Monday, January 20, 2025

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

Iraq's Internal Debt Between Security Crises, Oil And The Pandemic, 20 JAN

Iraq's Internal Debt Between Security Crises, Oil And The Pandemic

Time: 2025/01/18 10:46:25 Read: 1,495 times {Economic: Al Furat News} The financial advisor to the Prime Minister, Mazhar Muhammad Salih, explained today, Saturday, that the roots of the increase in internal debt in Iraq go back to two stages over a decade.

The first stage was linked to the security/financial crisis that occurred during the war on ISIS terrorism, and the accompanying drop in oil prices to levels in which a barrel of oil lost about 60% of the value of its estimated revenues.

Saleh added in his statement to {Euphrates News} that “the impact of this decline was reflected in the revenues of the general budget, in which oil revenues constitute nearly 90% of the total revenues, and that the internal debt is from treasury transfers whose repayment period is one year with an average interest rate ranging between 4 to 5%, in addition to a small portion of other bonds with different repayment periods, all of which are issued by the Ministry of Finance, and followed exclusively by government banks in most cases.”

He pointed out that "the scene was repeated in the second phase, as the domestic debt increased again between 2020 and 2021 due to the financial crisis resulting from the decline in oil prices by almost the same percentage, which coincided with the Corona pandemic (Covid-19) crisis and the closure of the global economy, which was called at the time (the financial/health crisis)." LINK

DINAR INVESTOR CC HIGHLIGHTS NOTES: EXCELLENT NEWS: Budget Schedules Next, RI 1st!, 20 JAN

DINAR INVESTOR CC HIGHLIGHTS NOTES: EXCELLENT NEWS: Budget Schedules Next, RI 1st!

Highlights

Summary

In this video, the host provides an update on the current status of the Iraqi budget law and its implications for the Kurdistan region, particularly regarding oil extraction and transportation costs.

The parliamentary Finance Committee is focused on amending Article 12 of the three-year budget law, ensuring that the Kurdistan region can recapture all costs associated with oil extraction and transportation.

The host emphasizes that these amendments are not directly related to any changes in currency rates.

The discussion highlights the procedural steps involved in the approval of the budget law and the budget schedules, with an eye towards the eventual need for a rate change before the new budget schedules can be finalized and sent to Parliament for approval. The host expresses optimism about the developments and suggests that significant announcements regarding the budget schedules could emerge in the near future.

🛢️ Focus on Article 12: The amendment to Article 12 of the budget law is crucial for ensuring Kurdistan recaptures all costs related to oil extraction and transportation.
📅 Parliamentary Process: The parliamentary Finance Committee is prioritizing the approval of budget law amendments before moving on to the budget schedules.
💰 Oil Pricing: The cost of oil extraction from the Kurdistan region is set to change from $6 to $16 per barrel, highlighting the financial adjustments being made.
📉 Rate Change Clarification: The amendments have no direct connection to changes in the currency rate, which remains a separate issue.
📊 Budget Schedules Importance: The budget schedules need a rate change before they can be approved, indicating a critical relationship between currency value and budgetary allocations.
🗓️ Future Prospects: The host is hopeful for a timeline to be established for the approval of budget schedules in the coming week.
🌟 Overall Optimism: Despite the complexities, there is a sense of positive momentum in the processes being undertaken by the Iraqi Parliament.

