DINARES GURUS/ DINAR REVALUATION HIGHLIGHTS!: STATUS OF IRAQ , 17 SEPT

Summary

Iraqi currency may face devaluation risks if oil prices remain low, while banking reforms aim to enhance financial transactions.

Highlights

• 💰 Potential devaluation discussed if oil stays under $70.
• 🏦 Central Bank negotiating direct banking relations with the US.
• 📺 Iraqi TV updates highlight digitization efforts at ports.
• 📈 Positive news hints at changes in market prices soon.
• 🚀 Prime Minister Al Sudani cites progress and investment interest.
• 📊 Stable USD/IQD exchange rates reported in Baghdad and Kurdistan.
• 🔔 Continuous reforms in tax and banking systems noted.

Key Insights

• 📉 Devaluation Risks: The reliance on oil revenues makes the Iraqi dinar vulnerable; sustained low oil prices could trigger currency devaluation, impacting the economy.
• 🤝 Banking Reforms: The Central Bank’s initiative to establish direct banking relations with foreign institutions indicates a move towards greater financial independence and efficiency.
• 🌐 Digital Transformation: The ongoing digitization efforts at ports reflect Iraq’s commitment to modernizing its infrastructure, which could enhance trade and economic stability.
• 🏗️ Investment Climate: The Prime Minister’s remarks on investment interest highlight a positive shift towards economic recovery and development in Iraq.
• 📊 Exchange Rate Stability: The stable exchange rates in Baghdad and the Kurdistan region suggest a measure of economic resilience despite global fluctuations.
• 📈 Market Price Changes: Anticipated adjustments in market prices for essential goods indicate potential improvements in living standards tied to the currency’s valuation.
• 🔒 Security and Stability: The government’s emphasis on security reinforces investor confidence and supports long-term economic growth strategies in Iraq.

This Is How The Citizen Gets The Dollar, 17 SEPT

 This Is How The Citizen Gets The Dollar

Economy  | 09/16/2024  Mawazine News – Baghdad   The Trade Bank of Iraq announced today, Monday, the mechanism for obtaining the dollar currency for the purposes of traveling abroad.

The bank stated in a statement that "the requirements for obtaining the dollar currency for the purposes of traveling abroad are:

1. A valid Iraqi passport with a valid visa or residence.

2. A civil status ID and a certificate of nationality or a unified national card.

3. A residence card.

4. A valid travel ticket.

5. A pledge not to purchase foreign currency from another party inside Iraq for a period of (one month).

6. The traveler must be of Iraqi nationality and over (18) years of age.

Purchase mechanism:

1. An amount must be deposited in dinars at the bank branch exclusively, provided that the amount in dinars is equivalent to the value of the share of the same amount in dollars allocated for travel.

2. The dollar share shall be received from the outlet of the Iraqi Trade Bank at Baghdad International Airport (Babylon Hall) exclusively and by handing over the deposit slip granted to the customer when he deposited the amount in dinars.

3. The maximum period for depositing before the travel date is three days.

4. The dollar shall not be delivered to the traveler until after completing the travel procedure (Boarding pass) and after completing the passport stamping procedures.

5. The bank outlet at Baghdad International Airport will be designated For delivery purposes, the Travelers Dollar is available 24 hours a day, 7 days a week. ttps://www.mawazin.net/Details.aspx?jimare=254964

JUDY NOTE, 17 SEPT

 Judy Note

 The new Iraqi Dinar denominations are out in Iraq and new rates were showing up on certain but not all, bank screens. That couldn’t happen unless they had revalued the Dinar. 

From past Intel it appeared that the RV began on Fri. 13 Sept. when banks received financial transactions and were given up to 72 hours to finalize them, or risk a fine of $20 billion per institution. 

Bond payments were expected to complete by next Wed. 18 Sept.

Iraq's $17B Development Road Project

Coffee with MarkZ. 09/17/2024

Al-Sudani confirms Iraq's openness to partnership with all those wishing to contribute to the development road project., 17 SEPT

  Al-Sudani confirms Iraq's openness to partnership with all those wishing to contribute to the development road project

Prime Minister Mohammed Shia al-Sudani stressed, on Saturday, the necessity of intensifying research and explanations regarding the Grand Faw Port and Iraq's Development Road projects and the opportunities they will provide, noting that these two projects are a basic gateway to economic growth in Iraq and the region, and an important pillar for expanding the non-oil economy.

This came during the dialogue seminar held in the capital, Baghdad, under the title (The Path to Development - Opportunities and Development), in the presence of an elite group of economic experts, investors, businessmen and media outlets, according to a statement by Al-Sudani's office, received by Shafaq News Agency.

Al-Sudani stressed that the quadripartite agreement between Iraq, Turkey, Qatar, and the UAE constitutes the axis of operating the development road, but the project is open to positive partnership with all those who wish to contribute to this international development effort, stressing that the global economy today has come to depend on the main corridors for trade, manufacturing, and integration, and the development road project will be an important axis of these international corridors.

He pointed to the industrial cities that will be established along the road, starting with the industrial city in Al-Faw, which will transform Iraq from a country landlocked in commercial and industrial routes to an open country, through its contribution to expanding Iraq's maritime effectiveness and raising the importance of its ports, most notably the Grand Faw Port.

The statement pointed out that the symposium included several axes related to the strategic development road project, including the economic and developmental feasibility of the project, which constitutes one of the future paths of the Iraqi economy, and how Iraq will move through it to become a new major player in the international shipping and transport arena, in addition to the thousands of job opportunities the project will provide, mechanisms for developing partnerships with the private sector, and the challenges facing the partnership between the government and the private sector.  link

Digital Banks Boom BY MILITIAMAN, 17 SEPT

 Militia Man

Digital Banks Boom

Iraq is set to have more digital banks than its neighboring countries, with the Central Bank Governor expressing confidence in their shift towards digital banking.

Global Attention: An electronic payment conference is underway in Iraq, attended by representatives from international central banks, ministries, and financial institutions, indicating global interest in Iraq's financial stability.

Blockchain Under the Radar: While not explicitly mentioned, the use of blockchain-oriented systems and technologies is hinted at, with references to enhanced transparency, fraud detection, and compliance.

Economic Leap: Iraq is witnessing a significant shift from a cash-based economy to digital payments, with the government's e-governance policies driving this transformation.

Global Integration: The Arab Monetary Fund's involvement signals Iraq's integration into the global economy, with digital diversity and foreign investment on the horizon.