Monday, July 29, 2024
IMPORTANT IRAQ NEWS:IRAQI BANKING SYSTEM.. A SIGNIFICANT INCREASE IN THE NUMBER OF BANK ACCOUNTS AND THE VOLUME OF DEPOSITS FOR CITIZENS BY MNT GOAT, 29 JULY
IRAQI BANKING SYSTEM.. A SIGNIFICANT INCREASE IN THE NUMBER OF BANK ACCOUNTS AND THE VOLUME OF DEPOSITS FOR CITIZENS
The banking system in Iraq is gradually regaining citizens’ confidence with the increase in the number of bank accounts in the country.
Banking systems around the world are facing increasing challenges in light of rapid economic and financial changes. To ensure the stability of these systems and protect depositors’ funds, many countries are moving towards joining the International Association of Deposit Insurers. This membership is not just a formality, but a strategic step that carries significant benefits for member countries and their banking systems.
In Iraq, economic and political challenges over the decades have provided a strong justification for keeping money at home rather than in banks.
However, the accession of the Iraqi Deposit Insurance Corporation (ICDI) to the International Association of Deposit Insurers was a decisive step in improving confidence in the banking system
. Since its accession, Iraq has witnessed a significant increase in the number of bank accounts and the volume of deposits, reflecting a significant improvement in citizens’ confidence in banks. This development enhances Iraq’s ability to attract investment and support economic growth by converting savings into productive investments.
In a world characterized by increasing economic and financial interdependence, countries cannot operate in isolation from each other. Membership in international deposit insurance bodies reflects countries’ commitment to international cooperation and exchange of expertise, and confirms their relentless pursuit of financial stability and the protection of depositors’ funds. This membership is not just a formality, but a strategic investment in the future of the banking system and the national economy as a whole.
International cooperation: the cornerstone of deposit insurance
International bodies provide a unique platform for the exchange of expertise and knowledge between member states. National financial institutions can benefit from the successful experiences of other countries in the field of deposit insurance, and avoid the mistakes made by some countries. This ongoing exchange contributes to the development and modernization of deposit insurance policies and procedures in line with international best practices.
Joining the International Association of Deposit Insurers (IADI) enhances the transparency and credibility of the national banking system.
A country’s commitment to strict international standards in the field of deposit insurance sends a positive message to citizens and investors, stating that their deposits with banks that are members of the deposit insurance system are in safe hands and that the banking system is subject to effective local monitoring and supervision. International bodies do not only provide a platform for the exchange of expertise, but also provide technical and advisory support to their members. National institutions can benefit from the expertise of international specialists in developing and implementing effective deposit insurance policies, assessing potential risks, and preparing for financial crises.
By adhering to international standards and implementing best practices, national institutions can reduce the risk of financial crises and enhance the stability of the banking system. This stability is not an end in itself, but rather a means to achieve broader economic and social goals, such as increasing economic growth rates and creating job opportunities.
When citizens and investors trust the banking system, they are more willing to deposit their money in banks. This increased confidence leads to an increase in the volume of deposits available for investment, which supports economic activity and contributes to achieving sustainable development. The impact of membership in international bodies is not limited to enhancing financial stability and confidence in the banking system, but extends to supporting economic development.
Increasing the volume of deposits available for investment can contribute to financing development projects, providing loans to small and medium enterprises, and creating new job opportunities.
Malaysia:
Malaysia joined the International Association of Deposit Insurers, which helped improve deposit insurance policies and increase confidence in the banking system. This accession led to an increase in the volume of bank deposits and greater financial stability, which contributed to supporting economic growth in the country.
South Korea:
After the Asian financial crisis in the late 1990s, South Korea joined the International Association of Deposit Insurers. International membership helped restore confidence in the banking system and stabilize the national economy, allowing South Korea to achieve a rapid economic recovery.
STATUS OF THE RV BY MNT GOAT, 29 JULY
STATUS OF THE RV
I need to start off my commentary today by highlighting some concerns by a few of my blog readers about the RV and the two step process to get to the reinstatement. I think it’s the misunderstanding by a few about this process that raises concerns. I have read all the blog comments. Although I thank everyone for the comments, as least I know someone is out there. So, I encourage those with concerns to please go FIRST read or re-read my writeup on the Project to Delete the Zeros and the Dr Shabibi plan. Then SECOND come back to this commentary and continue.
