DINAR REVALUATION

Monday, August 19, 2024

Iraqi Dinar Guru News Highlights (8/19/24)

Economist Identifies Weaknesses In Banking System: 80% Of Money Supply In Citizens’ Homes, 19 AUGUST

Economist Identifies Weaknesses In Banking System: 80% Of Money Supply In Citizens’ Homes

Economy |Baghdad Today – Baghdad Financial and economic expert Alaa Jaloub Al-Fahd revealed today, Sunday (August 18, 2024), a weakness in the Iraqi banking system, while confirming the presence of 80% of the cash mass in citizens’ homes.

Al-Fahd told Baghdad Today, "The amount of cash liquidity pumped into the local market is estimated at the size of annual government spending, and this includes salaries, wages, and others. It constitutes a large percentage and is considered the citizen's purchasing power."

He added that "the rise in income levels after 2003, due to the increase in salaries, led to an increase in purchasing power, and this led to an increase in the level of demand for real estate and other things," indicating that "the rise in real estate prices has nothing to do with the issue of the increase in the citizen's cash liquidity or not, because this increase is dependent on the issue of supply and demand."

Al-Fahd explained that "any increase or decrease in the volume of liquidity is estimated by the volume of real spending and the volume of savings, considering that the citizen's income is divided between consumption and savings, and the higher the savings rate, the more it is supposed to be exploited economically through investment."

He pointed out that "there is a weakness in the banking system's ability to absorb all the cash available to citizens, as most of this cash is inside homes, far from banks," noting that "the amount of cash available to citizens in homes is estimated at more than 80% of the issued cash mass, and this constitutes a weakness in the banking system, in withdrawing that mass and investing it."

It is noteworthy that financial expert Saleh Al-Masrafi confirmed on Tuesday (August 6, 2024) that Iraq is among the highest countries in the Middle East in the file of hoarding money, while he diagnosed a grave error in the Iraqi banking system .

The banker said in an interview with Baghdad Today, "The accumulations that have continued for many years have pushed citizens to lose confidence in banks and resort to hoarding money in their homes," indicating that "its percentage reaches 70% of financial liquidity, and these are large numbers that indicate that we are among the highest countries in the Middle East in hoarding money ."

He added that "hoarding money in the financial concept is a grave mistake that will confuse the financial process and reduce the government's ability to provide liquidity to pay salaries," explaining that "resorting to electronic payment is a step in the right direction, but the most important thing is withdrawing liquidity, and there are several ways ."

The banker pointed out that "the recent issuance of treasury bonds is a correct decision, but the media propaganda to create a culture of safe investment in the street is very weak, and this is what creates low rates of dealing with them, even though the interest rates are attractive ."

He stressed the "necessity of seeking to expand the circle of withdrawing liquidity from homes and creating a movement of money that contributes to increasing the recovery of investment and granting government loans, especially with the presence of requests that exceed by 5 times the amount of money allocated for loans in any sector, especially housing." LINK

LATEST FROM WOLVERINE, 19 AUGUST

WOLVERINE

Sat. 17 Aug. 2024 Wolverine

“It’s all coming through this next week. Exciting things have happened, but I’m not allowed to say what. People are expecting something Sun. night 18 Aug. Just to let you know guys is to get ready. I’m sorry that I can’t say anything as everyone is under total NDA now and soon I will be as well. That opera will be release any day now.

Thank you for all the support you have all given me as this is one of the most hardest things that I have done in my life as it has control our way of life for years and played with our emotions. We have seen so many of our compatriots that did not make it and thankfully their family will cross the finish line for them.

During this journey I never thought that I was going to be attacked viciously and even to this day the attacks are still continuing. I know within my heart that I’m doing God’s work and that too many of you are suffering and you need hope and a messenger to know what is going on.

As soon as I’m under NDA you won’t hear from me anymore but my job has been completed and I can leave with good conscience that I have done everything possible to help you. The opera will be release once I receive the green light.

Don’t forget the Get Together in February 2025 here in Sydney as we are planning to have the biggest party that Sydney has ever held with all these patriots coming from so many countries. Remember that it’s going to be a gala night and so wear your best clothes everyone.

I’ll let you all know the day and the address of the Get Together.

Love you all. Your friend Wolverine.”

MILITIAMAN: Iraq Dinar News - IQD Update -Central Bank of Iraq - WTO - Remove Zeros?...

Q & A - Where are we at Gin Gin?

💢Q & A - Where are we at Gin Gin?

