the region, and the government sector must perform its duties in this regard.”He stressed that “the government has made, in less than two years, an important way from working and addressing challenges, in all fields, as our country has natural and human resources, capabilities and wealth, some of which have not invested to this day.”
What you need to watch...the internal float of the Iraqi dinar..
It's not complicated. It's very straightforward to the point. The budget has a new exchange rate.
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Walkingstick
Sudani rewrote the contracts and recalculated them in accordance with the rate in the budget...They've been running a budget with the new exchange rate and a budget with the old exchange rate...
[Iraqi bank friend Aki update]
AKI: It's about time.
WAlKINGSTICK: What he's telling us is it's about time to release the budget and the new exchange rate with the lower notes. That's what he meant.
The ATM machines, they're all poised like centurions that are standing there. These ATMs are guarding the lower notes. It's time for all of this to come out now. It's just the budget we are waiting for. We're not waiting for any laws, we're not waiting for any new procedures.
Al-Sudani's Financial Advisor Reveals The Reason For The Continued Rise Of The Dollar And Confirms: Short-Term
Posted On 2024-07-04 By Sotaliraq The financial advisor to the Prime Minister, Mazhar Mohammed Salih, revealed on Wednesday the reason for the continued rise in the dollar exchange rate in local markets, while stressing that this rise is short-term and does not constitute any relative importance in affecting the stability of the general price level.
Saleh said that “despite the fluctuations in the parallel or irregular exchange market, whose short-term fluctuations are the result of noise from colored or confusing information originating from international or regional circumstances, or the issuance of some regulatory instructions adapted to foreign currency, which some speculators are trying to exploit to generate a trend of fateful profits in the exchange market, it can be said that the fixed exchange rate system in Iraq is still based on a strong foundation consisting of the country’s international reserves.”
Noting that “it is the highest in Iraq’s history through the management of its foreign reserves, resulting from a surplus in the current account of the balance of payments at a significant rate that may reach (positive 7% of the country’s gross domestic product).” Indicating that “foreign currency covers a percentage of more than 130% of the total currency currently in circulation.”
Saleh added, “Given the strength of the official central exchange rate and its role in financing nearly 90% of the private sector’s foreign transfer transactions, excluding the government sector, the dollar-to-dinar exchange rate in the parallel market does not represent any relative importance in its fluctuations in influencing the stability of the general price level, which has become static in its components and trends due to the influence of the official exchange rate factor currently dominating the financing of foreign trade (imports), amounting to 1,320 dinars per dollar.”
He stressed that “this lack of influence is embodied in the state of relative stability of prices of goods and services to a large extent, as the average annual inflation in our country does not exceed 3%.”
He continued, “Based on the above, and in light of the strength of the foreign reserves supporting the Iraqi dinar, the value of which as liquid foreign assets exceeds $100 billion, the official exchange market, as a general trend, will remain dominant in containing any colored noise or ambiguous information that affects the parallel exchange market in short periods, due to urgent international or regional political events here and there, or in adapting some of the instructions regulating the monetary market, as we noted above.”
He added, "After the decline of the dollarization phenomenon in domestic transactions, especially in contracts, obligations and payments within the country since last year and its legal prohibition, the parallel exchange market has become such that its general effects today only form a narrow economic scope of prohibited transactions practiced by informal markets, and at a rate of 10% of the total supply and demand transactions for the currency."
He stressed that “the stability of the dinar to dollar exchange rate that the country is witnessing even in the secondary markets above is a real and solid stability, and is derived from the strength of the impact of the price and quantity factors of the monetary and financial policies and their integration in imposing overall price stability in the country, and containing inflationary expectations that were caused by the parallel exchange market forces during the past years.”
He added in his statement that “the irregular secondary market, due to the freedom of external transfer, falls under the influence of the official exchange market rate, whose operations are constantly expanding in favor of dealing at the fixed official exchange rate.”
The dollar price recorded a rise today, Wednesday, with the closing of the Al-Kifah and Al-Harithiya stock exchanges, reaching 149,000 dinars for every 100 dollars, as the price recorded this morning 148,500 dinars. LINK
