Government financial advisor Midhar Mohammed Saleh examined on Sunday, the feasibility of replacing the dollar with the dinar for oil transactions. He noted that implementing the "petro-dinar" concept is complex, requiring significant foreign reserves or gold, similar to Russia's approach with the ruble. In an interview with the Iraqi News Agency (INA), Saleh emphasized that "adequate foreign reserves are crucial to stabilize the dinar’s exchange rate against oil prices, aiming to mitigate fluctuations." He cautioned that directly linking oil sales to the dinar could introduce volatility, impacting its stability due to global oil price movements. Saleh referenced Russia's challenges with pricing oil in rubles, a non-reserve currency, highlighting the difficulties posed by the dual influence of oil and gold asset cycles. He pointed out that adopting the petro-dinar would face similar obstacles, including the need for global market acceptance and robust financial infrastructure.
Additionally, Saleh discussed the "Law of One Price," which posits that identical goods should be priced uniformly in different markets when expressed in the same currency, assuming no trade barriers. For the petro-dinar to be viable, it must maintain a stable exchange rate aligned with global oil prices. In summary, Saleh warned that relying solely on the petro-dinar amidst oil market volatility involves significant risks and uncertainties. The dinar’s stability would hinge on broader economic conditions and effective currency management, necessitating careful evaluation of these compLexities.
Question: “I feel the RV will happen perhaps in a few months rather than years. Do you anticipate the exchange rate will be close to the same no matter which bank or exchange entity?”
Answer: The rate is the rate. If a bank charges a percentage to exchange that’s on the bank. You’re going to have to shop. No body knows...There’s no way to know what banks will charge to exchange but I’m pretty sure they’ll be competitive.
Breitling
August 17, 2024
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Breitling
What would happen if they did what Turkey did, they shifted their currency, they re-denominated, added value to it and tried to recreate the markets to get more customers and it doesn't work? There's no place to go. It would be too tough. Then they would really be dependent on the US dollar and then they would have no power over their own economy. That's what's at stake for Iraq. They are in trouble. They are in deep trouble...
Breitling
The key for Iraq - For them not to be dependent on the dollar. If the economy is 100% energy then they're going to be 100% dependent on the US dollar.
How do they get their currency outside of that
?
They have to open up to doing business in completely different sectors... Then they can attach that part of the economy to the Iraqi dinar. And they can add value to the dinar as they see fit. That's always been the underlying goal of what we want Iraq to do...
Breitling
I've gotten the weirdest hate mail with a capital H. You people need to just suck it up. I don't care if it's not what you want to hear...I'm just reporting what the policy in Iraq is and whether it's pushing our speculation forward or not. That's all it is. Nothing more than that.
Breitling
I beg you. Do not turn this investment into a religion and do not hide from facts...People that do that always have financial problems...You have to watch policy.
Breitling
[Iraq's] policy has changed for the very first time since we've been in this...speculation together. The policy is going to change on either side of the aisle...Iraq is going to be punished if they keep moving forward here [moving more and more pro-Iranian]. That's not good. That's not positive for us.
The Untied States is trying to influence [Iraq] to do the right thing. Hopefully they will do it and everything will be hunky-dory. Well the reality is IMO if the CBI had that influence it would have been done already. That's the problem. That's why I'm in the neutral zone. It sucks because I put my heart and soul into this. Don't think for a minute I don't feel it because I do...This could mess up the timeline and push it back, maybe even permanently if Iraq can't handle these financial problems.
Economy 2024-08-15 | 4,627 views Alsumaria News – Economy Iraq has made the biggest change in the way it deals with international oil companies in decades, by relying on profit sharing in contracts for developing oil and gas production projects and developing reserves.
According to the Specialized Energy Platform (based in Washington), the 13 new contracts signed by the Ministry of Oil yesterday, Wednesday, August 14 (2024), relied on a profit-sharing model instead of technical service conditions. Iraq has made the biggest change in decades in the way it deals with international oil companies in an attempt to attract more money to the oil and gas sector in order to develop its huge reserves.
Baghdad signed preliminary agreements for 13 blocks and oil and gas exploration fields, which a number of companies won in a May licensing round, giving the companies profit-sharing contracts that include more attractive terms than those for technical services. Details of new contracts Profit-sharing models provide a share of revenue after deducting royalties and cost recovery expenses, an oil ministry official told Reuters.
Iraq adopted profit-sharing contracts for the May licensing round instead of formulating deals based on prior technical service terms to try to attract more investments. The recent oil licensing rounds aimed to grant licenses to about 29 projects in 12 Iraqi governorates, to international and local companies, as 22 companies competed to develop the proposed fields and blocks. Traditional technical services contracts pay a fixed price for each barrel of oil produced after offsetting costs, and are less lucrative for foreign investors than production sharing terms.
Last year, Iraq struck a $27 billion oil deal with France's Total Energy by offering a faster, lower-risk recovery through greater revenue sharing, a model it said at the time could be replicated to attract more foreign companies. Oil investments in Iraq Many major oil companies have complained that the terms of traditional oil service contracts mean they cannot benefit from higher oil prices, and lose out when production costs rise. Iraq is the second largest producer in the Organization of the Petroleum Exporting Countries (OPEC) after Saudi Arabia, and currently has the capacity to produce approximately 5 million barrels per day.
Foreign investment in the oil sector in Iraq has declined since the wave of deals that followed the US invasion of the country more than a decade ago, which contributed to the stagnation of oil production.