💢 Member: I recall our funding coincides with that of other tiers? Or when funding rolls out for lower tiers we are in the process of our exchange? It’s been awhile. 🤔

💢 Ginger: A - The answer is both.

Certain levels (groups) of the earlier Tiers must be liquid with their 1% before we go. I talk about these phases during Gintel in Part 11 Chronicles.

Then we go.... (Tier 4B)

And the process for the Tier 3 (groups) - which are still waiting to be paid - will continue even while we are going to our appointments. They cannot and will not be required to fund all Tier 3 before we go... It's not necessary. But 30% to 50% is what we're expecting to need to be liquid before it's our turn.

Please note that it could take months for the remainder of T3 folks to all get paid out - as far as groups go; and we'll be long done with the process, ourselves, by that time, in Tier 4B. 🙂

The stages before each Tier help fund the step after it. Think of it like one well filling up - then to have the restraints pulled back and the water flows into the next well. When that begins to fill up, the restraints are pulled back and the water can then flow to the next well again... Please consider this idea as you picture the greater process of GCR (government required payments being paid out on the front end), all the groups and so on - starting the process - and the wells filling up to overflowing to then reach us, in Tier 4B - as they finish up. We'll all be liquid and everyone will get fully drenched at the same time. 😁🙌❣️

I see definite progress being made. 🙂

But all the hype recently regarding Reno & Zurich we've heard from certain persons lately has been just that -- hype. My sources say there's some excitement in the air - and things are still on Alert --- but not on high alert yet as some have said, even insisting that activity in those places are all a frenzy and super active. From my vantage point, as limited as it is, and relying on true people who are there and observing things - this has not been the case. 🧐 But things are happening to keep the process moving along. I'm confident of this. ✅

Does this help? 🙂💓 7.14.24

~ Ginger, Ambassador for God's Abundance with the New Earth Alliance

Iraq's Auctions: Currency, Corruption, and Closure in 2024 BY DINAR REVALUATION, 19 AUGUST

Iraq's Auctions: Currency, Corruption, and Closure in 2024

In 2024, Iraq's auction scene has been marked by significant events, ranging from a historic currency rarity to the central bank's efforts to stabilize the economy and combat corruption, all culminating in the anticipated closure of the dollar selling window by year-end. 2

Currency Auctions: A Rarity Leads the Way

A rarity from Iraq, a 1931 1 Dinar note graded PMG 64 Choice Uncirculated, was a highlight in the Crown Currency auction, scheduled to conclude on May 31, 2024. 1 This vibrant blue note, featuring King Faisal I, was created late in his reign and is among more than 600 world banknotes certified by Paper Money Guaranty® (PMG®) offered in the auction. With only one higher-graded example out of 72 in the PMG Population Report, this rare note underscores the historical and numismatic significance of Iraqi currency.

Central Bank's Forex Auctions: Managing the Economy

The Central Bank of Iraq (CBI) has been actively managing the country's monetary policy through its foreign currency auctions. In March 2024, CBI's US dollar sales exceeded 4,086,748,847—92% of the total sales. These auctions enable banks and financial organizations to buy and sell foreign currency, primarily the US dollar, to meet various needs and stabilize the local currency exchange rate.

On May 31, 2024, CBI auctioned over $274 million, with remittances significantly outweighing cash sales. 2 The bank covered these transactions at a base exchange rate of 1,310 dinars per dollar for documentary credits and international settlements, while the rate for cash transactions stood at 1,305 dinars per dollar.

Corruption and Reforms in Iraq's Banking System

Iraq's banking system has faced significant challenges, including corruption and money laundering, despite ongoing reforms. 4 In May 2024, the central bank banned 197 companies from participating in foreign currency auctions as a measure against money laundering and terrorism financing. 2 These measures, along with the adoption of the SWIFT system, reflect efforts to control inflation, manage liquidity, and maintain confidence in the national currency.

The Dollar Auction's Gradual Closure

By the end of 2024, the central bank plans to completely cancel the dollar auction, maintaining it only for audit and statistical purposes. 2 This move is aimed at enabling Iraqi banks to establish stronger relationships with the global and regional banking sector, adhering to international standards. The cancellation of the dollar auction marks a significant step towards enhancing the sobriety of the Iraqi banking sector and its commitment to international requirements.

Conclusion

Iraq's auction landscape in 2024 has been a mix of historical currency rarities, efforts to stabilize the economy through forex auctions, and significant reforms aimed at combating corruption. The anticipated closure of the dollar selling window by year-end signals a new phase in the country's banking and financial systems, reflecting ongoing efforts to align with international standards and practices.