DINAR REVALUATION

Sunday, September 8, 2024

CBI's Educational Campaign on Currency Reforms in Iraq

DINAR REVALUATION REPORT: CBI's Educational Campaign on Currency Reforms in Iraq, 8 SEPT

CBI's Educational Campaign on Currency Reforms in Iraq

The Central Bank of Iraq (CBI) is set to embark on an educational campaign aimed at informing the public about upcoming currency reforms[2].

This initiative will culminate in the release of commercials and photographs, as part of the final phase of the education process.

The announcement, made by Iraq's Prime Minister on September 8, 2024, signifies a significant step toward the introduction of a new exchange rate[2].

Background on Currency Reforms

Iraq has been working on a series of reforms to stabilize its economy and combat the thriving black market for foreign currencies[2]. The reforms include the adoption of the SWIFT system for electronic transactions, which has significantly increased the volume of regulated dollar transactions in the country[2]. This move is part of a broader effort to enhance transparency and prevent illicit financial activities, such as money laundering and sanctions evasion[2].

The Role of Education in Reform

Recognizing the importance of public understanding and support for these reforms, the CBI has prioritized an educational campaign[2]. This campaign will provide detailed information about the new rate and the reasons behind the reforms. By releasing commercials and photographs, the CBI aims to reach a wide audience and ensure that the Iraqi public is well-informed about the upcoming changes[2].

Impact on the Iraqi Economy

The success of these reforms hinges on the public's trust and cooperation. The educational campaign is designed to build confidence in the new measures and the CBI's ability to manage the country's monetary policy[2]. By ensuring that the public understands the benefits of the reforms, the CBI hopes to minimize any potential resistance and facilitate a smooth transition to the new exchange rate[2].

Conclusion

The CBI's educational campaign, culminating in the release of commercials and photographs in September 2024, marks a critical phase in Iraq's ongoing economic reforms[2]. Through this initiative, the CBI aims to prepare the Iraqi public for the introduction of a new exchange rate, ensuring transparency and fostering public support for the reforms[2].

Kuwait/ Iraq 3 of 4 : " THE RV/RI EFFORT IS VERY REAL " , 8 SEPT

Kuwait/ Iraq 3 of 4

The IQD RV/RI effort is very real and has been attempted multiple times 2011, 2013, 2017 etc.. by IRAQ and the PTB over the last 20 years; as reported last month.

The Following excerpt that is directly cited below from a (April 30, 2012) “DECLASSIFIED” REPORT TO THE US CONGRESS, FROM THE IRAQ PROVISIONAL GOVERNMENT pg. 103, that clearly proves the lifting of the 3 zeros from the IQD and Raising the Value IS A REAL EFFORT THAT WAS POSTPONED AT THAT TIME!

THIS EFFORT IS NOT A SCAM!!! NOT A LOP!!! NOT A PROGRAM CBI RATE CHANGE !!! BUT A LIFTING OF THE 3 ZEROS AND A VALUE CHANGE ALL TOGETHER!!! A REER!!!!!! SEE BELOW !

QUOTE FROM REPORT:“In April 2012, the CoM postponed indefinitely plans for a currency reform that would have removed three zeros from the Iraqi dinar in 2013 and required issuance of new currency notes. The reform would have made the dinar value slightly less than $1, It is currently worth less than one tenth of a cent.” DROP THE MIKE! That's almost 1 to 1 IN IRAQ!! In your country it would be higher due to the parity principle!!

One more notion we need to clear up is the Iraq official rate of 1310 to 1 and the “Illegal Parallel Market Rate” 1500 to 1, “needing to get closer or completely align, before Iraq can unify the rate and revalue its currency”.

Really? The Turkmenistan RV model used by the IMF shows clearly that the so-called parallel market rate in Turkmenistan had a more than 6000 manat spread between the official rate and the Parallel rate, when they successfully unified the two rates rates on May 1st, 2008. The IQD has less than a 2000 spread today! Just do it!

In addition. the Turkmenistan blue print included a REER rate change 1st, then a little later they introduced there new lower denoms.

It’s a major problem if the actual lower denoms are released ahead of the rate; not only because they would be valueless but more importantly, it would allow counterfeiters to get there filthy little hands on the notes and torpedo the monetary reform with counterfiet notes! No CBI would make that amature error!

The CBI will release commercials and certain photographs first at the last phase of the education like Iraq’s PM announced Wednesday on TV close to the new rate.

Kuwait /Iraq 2 of 4, 8 SEPT

Kuwait /Iraq 2 of 4

So Kuwait not only revalued their currency by candlelight, they did it under a dark sky filled with toxic fumes and a devastated economy!

Speaking of Kuwait's economy, Kuwait's inflation rate in 1991 rose ironically to 6.49% as a direct consequence of the invasion. Iraq's inflation rate has fallen to 3.90% today, partially as a consequence of the currency rate reduction in 2020.

The point is Kuwait's inflation rate in 1991 when they revalued was almost twice of what Iraq's inflation rate is today!

Even a first-year economic major knows that increasing purchasing power and decreasing the money notes numerically, is a mechanism that stimulates and grows the economy, NOT to control hyperinflation, so what Iraq is working towards is not a Lop, their inflation rate is controlled!

