Iraqi Oil Stabilizes At High Level At The Beginning Of Year-End Trading
Economy | Baghdad Today - Follow-up At the beginning of the end of the year's trading, today, Monday (December 30, 2024), Iraqi oil recorded stability at an increase during the opening of trading for the week in global markets .
According to data reviewed by Baghdad Today, Basra Heavy crude recorded $70.19 per barrel, while the average recorded $73.29 per barrel, with a change rate of -0.16, respectively, for delivery in February 2025 .
The data also showed an increase in global crude prices, as British Brent crude recorded $74.30, while US West Texas Intermediate crude recorded $70.66 per barrel, with a change rate of +0.13 and +0.05, respectively . Source: "Baghdad Today" + websites LINK
“the CBI has canceled It’s 20 years controversial auction… and now correspondent banks and exchange currencies companies who adopted the new system and is connected with US banks will do the transactions and people will only be able to deposit Dinar”
here is how
Iraq’s approach to phasing out the controversial dollar auction and transitioning to a more modernized and compliant system is a significant step. While the Iraqi dinar (IQD) is not yet freely traded on Forex markets, the new system leverages correspondent banking relationships and stricter controls, allowing the country to operate effectively within the global financial system without direct Forex trading.
Key Mechanisms Behind This Transition:
1.Correspondent Banks as Gatekeepers:
•Iraqi banks will partner with correspondent banks (foreign banks with ties to U.S. banks).
•These banks will handle verifications, compliance, and due diligence for dollar transactions, ensuring adherence to international standards, particularly anti-money laundering (AML) and countering the financing of terrorism (CFT).
2.Central Bank’s Role:
•The Central Bank of Iraq (CBI) will enhance dollar balances in the accounts of compliant Iraqi banks.
•By stepping away from direct dollar sales, the CBI shields itself from the risks of misuse (e.g., fraudulent invoicing or dollar smuggling) and potential sanctions.
3. Forex Independence Is Not Immediate:
•Even though the dinar is not traded on Forex markets, the system operates through dollar reserves managed via correspondent banking.
•The credibility and liquidity of this system depend on Iraq maintaining strong dollar reserves and partnerships with international banks.
4.Preparation for Broader Currency Integration:
•This transition lays groundwork for a future where the dinar could potentially move toward Forex trading.
•To reach that stage, Iraq would need greater economic stability, transparent fiscal policies, and market confidence.
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Majeed KSA
@majeed66224499
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This is today article from 2 HOURS ago
The matter is resolved.. Iraq will NOT offer today its precious dollars in the controversial dollar auction, or what is called the window of selling foreign currency and the electronic platform.
Iraq On The List Of Countries Most Attractive To Investments
Economic 12/30/2024 Within two years, thanks to government measures, Iraq achieved a foreign investment inflow of more than $62 billion, placing it on the list of countries most attractive to investments.
Experts believe that the security and political stability that the country is experiencing was an important factor in achieving this boom, pointing out that the growth in investments came as a result of the country avoiding economic recession and financial problems, while they stressed the need to invest in this attractive feature in selecting only giant and solid companies to work inside Iraq.
Economic consultant and researcher Imad Al-Muhammadawi considered this growth a “positive initiative” that places the country among the ranks of economically important countries and countries that attract investment after China, Singapore, Brazil and other important economic countries, and in the top ranks in the Arab world, calling for the need to diversify investments in the economic and service sectors, especially the housing sector. And energy.
Effective Step
Al-Muhammadawi added to Al-Sabah that “the recent openness that the country is witnessing at all levels was coupled with structural reforms carried out by the government, which represent an effective step in the right direction, contributing to the country entering a new phase of development and economic growth,” considering it “an opportunity to prove the return of Iraq’s role as an effective and influential player in the region due to its strategic location and the promising human and environmental potential it abounds in.”
Development Path
Al-Muhammadawi said: “Investments can prepare the country and prepare it to enter into the important strategic project known as the “Development Road,” which contains ambitious plans that serve the country’s interests, in addition to the fact that they constitute regional and global economic integration, especially after the gradual disappearance of tensions in the region.”
Prime Minister Mohammed Shia al-Sudani recently confirmed that comprehensive reforms were the reason for attracting foreign investments that were initiated and exceeded 62 billion dollars in two years in the oil, gas, housing, industry, agriculture and hotel sectors, and indicators from international organizations and institutions indicate an increase in the growth rate during this period.
Economic Sectors
For her part, Suhad Al-Shammari, who is interested in economic affairs, pointed out that “Iraq has recently sought to activate and revitalize the economic sectors and develop short-, medium- and long-term plans to enhance the role of investments in Iraq in all aspects.”
Riyadh Forum
Al-Shammari pointed out to Al-Sabah, “the directive to open the doors of investment in Iraq with important countries, which the Prime Minister began with a tour of Europe during his participation in the Munich Conference and his trip to the United States and the signing of important agreements that focused in their entirety on reviving the Iraqi private sector,
in addition to launching a dialogue that opens the door to lifting the sanctions on private banks that caused the exchange rate to rise in the local market of Iraq,” indicating that “Iraq opened the doors of economic cooperation leading to the Riyadh Forum, in which the government reviewed Iraq’s capabilities through its strategic location in the region and as an important political player in regional issues.”
Management And Planning
She pointed out that “the continuous tours of senior Iraqi officials, accompanied by economic plans that were developed according to the will, management and planning, aim to enhance Iraq’s financial revenues and diversify the economy, which for many years has been a rentier economy that relies solely on oil and is affected by the conditions of low and high prices,” noting that “the regional factors in the recent period have been unstable due to conflicts and wars, and Iraq has avoided them after adopting a realistic vision in attracting foreign investments to avoid factors of economic stagnation and financial problems.”
Multiple Sectors
It is noteworthy that the Chairman of the National Investment Commission, Haider Mohammed Makiya, explained that the investments were distributed among various sectors, and represented a great opportunity to improve Iraq’s global ranking as an attractive destination for investment. He also stressed that the entry of prestigious international companies of various nationalities reflects the attractiveness of the promising Iraqi market, especially in sectors such as renewable energy, oil and associated gas. https://alsabaah.iq/107905-.html
This has been a long journey to get here. But, I was the lone wolf on the currency auction . And I took the sling and arrows so you would know the truth. So, Here we are Jan 2nd 2025 done
--Today the Parallel market 1516 IQD per dollar
On Monday, the exchange rates оf the US Dollar against the Iraqi dinar edged higher in Baghdad and remained steady in Erbil markets.
According to a survey by Shafaq News, the dollar's rates set at 151,750 dinars for every 100 dollars, with the closure оf the central Al-Kifah and Al-Harithiya stock exchanges in Baghdad, compared to 151,600 IQD recorded this morning.
The selling and buying rates at currency exchange stores in Baghdad reached 152,000 IQD and 151,000 IQD per 100 USD, respectively.
Erbil's selling price recorded 151,700 dinars for every 100 dollars, and the buying price was 151,600.
