DINAR REVALUATION UPDATE: THE IMPORTANCE OF STABILIZE THE ECONOMY & THE MULTI-YEAR BUDGETING APPROACH , 28 AUGUST

 Iraq's Budget and Import Spending in August 2024

Iraq, heavily reliant on oil revenues, allocates a significant portion of its budget to imports, a practice that has persisted over the years. 1 As of August 2024, it is reported that the country spends nearly half of its budget on purchasing goods and services from abroad. This expenditure pattern underscores Iraq's need to import a wide range of products that it cannot produce domestically. 1

Major Import Suppliers

The countries at the forefront of supplying Iraq with these imports have been identified as major trading partners. These nations play a crucial role in fulfilling Iraq's demand for various commodities and manufactured goods. 5 The specific list of top suppliers varies based on the type of goods and services Iraq requires and the prevailing trade agreements at any given time.

Impact of Import Spending

The high import spending has implications for Iraq's economy and budgetary planning. It affects the country's trade balance, potentially leading to a trade deficit if imports significantly outweigh exports. Moreover, the reliance on imported goods can stifle the growth of local industries and businesses, which might struggle to compete with foreign products.  1

Budgetary Measures

In an attempt to address budget rigidities and manage fiscal space, the Iraqi government has implemented various measures. These include the introduction of a multi-year budgeting approach by Prime Minister Muhammad Shia' Al-Sudani, encompassing the fiscal years 2023-2025. 2 Such measures aim to enhance long-term planning and economic stability.

Economic Recovery and Oil Sector

Despite efforts to stabilize the economy, Iraq's recovery has been hindered by factors such as oil production cuts and disruptions in the oil sector. The OPEC+ supply restrictions have led to a decline in oil output and exports, which in turn affects Iraq's main source of revenue and GDP. 4

Iraq spends half of its budget on imports, and these countries are at the forefront of suppliers, 28 AUGUST

 Iraq spends half of its budget on imports, and these countries are at the forefront of suppliers

The Ministry of Planning revealed "the volume of Iraq's annual imports."

The Ministry's spokesman, Abdul Zahra Al-Hindawi, said in a statement to the official media, that: “Iraq imports many goods and merchandise from various countries of the world, including foodstuffs of various kinds and shapes, including electrical, construction, engineering, chemical, agricultural, medical, health supplies, and cars.”

He added, "The volume of annual imports reaches no less than 50 billion dollars."

He continued, “Iraq imports from the countries: Jordan, Turkey, Iran, Saudi Arabia, the Emirates, China, India, Japan, Brazil, the United States, and a number of European countries   link

Coffee with MarkZ. 08/28/2024

Thank you MarkZ for all your time, and encouragement daily….. PDK

MarkZ  Update- Some highlights by PDK-Not verbatim

MarkZ Disclaimer: Please consider everything on this call as my opinion. People who take notes do not catch everything and its best to watch the video so that you get everything in context.  Be sure to consult a professional for any financial decisions

Member: Good morning Mark and peeps. Is today the day?

​​Member: Hard times can lead ordinary people to achieve extraordinary things.

Member: This has been a crazy quiet week so far

Member: Bruce big call said maybe this weekend?

Member: Well this is a Three Day Weekend ...

Member: Sky Prince is calling for it to start within 24 hours

MZ: A lot of people calling for it to start within 24 hours. 

MZ: There is a whole lot of chatter with groups who are expecting money movement at any moment or over the weekend.

Member: Are redemption Center staff working this weekend?

MZ: Don’t know yet….I will find out closer to the weekend. The rumors out of the groups are everybody will be working this weekend.  Group leaders are all charged up and ready. 

MZ: We heard rumors it was happening Monday Night…than last night….now the rumors are for this weekend. I won’t get excited until I know real people with spendable money in their pockets.

Member: Last I heard, everyone was waiting on everyone else to pull the trigger.

Member: I wonder what exactly are they waiting on????

Member: I don't care who is right 1st... Only that this blessing arrives.

MZ: Think of it this way….As a bubble. You when you are blowing a balloon ..sooner or later it’s going to pop. That is where we are not. We continue to put air in the bubble …and we know its inevitable it’s going to pop….We just don’t know exactly which puff will pop it. 

MZ: When you play hot potato…everyone knows it will go off. They don’t know who is holding the hot potato when it does. I am as frustrated as you all are. 

Member: If farm claims are being paid….We know things are moving…We are just in a long line waiting for our turn. 

Member:  Usually when you are at the end- its very quiet on purpose- then things start to go like hotcakes. 

Member: Slowly, Slowly, SUDDENLY

MZ: I think we are finally at the suddenly part. 

MZ: Jim Rickards is looking for a crash to start as early as today. 

Member: Will Afghanistan be in the first basket?

MZ: I do not think Afghanistan is ready to go in the first basket.

Member: I am just praying the Venezuelan Bolivar is in it……

Member: Anything new on HCL or bonds?

MZ: unfortunately nothing new. But we hear Al Alaq (Governor of the CBI)is to go from New York to DC today . We are hopeful it means something….

Member:  Al-Sudani announces the completion date of the first phase of Al-Faw Port: It will be a qualitative addition to the region

Member: Did you see Warren Buffet dump a pile of BOA stocks?