The general point I'm making is that KUWAIT revalued their currency in very unstable conditions socially, politically, environmentally, and economically. They needed to rebuild their country and understood the basic premise "you reestablish your currency FIRST, then rebuild your country".

However, I must concede there may be two powerful factors in the Iraqi efforts to Reinstate and Revalue their currency that Kuwait did not face.

1 A "Complex Global Currency Reset Effort" riding its back.

2. It was not strapped with a somewhat timid ideology of the US Administration. In 1991 the "get the money boys were in power in the US"

it truly makes a difference as to how obstacles are overcome in financial and political matters! No pun intended, just years of neutral observations. Idealism (analysis = paralysis) and $$$ money $$$ are strange bedfellows!

But all of that is just fourplay, let's take a look under the hood, shall we? Side by Side, because numbers historically speak truth to power and intent!

Fact: In 1990, before the first Gulf War, both the Kuwaiti Dinar and the Iraqi Dinar were both over $3 USD to 1 dinar, and had been for many years. Let's see where we are today, regarding the economy of the two countries and the numbers that matter in setting a countries REER (Real Effective Exchange Rate) !

~~~~~~~~~~~~~~

KUWAIT. Sept 4, 2024 IRAQ

Population: 4.95 million 44.5 million

Gold Reserves: 55.11 tonnes. 143.3 tonnes

Reserve Currency:42.3 Billion USD 115 Billion USD

GDP: 175.4 Billion. 265.89 Billion

GDP/Per cap: 307 Billion. 530.86 Billion

Inflation: 3.7% 3.9%

Gas Reserves: 63 trillion Cu Ft. 131 trillion Cu Ft

Oil Reserves: 102 Billion Barrels. 145 Billion Barrels

Oil Reserve Status: 4th in Opec/ 10th in World. 2nd in Opec/5th in World

Mineral & Other Resources: Fresh Water. Phosphates, Sulfur, Salt, Gypsum, Stone.

Benzynite, Agriculture.

KWD to USD (1 dinar = $3.54 usd) & IQD to USD (1 dinar = 0.001 or 1/10th Penny)

What's wrong with the above Numbers? To CLAIM OR DENY the Effort to RV/RI the Iraqi Dinar as a SCAM, is not only untrue it's Stunated Foolishness Level!

The Current Case for Iraq' Monetary Reform, RI/RV, Challenges, Requirements and its Ultimate Success Now. (1 OF 4), 8 SEPT

The Current Case for Iraq' Monetary Reform, RI/RV, Challenges, Requirements and its Ultimate Success Now. (1 OF 4)

Critics of an Iraq and Kuwait currency reinstatement comparison, have long pointed to the immutable fact that Kuwait was a State of the Art modern Democratic Monarchy, before it was ravaged by war, unlike Iraq which was an Archaic Dictatorship before and after its wars; so the argument goes, “you can't compare the two”.

However, that argument is not altogether conclusive proof that Iraq can't revalue anytime soon; especially now due to its current Parliamentary Democracy and stabilizing political reality, which has relatively improved, and most opinions to the contrary are highly subjective.

Keep in mind although Iraq was an Archaic Dictatorship and was in great need of Monetary and State of the Art Economic Reforms before it started invading its neighbors, in particular Kuwait in 1990; Iraq factually had one of the highest valued currencies in the world (1 iqd to $3.21 usd) and was exchangeable here in the US! Therefore, any subsequent REQUIREMENTS to RI/RV Iraq’s currency internationally, are rooted in PRIMARILY SUBJECTIVE DETERMINANTS of the PTB (Powers That Be = Politics) and not Numbers and History.

Furthermore, check out these much published but little considered facts regarding the circumstances in Kuwait when Kuwait Central Bank revalued its currency and was reinstated.

We all know about Kuwait's limited public utilities days after the 1991 war; like little running water and very few lights in the country, when on March 25th, 1991 the NY Times reported Kuwait had revalued its currency by candlelight, back to the highest in the world. However, most of us have not researched the other political, societal, and economical circumstances surrounding Kuwait's revaluation and reinstatement.

1. Did you know, the Kuwaiti Crown Prince 2nd in Charge of the Government, along with the Government's 22 cabinet ministers did not arrive back in Kuwait until March 5th a mere 20 days before they Revalued their Currency?

2. Did you know, the Kuwaiti Emir Sheikh Jabah the number 1 ruler, did not return to Kuwait after 8 months of sheltering in Saudi Arabia until March 15th, 1991 a mere 10 days before the revaluation of their currency?

3. Did you know that a vast amount of the Kuwaiti Government workers and administrators of the Kuwaiti Government agencies before the invasion were from Pakistan, Jordan, and other countries in the middle east and they NEVER Returned after the liberation of Kuwait. Talking about instability!

4. Did you know that a large number of the Kuwaiti surviving population were street protesting in March 1991 for a FULL DEMOCRACY, in other words, let's overthrow the ruling family who ran to safety and left us here to suffer? They felt abandoned by the ruling family and its Government for 8 months, consequently being subjugated by the invading Iraqis with unmentionable horrors?

5. Did you know that 700 Kuwaiti Oil wells were still burning (during the RV) after being set on fire by the retreating Iraqi army and the last oil well was not extinguished until November 6, 1991?