BROTHERS TECHNOLOGY & MAJEED : " External Value In the Iraqi Dinar is the key" ,$13.20 IQD= $1 USD

 

Al-Sudani receives “special” message from Trump: Syria, Iran, and Armed Factions, 5 JAN

 Al-Sudani receives “special” message from Trump: Syria, Iran, and Armed Factions

Shafaq News/ Iraqi Prime Minister Mohammed Shia al-Sudani has received a “special” message from elected US President Donald Trump, a political source revealed on Saturday.

The source told Shafaq News that the message was delivered through a special envoy during an unannounced visit. 

“Trump’s message emphasized the need for Iraq to curb the proliferation of weapons held by non-state actors, pressure Baghdad to limit the influence of Iranian-backed groups operating within Iraq, and advocate for Iraq’s non-intervention in Syrian affairs while supporting the formation of a new Syrian government post-Assad,” the source said.

Meanwhile, a government source disclosed that Iraq is actively working to ensure security and stability in the region. “Prime Minister Al-Sudani plans to present Iraq’s vision on this matter during an upcoming visit to Iran,” the source added.

Al-Sudani’s visit, scheduled for next week, is expected to include discussions with Iranian leaders on key regional developments, with a focus on the evolving situation in Syria.

The fall of the Bashar al-Assad regime on December 8 by opposition led by the Islamist group, Hayat Tahrir al-Sham (HTS), has triggered significant shifts in Middle Eastern dynamics. In response, Al-Sudani has intensified diplomatic efforts to stabilize the region. 

He has made high-profile visits to Jordan and Saudi Arabia to discuss security cooperation and regional threats.

Iraq also participated in the Aqaba Conference held in Jordan, where representatives from the US and other nations convened to tackle shared security concerns.

Iranian President Masoud Pezeshkian visited Iraq on September 11, touring Baghdad, Erbil, Al-Sulaymaniyah, Najaf, Karbala, and Basra over a three-day period.

On May 22, Al-Sudani traveled to Tehran to attend the funeral of Iranian President Ebrahim Raisi, who tragically died in a helicopter crash.

CHELLA CC HIGHLIGHTS NOTES, 5 JAN

 CHELLA CC HIGHLIGHTS NOTES

Chapter Summary: Economic Developments in Iraq - A Weekly Review

Introduction

This chapter explores the latest economic developments in Iraq, focusing on the Central Bank of Iraq (CBI) and its recent reforms, financial strategies, and international relations. The significance of these developments lies in their potential to stabilize the Iraqi economy, improve governance, and attract foreign investment. Key concepts discussed include monetary policy, foreign currency transfers, oil prices, and sustainable economic partnerships. This summary provides a comprehensive overview of the changes in Iraq’s financial landscape, emphasizing the CBI’s strategic initiatives and their implications for the country’s future.

Central Bank’s Transition and New Trading Mechanism

• The CBI has transitioned from an electronic platform for foreign currency transfers to direct operations involving Iraqi banks and international correspondent banks.
• This move aims to align with global best practices and enhance the stability of the financial system.
• The CBI’s highlights include modernization, currency diversification, and global integration.
• Concerns have arisen among Iraqi citizens regarding the cancellation of the electronic platform for dollar trading, which was intended to regulate foreign transfers and manage exchange rate manipulation.

Key Points:

• The transition is attributed to technical planning, government support, and contributions from banking staff and international partners.
• The CBI aims to control the dollar exchange rate, prevent dollar smuggling, and strengthen the local economy.

Monetary Strengthening Mechanism

• The CBI has adopted a monetary strengthening mechanism to fulfill national banks’ requests for foreign currency.
• This mechanism includes maintaining a fixed exchange rate of 1,320 IQD per $100, enabling the CBI to manage local liquidity and ensure regulatory compliance.

Essential Information:

• The cancellation of the electronic platform’s impact will depend on the effectiveness of alternative currency provisions for the commercial and service sectors.

Oil Market Dynamics

• Iraqi oil prices have shown stability, with crude oil exceeding $73 per barrel in global markets.
• The CBI reported strong growth in various banking sectors, including a 4.2% increase  in total bank deposits and a 15.1% rise in cash credit granted to the private sector.

Statistics:

• The CBI’s gold reserves have increased by 57%, reflecting a robust monetary policy that has led to low annual inflation rates.

Economic Partnerships and Investments

• Economic adviser Mouser Muhammad Chalet has stressed the importance of establishing sustainable economic partnerships with major countries, including India, Turkey, China, Korea, the United States, Japan, and Gulf nations like the UAE, Saudi Arabia, and Iran.
• The Iraqi government is pushing for amendments to the 2025 budget lawregarding crude oil extraction costs in the Kurdistan region, indicating a proactive approach to optimizing resource management.

Supporting Evidence:

• The emphasis on improving transport networks and establishing free industrial zones aligns with the need to combat corruption and build a balanced economy.

Recent Developments in the Banking Sector

• The International Development Bank has expanded its operations by opening its 31st branch in Baghdad, indicative of its growth ambitions and commitment to supporting local economic development.
• The CBI conducted currency auctions, selling $298 million worth of US dollars, primarily for external settlements and electronic transactions.