If you still have concerns after reading the blog on these two sections (see above) than it is apparent to me that either you can’t read, didn’t learn how to read or can’t comprehend what you are reading. So, which is it?
Any process I tell you about in the blog is not my opinion but FACTUAL information given to us by the CBI in 2011. You can argue over it and given your negative comments until the cows come home and it won’t make a bit of difference or change anything. If you think you are somehow being swindled then get the hell off my site. I am only trying to help people understand exactly the opposite of all the negativity and concerns. The plan I described was developed by the CBI and the IMF not me. Get it? It was published in a series of articles over a period of time in 2012. It is a sound plan and they told they will execute it “when the conditions are right”. They have said this over and over again in the last 11 years. The CBI attempting to execute on the plan once already and got stopped. You can go read why and how this happened in the rest of the blog. I have been in this investment for 18 years. These are smart people in the Iraqi GOI and CBI and know what they are doing. If you feel the plan is not a viable plan and is going to screw the outside investors than I suggest you sell you dinar and get the hell out of this investment. I am a bit tired of repeating myself over and over again on these issues.
First let me say that the three zero notes are not being obsoleted after the deadline in Iraq is over to turn them in. No one EVER said that! These notes will be used for “interbanking of international transactions” in the background where large sums of cash must be transferred. The CBI told us this many times in articles. Yes, eventually these notes will become obsoleted but we will be way out of this and exchanged by then. Get it? This is why I am telling go exchange ASAP and don’t wait. This three zero note currency of Iraq is not something you are going to hold on to and watch it grow for the future. This investment ends when the RV happens. Get it? This is not a stock investment. Get it? But the CBI did tell us there will “probably” be at least a 10 year use of these notes by the banks for this purpose. How does this concern you. Simply put it doesn’t and so why are you so worried about it?
Next, the CBI very distinctly told us this procedure of the Project to Delete the Zero is NOT a lop. In the articles back then, they described what a lop is and how it is used in times to relieve the stress on a currency due to hyperinflation. So, does Iraq have hyperinflation? They are averaging now about a 3-4% inflation rate with the highest of 9% when they did the de-dollarization in 2023. So, the tool of the “lop” does not apply. Get it.
Again, the Project to Delete the Zeros is a process to switch out or swap out the currency and get them out of the “sanctioned” mode and back to normalization. They are not doing it due to hyperinflation. I will not repeat this again. Read my lips! Go see a doctor if you can’t comprehend this notion.
Back in 2003 they did the exact same thing to swap out the Saddam Hussein notes (the lower denominations) for the larger 3 zero notes. Now they have to switch them back. They did this for two reasons: 1, to eventually get the Saddam picture off the currency; 2.to steal from the Iraqi people through the currency auctions using the pretext of trying to prevent terrorist funding when in fact this process has caused more of it. (they knew it would too and this was all a well thought out U.S. plot to steal the oil wealth from Iraq)
Like I said on my blog section about this process the rate will stay the same after the swap out inside Iraq. If a 5,000 dinar note is worth $4.80 US dollars today then the $5 dinar note after the swap out will be worth $4.80. Get it? No one in Iraq is getting rich. BUT THIS SWAP OUT PROCESS IS FOR IRAQ AND INSIDE IRAQ. Once the swap out deadline is over, these large three zero notes will not longer be in circulation on the streets in Iraq. Get it? I did not say obsoleted or null and voided.
When the swap out is done, they will watch for inflation and if all goes well, they plan to reinstate the currency. Now the rate on FOREX is going to be a normal value, as determined by QFS and the new rate linked to FOREX. The CBI site will then also link over to either the QFS or FOREX (I am not sure which) but it does not matter. The new rate will reflect the true value of the dinar not some suppressed rate as it is today while they play their stealing game of corruption. Get it? So then a $5 dinar note that was $4.80 before the reinstatement for instance, could go as high as $20 USD after the reinstatement if the rate on FOREX comes out at $1 IQD = $4 USD. This same rate would apply to the dinar both inside and outside of Iraq after the reinstatement. There will never be two official rates for the IQD .