Last year's Total deal was widely praised as a major achievement in attracting major Western companies to Baghdad.
Chinese companies dominated the bidding round last May, which offered 29 oil and gas projects, winning 10 of the oil and gas blocks and fields put up for auction. The competition activities for the licensing rounds in Iraq (the fifth supplementary and the sixth) continued for 3 days during last May, as 7 Chinese companies acquired the license to develop a number of Iraqi oil projects, while no licenses were granted to any of the other foreign or Arab companies applying, other than... Local companies. The Iraqi Ministry of Oil said that the agreements would increase production by 750,000 barrels of crude and 850 million standard cubic feet of gas. Through the licensing round, Iraq seeks to increase the production of natural gas, which it wants to use to operate power plants that rely heavily on gas imported from Iran. Oil Minister Hayan Abdul Ghani said that increasing gas production may allow more flexibility to supply gas to electric power stations. https://www.alsumaria.tv/news/economy/497157/تقاسم-الأرباح-العراق-يجري-أكبر-تغيير-بطريقة-تعامله-مع-شركات-النفط-منذ
👉Your QFS account is for you and not a joint account with your spouse, children or parents, but details will be announced once we know how the clause works.
👉 When you are a child, your parents cannot access your account, except for the following reasons. Now, if you have a parent, child, or spouse who needs care and can't access their account.
👉 There will be no requirement that you be 21 years old to access your QFS account, as some younger people may want to move and even get married to access these funds, but you must be only 18 years old.
👉Through EBS, you will discover that you have a quantum financial system account that has generated interest on your birth certificate and has a lot of money in it.
👉 Funds from your bank and credit union will be transferred to your QFS account once you have access to your QFS account
👉Homeless people should be notified in advance so they can go to a designated location to access a QFS account with a temporary address to then find their own place to live and restart their lives.
👉People who go to prison must pay their prison expenses from their QFS account.
👉 If there is a death in the family, it is not clear if the money in the QFS account will be transferred to other family members or if the QFS account will be closed because everyone else has enough money of their own.
👉I don't think it will get to the point where you have to have a fingerprint or DNA match to access, but if you lose your card, you will have to verify yourself to get a new one.
🔥 An 18-year-old will have at least $3,109,086 in a QFS account, a 30-year-old will have at least $5,181,810, a 50-year-old will have at least $8,636,350, a 65-year-old will have at least $11,227,255
Note: The older the person, the more interest, income and tax refund payments will go to their QFS account.
The UBI level above is for the US, other countries will have corresponding levels
#qfs #gesara #nesara #Q
TRANSLATION IN SPANISH
REDENCION 2020
👉Su cuenta QFS es para usted y no una cuenta conjunta con su cónyuge, hijos o padres, pero los detalles se anunciarán una vez que sepamos cómo funciona la cláusula.
👉 Cuando eres un niño, tus padres no pueden acceder a tu cuenta, excepto por las siguientes razones. Ahora bien, si tienes un padre, un hijo o un cónyuge que necesita atención y no puede acceder a su cuenta.
👉 No habrá ningún requisito de que tengas 21 años para acceder a tu cuenta QFS, ya que algunas personas más jóvenes pueden querer mudarse e incluso casarse para acceder a estos fondos, pero debes tener solo 18 años.
👉A través de EBS, descubrirás que tienes una cuenta del sistema financiero cuántico que ha generado intereses sobre tu certificado de nacimiento y tiene mucho dinero en ella.
👉 Los fondos de su banco y cooperativa de crédito se transferirán a su cuenta QFS una vez que tenga acceso a su cuenta QFS
👉Las personas sin hogar deben ser notificadas con anticipación para que puedan ir a un lugar designado para acceder a una cuenta QFS con una dirección temporal para luego encontrar su propio lugar para vivir y reiniciar sus vidas.
👉Las personas que van a prisión deben pagar sus gastos penitenciarios desde su cuenta QFS.
👉 Si hay una muerte en la familia, no está claro si el dinero de la cuenta QFS se transferirá a otros miembros de la familia o si la cuenta QFS se cerrará porque todos los demás tienen suficiente dinero propio.
👉No creo que llegue al punto en que tengas que tener una huella digital o una coincidencia de ADN para acceder, pero si pierdes tu tarjeta, tendrás que verificarte para obtener una nueva.
🔥 Una persona de 18 años tendrá al menos $3,109,086 en una cuenta QFS, una persona de 30 años tendrá al menos $5,181,810, una persona de 50 años tendrá al menos $8,636,350, una persona de 65 años tendrá al menos $11,227,255
Nota: Cuanto mayor sea la persona, más pagos de reembolso de intereses, ingresos e impuestos se destinarán a su cuenta QFS.
El nivel de UBI anterior corresponde a los EE. UU., otros países tendrán niveles correspondientes
The Ministry of Finance announced, today, Saturday, that the Accounting Department has started working with the electronic QR system regarding withdrawing amounts.
The ministry said in a statement received by the Iraqi News Agency (INA): "The Accounting Department has started working with the electronic check-in system using (QR code) regarding withdrawing amounts," noting that "the financing platform is currently limited to answering inquiries from spending units for the financing process in ministries, governorates and entities not affiliated with a ministry."
It added that "this comes within the framework of the government's orientation to simplify government procedures, reduce time and effort, in addition to reducing administrative momentum in institutions, and moving away from paper transactions." LINK