​​Member: BREAKING: Warren Buffett sold another $981 million in Bank of America shares.

Member: My moms credit union only gave her 10 checks. She asked is it because of the RV? The lady just smiled and winked

Member: Thanks Mark and Mods…..everyone have a wonderful day

THE CONTENT IN THIS PODCAST IS FOR GENERAL & EDUCATIONAL PURPOSES ONLY&NOT INTENDED TO PROVIDE ANY PROFESSIONAL, FINANCIAL OR LEGAL ADVICE. PLEASE CONSIDER EVERYTHING DISCUSSED IN MARKZ’S OPINION ONLY

Prime Minister Al-Sudani's Strategic Washington Visit: Economic and Secu...

DINAR REVALUATION REPORT : ALL THE TRANSACTIONS BETWEEN IRAN & IRAQ HAS BEEN IN IRANIAN RIALS, 28 AUGUST

 Revealing the Main Currency Used in Iran's Trade With Iraq in 2024

The Bilateral Trade Landscape

In the dynamic landscape of bilateral trade between Iran and Iraq as of August 2024. 1 the currency in focus for transactions has been the Iranian Rial. Shaaban Forotan, a member of the Board of Directors of the Joint Iranian-Iraqi Chamber of Commerce, has revealed that the majority of trade activities between the two nations, particularly at the level of traders and exporters, are conducted using the Iranian Rial. 6

The Shift in Currency Preference

This significant shift towards the Iranian Rial in bilateral trade is indicative of a strategic move to bypass certain economic challenges. While the dollar has traditionally been a dominant currency in international trade, the current trend shows a notable departure from this norm. Financial transactions between Iraq and Iran have increasingly favored the Rial, with traders and exporters opting to conduct their business in this currency.  6

The Role of Sanctions

The preference for the Rial can be attributed, in part, to the sanctions imposed on Iranian banks, which have complicated transactions in other currencies. 6This has led to a practical adaptation by traders who have found alternative methods to settle their accounts through their networks in Iraq, Iran, or third countries such as the United Arab Emirates, without direct recourse to dollar transactions. 6

Challenges and Opportunities

Despite the challenges posed by fluctuating prices of Iranian goods in the Iraqi market.  6 the increasing reliance on the Rial within bilateral trade offers potential opportunities for both economies. The move not only reflects a strategic response to external pressures but also highlights the resilience and adaptability of the trading relationship between Iran and Iraq. 1

Conclusion

As of August 2024, the Iranian Rial has emerged as the main currency used in the trade between Iran and Iraq. This development underscores the evolving nature of bilateral trade dynamics and the strategic adaptations made by traders and exporters in response to prevailing economic conditions and sanctions. 1

Revealing The Main Currency Used In Iran's Trade With Iraq, 28 AUGUST

 Economy  2024-08-27 |1,414 views  Alsumaria News – Economy  Shaaban Forotan, a member of the Board of Directors of the Joint Iranian-Iraqi Chamber of Commerce, revealed today, Tuesday, that the largest part of trade between Iraq and Iran, at the level of traders and exporters, is carried out through the Iranian riyal.

"Most Iranian exporters now work in riyals in trade with Iraq, and financial transactions between the two countries will continue without using the Iranian riyal, i.e. also in dollars.

This does not mean the complete elimination of the dollar, but a large portion of traders conduct their transactions without the dollar," Forotan said in statements to Iranian media.

He explained that "the commitment to trade in dollars does not include all product groups, but the exchange of riyals into dollars cannot be implemented due to sanctions imposed on banks, and riyal traders earn from selling goods in the Iraqi market through their contacts with the stock exchanges of Iraq and Iran or a third country such as the United Arab Emirates, and they do not have the possibility of direct settlement."

He pointed out that "the supply of Iranian goods faced a problem in the Iraqi market, which is the multiple increase in the prices of goods in Iran during the year, while prices are expected to increase only once a year."  LINK

BRUCE HIGHLIGHTS, 28 AUGUST

 Bruce, The Big Call The Big Call Universe (ibize.com)  667-770-1866, pin123456#

• As this afternoon Redemption Center screens were showing 15 different currencies with solid new live rates. There will be new currency rates on 19 different currencies including the USN. It was suspected that all 19 would be solid on the screens tomorrow Wed. 28 Aug. 2024.

• The screen rates at the Redemption Centers are going to be three times higher on the Dinar and twice as high on the Dong than at a bank.

• The new Rates are going to be between $4 and $7.

• The contract rate on the Dinar will be offered.

• Emails are going out to Redemption Center operatives at around 4:30 tomorrow afternoon  Wed. 28 Aug.

• Bond Holders are expecting their emails Sunday night, with access Mon. or Tues.

• Tier4b notification and exchanges should start over the weekend, or by Mon. or Tues.

• We will receive notification in conjunction with the EBS.

• The EBS will be a cover for Tier4b to do our exchanges.

• The Admiral’s Group will start Sat, Sun and Mon.

• Everything will be well underway by Wed. 28 Aug.

• All debt forgiveness should be done by Sat. 31 Aug.