While the swap out in Iraq is occurring, the dinar notes we as investors, outside of Iraq, have a choice. We can then either go take the swap out rate when it occurs, if the banks in our country want to exchange them at this time as this is the rate they will use, when this process occurs. Or we can wait for FOREX. This is also why they put the link on FOREX linking back the CBI official rate today of 1320 (about $4.80 for a 5,000 dinar note as in my example). This official rate while in swap out mode will change to just around 1:1. Yes this is also what 1:1 means. One 5,000 dinar note for one 5 dinar note. One for one. Get it?
As I said before there can only be one official rate of the dinar at a time. You as an investor can wait and go the bank when the reinstatement occurs on FOREX and get the new official new “revalued” rate for your dinar. I don’t know about you but I am going to wait for FOREX. Don’t be fooled, anxious or be greedy and rush into the taking the swap out rate when they conduct the swap out in Iraq. If you do it is your fault and your mess up, if you want to make any real money off this investment. Don’t blame me for being stupid! Again do you take the initial cheese put in the trap or do you wait.
Were you in this investment back in 2011 and 2012 when all this information came out? If not then go read my blog writeup on the process because I was in this investment and I was tracking all the information given to us investors by the CBI back then. If you were then you should know better than to ask such questions. So please don’t tell me how this is going to work. Please stop all your nonsense and relax. Stop all the hypotheticals it is a waste of my time to even address then as most are just nonsense and just shows a lack of understanding how the process will work.
I will not explain the process again and this is why I documented the process VERY CLEARLY in my blog. 😊
I also want to clarify yet more nonsense going on in the comments. I have also explained many times over already in my commentary that my CBI contact told me that the 3rd stage of the reforms is underway and was supposed to begin with the Project to Delete the Zeros in mid-June. The project did begin and is moving forward but they are also still waiting for the assurances from the US. This does not mean they can’t begin some of the process and do as much as they can in anticipation of getting it sooner than later. Why did delegates just spend a week in Washington, yes last week? It was to talk about the 32 banks under dollar sanctions. Come’on folks read the articles I am presenting! Why do I present these articles and take the time to find them, interpret them and list them if you are not going to read them? If you are lazy don’t blame me. The information is all there.
The CBI began the education already and I showed you a video of it. What the hell more do you expect. They can not actually perform the swap out until, what I believe, is that this crooked administration the Biden and Obama must end and somehow the new Treasury cabinet member to be designated by the new administration who has common sense and is willing to reinstate Iraq now and not wait for some long-term grandiose plan of Obama to happen but to give assurances to the CBI right now that the project should be executed in “full” measure.
Yes, now and not wait. Otherwise, the CBI can educate all they want but the RV is still not going ahead until probably the election is over. You better pray the democrats are unseeded from power in the ability to be making these decisions for Iraq.
I certainly hope that all of you readers who made these types of comments suggesting that I present more clarity at least go and press the Mnt Goat GIFT button for the extra time I took today to explain this all over again and help you out. What is my time worth to tutor and babysit you? This is time away from my business or other jobs where I can be earning to make up for the losses at the gasthaus that started over Covid and continue still today.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/IMPORTANT IRAQ NEWS: RAFIDAIN BANK STARTS SELLING DOLLARS TO TRAVELERS THROUGH THE ELECTRONIC RESERVATION FORM BY MNT GOAT, 29 JULY
RAFIDAIN BANK STARTS SELLING DOLLARS TO TRAVELERS THROUGH THE ELECTRONIC RESERVATION FORM
A government source revealed, on Tuesday, the mechanism for selling dollars to travelers wishing to travel outside the country.
The source said in an interview with Al-Maalouma Agency, “Rafidain Bank has started selling dollars to travelers by filling out an electronic reservation form and reserving it 72 hours before the travel date.”
He added, “The opening of the form according to the new instructions begins at 8 am and ends at 1 pm, when the process of depositing the dollar amount for the traveler will take place in the bank’s branches and receiving it through the bank’s office at Baghdad International Airport.”
He pointed out that “the mechanism will be adopted to provide hard currency to travelers according to the official exchange rate set by the Central Bank of Iraq.”
It is noteworthy that in the past few days, travelers have had difficulty obtaining dollars due to the procedures at the airport and the changes that accompanied them.
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