Tuesday, July 9, 2024
The dollar’s flight does not threaten the dinar.. Al-Sudani’s advisor dispels fears: The dollar system is a thing of the past
On Monday, Mazhar Mohammed Salih, the Iraqi Prime Minister’s financial and economic advisor, offered his thoughts regarding the resumption of the rise in the exchange rate between the Iraqi dinar and the US dollar in local markets.
Saleh made sense of to , “The decent conversion scale framework in Iraq depends on a global stores base that is the most elevated throughout the entire existence of Iraq and its money related approach, as unfamiliar cash covers over 100 percent of the all out cash right now given.”
He continued, “given the strength of the official central exchange market, the exchange rate of the dollar to the dinar in the parallel market today in the country does not constitute any relative importance in influencing the stability of the general price level, which has become stable 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 1320 dinars per dollar, which is a stable trend for the exchange rate and around which the stable external value of the din
According to Saleh, the official exchange market will continue to dominate 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 or in adapting some instructions regulating the monetary market. This is based on the preceding and the strength of the foreign reserves supporting the Iraqi dinar, whose value as liquid foreign assets exceeds $100 billion.
According to Al-Sudani’s financial advisor, the parallel exchange market has evolved to the point where its general effects now 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 for the currency. This is because of the decline of the dollarization phenomenon in domestic transactions, particularly in contracts, obligations, and payments within the country, since the previous year and its legal prohibition.
Saleh focused on that “the security of the swapping scale of the dinar to the dollar that the nation is seeing, even in the optional business sectors above, is a genuine and strong dependability. Rather, it is gotten from the strength of the effect of the cost and amount elements of the money related and monetary approaches and their mix in monumental in general cost dependability in the nation and containing the inflationary assumptions that were brought about by the powers of the equal trade market during the previous years.”
“The secondary (irregular) market, due to the freedom of external transfer, is 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 financial advisor stated at the speech’s conclusion.
LATEST FROM FIREFLY
Frank26 [Iraq boots-on-the-ground report]
FIREFLY:Parliament demands, they are demanding on television that they want full control of the parallel market...and to prosecute the ones that are manipulating the dollar rate. What a joke. It's half of parliament who are the crooks that are doing this...They are the ones causing this mess.
Exchange companies announce a “general strike” in all Iraqi governorates
“Given the insistence of the Central Bank of Iraq on harming companies and pushing them to the forbidden, and its disregard for the legitimate demands submitted by exchange companies that are in accordance with the law, and after holding an expanded meeting of exchange companies, it was decided to start a general strike and complete closure,” the coordination committee said in a statement.
She confirmed that, “until further notice, for all governorates,” she will not participate in the auction “from next Wednesday, corresponding to 7/10/2024.”
LATEST FROM MNT GOAT
Mnt Goat
...everything is set to move ahead with the process of currency reform. We are just waiting. We know that the next step must be taken to move ahead and that is to revalue in-country only first just slightly over a dollar, then conduct the Project to Delete the Zeros as the currency swap out takes place.
The CBI told us then they plan to monitor for a short time for inflation and then move to reinstate the dinar back to FOREX and when doing so the IMF plans to place the dinar in a new peg as in a basket of currencies and float it. ...this should have already been accomplished in June and is late. It is failure on the part of the US because the US is still stalling it.
In light of the strength of the official central exchange market, the exchange rate of the dollar to the dinar in the parallel market today in our country does not constitute any relative importance in influencing the stability of the general price level...” Saleh...
financial advisor to the Prime Minister...is telling us...the parallel market versus the official rate are under control and no longer an issue for stability. It also tells me they have their inflation problem under control. This is amazing because my CBI contact told me this one of a few other issues was the reason why the Project to Delete the Zeros was not kicking off...
THERE HAVE BEEN SIMILAR REPORTS OF RV THE DINAR SINCE 2007 , BUT TO DATE NON HAVE COME FRUITION BY SKYWALKER, 6 OCT
SkyWalker Flashback Article: " 23 June 2011 the Central Bank of Iraq announced it is planning to delete zeros from the Iraqi di...
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Walkingstick All these meetings that the CBI had with all these agencies that were helping them with their monetary reform are done. Al...
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Bank appointment for Currency EXCHANGE Instructions/Checklist Bank Name_________________________________________ Bank 800#____________...