Key Insights

🔍 Insight 1: Legislative Procedure
The legislative process in Iraq is complex, and the current focus on amending Article 12 signifies a strategic approach to ensure that the Kurdistan region’s financial interests are safeguarded. Understanding this procedure is crucial for stakeholders who are monitoring the economic stability and governance of the region.
🚀 Insight 2: Economic Implications
The shift in oil pricing from $6 to $16 per barrel reflects not only a financial adjustment but also a broader strategy to ensure sustainability in revenue generation for the Kurdistan region. This change could have far-reaching implications for budgetary allocations and economic planning.
🔄 Insight 3: Currency Rate Dependency
The necessity for a currency rate change before the approval of budget schedules underscores the relationship between fiscal policy and monetary stability. This dependency indicates that stakeholders must be attentive to currency fluctuations, as they directly impact budgetary frameworks.
⏳ Insight 4: Timeline for Approvals
The expectation for an announcement regarding the timeline for budget schedule approval in the near term suggests that there is a proactive approach from the Iraqi government. Stakeholders should keep an eye on these developments as they could influence market conditions and investment decisions.
🎯 Insight 5: Risk Management
The host’s emphasis on the need for a rate change introduces an element of risk management within the budgetary process. Investors and policymakers must consider potential volatility in currency valuation as they navigate fiscal policies and economic strategies.
📈 Insight 6: Stakeholder Engagement
The ongoing discussions in Parliament highlight the importance of stakeholder engagement in the budgetary process. The involvement of various committees and representatives indicates a collaborative effort to address the unique challenges facing the Kurdistan region, fostering a sense of community and shared responsibility.
🏛️ Insight 7: Focus on Oil Revenue
The focus on oil extraction and transportation costs signifies the critical role of oil revenue in Iraq’s economy. As oil remains a key economic driver, understanding its implications on budgets and currency valuation will be essential for stakeholders looking to invest in or support the region’s economic development.

In conclusion, the updates provided in the video reflect significant developments in the Iraqi budget law that have implications for the Kurdistan region’s oil revenue and overall economic health. The ongoing legislative processes, the need for a currency rate change, and the hopeful outlook for budget schedule approvals are critical points of interest for investors, policymakers, and stakeholders in the region. The complexities of the situation require careful monitoring and strategic planning to navigate the evolving landscape of Iraq’s fiscal policies.

MIKE BARA : FRIDAY MORNING UPDATE!! ‪@DINARREVALUATION‬ #iraqidinar #iraqidinarinvestor

Iraq Looks Forward To Enhancing Bilateral Cooperation Under The Next US Administration, 20 JAN

Iraq Looks Forward To Enhancing Bilateral Cooperation Under The Next US Administration

Deputy Prime Minister and Minister of Foreign Affairs, Fuad Hussein, received today, Saturday, the new Chargé d'Affaires of the US Embassy in Baghdad, Daniel Rubinstein.

A statement by the Foreign Ministry, a copy of which was received by {Euphrates News}, stated that: “At the beginning of the meeting, Hussein offered his congratulations to Rubinstein on the occasion of his assuming his new duties, where he stressed the depth of Iraqi-American relations, while expressing Iraq’s aspiration to enhance bilateral cooperation under the next American administration.”

He added, "The meeting witnessed in-depth discussions on bilateral relations between the two countries, in addition to reviewing regional conditions, especially the situation in Syria. The two sides also touched on current political developments and the pivotal role played by Western countries, primarily the United States, in the course of events inside Syria."

He added, "The two parties also discussed the outcomes of the Riyadh Conference on Syria, which witnessed the participation of the US Under Secretary of State, and stressed the importance of following up on the recommendations that emerged from the conference."

At the end of the meeting, Hussein stressed "the importance of strengthening cooperation between Iraq and the United States in a way that serves common interests and contributes to achieving regional stability." LINK

TIDBIT FROM CLARE, 20 JAN

Clare

Article: "The 10 most powerful currencies in the world.. Arab countries top the list"

Quote: "The Bankrate website...list of the strongest currencies in the world. 1- Kuwaiti Dinar...traders getting 0.31 Kuwaiti Dinars for every US Dollar. 2- Bahraini Dinar...0.38 Bahraini Dinars for every US Dollar. 3- Omani Rial...0.39. 4- Jordanian Dinar...0.71. 5- British pound...0.82. 6- Gibraltar pound...0.82. 7- Cayman Islands Dollar...0.83. 8- Swiss Franc...0.92. 9- Euro...0.98. 10- US Dollar...

While the Kuwaiti dinar is the strongest currency, the Swiss franc is considered one of the most stable currencies thanks to Switzerland's political neutrality, low debt-to-GDP ratio, and conservative monetary policy.

DINAR REVALUATION