DINAR REVALUATION

Saturday, February 22, 2025

MARKZ: THEY ARE TESTING THE DINAR ON FOREX! @DINARREVALUATION #iraqidinarinvestor

EXCLUSIVE: FIVE IRAQI BANKS TO BE BANNED FROM US DOLLAR TRANSACTIONS, 22 FEB

EXCLUSIVE: FIVE IRAQI BANKS TO BE BANNED FROM US DOLLAR TRANSACTIONS

By Maha El Dahan and Ahmed Rasheed

February 16, 2025

DUBAI/BAGHDAD, Feb 16 (Reuters) – Iraq’s central bank will ban five more local banks from engaging in U.S. dollar transactions, a move that comes after meetings with U.S. Treasury officials in efforts to combat money laundering, dollar smuggling and other violations, two sources with direct knowledge of the matter told Reuters on Sunday.

The move comes after meetings in Dubai last week between officials from the Central Bank of Iraq – which last year already banned eight banks from U.S. dollar transactions – and U.S. Treasury and Federal Reserve officials, one of the sources said.

(Ok, so it’s not 15 banks, only 5 from engaging in US dollars. These are the CBI restrictions and NOT US sanctions imposed on the banks in Iraq. I repeat NOT US sanctions! Many of these Iraqi news media outlets luv to exaggerate and tell you these are US sanctions. This is called FAKE news. Yes, even in Iraq.)

FIREFLY: THEY CANT DO LAUNDRY MONEY WITH THIS NEW SYSTEM!, 22 FEB

Frank26

[Iraq boots-on-the-ground report]

FIREFLY:They showed several individuals that were busted in the new system trying to laundry money but they can't now with this new system.

FRANK: That's right. Security and stability was the #1 thing that was needed in order to release the new exchange rate. That's why it's exciting right now.

CRYPTO TRADER: it would be prudent for such a huge investment deal to be signed post the revaluation

UPCOMING US SANCTIONS THREATEN 15 IRAQI BANKS DUE TO CURRENCY SMUGGLING!, 22 FEB

UPCOMING US SANCTIONS THREATEN 15 IRAQI BANKS DUE TO CURRENCY SMUGGLING!

(Only 5 Iraqi banks were limited form the US dollar not 15. Also these are NOT US sanctions on restrictions by the CBI. So this article has it all wrong! ☹ Even the CBI director told the new media to stop calling them sanctions.)

In a surprising development, press reports confirmed that the US Treasury Department is preparing to impose new sanctions on more than 15 banks in Iraq, including private and government banks, in a move aimed at combating currency smuggling, which has recently become a controversial issue.

These sanctions come at a sensitive time for the Iraqi economy, which is already facing significant challenges in the currency and finance sectors. According to sources, the US government is targeting these banks for their involvement in foreign currency smuggling, which threatens the stability of the Iraqi economy and further depreciates the value of the dinar.

REASONS BEHIND SANCTIONS

US officials believe that many Iraqi banks have indirectly contributed to currency smuggling by transferring money out of Iraq illegally, which has led to a shortage in the country’s foreign currency reserves. On the other hand, these operations contribute to facilitating the financing of illicit activities, which include financing armed groups or smuggling money to other countries.

Despite warnings from Iraqi authorities about the negative effects of these sanctions, the United States appears to be moving forward with this step in response to the escalation of these activities.

IMPACT OF SANCTIONS ON IRAQI BANKS

If the sanctions are confirmed, the Iraqi banks involved could face significant difficulty in dealing with the international financial system. This means that banks could have their accounts frozen or be prevented from conducting international transactions, which would negatively affect the ability of Iraqi companies and individuals to deal with international banks. (but only if they illegally deal in US dollars. Let’s not exaggerate!)

These sanctions are likely to be an additional blow to the Iraqi economy, which suffers from a lack of investment and weak trade exchanges. But they may also be an opportunity for the Iraqi financial system to correct and move towards improving financial supervision. (Not really as importers can still go to other banks for the dollars.)

THE ROLE OF THE IRAQI GOVERNMENT IN DEALING WITH SANCTIONS

The Iraqi government is expected to exert significant pressure to curb currency smuggling, by strengthening oversight of the banking system and taking strict legal action against banks involved. These measures may include restructuring the financial and banking system and imposing new laws that ensure compliance with international standards.

CONCLUSION

US sanctions (CBI restrictions) on Iraqi banks raise many questions about the future of the Iraqi economy and relations with major powers. While the United States seeks to combat currency smuggling, the challenges facing Iraq may require radical internal solutions to ensure the stability of the financial system and open new horizons for economic growth away from these international pressures.

TIDBIT FROM MNT GOAT, 22 FEB

Mnt Goat

Another major step to fully globalizing Iraq is in the article titled “IRAQ MOVES TOWARDS GLOBALIZATION ...IMPLEMENTATION OF INTERNATIONAL ACCOUNTING STANDARDS BEGINS IN 2026”.

...in my eyes this is not going to trigger the RV but is certainly a right step in the direction we want.

Remember the CBI told us that January is the most optimistic to revalue the dinar with any substantial change in value. Why? It is because of the accounting practices and it is MOST convenient to begin a new fiscal year clean with a new rate.

Remember we may be already into February but we know they just passed the amendment to the budget law and so they have not yet even opened the 2025 budget. So there still can be a rate change coming...