Noteworthy Facts:

• The majority of dollar sales (90%) were directed towards balancing foreign accounts, signifying a focus on international financial stability.

Government Initiatives and Infrastructure Projects

• The Iraqi government has approved the construction of a 2.25 million capacity oil pipeline to meet rising demand.
• Funding has been allocated for rapid service projects, including schools and hospitals, as well as enhancements to financial management systems.

Real-World Examples:

• The government has authorized the Ministry of Finance to sign loan agreements to support these infrastructure initiatives.

Conclusion

In summary, the recent economic developments in Iraq reflect a multifaceted approach to strengthening the financial system, enhancing governance, and fostering sustainable international partnerships. The CBI’s strategic initiatives, such as the transition to direct foreign currency operations and the adoption of a monetary strengthening mechanism, are crucial for maintaining financial stability. The emphasis on oil market dynamics, economic partnerships, and infrastructure projects further illustrates the government’s commitment to revitalizing the economy. As Iraq continues to navigate these changes, the implications for its economic future will depend on the successful implementation of these strategies and the ability to attract foreign investment while managing local economic challenges.

Main Takeaways:

• Successful transition of foreign currency operations indicates a commitment to modernizing the financial system.
• Fixed exchange rates and controlled liquidity aim to stabilize the economy.
• Strategic partnerships and infrastructure investments are essential for sustainable growth.
• Ongoing monitoring of the oil market and budgetary measures will be critical for economic resilience.

This chapter serves as a comprehensive overview of Iraq’s economic landscape, providing insights into the challenges and opportunities that lie ahead for the nation and its people.

AJ :." Wait for the announcement from Al-Sudani & CBI of the Lower Notes and rate" @DINARREVALUATION

 

Closing The Dollar Selling Platform...An American Directive That Raises Concerns About Market Stability And Rising Prices, 5 JAN

 Closing The Dollar Selling Platform...An American Directive That Raises Concerns About Market Stability And Rising Prices

 
    January 2 09:43  Information / Baghdad..  The Central Bank announced the closure of the dollar selling platform at the end of the fiscal year, a measure that comes within the ongoing directives by the US Treasury to tamper with the Iraqi economy.
 
However, this decision raises growing concerns about its potential impact on demand and dollar prices in the local market, especially in light of the current economic conditions.
 
Closing the platform is expected to lead to an increase in demand for the dollar in the parallel market, as many importers and traders rely on purchasing hard currency to meet their needs.
 
In the absence of the usual supply through the official platform, they may resort to alternative markets to obtain dollars, which leads to increased pressure on prices.
 
Economic observers point out that the rise in demand accompanied by a decline in  supply will inevitably lead to an increase in the price of the dollar against the dinar, and
 
this rise may be directly reflected in the prices of goods and services, which adds an additional burden on citizens, especially with the decline in purchasing power as a result of high inflation rates.

Regarding the issue, economic expert Safwan Qusay said in an interview with the Maalouma Agency,
 
“The Central Bank of Iraq announced the end of work on the electronic platform for banking transactions as of the beginning of the new year, after notifying all Iraqi banks of the cancellation decision early on.”  He added,
 
"13 Iraqi banks were able to adapt to this change, as
 
they expanded their dealings with real merchants, bringing the percentage of transfers and credits made through direct relationships between Iraqi banks and supplier banks to more than 95%."  He stated that
 
"these operations are carried out in accordance with strict compliance standards that ensure knowledge of suppliers and payment mechanisms." He continued by saying,
 
"For 5% of the transfers that were made through the electronic platform, merchants wishing to continue import operations at the official price can open bank accounts within these banks." He pointed out that
 
"the  Central Bank issued a circular dated September 30 last year allowing merchants to import directly after opening bank accounts, without the need for a waiting period that previously extended to six months." He explained,
 
"The market may witness some fluctuations, but he ruled out the possibility of achieving large profits from importing irregular goods, in light of the Iraqi economy, which relies heavily on the dollar and its high value globally." He pointed out that
 
"the Iraqi economy will not face major fears as a result of this change, stressing the importance of adhering to banking procedures to ensure market stability and facilitate import operations."
 
Closing the dollar selling platform may be a technical measure linked to the end of the fiscal year, but it raises economic and social challenges that must be treated with caution.
 
Maintaining market stability and the exchange rate requires effective coordination between the central bank and the government, while developing proactive plans to avoid worsening the economic crisis. Ended 25/S    
  
https://almaalomah.me/news/87024/economy/إغلاق-منصة-بيع-الدولار-توجيه-أميركي-يثير-المخاوف-بشأن-استقرا 

MARKZ: Where will the new rate show first? , 5 JAN

 MarkZ 

  [via PDK]  

 Question:  Where will the new rate show first? 

 MarkZ:  If it follows in Kuwaits footsteps – it will quietly be released. Maybe people will do some exchanging and then it will show publicly on forex.  

But, In today’s world and the speed of the internet - my guess is we will all see it at the same time …You guys will probably hear it first from folks like me and then we will be able to look at it…That’s my opinion.

MNT GOAT: The CBI is planning to conduct the project VERY SOON!! @DINARREVALUATION #iraqidinar